One exclusive sneaker cook group made nearly $750,000 in profit on just one drop of Travis Scott Air
- Sneaker "cook groups" are exclusive forums where members pay for a stockpile of insider knowledge and tools to dominate the sneaker resale market.
- AK Chefs is one of the top cook groups. Its founder said its 1,600 members have pulled in around $100 million in profit since 2017.
- The group copped more than 750 pairs of a Nike Air Force 1 Low Travis Scott Cactus Jack drop in November and ended up making close to $750,000 in collective profit on just that one drop.
- Here's how they did it.
- Visit Business Insider's homepage for more stories
Cook groups are the secret societies of the sneaker world. You might know they exist, but most people know little about how they function.
These members-only, exclusive forums are hotbeds of information for people who want to dominate the $2 billion sneaker resale market. They charge hefty fees for limited spots. But, admission to these groups can open up a world of sneaker knowledge.
To "cook" sneakers means to nab a large selection of pairs at a drop. These cook groups are designed to help its members do exactly that, thanks to connections with industry insiders called "plugs" who work in sneaker stores and boutiques and leak details of hyped drops before they happen.
AK Chefs is one of the most successful cook groups around. The group, which currently has 1,600 members from the US, Canada, Europe, China, Japan, and Australia, was founded in 2017 by a then-teenage sneaker reseller named Ari, who requested that his last name be withheld in this story due to privacy concerns.
The now-20-year-old said that his group has brought in almost $100 million in collective profit since 2017. Ari employs 36 staff members in their teens and 20s and charges a $50 monthly fee for each member.
One of the group's most successful drops was on a pair of Nike Air Force 1 Low Travis Scott Cactus Jacks, which were released in November. Ari said his group copped over 750 pairs and ended up making close to $750,000 in collective profit on the drop.
Here's how they did it:
Ari has 36 people on his monthly payroll, which is essential for pinpointing drops
These people help Ari maintain the group. Some people are moderators for a specific region. Others provide support for a specific bot. Ari also employs three software developers who create different products exclusively for members of the group.
Ari's in-house developers even created something called a spoofer, which is a piece of software that essentially changes a user's location on his or her computer. Sometimes, sneaker drops require buyers to be located in a specific region to get them, and this is when spoofers become useful.
The group knew that Travis Scott was performing in Texas for the Astroworld festival on November 9, 2019
Travis Scott is known for his hyped sneaker drops, so Ari said that everyone had been preparing for this event for some time.
The night before the event, Ari said he and his group got word from one of their contacts that Nike was planning something with Scott. He knew the event was going to require buyers to be where the concert was to get the shoes via Nike's SNKRS app.
The members knew the exact moment the shoes would drop
Thanks to its connections with industry insiders called "plugs," who leak details of hyped drops before they happen, Ari and his group knew exactly when the shoes would be available, which Ari said was a huge advantage.
Ari said about 1,100 members spoofed their location to match the coordinates of the concert.
Ari said the group ended up making close to $750,000 in profit on the drop
Ari said that there were about 5,500 pairs in stock on the SNKRS app, and that AK Chefs copped about 750 pairs.
In the end, Ari estimated his group made close to $750,000 in collective profit on the drop.
"This event only lasted a few seconds before the stash sold out," Ari said.
ncG1vNJzZmivp6x7o8HSoqWeq6Oeu7S1w56pZ5ufony0usSaop6qXZi8sLeMoKmoraBiuqK3xKxkpqGcobawutJmqqGnlWKxs7vPrGSaoaJis7C%2Bwp5kqKaVYn9xfo9mag%3D%3D