Document and Entity Information	12 Months Ended
Document and Entity Information	Dec. 31, 2017 shares
Document and Entity Information
Entity Registrant Name	LightInTheBox Holding Co., Ltd.
Entity Central Index Key	0001523836
Document Type	20-F
Document Period End Date	Dec. 31, 2017
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Well-known Seasoned Issuer	No
Entity Voluntary Filers	No
Entity Current Reporting Status	Yes
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding	135,664,877
Document Fiscal Year Focus	2017
Document Fiscal Period Focus	FY

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Current assets
Cash and cash equivalents	$ 68,441	$ 89,517
Restricted cash	1,573	1,559
Accounts receivable	3,433	2,401
Inventories	11,841	10,587
Prepaid expenses and other current assets	15,696	9,674
Total current assets	100,984	113,738
Property and equipment, net	920	1,071
Intangible assets, net	210	215
Goodwill	690	690
Long-term rental deposit	671	638
Long-term investments	5,262	1,849
TOTAL ASSETS	108,737	118,201
Current Liabilities
Accounts payable (including accounts payable of the consolidated VIEs without recourse to LightInTheBox Holding Co., Ltd. of $20 and $22 as of December 31, 2016 and December 31, 2017, respectively)	22,430	22,523
Advance from customers (including advance from customers of the consolidated VIEs without recourse to LightInTheBox Holding Co., Ltd. of nil and nil as of December 31, 2016 and December 31, 2017, respectively)	10,110	8,758
Accrued expenses and other current liabilities (including accrued expenses and other current liabilities of the consolidated VIEs without recourse to LightInTheBox Holding Co., Ltd. of $1,537 and $3,909 as of December 31, 2016 and December 31, 2017, respectively)	20,727	21,084
Total current liabilities	53,267	52,365
TOTAL LIABILITIES	53,267	52,365
EQUITY
Ordinary shares ($0.000067 par value; 750,000,000 shares authorized; 145,754,507 and 169,675,522 shares issued as of December 31, 2016 and December 31, 2017 respectively; 137,820,605 and 135,664,877 shares outstanding as of December 31, 2016 and December 31, 2017 respectively)	11	10
Additional paid-in capital	238,851	236,949
Treasury shares, at cost 7,933,902 and 10,820,822 shares as of December 31, 2016, and December 31, 2017 respectively)	(23,907)	(20,806)
Accumulated deficit	(159,286)	(149,738)
Accumulated other comprehensive loss	(199)	(579)
TOTAL EQUITY	55,470	65,836
TOTAL LIABILITIES AND EQUITY	$ 108,737	$ 118,201

CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Accounts payable	$ 22,430	$ 22,523
Advance from customers	10,110	8,758
Accrued expenses and other current liabilities	$ 20,727	$ 21,084
Ordinary shares, par value (in dollars per share)	$ 0.000067	$ 0.000067
Ordinary shares, shares authorized	750,000,000	750,000,000
Ordinary shares, shares issued	169,675,522	145,754,507
Ordinary shares, shares outstanding	135,664,877	137,820,605
Treasury stock, shares	10,820,822	7,933,902
Consolidated VIEs
Accounts payable	$ 22	$ 20
Advance from customers	0	0
Accrued expenses and other current liabilities	$ 3,909	$ 1,537

CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Net revenues
Product sales	$ 293,951	$ 262,083	$ 312,332
Services and others	25,930	30,404	11,431
Total net revenues	319,881	292,487	323,763
Cost of revenues
Product sales	189,816	160,566	196,753
Services and others	24,445	28,371	10,601
Total cost of revenues	214,261	188,937	207,354
Gross profit	105,620	103,550	116,409
Operating expenses:
Fulfillment	17,291	17,052	22,419
Selling and marketing	68,891	61,090	91,614
General and administrative	29,605	34,492	41,535
Total operating expenses	115,787	112,634	155,568
Loss from operations	(10,167)	(9,084)	(39,159)
Exchange loss on offshore bank accounts	(89)	(120)	(938)
Interest income	581	518	773
Total other (loss) income	492	(398)	(165)
Loss before income taxes	(9,675)	(8,686)	(39,324)
Income taxes expenses	(81)	(54)	(49)
(Loss) gain from equity method investment	208	17	(34)
Net loss	(9,548)	(8,723)	(39,407)
Net loss attributable to ordinary shareholders	$ (9,548)	$ (8,723)	$ (39,407)
Net loss per ordinary share-basic (in dollars per share)	$ (0.07)	$ (0.07)	$ (0.41)
Net loss per ordinary share-diluted (in dollars per share)	$ (0.07)	$ (0.07)	$ (0.41)

CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS
Net loss	$ (9,548)	$ (8,723)	$ (39,407)
Other comprehensive loss, net of tax:
Foreign currency translation adjustment, net of tax of nil	380	(270)	(178)
Total comprehensive loss	$ (9,168)	$ (8,993)	$ (39,585)

CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS (Parenthetical) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS
Foreign currency translation adjustment, tax	$ 0	$ 0	$ 0

CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY (DEFICIT) - USD ($) $ in Thousands	Ordinary Shares	Additional Paid-in Capital	Treasury shares, at cost	Accumulated Other Comprehensive Loss	Accumulated Deficit	Total
Balance at Dec. 31, 2014	$ 7	$ 155,872	$ (10,957)	$ (131)	$ (101,608)	$ 43,183
Balance (in shares) at Dec. 31, 2014	96,617,349
Increase (Decrease) in Stockholders' Equity
Issuance of ordinary shares upon vesting of nonvested shares (in shares)	1,316,696
Exercise of share options		122				122
Exercise of share options (in shares)	175,950
Share-based compensation		3,196				3,196
Repurchase of ordinary shares			(9,039)			(9,039)
Repurchase of ordinary shares (in shares)	(3,653,222)
Net loss					(39,407)	(39,407)
Foreign currency translation adjustment				(178)		(178)
Balance at Dec. 31, 2015	$ 7	159,190	(19,996)	(309)	(141,015)	(2,123)
Balance (in shares) at Dec. 31, 2015	94,456,773
Increase (Decrease) in Stockholders' Equity
Issuance of ordinary shares upon private placement	$ 3	75,420				75,423
Issuance of ordinary shares upon private placement (in shares)	42,500,000
Issuance of ordinary shares upon vesting of nonvested shares (in shares)	1,367,560
Exercise of share options		22				22
Exercise of share options (in shares)	39,500
Share-based compensation		2,317				2,317
Repurchase of ordinary shares			(810)			(810)
Repurchase of ordinary shares (in shares)	(543,228)
Net loss					(8,723)	(8,723)
Foreign currency translation adjustment				(270)		(270)
Balance at Dec. 31, 2016	$ 10	236,949	(20,806)	(579)	(149,738)	65,836
Balance (in shares) at Dec. 31, 2016	137,820,605
Increase (Decrease) in Stockholders' Equity
Issuance of ordinary shares upon vesting of nonvested shares	$ 1					1
Issuance of ordinary shares upon vesting of nonvested shares (in shares)	437,830
Exercise of share options		37				37
Exercise of share options (in shares)	293,362
Share-based compensation		1,865				1,865
Repurchase of ordinary shares			(3,101)			(3,101)
Repurchase of ordinary shares (in shares)	(2,886,920)
Net loss					(9,548)	(9,548)
Foreign currency translation adjustment				380		380
Balance at Dec. 31, 2017	$ 11	$ 238,851	$ (23,907)	$ (199)	$ (159,286)	$ 55,470
Balance (in shares) at Dec. 31, 2017	135,664,877

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
CONSOLIDATED STATEMENTS OF CASH FLOWS
Net loss	$ (9,548)	$ (8,723)	$ (39,407)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization	769	1,395	2,135
Share-based compensation	1,865	2,317	3,196
Exchange loss on offshore bank accounts	89	120	938
Loss (gain) from equity method investment	(208)	(17)	34
Inventory write down	2,065	3,286	1,890
Changes in operating assets and liabilities:
Accounts receivable	(973)	(1,707)	(246)
Inventories	(3,293)	(2,642)	(3,326)
Prepaid expenses and other current assets	(5,985)	(4,659)	106
Long-term rental deposit	(12)	(2)	33
Accounts payable	(108)	(6,813)	4,117
Advance from customers	1,345	476	(2,697)
Accrued expenses and other current liabilities	(837)	1,635	(4,674)
Net cash used in operating activities	(14,831)	(15,334)	(37,901)
Cash flows from investing activities
Purchase of property and equipment	(556)	(334)	(769)
Maturity of term deposit			43,054
Purchase of term deposit			(37,708)
(Increase) decrease in restricted cash	(15)	47	661
Payment for long term investment	(2,950)		(2,100)
Net cash provided by (used in) investing activities	(3,521)	(287)	3,138
Cash flows from financing activities
Proceeds from exercise of share options	37	22	122
Proceeds from private placement		75,423
Repurchase of ordinary shares	(3,101)	(810)	(9,346)
Net cash (used in) provided by financing activities	(3,064)	74,635	(9,224)
Net (decrease) increase in cash and cash equivalents	(21,416)	59,014	(43,987)
Effect of exchange rate changes on cash and cash equivalents	340	(398)	(470)
Cash and cash equivalents at beginning of year	89,517	30,901	75,358
Cash and cash equivalents at end of year	68,441	89,517	30,901
Supplemental cash flow information:
Income tax paid	$ (81)	$ (54)	$ (49)

ORGANIZATION AND PRINCIPAL ACTIVITIES

12 Months Ended

Dec. 31, 2017

ORGANIZATION AND PRINCIPAL ACTIVITIES

ORGANIZATION AND PRINCIPAL ACTIVITIES

1. ORGANIZATION AND PRINCIPAL ACTIVITIES

LightInTheBox Holding Co., Ltd. (the “Company”), incorporated in the Cayman Islands in March 2008 by five founding shareholders, together with its consolidated subsidiaries, its variable interest entities (“VIEs”) and its VIE’s subsidiary (collectively referred to the “Group”), is primarily involved in online retailing to sell and deliver products to consumers around the world.

History of the Group and corporate reorganization

The Group commenced its operation in June 2007, with the establishment of Light In The Box Limited (“Light In The Box”) in June 2007 in Hong Kong by the same five founding shareholders of the Company. Light In The Box subsequently became the Company’s subsidiary through a share for share exchange in April 2008 which has been accounted for in a manner akin to a pooling of interest as if the Company had been in existence and owned Light In The Box since June 2007.

Lightinthebox Trading(Shenzhen) Co., Ltd.(“Lanting Jishi”) was established in October 2008 in the People’s Republic of China (the “PRC”) as a wholly owned subsidiary of Light In The Box.

On March 17, 2016, Zall Cross-border E-commerce Investment Company Limited (“Zall E-Commerce”), an indirect wholly-owned subsidiary of Zall Group Ltd. (“Zall Group”), a developer and operator of large-scale consumer-focused product wholesale shopping malls in China, acquired a strategic equity interest in the Group.

The VIE arrangements

The PRC regulations currently limit direct foreign ownership of business entities providing value-added telecommunications services, advertising services and Internet services in the PRC where certain licenses are required for the provision of such services. To comply with these PRC regulations, the Group currently conducts certain aspects of its business in the PRC through Shenzhen Lanting Huitong Technologies Co.Ltd. (“Lanting Huitong”) and Beijing Lanting Gaochuang Technologies Co.Ltd. (“Lanting Gaochuang”), both of which are VIEs.

Lanting Huitong was established by the shareholders of the Company in June 2008 in the PRC. Through the contractual arrangements (as described below) among Lanting Jishi, Lanting Huitong and the respective shareholders of Lanting Huitong, Lanting Huitong became the Group’s VIE.

In order to obtain the benefit granted to domestic enterprises that are held by Chinese nationals who have previously studied overseas, the Chief Executive Officer (“CEO”) and Lanting Huitong established Lanting Gaochuang in December 2011, each holding 51% and 49% of Lanting Gaochuang, respectively, in the China Beijing Wangjing Overseas Students Pioneer Park.

Through a series of contractual arrangements (as described below) among Lanting Jishi, Lanting Gaochuang and the respective shareholders of Lanting Gaochuang, Lanting Gaochuang became the Group’s VIE.

Agreements that provide Lanting Jishi effective control over Lanting Huitong and Lanting Gaochuang (collectively, the “VIEs”)

Powers of Attorney: Each shareholder of the VIEs has executed a power of attorney appointing Lanting Jishi or its designee to be his or her attorney and irrevocably authorizing them to vote on his or her behalf on all of the matters concerning the VIEs that may require shareholders’ approval. The powers of attorney will be valid as long as the shareholders remain as shareholders of the VIEs.

Equity disposal agreement: The agreements granted Lanting Jishi or its designated party exclusive options to purchase, when and to the extent permitted under PRC law, all or part of the equity interests in the VIEs. The exercise price for the options to purchase all or part of the equity interests will be the minimum amount of consideration permissible under the then applicable PRC law. The agreement will be valid until Lanting Jishi or its designated party purchases all the shares from shareholders of the VIEs.

Spousal consent letters: Pursuant to spousal consent letters, the spouses of certain shareholders of Lanting Huitong acknowledged that the equity interests of Lanting Huitong held by and registered in the name of his/her spouse will be disposed of pursuant to the equity disposal and share pledge agreements. These spouses understand that such equity interests are held by their respective spouse on behalf of Lanting Jishi, and they will not take any action to interfere with the disposition of such equity interests, including, without limitation, claiming that such equity interests constitute communal property of marriage. The spousal consent letters will be valid until the liquidation of Lanting Huitong, unless terminated earlier at Lanting Jishi’s sole discretion.

Loan Agreement: Under the loan agreement entered into in December 2011 between Lanting Jishi and the CEO, Lanting Jishi extended a loan in the amount of $41 (RMB255, 000) to the CEO to be contributed as 51% of the registered capital of Lanting Gaochuang. Under this agreement, the CEO agrees that without prior written consent from Lanting Jishi, Lanting Gaochuang may not enter into any transaction that could materially affect its assets, liabilities, interests or operations, and there will be no earnings distribution in any form by Lanting Gaochuang before such loan has been repaid. This loan can only be repaid by transferring all of the CEO’s equity interest in Lanting Gaochuang to Lanting Jishi or a third party designated by Lanting Jishi, and submitting all proceeds from such transaction to Lanting Jishi. The loan agreement has a term of ten years and will be extended automatically, unless indicated otherwise by Lanting Jishi in writing three months prior to the contract expiration date.

Agreements that transfer economic benefits to Lanting Jishi

Business operation agreements: The shareholders of the VIEs and the VIEs agreed that the VIEs may not enter into any transaction that could materially affect the assets, liabilities, interests or operations of the VIEs, without prior written consent from Lanting Jishi or other party designated by Lanting Jishi. In addition, directors, supervisors, chairman, general managers, financial controllers or other senior managers of the VIEs must be Lanting Jishi’s nominees. Lanting Jishi is entitled to any dividend declared by the VIEs. The business operation agreement will be valid until the liquidation of the VIEs, unless terminated earlier at Lanting Jishi’s sole discretion.

Exclusive technical support and consulting service agreements: Lanting Jishi agreed to provide the VIEs with technology support and consulting services. The VIEs agreed to pay a service fee annually equal to substantially all of the net income of the VIEs. The exclusive technical support and consulting service agreement will be valid until the liquidation of the VIEs, unless terminated earlier at Lanting Jishi’s sole discretion.

Share pledge agreement: The shareholders of the VIEs pledged all of their respective equity interests in favor of Lanting Jishi to secure the obligations of the VIEs, and the shareholders under the VIE agreements, including the business operation agreements, and the exclusive technical support and consulting service agreements described above. If the VIEs or any of the shareholders of the VIEs breaches any of their respective contractual obligations under these agreements, Lanting Jishi, as pledgee, will be entitled to certain rights, including the right to sell the pledged equity interests. The shareholders of the VIEs agreed not to transfer, sell, pledge, dispose of or otherwise create any new encumbrance on their respective equity interests in the VIEs, without Lanting Jishi’s prior written consent. Unless terminated at Lanting Jishi’s sole discretion, each share pledge agreement will be valid till the completion of all the contractual obligations of the VIEs, or any of the shareholders of the VIEs under the various agreements, including the business operation agreements, the technical support and consulting service agreements and equity disposal agreements.

Since the Company, through Lanting Jishi, its wholly owned subsidiary, has (1) the power to direct the activities of Lanting Huitong and Lanting Gaochuang that most significantly affect their economic performance and (2) the right to receive the benefits from them, the Company is the primary beneficiary of both entities and has consolidated them as VIEs since their respective inceptions.

Risks in relation to VIE structure

The Group believes that Lanting Jishi’s contractual arrangements with the VIEs are in compliance with the PRC law and are legally enforceable. The shareholders of the VIEs are also shareholders of the Company and therefore have no current interest in seeking to act contrary to the contractual arrangements. However, uncertainties in the PRC legal system could limit the Group’s ability to enforce these contractual arrangements and if the shareholders of the VIEs were to reduce their interest in the Company, their interests may diverge from that of the Company and that may potentially increase the risk that they would seek to act contrary to the contractual terms, for example by influencing the VIEs not to pay the service fees when required to do so. The Company’s ability to control the VIEs also depends on the power of attorney Lanting Jishi has to vote on all matters requiring shareholder approval in the VIEs. As noted above, the Company believes this power of attorney is legally enforceable but may not be as effective as direct equity ownership.

In addition, if the legal structure and contractual arrangements were found to be in violation of any existing PRC laws and regulations, the PRC government could:

revoke the Group’s business and operating licenses;

require the Group to discontinue or restrict operations;

restrict the Group’s right to collect revenues;

block the Group’s websites;

revoke the benefits provided by the Wangjing Pioneer Park;

require the Group to restructure the operations in such a way as to compel the Group to establish a new enterprise, re-apply for the necessary licenses or relocate their businesses, staff and assets;

impose additional conditions or requirements with which the Group may not be able to comply; or

take other regulatory or enforcement actions against the Group that could be harmful to the Group’s business.

The imposition of any of these penalties may result in a material and adverse effect on the Group’s ability to conduct the Group’s business. In addition, if the imposition of any of these penalties causes the Group to lose the rights to direct the activities of the VIEs and its subsidiaries or the right to receive their economic benefits, the Group would possibly no longer be able to consolidate the VIEs.

The following consolidated financial information of the Group’s VIEs was included in the accompanying consolidated financial statements as of and for the years ended, after elimination of intercompany balances and transactions within the Group:

	As of		As of
	December 31,		December 31,
	2016		2017

Total assets	$	56	$	6,117
Total liabilities	$	1,557	$	3,931

	Year ended December 31,
	2015			2016			2017

Net revenues	$	5		$	5		$	—
Net (loss) profit	$	(128	)	$	(52	)	$	(7,507	)

	Year ended December 31,
	2015			2016			2017

Net cash (used in) provided by operating activities	$	(247	)	$	(131	)	$	3,073
Net cash provided by (used in) investing activities	$	44		$	—		$	(3,069	)
Net cash provided by financing activities	$	—		$	—		$	—

As of December 31, 2017, there was no pledge or collateralization of the consolidated VIEs’ assets. None of the consolidated VIEs’ assets can only be used to settle the VIEs’ obligations.

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

12 Months Ended

Dec. 31, 2017

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Basis of presentation

The consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”).

Basis of consolidation

The consolidated financial statements include the financial statements of the Group, its subsidiaries and its VIEs. All inter-company transactions and balances are eliminated upon consolidation.

Use of estimates

The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, and the reported amount of revenues and expenses in the financial statements and accompanying notes. Actual results may differ from these estimates. The Group bases its estimates on historical experience and various other factors believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying value of assets and liabilities that are not readily apparent from other sources. Significant accounting estimates reflected in the Group’s financial statements include revenue recognition, inventory valuation, impairment of goodwill and intangible assets, share-based compensation and income taxes.

Cash and cash equivalents

Cash and cash equivalents consist of cash on hand, demand deposits with financial institutions and term deposits with an original maturity of three months or less.

Restricted cash

Restricted cash consists of cash which is held under the Group’s name in an escrow account as deposits withheld by third party payment processing agencies and the deposits fluctuate with the volume of payment processed.

Accounts receivable

Accounts receivable on our consolidated balance sheets consist of accounts receivable for our logistic services and account receivable for cash collected by the delivery service providers on behalf of the Group under the cash-on-delivery product sales within PRC. The Group considers many factors in assessing the collectability of its accounts receivable, such as the age of the amounts due, the customer’s payment history, creditworthiness, financial conditions of the customers and industry trend. An allowance for doubtful accounts is recorded in the period in which a loss is determined to be probable. As of December 31, 2016 and 2017, the Company has determined the risk of uncollected receivable is remote.

Inventories

Inventories are accounted for using the first-in-first-out method, and are valued at the lower of cost or net realizable value. Adjustments are recorded to write down the cost of inventory to the net realizable value due to slow-moving merchandise and broken assortments, which is dependent upon factors such as historical trends with similar merchandise, inventory aging, and historical and forecasted consumer demand. Write downs are recorded in cost of revenues in the consolidated statements of operations.

Property and equipment, net

Property and equipment, net is stated at cost less accumulated depreciation and amortization. Depreciation and amortization are calculated on a straight-line basis over the following estimated useful lives:

		Useful lives

Leasehold improvements		Lesser of the lease term or estimated useful life of the assets
Furniture, fixtures and office equipment		5 years
Software and IT equipment		3 years

Acquired intangible assets, net

Intangible assets, other than goodwill, resulting from the acquisitions of entities accounted for using the acquisition method of accounting are estimated by management based on the fair value of assets acquired.

Identifiable intangible assets are carried at cost less accumulated amortization. Amortization of technology and members are computed using the straight-line method over the estimated useful lives.

		Useful lives

Domain name/Trade name		Indefinite life
Technology		3 Years
Members		4 Years

Long-term investments

The Group’s long-term investments consist of cost method investment and equity method investment.

Cost method investment

Investment in an entity where the Group does not have readily determinable fair value and the Group does not have significant influence, is accounted for using the cost method. The Group only adjusts for other-than-temporary declines in fair value and distributions of earnings that exceed the Group’s share of earnings since its investment. Management regularly evaluates the impairment of the cost method investments based on performance and financial position of the investee as well as other evidence of market value. Such evaluation includes, but is not limited to, reviewing the investee’s cash position, recent financing, projected and historical financial performance, cash flow forecasts and financing needs. The Group did not record any impairment loss on its cost method investment during the years ended December 31, 2015, 2016 and 2017.

Equity method investment

Investment in an entity where the Group can exercise significant influence, but not control, is accounted for using the equity method. Whether or not the Group can exercise significant influence with respect to an equity investee depends on an evaluation of several factors including, among others, the Group’s representation on the investee’s board of directors and ownership level, which is generally a 20% to 50% interest in the voting securities of the investee. Under the equity method, the investment is initially recorded at cost and adjusted for the Group’s share of undistributed earnings or losses of the investee.

The management regularly evaluates the impairment of the equity investment based on performance and the financial position of the investee as well as other evidence of market value. Such evaluation includes, but is not limited to, reviewing the investee’s cash position, recent financings, projected and historical financial performance, cash flow forecasts and financing needs. An impairment charge is recorded when the carrying amount of the investment exceeds its fair value and this condition is determined to be other-than-temporary. The Group did not record any impairment loss on its equity method investment during the years ended December 31, 2015, 2016 and 2017.

Impairment of long-lived assets and intangible assets with definite life

Long-lived assets, such as property and equipment and definite-lived intangible assets, are stated at cost less accumulated depreciation or amortization.

The Group evaluates the recoverability of long-lived assets, including identifiable intangible assets, with determinable useful lives, whenever events or changes in circumstances indicate that an intangible asset’s carrying amount may not be recoverable. The Group measures the carrying amount of long-lived asset against the estimated undiscounted future cash flows associated with it. Impairment exists when the sum of the expected future net cash flows is less than the carrying value of the asset being evaluated. Impairment loss is calculated as the amount by which the carrying value of the asset exceeds its fair value. Fair value is estimated based on various valuation techniques, including the discounted value of estimated future cash flows. The evaluation of asset impairment requires the Group to make assumptions about future cash flows over the life of the asset being evaluated. These assumptions require significant judgment and actual results may differ from assumed and estimated amounts.

Impairment of Goodwill and Indefinite-lived intangible assets

Goodwill and intangible assets deemed to have indefinite useful lives are not amortized, but tested for impairment annually or more frequently if event and circumstances indicate that they might be impaired.

Goodwill represents the excess of the purchase price over the fair value of identifiable net assets acquired in business combinations. The Group performs a two-step goodwill impairment test. The first step compares the fair values of each reporting unit to its carrying amount, including goodwill. If the fair value of a reporting unit exceeds its carrying amount, goodwill is not considered impaired and the second step will not be required. If the carrying amount of a reporting unit exceeds its fair value, the second step compares the implied fair value of the affected reporting unit’s goodwill to the carrying value of that goodwill. The implied fair value of goodwill is determined in a manner similar to accounting for a business combination with the allocation of the assessed fair value determined in the first step to the assets and liabilities of the reporting unit. The excess of the fair value of the reporting unit over the amounts assigned to the assets and liabilities is the implied fair value of goodwill. This allocation process is only performed for purposes of evaluating goodwill impairment and does not result in an entry to adjust the value of any assets or liabilities. An impairment loss is recognized for any excess in the carrying value of goodwill over the implied fair value of goodwill. In estimating the fair value of each reporting unit the Group estimates the future cash flows of each reporting unit, the Group has taken into consideration the overall and industry economic conditions and trends, market risk of the Group and historical information.

An intangible asset that is not subject to amortization is tested for impairment at least annually or if events or changes in circumstances indicate that the asset might be impaired. Such impairment test compares the fair values of assets with their carrying value amounts and an impairment loss is recognized if and when the carrying amounts exceed the fair values. The estimates of fair values of intangible assets not subject to amortization are determined using various discounted cash flow valuation methodologies. Significant assumptions are inherent in this process, including estimates of discount rates.

Business combinations

The assets acquired, the liabilities assumed, and any noncontrolling interest of the acquiree at the acquisition date, if any, are measured at their fair values as of that date. Goodwill is recognized and measured as the excess of the total consideration transferred plus the fair value of any noncontrolling interest of the acquiree, if any, at the acquisition date over the fair values of the identifiable net assets acquired. Acquisition costs are expensed when incurred. Consideration transferred in a business acquisition is measured at the fair value as of the date of acquisition. For shares issued in a business combination, if any, the Group estimates the fair value as of the date of acquisition.

Treasury shares, at cost

Treasury shares represent shares of the Company’s stock that have been issued, repurchased by the Company, and that have not been retired or canceled. These shares have no voting rights and are not entitled to receive dividends and are excluded from the weighted average outstanding shares in calculation of net income per share. Treasury shares are recorded at cost.

Revenue recognition

Product sales

Revenue is stated net of value added tax (“VAT”) and return allowances.

The Group recognizes revenue from the sale of apparel and other general merchandise through its websites and other online platforms.

The Group recognizes revenue when the following four revenue recognition criteria are met:

(i) persuasive evidence of an arrangement exists, (ii) delivery has occurred, (iii) the selling price is fixed or determinable, and (iv) collectability is reasonably assured.

The Group defers the recognition of revenue and the related product costs for shipments that are in-transit to the customer. Payments received in advance of delivery are classified as advances from customers. The Group recognizes the revenue at the time the end customers receive the products even for international shipment. Amounts collected by delivery service providers but not remitted to the Group are classified as accounts receivable on the consolidated balance sheets.

Certain employees of the Group register in supplemental online outlets under their own name as these websites require registration using identity cards of individuals to sell the Group’s product on behalf of the Group. The Group has contractual arrangements with these employees which require them to transfer customers’ payments received to the Group for the sale of the products. The Group evaluates the sales transactions performed by these employees on behalf of the Group to determine whether to recognize the revenues on a gross or net basis. The determination is based upon an assessment as to whether the Group acts as a principal or agent when selling the products. All of the revenues involving employees performing sales transactions on the supplemental online outlets on behalf of the Group are currently accounted for on a gross basis since the Group is the primary obligor, has general and physical inventory risk, latitude in establishing prices, discretion in supplier selection and credit risks.

In arrangements whereby certain suppliers place the products at the Group’s premises, the risk and rewards of ownership of the products passed to the Group upon confirmation of orders by the Group’s customers. All of the revenues involving these arrangement are accounted for on a gross basis since the Group is the primary obligor, has physical inventory risk, latitude in establishing prices, discretion in supplier selection and credit risks.

The Group periodically provides incentive offers to its customers to encourage purchases. Current discount offers, when accepted by its customers, are treated as a reduction to the purchase price of the related transaction and are included as a net amount in revenue. The Group also provides discount reward, which may only be used in the future, to customers who have made a current purchase. As the right of receiving future discount does not represent a significant and incremental discount to the customer, the discount is treated as a reduction of revenue when the future transaction takes place.

Promotional free products, which cannot be redeemed for cash are normally shipped together with current qualified sales. Cost of these promotional items or free products are recorded as cost of sales when the revenue of the current qualified sales is recognized.

The Group allows customers to return goods within a period of time subsequent to the delivery of the goods purchased. The Group changed its sales return policy in 2017 to offer returns for items from 30 days to 14 days of receipt of shipment. The Group estimates return allowance based on historical experience. The estimation of return allowances is adjusted to the extent that actual returns differ, or are expected to differ. Changes in the estimated return allowance are recognized through a cumulative catch-up adjustment in the period of change and will impact the amount of net revenues in that period.

Outbound shipping charges to customers are included as a part of the revenues. Outbound shipping-related costs are included in the cost of product sales. Shipping costs incurred for sales of products and recognized as cost of product sales were $70,314, $59,964 and $60,131 for the years ended December 31, 2015, 2016 and 2017 respectively.

VAT on sales is calculated at 17% on revenue from sale of products in the PRC and paid after deducting input-VAT on purchases. The net VAT balance between input-VAT and output-VAT is reflected in the consolidated financial statement as prepaid expenses and other current assets or accrued expenses and other current liabilities.

Services

The Group derive services revenue mainly from provision of logistic services to small businesses in China. Service revenue is recognized when persuasive evidence of an arrangement exists, service has been performed, the fee is fixed or determinable and collectability is reasonably assured. Revenue for logistic services are recognized when the packages are delivered to the recipients.

Cost of goods sold

Product sales

Cost of goods sold primarily consists of the purchase price of consumer products sold by the Group on its websites, inbound and outbound shipping charges, packaging supplies and inventory write-down. Shipping charges to receive products from its suppliers are included in inventory cost, and recognized as cost of sales upon sale of products to its customers.

Services

Cost of services primarily consists of the shipping charges and cost of packaging supplies directly incurred relating to logistic services. Shipping charges are recognized as cost of revenue once the delivery service is completed when the goods are delivered to destination.

Fulfillment

Fulfillment costs represent those costs incurred in operating and staffing the Group’s fulfillment and customer service centers, including costs attributable to buying, receiving, inspecting, and warehousing inventories; picking, packaging, and preparing customer orders for shipment; payment processing and related transaction costs.

Selling and marketing

Selling and marketing expenses consist primarily of search engine marketing and advertising, affiliate market program expenditure, public relations expenditures; and payroll and related expenses for personnel engaged in selling, marketing and business development. The Group pays to use certain relevant key words relating to its business on major search engines and the fee is on a “cost-per-click” basis. The Group also pays commissions to participants in its affiliate program when customer referrals result in product sales, and the Group classifies such costs as selling and marketing expenses in the consolidated statements of operations. Advertising includes fees paid to on-line advertisers who assist the Group to advertise at targeted websites. Such fees are paid at fixed rate or calculated based on volume directed to the Group’s website.

General and administrative

General and administrative expenses consist of payroll and related expenses for employees involved in general corporate functions such as accounting, finance, tax, legal, and human resources; costs associated with the use by these functions of facilities and equipment, such as depreciation expense and rent; professional fees and other general corporate costs. Also included in general and administrative expenses are payroll and related expenses for employees involved in product research and development, and systems support, as well as server charges and costs associated with telecommunications.

General and administrative expenses also include credit losses relating to fraudulent credit card activities which resulted in chargebacks from the payment processing agencies. The Group estimates chargebacks based on historical experience. The estimation of chargebacks is adjusted to the extent that actual chargebacks differ, or are expected to differ. The chargeback incurred for the years ended December 31, 2015, 2016 and 2017 are $1,227, $2,354 and $2,929.

Fair value

Fair value is the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. When determining the fair value measurements for assets and liabilities required or permitted to be recorded at fair value, the Group considers the principal or most advantageous market in which it would transact and it considers assumptions that market participants would use when pricing the asset or liability.

Authoritative literature provides a fair value hierarchy, which prioritizes the inputs to valuation techniques used to measure fair value into three broad levels. The level in the hierarchy within which the fair value measurement in its entirety falls is based upon the lowest level of input that is significant to the fair value measurement as follows:

Level 1-inputs are based upon unadjusted quoted prices for identical instruments traded in active markets.

Level 2-inputs are based upon quoted prices for similar instruments in active markets, quoted prices for identical or similar instruments in markets that are not active and model-based valuation techniques for which all significant assumptions are observable in the market or can be corroborated by observable market data for substantially the full term of the assets or liabilities.

Level 3-inputs are generally unobservable and typically reflect management’s estimates of assumptions that market participants would use in pricing the asset or liability. The fair values are therefore determined using model-based techniques that include option pricing models, discounted cash flow models, and similar techniques.

Financial instruments

Financial instruments of the Group primarily consist of cash and cash equivalents, restricted cash, receivable from processing agencies, long-term investment and accounts payable. The carrying values of cash, restricted cash, accounts receivable from processing agencies, advance from customers and accounts payable approximate their fair values due to short-term maturities. Long-term investments are carried at cost which approximates fair value due to their recent purchase.

Foreign currency translation

The Company’s functional currency is the US$. The Company’s subsidiaries, VIEs and its VIE’s subsidiary determine their functional currencies based on the criteria of ASC topic 830, Foreign Currency Matters.

Monetary assets and liabilities denominated in currencies other than the functional currency are translated into the functional currency at the rates of exchange ruling at the balance sheet date. Transactions in currencies other than the functional currency during the year are converted into functional currency at the applicable rates of exchange prevailing when the transactions occurred. Transaction gains and losses are recognized in the consolidated statements of operations.

The Group’s entities with functional currency of RMB and Euro, translate their operating results and financial position into the U.S. dollar, the Group’s reporting currency. Assets and liabilities are translated using the exchange rates in effect on the balance sheet date. Revenues, expenses, gains and losses are translated using the average rate for the year. Translation adjustments are reported as cumulative translation adjustments and are shown as a separate component of other comprehensive loss.

Income taxes

Deferred income taxes are provided using the asset and liability method. Under this method, deferred income taxes are recognized for tax credits and net operating losses available for carry forwards and significant temporary differences. A valuation allowance is provided to reduce the amount of deferred tax assets if it is considered more likely than not that some portion of, or all of the deferred tax assets will not be realized. Current income taxes are provided for in accordance with the laws and regulations applicable to the Group as enacted by the relevant tax authorities.

The impact of an uncertain income tax position on the income tax return must be recognized at the largest amount that is more-likely-than not to be sustained upon audit by the relevant tax authority. An uncertain income tax position will not be recognized if it has less than a 50% likelihood of being sustained. Interest and penalties on income taxes will be classified as a component of the provisions for income taxes. The Group did not recognize any income tax due to uncertain tax position or incur any interest and penalties related to potential underpaid income tax expenses for the years ended December 31, 2015, 2016 or 2017, respectively.

Comprehensive loss

Comprehensive loss includes net loss and foreign currency translation adjustments and is reported in the consolidated statements of comprehensive loss.

Share-based compensation

Share-based payment transactions with employees, such as share options are measured based on the grant date fair value of the equity instrument. The Group has elected to recognize compensation expense using the straight-line method for all employee equity awards granted with graded vesting provided that the amount of compensation cost recognized at any date is at least equal to the portion of the grant-date value of the options that are vested at that date, over the requisite service period of the award, which is generally the vesting period of the award. The estimate of forfeitures will be adjusted over the requisite service period to the extent that actual forfeitures differ, or are expected to differ, from such estimates. Changes in estimated forfeitures will be recognized through a cumulative catch-up adjustment in the period of change and will also impact the amount of share-based compensation expense to be recognized in future periods.

Changes in the terms or conditions of share options are accounted as a modification under which the Group calculate whether there is any excess of the fair value of the modified option over the fair value of the original option immediately before its terms are modified, measured based on the share price and other pertinent factors at the modification date. For vested options, the Group recognizes incremental compensation cost in the period of the modification occurred and for unvested options, the Group recognizes, over the remaining requisite service period, the sum of the incremental compensation cost and the remaining unrecognized compensation cost for the original award on the modification date.

Operating leases

Leases where the rewards and risks of ownership of assets primarily remain with the lessor are accounted for as operating leases. Some of operating lease agreements of the Group contain provisions for future rent increases, rent free periods, or periods in which rent payments are reduced (abated). The total amount of rental payments due over the lease term is being charged to rent expense on the straight-line method over the term of the lease. The difference between rent expense recorded and the amount paid is credited or charged to other accrued expenses, which is included in “Accrued expenses and other current liabilities” in the accompanying consolidated balance sheets.

Loss per share

Basic loss per ordinary share is computed by dividing net loss attributable to ordinary shareholders by weighted average number of ordinary shares outstanding during the period.

Diluted loss per ordinary share reflects the potential dilution that could occur if securities were exercised or converted into ordinary shares. The Group has share options and nonvested shares, which could potentially dilute basic earnings per share in the future. To calculate the number of shares fordiluted income per share, the effects of the share options and nonvested shares are computed using the treasury stock method.

Significant risks and uncertainties

The Group participates in an industry with rapid changes in regulations, customer demand and competition and believes that changes in any of the following areas could have a material adverse effect on the Group’s future financial position, results of operations, or cash flows: advances and trends in e-commerce industry; changes in certain supplier and vendor relationships; regulatory or other PRC related factors; and risks associated with the Group’s ability to keep and increase the market coverage.

Concentration of credit risk

Financial instruments that potentially expose the Group to concentrations of credit risk consist primarily of cash and cash equivalents, accounts receivable and advances to suppliers. The Group places its cash and cash equivalents with financial institutions located in the PRC and Hong Kong, United States and Netherland. Accounts receivable primarily comprise amounts receivable from product delivery service providers. These amounts are collected from customers by the service providers upon product delivery. With respect to advances to product suppliers, the Group performs on-going credit evaluations of the financial condition of its suppliers.

Foreign currency risk

The RMB is not a freely convertible currency. The PRC State Administration for Foreign Exchange, under the authority of the People’s Bank of China, controls the conversion of RMB into foreign currencies. The value of the RMB is subject to changes in central government policies and to international economic and political developments affecting supply and demand in the China foreign exchange trading system market. The Group’s cash and cash equivalents denominated in RMB amounted to $2,028 and $ 4,829 at December 31, 2016 and 2017, respectively.

Recent accounting pronouncements

In May 2014, the Financial Accounting Standards Board (“FASB”) issued ASU 2014-09, “Revenue from Contracts with Customers” ASU 2014-09 requires revenue recognition to depict the transfer of goods or services to customers in an amount that reflects the consideration that a company expects to be entitled to in exchange for the goods or services. To achieve this principle, a company must apply five steps including identifying the contract with a customer, identifying the performance obligations in the contract, determining the transaction price, allocating the transaction price to the performance obligations, and recognizing revenue when (or as) the company satisfies the performance obligations. Additional quantitative and qualitative disclosure to enhance the understanding about the nature, amount, timing, and uncertainty of revenue and cash flows is also required. ASU 2014-09 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2017. In April 2016, the FASB issued ASU 2016-10, “Identifying Performance Obligations and Licensing” ASU 2016-10 clarifies the following two aspects of ASU 2014-09: identifying performance obligations and licensing implementation guidance. The effective date of ASU 2016-10 is the same as the effective date of ASU 2014-09. The Group expects to adopt ASU 2014-09 under the modified retrospective method in the first quarter of 2018. Prior periods will not be retrospectively adjusted. The Group is in the process of finalizing its assessment of the new standard and currently believes the impact of the new guidance will not be material on its consolidated financial statements. The primary impact identified includes the balance sheet presentation of our sales return reserve which will be shown as a separate asset and refund liability on our consolidated balance sheet. The Company is also in the process of finalizing the impact of the standard on the Company's discount rewards which is not expected to be material. In addition, we expect the adoption to lead to increased footnote disclosures, particularly with regard to revenue related balance sheet accounts and revenue by category. Overall, the Company does not currently expect the adoption to have a material impact on its consolidated financial statements.

In January 2016, the FASB issued a new pronouncement ASU 2016-01 Financial Instruments-Overall: Recognition and Measurement of Financial Assets and Financial Liabilities. The ASU requires equity investments (except those accounted for under the equity method of accounting or those that result in consolidation of the investee) to be measured at fair value with changes in fair value recognized in net income. The ASU also requires an entity to present separately in other comprehensive income the portion of the total change in the fair value of a liability resulting from a change in the instrument-specific credit risk when the entity has elected to measure the liability at fair value in accordance with the fair value option for financial instruments. The new guidance is effective for public companies for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. The new guidance permits early adoption of the own credit provision. Adoption of the amendment must be applied by means of a cumulative-effect adjustment to the balance sheet as of the beginning of the fiscal year of adoption, except for amendments related to equity instruments that do not have readily determinable fair values, which should be applied prospectively. The Group does not expect the adoption of this guidance will have a significant effect on the Group’s consolidated financial statements.

In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842). The guidance supersedes existing guidance on accounting for leases with the main difference being that operating leases are to be recorded in the statement of financial position as right-of-use assets and lease liabilities, initially measured at the present value of the lease payments. For operating leases with a term of 12 months or less, a lessee is permitted to make an accounting policy election not to recognize lease assets and liabilities. For public business entities, the guidance is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. Early application of the guidance is permitted. In transition, entities are required to recognize and measure leases at the beginning of the earliest period presented using a modified retrospective approach. The Group is in the process of evaluating the impact that this pronouncement on its consolidated financial statements.

In November, 2016, the FASB issued a new pronouncement, ASU 2016-18, which amends ASC 230 to add or clarify guidance on the classification and presentation of restricted cash in the statement of cash flows. Key requirements of the ASU are as follows:

· An entity should include in its cash and cash-equivalent balances in the statement of cash flows those amounts that are deemed to be restricted cash and restricted cash equivalents. The ASU does not define the terms “restricted cash” and “restricted cash equivalents” but states that an entity should continue to provide appropriate disclosures about its accounting policies pertaining to restricted cash in accordance with other GAAP. The ASU also states that any change in accounting policy will need to be assessed under ASC 250.

· A reconciliation between the statement of financial position and the statement of cash flows must be disclosed when the statement of financial position includes more than one line item for cash, cash equivalents, restricted cash, and restricted cash equivalents.

· Changes in restricted cash and restricted cash equivalents that result from transfers between cash, cash equivalents, and restricted cash and restricted cash equivalents should not be presented as cash flow activities in the statement of cash flows.

· An entity with a material balance of amounts generally described as restricted cash and restricted cash equivalents must disclose information about the nature of the restrictions.

For public business entities, the amendments are effective for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. Early adoption is permitted, including adoption in an interim period. The Group does not expect the adoption of this guidance will have a significant effect on the Group’s consolidated financial statements.

In January 2017, the FASB issued ASU 2017-04: Intangibles—Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment. To simplify the subsequent measurement of goodwill, the Board eliminated Step 2 from the goodwill impairment test. Under the amendments in this Update, an entity should perform its annual, or interim, goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount. An entity should recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value; however, the loss recognized should not exceed the total amount of goodwill allocated to that reporting unit. An entity should apply the amendments in this Update on a prospective basis. An entity is required to disclose the nature of and reason for the change in accounting principle upon transition. A public business entity should adopt the amendments in this Update for its annual or any interim goodwill impairment tests in fiscal years beginning after December 15, 2019. Early adoption is permitted for interim or annual goodwill impairment tests performed on testing dates after January 1, 2017. The Group does not expect the adoption of this guidance will have a significant effect on the Group’s consolidated financial statements.

PREPAID EXPENSES AND OTHER CURRENT ASSETS

12 Months Ended

Dec. 31, 2017

PREPAID EXPENSES AND OTHER CURRENT ASSETS

PREPAID EXPENSES AND OTHER CURRENT ASSETS

3. PREPAID EXPENSES AND OTHER CURRENT ASSETS

Components of other current assets which are included in the prepaid expenses and other current assets are as follows:

	As of December 31,
	2016		2017
Receivable from processing agencies (1)	$	1,671	$	2,460
Prepayment to suppliers	6,933		11,880
Rental deposits and prepaid rents	198		211
Deferred expense	287		341
Other	585		804

Total	$	9,674	$	15,696

(1)

Receivables from processing agencies represented cash that had been received from customers but held by the processing agencies as of December 31, 2016 and 2017. The receivables were collected by the Group subsequent to the respective year end.

PROPERTY AND EQUIPMENT, NET

12 Months Ended

Dec. 31, 2017

PROPERTY AND EQUIPMENT, NET

PROPERTY AND EQUIPMENT, NET

4. PROPERTY AND EQUIPMENT, NET

The components of property and equipment are as follows:

	As of December 31,
	2016			2017
Leasehold improvements	$	3,748		$	4,069
Furniture, fixtures and office equipment	2,345			2,715
Software and IT equipment	2,857			3,088

Property and equipment, gross	8,950			9,872
Less: Accumulated depreciation	(7,879		)	(8,952		)

Property and equipment, net	$	1,071		$	920

Depreciation expenses incurred for the years ended December 31, 2015, 2016 and 2017 are $2,118, $1,378 and $764, respectively.

ACQUIRED INTANGIBLE ASSETS, NET

12 Months Ended

Dec. 31, 2017

ACQUIRED INTANGIBLE ASSETS, NET

ACQUIRED INTANGIBLE ASSETS, NET

6. ACQUIRED INTANGIBLE ASSETS, NET

The Group’s intangible assets, presented in the following table, arose from the acquisition of Shanghai Ouku on May 24, 2010 and the acquisition of the fashion-focused site business from Ador Inc. on December 31, 2013.

	December 31, 2016										December 31, 2017
	Gross					Accumulated			Net		Gross					Accumulated			Net
	carrying		Accumulated			impairment			carrying		carrying		Accumulated			impairment			carrying
	amount		amortization			loss			amount		amount		amortization			loss			amount

Intangible assets not subject to amortization:
Trademark/Domain Name	$	1,220	$	—		$	(1,010	)	$	210	$	1,220	$	—		$	(1,010	)	$	210

Intangible assets subject to amortization:
- Technology Platform	90		(90		)	—			—		90		(90		)	—			—
- Non-compete Agreement	9		(7		)	(2		)	—		9		(7		)	(2		)	—
- Customer Base	32		(22		)	(10		)	—		32		(22		)	(10		)	—
- Technology	36		(36		)	—			—		36		(36		)	—			—
- Members	20		(15		)	—			5		20		(20		)	—			—

	$	1,407	$	(170	)	$	(1,022	)	$	215	$	1407	$	(175	)	$	(1,022	)	$	210

The amortization expenses incurred for the years ended December 31, 2015, 2016 and 2017 were $17, $17 and $5, respectively. The intangible assets are fully amortized as of December 31 2017.

LONG-TERM INVESTMENTS	12 Months Ended
LONG-TERM INVESTMENTS	Dec. 31, 2017
LONG-TERM INVESTMENTS
LONG-TERM INVESTMENTS	7. LONG-TERM INVESTMENTS On February 6, 2015, the Group acquired 30% equity interest of Shantou Demon Network Technology Co., Ltd. (“Demon”), with $2,100 cash consideration. Demon owns an online website specialized in cross-border packages tracking. The Group has significant influence but does not have control over Demon. Accordingly the Group recorded it as an equity method investment. During the years ended December 31, 2015, 2016 and 2017, The Group recorded its share of (loss) income of $ (34), $17 and $208 in the consolidated statement of operations. On March 31, 2017, LITB entered into an agreement with Maikailai Technologies Co., Ltd (“Maikailai”) to acquire 10.53% equity interest of Maikailai with a total cash consideration of $2,950. This transaction was completed during the second quarter of 2017.The Group has accounted for the investment as a cost method investment as it does not have significant influence over the investee and the investment does not have readily determinable fair value.

ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES

12 Months Ended

Dec. 31, 2017

ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES

ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES

8. ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES

	As of December 31,
	2016		2017

Accrued payroll and staff welfare	$	12,944	$	11,150
Individual income tax withheld	591		593
VAT payable	287		271
Accrued professional fees	3,283		3,303
Accrued advertising fees	596		1,666
Credit card processing charges	551		483
Accrued sales return (1)	1,927		1,236
Other accrued expenses	905		2,025

Total	$	21,084	$	20,727

(1)

Accrued sales return represents the gross profit effect of estimated sales return at the end of each of the respective years assuming products returned had no value to the Group. Movements during the respective years are as follows:

	As of December 31,
	2016			2017

Balance at January 1	$	2,465		$	1,927
Allowance for sales return made in the year	12,370			7,929
Utilization of accrued sales return	(12,908		)	(8,620		)

Balance at December 31	$	1,927		$	1,236

ORDINARY SHARES	12 Months Ended
ORDINARY SHARES	Dec. 31, 2017
ORDINARY SHARES
ORDINARY SHARES	9. ORDINARY SHARES In December 2013, the board of directors approved the Company to repurchase up to $20,000 of its own outstanding ADSs within one year from December 2013. On December 16, 2014, the Company extended its existing share repurchase program for an additional 12-month through December 15, 2015. On June 8, 2016, the Company announced that the implementation of a share repurchase program of up to $10,000 worth of its outstanding ADS representing its ordinary shares from June 15, 2016 through June 14, 2017 and the repurchase plan was extended through June 14, 2018. Pursuant to the share repurchase plan, the Company accumulatively repurchased 3,695,337 ADSs, 3,966,951 ADSs and 5,410,411 ADSs as of December 31, 2015, December 31, 2016 and December 31, 2017 respectively, representing 7,390,674 ordinary shares, 7,933,902 ordinary shares and 10,820,822 ordinary shares with accumulated total consideration of approximately $19,996, $20,806 and $23,907 respectively. The shares repurchased by the Company had not been retired or canceled and were accounted for at cost as treasury shares. In March 2016, the Company issued and sold 21,250,000 ADSs (representing 42,500,000 ordinary shares) though a private placement offering. The proceeds, net of issuance cost of $1,077, were $75,423. In connection with the issuance of ordinary shares, the Group also granted a warrant to the investor to purchase up to 7,455,000 ordinary shares (equivalent to 3,727,500 ADS) at exercise price of $2.75 per ordinary share. The warrant is exercisable as of September 30, 2016 and expires on March 30, 2018. The Group accounts for the warrant under the authoritative guidance in accounting for derivative financial instruments indexed to and potentially settled in, a company’s own stock and has determined the warrant should be classified as equity in its consolidated financial statements at fair value at the date of grant. No subsequent change in fair value will be recognized. The Group used the Black-Scholes pricing model to value the warrant and determined the fair value of the warrant at the date of the grant is immaterial.

SHARE OPTIONS

12 Months Ended

Dec. 31, 2017

SHARE OPTIONS

SHARE OPTIONS

10. SHARE OPTIONS

On October 27, 2008, the Company adopted the 2008 Share Incentive Option Plan (“2008 Plan”) for the granting of share options to employees to reward them for services provided to the Company and to provide incentives for future services. Pursuant to the 2008 Plan, total shares that the 2008 Plan was authorized to grant were 4,444,444 shares. In May 2014, the Company authorized the issuance of an additional 6,900,000 ordinary shares to support the Company’s business expansion and recruiting plans. The majority of the options will vest over four years where 25% of the options will vest at the end of the first year after the grant date through the fourth year. The share options expire 10 years from the date of grant.

In 2013, the Company granted 307,250 share options under the 2008 Plan to employees at exercise price of $4.75 per share. These share options vest over a period ranged from three to four years.

In 2014, the Company granted 1,797,300 share options under the 2008 Plan to employees at exercise prices ranged from $1.84 to $3.26 per share. These share options vest over a period ranged from three to four years.

In 2015, the Company granted 546,400 share options under the 2008 Plan to employees at exercise prices at $2.25 per share. These share options vest over a period from three months to four years.

In 2016, the Company granted 4,000 share options under the 2008 Plan to employees at exercise prices at $1.40 per share. These share options vest over a period of four years.

In 2017, the Company granted 120,000 share options under the 2008 Plan to employees at exercise prices ranged from $0.89 to $1.49 per share. These share options vest over a period of four years.

The fair value of each option granted was estimated on the date of grant or modification using binomial option pricing model with the following assumptions during the applicable periods:

	2016			2017

Risk-free interest rate	1.69		%	2.45		%
Exercise multiple	2.8			2.2
Expected volatility	59.7		%	71.7		%
Expected dividend yield	0		%	0		%
Fair value of ordinary shares	$	0.83		$	0.70

(1)

Risk-free interest rate

Risk-free interest rate was estimated based on the yield to maturity of China international government bonds with a maturity period close to the contractual term of the options.

(2)

Exercise multiple

Exercise multiple represents the value of the underlying share as a multiple of exercise price of the option which, if achieved, results in exercise of the option.

(3)

Volatility

The volatility of the underlying ordinary shares during the life of the options was estimated based on the historical stock price volatility of comparable listed companies over a period comparable to the contractual term of the options.

(4)

Dividend yield

The dividend yield was estimated by the Group based on its expected dividend policy over the contractual term of the options.

(5)

Fair value of underlying ordinary shares

The fair value of the underlying ordinary shares is determined based on the closing market price of the ADS of the Company as of the grant date.

A summary of the stock option activity under the 2008 Plan as of December 31, 2017, and changes during the year then ended is presented below:

			Weighted average
			exercise price
	Options granted		per option

Outstanding at January 1, 2017	965,850		$	1.82
Granted	120,000		$	1.10
Exercised	(62,000	)	$	1.42
Cancelled and Forfeited	(133,350	)	$	2.42

Outstanding at December 31, 2017	890,500		$	1.83

The following table summarizes information regarding the share options granted as of December 31, 2017:

	As of December 31, 2017
				Weighted-
		Weighted-		average remaining
		average exercise		contractual	Aggregate
	Options Number	price per option		life (years)	intrinsic value

Options
Outstanding	890,500	$	1.72	5.73	$	136
Exercisable	586,175	$	1.66	4.53	$	116
Expected to vest	304,325	$	1.85	8.05	$	20

The total intrinsic value of options exercised during the years ended December 31, 2015, 2016 and 2017 were $253, $26, and $324 respectively.

The weighted average grant date fair value of options granted during the years ended December 31, 2015, 2016 and 2017 was $1.28 , $0.83and $0.70, respectively.

For the years ended December 31, 2015, 2016 and 2017, the Group recorded share-based compensation expense of $5, $102 and $97 related to the options under the 2008 Plan, respectively. As of December 31, 2017, there was $482 of unrecognized compensation cost related to the options, which is expected to be recognized over a weighted-average period of 1.04 years.

NONVESTED SHARES

12 Months Ended

Dec. 31, 2017

NONVESTED SHARES

NONVESTED SHARES

11. NONVESTED SHARES

In 2013, the Company granted 711,571 nonvested shares to certain officers and employees. These nonvested shares vest over a period ranged from two to four years.

In 2014, the Company granted 2,800,300 nonvested shares to certain officers and employees. These nonvested shares vest over a period ranged from three to four years.

In 2015, the Company granted 3,154,800 nonvested to certain officers and employees. These nonvested shares vest over a period from three months to four years.

In 2016, the Company granted 296,000 nonvested to certain officers and employees. These nonvested shares vest over a period from three months to four years.

In 2017, the Company granted 272,000 nonvested to certain officers and employees. These nonvested shares vest over a period of four years.

The holders of the nonvested shares are entitled to voting rights, but shall not be entitled to dividends before vesting.

The following table summarizes information regarding the nonvested shares granted and vested:

			Weighted average
			grant date
	Number of Shares		fair value

Outstanding at January 1, 2017	1,906,167		$	2.61
Granted	272,000		$	1.07
Forfeited	(424,691	)	$	2.12
Vested	(669,192	)	$	1.21

Outstanding at December 31, 2017	1,084,284		$	3.28

The total fair value of shares vested during the years ended December 31, 2015, 2016 and 2017, was $2,791, $3,070 and $808 respectively.

For the years ended December 31, 2015, 2016 and 2017, the Group recorded share-based compensation expenses of $3,191, $2,215 and $1,768 related to the nonvested shares, respectively. As of December 31, 2017, there was $2,995 of unrecognized compensation costs related to nonvested shares, which are expected to be recognized over a weighted-average period of 2.11years.

Total share-based compensation expenses for share options and nonvested shares for the years ended December 31, 2015, 2016 and 2017 were as follows:

	Year ended December 31,
	2015		2016		2017

Fulfillment	$	185	$	211	$	214
Selling and marketing	580		458		456
General and administrative	2,431		1,648		1,195

Total	$	3,196	$	2,317	$	1,865

INCOME TAXES

12 Months Ended

Dec. 31, 2017

INCOME TAXES

INCOME TAXES

12. INCOME TAXES

Cayman Islands

The Company is a tax-exempted company incorporated in the Cayman Islands and is not subject to tax on income or capital gains.

Hong Kong

Light In The Box, Lanting International Holding Limited (“Lanting International”), LightInTheBox International Logistic Co., Ltd.(“LightInTheBox Logistic”), Light Square Limited(“Light Square”) are located in Hong Kong and subject to Hong Kong profits tax at 16.5% with respect to the profit generated from Hong Kong.

PRC

Except Lanting Huitong and Lanting Gaochuang, other entities of the Group domiciled in the PRC are subject to 25% statutory income tax rates in accordance with the Enterprise Income Tax Law (“EIT Law”) in the periods presented. Lanting Huitong qualified as a “technology-advanced service enterprise” and therefore enjoyed a reduced tax rate of 15% for the subsequent years. Lanting Gaochuang qualified as a “software enterprise” in 2012 and therefore is entitled to a two-year income tax exemption starting from 2013, its first profit making year, followed by a reduced tax rate of 12.5% for the subsequent three years.

Netherland

LITB Netherlands B.V is located in Netherland and subject to Netherland profits tax at 25% with respect to the profit generated from Netherland.

For the years ended December 31, 2015, 2016 and 2017, income tax expense included in the consolidated statements of operations were attributable to the Group’s PRC subsidiary and VIEs and comprised current tax expense $49, $54 and $81, respectively. There was no material deferred tax expense for the years ended December 31, 2015, 2016 and 2017.

The principal components of the deferred tax assets and liabilities are as follows:

	As of December 31,
	2016			2017

Deferred tax assets:
Accrued payroll	$	2,730		$	—
Accrued expenses	88			—
Accrued inventory provision	382			925
Net operating loss carry forwards	16,618			20,061

Less: Valuation allowance	(19,818		)	(20,986		)

Deferred tax asset, net	$	—		$	—

The Group had no deferred tax liabilities as of December 31, 2015, 2016 and 2017.

The Group operates through its subsidiaries and VIEs and the valuation allowance is considered on each individual subsidiary and VIE basis. The net operating loss carry forwards of the subsidiaries and VIEs registered in the PRC will expire on various dates through 2020. The Group has recognized a full valuation allowance against deferred tax assets as the Group believes that it is more likely than not that its deferred tax assets will not be realized as it does not expect to generate sufficient taxable income in the near future.

Movement of valuation allowance

	As of December 31,
	2016		2017

Balance at beginning of the period	$	19,320	$	19,818
Additions	498		1,168

Balance at end of the period	$	19,818	$	20,986

Reconciliation between the expense of income taxes computed by applying the PRC tax rate to loss before income taxes and the actual provision for income taxes is as follows:

	Years ended December 31,
	2015			2016			2017

Loss before provision of income tax	$	(39,324	)	$	(8,686	)	$	(9,675	)
Statutory tax rate in the PRC	25		%	25		%	25		%
Income tax at statutory tax rate	(9,831		)	(2,172		)	(2,419		)
Non-deductible expenses	8			20			42
Effect of income tax holiday and preferential tax rates	(25		)	(11		)	(67		)
Utilisation of tax loss previously not recognized	(298		)	(124		)	(99		)
Effect of income tax rate differences in jurisdictions other than the PRC	4,582			1,843			1,456
Changes in valuation allowances	5,613			498			1,168

Income tax expense	$	49		$	54		$	81

The Group did not identify significant unrecognized tax benefits for the years ended December 31, 2015, 2016 and 2017. The Group did not incur any interest related to unrecognized tax benefits, did not recognized any penalties as income tax expenses and also does not anticipate any significant change in unrecognized tax benefits within 12 months from December 31, 2017.

Uncertainties exist with respect to how the current income tax law in the PRC applies to the Group’s overall operations, and more specifically, with regard to tax residency status. The EIT Law includes a provision specifying that legal entities organized outside of the PRC will be considered residents for Chinese Income tax purposes if the place of effective management or control is within the PRC. The implementation rules to the new EIT law provide that non-resident legal entities will be considered PRC residents if substantial and overall management and control over the manufacturing and business operations, personnel, accounting and properties occurs within the PRC. On April 22, 2009, the State Administration of Taxation (the “SAT”) issued the Notice Regarding the Determination of Chinese-Controlled Offshore Incorporated Enterprises as PRC Tax Resident Enterprises on the Basis of De Facto Management Bodies, or Circular 82, which provides certain specific criteria for determining whether the “de facto management body” of a Chinese-controlled offshore-incorporated enterprise is located in China. Circular 82, though technically only applies to China-controlled overseas registered enterprises, has made detailed explanations and clarification with respect to “substantial and overall management and control” over production and business operations, personnel, accounting and properties which provides a general guidance for the determination of PRC tax resident. Despite the present uncertainties resulting from the limited PRC tax guidance on the issue, the Group does not believe that the legal entities organized outside of the PRC within the Group should be treated as residents for EIT law purposes. However, if the PRC tax authorities subsequently determine that the Company and its subsidiaries registered outside the PRC should be deemed resident enterprises, the Company and its subsidiaries registered outside the PRC will be subject to the PRC income taxes, at a rate of 25%.

If any entity within the Group that is outside the PRC were to be a non-resident for PRC tax purposes dividends paid to it out of profits earned after January 1, 2008 would be subject to a withholding tax at a rate of 10%, subject to reduction by an applicable tax treaty with the PRC. As of December 31, 2016 and December 31, 2017, the Company’s subsidiaries located in the PRC recorded aggregate accumulated deficits. Accordingly, no deferred tax liability has been accrued for the Chinese dividend withholding taxes. In the future, aggregate undistributed earnings of the Company’s subsidiaries located in the PRC, if any, that are taxable upon distribution to the Company, will be considered to be indefinitely reinvested, because the Group does not have any plan to pay cash dividends on its ordinary shares in the foreseeable future and intends to retain most of its available funds and any future earnings for use in the operation and expansion of its business.

In accordance with relevant the PRC tax administration laws, tax years from 2012 to 2016 of the Group’s PRC entities remain subject to tax audits as of December 31, 2017, at the tax authority’s discretion.

LOSS PER SHARE

12 Months Ended

Dec. 31, 2017

LOSS PER SHARE

LOSS PER SHARE

13. LOSS PER SHARE

The following table sets forth the computation of basic and diluted net loss per ordinary share for the following years:

	2015			2016			2017

Numerator:
Net loss attributable to ordinary shareholders of LightInTheBox Holding Co., Ltd.	$	(39,407	)	$	(8,723	)	$	(9,548	)
Denominator:
Weighted average number of shares used in calculating net loss per ordinary share —basic	94,970,054			127,180,801			137,641,562
Net loss per ordinary share-diluted	$	(0.41	)	$	(0.07	)	$	(0.07	)

As a result of the Group’s net loss for each of the three years ended December 31, 2017, 1,374,050, 965,850 and 890,500 options outstanding and 3,315,264, 1,906,167 and 1,084,284 nonvested shares outstanding as of December 31, 2015, 2016 and 2017 respectively, were excluded from the computation of diluted net loss per share as their inclusion would have been anti-dilutive.

EMPLOYEE RETIREMENT BENEFIT	12 Months Ended
EMPLOYEE RETIREMENT BENEFIT	Dec. 31, 2017
EMPLOYEE RETIREMENT BENEFIT
EMPLOYEE RETIREMENT BENEFIT	14. EMPLOYEE RETIREMENT BENEFIT Full time employees in the PRC participate in a government-mandated defined contribution plan pursuant to which certain pension benefits, medical care, unemployment insurance, employee housing fund and other welfare benefits are provided to employees. The PRC labor regulations require the Group to make contributions based on certain percentages of the employees’ basic salaries. Other than the contribution, there is no further obligation under these plans. The total contribution for such employee benefits was $5,159, $3,711 and $5,258 for the years ended December 31, 2015, 2016 and 2017, respectively.

STATUTORY RESERVES AND RESTRICTED NET ASSETS	12 Months Ended
STATUTORY RESERVES AND RESTRICTED NET ASSETS	Dec. 31, 2017
STATUTORY RESERVES AND RESTRICTED NET ASSETS
STATUTORY RESERVES AND RESTRICTED NET ASSETS	15. STATUTORY RESERVES AND RESTRICTED NET ASSETS In accordance with the PRC laws and regulations, the group is required to provide for certain statutory reserves, namely general reserve, enterprise expansion reserve, and staff welfare and bonus reserve, all of which are appropriated from net profit as reported in their PRC statutory accounts. The Group’s subsidiaries are required to allocate at least 10% of their after-tax profits to the general reserve until such reserve has reached 50% of their respective registered capital. Appropriations to the enterprise expansion reserve and the staff welfare and bonus reserve are to be made at the discretion of the board of directors of each of the Group’s subsidiaries. There are no appropriations to these reserves by the Group’s PRC (mainland) subsidiaries for the years ended December 31, 2015, 2016 and 2017. As a result of these PRC laws and regulations and the requirement that distributions by the PRC entities can only be paid out of distributable profits computed in accordance with the PRC GAAP, the PRC entities are restricted from transferring a portion of their net assets to the Group. Amounts restricted include paid-in capital and the statutory reserves of the Company’s PRC subsidiaries and VIEs. As of December 31, 2017, the amounts of capital represented the amount of net assets of the relevant subsidiaries and VIEs in the Group not available for distribution amounted to $5,089.

SEGMENT REPORTING

12 Months Ended

Dec. 31, 2017

SEGMENT REPORTING

SEGMENT REPORTING

16. SEGMENT REPORTING

The Group’s chief operating decision maker has been identified as the Chief Executive Officer who reviews consolidated results when making decisions about allocating resources and assessing performance of the Group. The Group uses the management approach to determine the operating segments. The management approach considers the internal organization and reporting used by the Group’s chief operating decision maker for making decisions, allocating resources and assessing the performance.

Prior to 2016, the Group’s operations were organized into one operating segment. In 2016, following the further expansion in service business and revenue generated from services beginning to account for a material portion of the total revenue, the Group operated and reviewed its performance in two segments: (i) Product sales which consisted of sales of consumer products, and (ii) Services which consisted of provision of services such as logistic services to other e-commerce retailers. Furthermore, the Group’s chief operating decision maker evaluates performance based on each reporting segment’s net revenues, costs and gross profit and is not provided with asset information by segment. As of December 31, 2017, the total assets of Product sales segment and Services sales segment was $104,559 and $4,178.

The following table presents selected financial information relating to the Group’s segments:

	For the years ended December 31, 2017
	Product sales		Services		Consolidated

Revenues	$	293,951	$	25,930	$	319,881
Cost of revenues	189,816		24,445		214,261

Gross profit	104,135		1,485		105,620
Unallocated operating expenses					115,787

Loss from operations					(10,167		)
Exchange loss on offshore bank accounts					(89		)
Interest income					581

Loss before income tax expense					$	(9,675	)

	For the years ended December 31, 2016
	Product sales		Services		Consolidated

Revenues	$	262,083	$	30,404	$	292,487
Cost of revenues	160,566		28,371		188,937

Gross profit	101,517		2,033		103,550
Unallocated operating expenses					112,634

Loss from operations					(9,084		)
Exchange loss on offshore bank accounts					(120		)
Interest income					518

Loss before income tax expense					$	(8,686	)

	For the years ended December 31, 2015
	Product sales		Services		Consolidated

Revenues	$	312,332	$	11,431	$	323,763
Cost of revenues	196,753		10,601		207,354

Gross profit	115,579		830		116,409
Unallocated operating expenses					155,568

Loss from operations					(39,159		)
Exchange loss on offshore bank accounts					(938		)
Interest income					773

Loss before income tax expense					$	(39,324	)

Components of the Group’s Product sales are presented in the following table:

	For the years ended December 31,
	2015		2016		2017

Apparel	$	118,673	$	89,291	$	99,160
Other general merchandise	193,659		172,792		194,791

Total product sales revenues	$	312,332	$	262,083	$	293,951

The following table summarizes the Group’s total net revenues generated in different geographic locations and as a percentage of total net revenues.

	For the years ended December 31,
	2015			2016			2017
	Revenues		%	Revenues		%	Revenues		%

Europe	$	184,057	56.8	$	145,185	49.6	$	153,697	48.1
North America	88,790		27.4	77,814		26.6	73,339		22.9
Other countries	50,916		15.8	69,488		23.8	92,845		29.0

Total net revenues	$	323,763	100.0	$	292,487	100.0	$	319,881	100.0

North America’s net revenues include revenues from the United States of, $74,296, $66,475 and $60,810 during the years ended December 31, 2015, 2016 and 2017 respectively. Europe’s net revenues include revenues from France of $39,571, $31,321 and $34,693 during the years ended December 31, 2015, 2016 and 2017, respectively.

As of December 31, 2015, 2016 and 2017 substantially all of long-lived assets of the Group are located in the PRC.

FAIR VALUE MEASUREMENTS	12 Months Ended
FAIR VALUE MEASUREMENTS	Dec. 31, 2017
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS	17. FAIR VALUE MEASUREMENTS The Group had no financial assets and liabilities measured at fair value on a recurring basis as of December 31, 2016 and 2017. Goodwill, long-term investments and other intangible assets are measured at fair value on a nonrecurring basis when impairment is recognized. The Group estimated the fair value of a reporting unit using the discounted cash flow method under the income approach. The discounted cash flows were based on five years financial forecasts developed by management for planning purposes and estimated discount rates. Cash flows beyond the forecasted period were estimated using a terminal value calculation. The fair values of intangible asset were determined based on various valuation methods, including the replacement cost method the relief from royalty method.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References + Details

RELATED PARTY TRANSACTIONS	12 Months Ended
RELATED PARTY TRANSACTIONS	Dec. 31, 2017
RELATED PARTY TRANSACTIONS
RELATED PARTY TRANSACTIONS	18. RELATED PARTY TRANSACTIONS The Group entered into indemnification agreements with certain directors. These agreements require the company to indemnify such individuals, to the fullest extent permitted by law, for certain liabilities to which they may become subject to as a result of their affiliation with the Company. Zhejiang Aokang Shoes Co., Ltd. (“Aokang”) became a shareholder of the Company in 2015 and held 18.1% of the outstanding shares of the Company as of December 31, 2017. In 2017, the Company purchased goods from Aokang amounted to $0.4.

COMMITMENTS AND CONTINGENCIES

12 Months Ended

Dec. 31, 2017

COMMITMENTS AND CONTINGENCIES

COMMITMENTS AND CONTINGENCIES

19. COMMITMENTS AND CONTINGENCIES

(1)Commitments

Lease commitment

The Group has operating lease agreements for warehouses and offices. Rent expenses under operating leases for the years ended December 31, 2015, 2016 and 2017.were $4,461, $4,247 and $4,282 respectively. Future minimum lease payments under non-cancellable operating lease agreements as of December 31, 2017 are as follows:

2018	$	3,307
2019	828
2020	99

	$	4,234

(2)Contingencies

The Group’s PRC subsidiaries and VIEs, have not fully paid the contributions for employee benefit plans as required by applicable PRC regulations. While the Group believes it has made adequate provision of such outstanding amounts in the consolidated financial statements, prior failure to make payments may be in violation of applicable PRC labor-related laws and the Group may be subject to fines up to maximum of 3 times if it fails to rectify any such breaches within the period prescribed by the relevant authorities. As of December 31, 2017, there had been no actions initiated by the relevant authorities. The Group is unable to reasonably estimate the actual amount of fines and penalty that may rise if the authorities were to become aware of the non-compliance and were to take action.

The Group’s PRC subsidiaries and VIEs did not withhold appropriate amount of individual income tax prior to its IPO as required by applicable PRC tax laws. While the Group believes it has made adequate provision of such outstanding amounts in the consolidated financial statements, and in March 2013, the accrued amounts were substantially paid by the Group on a voluntary basis to the relevant tax authority, the Group may still be subject to future fines or levies for such non-compliance. As of December 31, 2017, there had been no actions initiated by the relevant authorities. The Group is unable to reasonably estimate the actual amount of fines or levies that may rise if the authorities were to take action.

The Group is subject to periodic legal or administrative proceedings in the ordinary course of business. The Group does not believe that any currently pending legal or administrative proceeding to which the Group is a party will have a material effect on its business or financial condition.

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)

12 Months Ended

Dec. 31, 2017

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Basis of presentation

The consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”).

Basis of consolidation

The consolidated financial statements include the financial statements of the Group, its subsidiaries and its VIEs. All inter-company transactions and balances are eliminated upon consolidation.

Use of estimates

Cash and cash equivalents

Cash and cash equivalents consist of cash on hand, demand deposits with financial institutions and term deposits with an original maturity of three months or less.

Restricted cash

Accounts receivable

Inventories

Property and equipment, net

		Useful lives

Leasehold improvements		Lesser of the lease term or estimated useful life of the assets
Furniture, fixtures and office equipment		5 years
Software and IT equipment		3 years

Acquired intangible assets, net

Identifiable intangible assets are carried at cost less accumulated amortization. Amortization of technology and members are computed using the straight-line method over the estimated useful lives.

		Useful lives

Domain name/Trade name		Indefinite life
Technology		3 Years
Members		4 Years

Long-term investments

The Group’s long-term investments consist of cost method investment and equity method investment.

Cost method investment

Equity method investment

Impairment of long-lived assets and intangible assets with definite life

Long-lived assets, such as property and equipment and definite-lived intangible assets, are stated at cost less accumulated depreciation or amortization.

Impairment of Goodwill and Indefinite-lived intangible assets

Business combinations

Treasury shares, at cost

Revenue recognition

Product sales

Revenue is stated net of value added tax (“VAT”) and return allowances.

The Group recognizes revenue from the sale of apparel and other general merchandise through its websites and other online platforms.

The Group recognizes revenue when the following four revenue recognition criteria are met:

(i) persuasive evidence of an arrangement exists, (ii) delivery has occurred, (iii) the selling price is fixed or determinable, and (iv) collectability is reasonably assured.

Services

Cost of goods sold

Product sales

Services

Fulfillment

Selling and marketing

General and administrative

Fair value

Level 1-inputs are based upon unadjusted quoted prices for identical instruments traded in active markets.

Financial instruments

Foreign currency translation

Income taxes

Comprehensive loss

Comprehensive loss includes net loss and foreign currency translation adjustments and is reported in the consolidated statements of comprehensive loss.

Share-based compensation

Operating leases

Loss per share

Basic loss per ordinary share is computed by dividing net loss attributable to ordinary shareholders by weighted average number of ordinary shares outstanding during the period.

Significant risks and uncertainties

Concentration of credit risk

Foreign currency risk

Recent accounting pronouncements

· An entity with a material balance of amounts generally described as restricted cash and restricted cash equivalents must disclose information about the nature of the restrictions.

ORGANIZATION AND PRINCIPAL ACTIVITIES (Tables)

12 Months Ended

Dec. 31, 2017

ORGANIZATION AND PRINCIPAL ACTIVITIES

Schedule of consolidated financial information of the Group's VIE included in consolidated financial statements after elimination of intercompany balances and transactions within the Group

	As of		As of
	December 31,		December 31,
	2016		2017

Total assets	$	56	$	6,117
Total liabilities	$	1,557	$	3,931

	Year ended December 31,
	2015			2016			2017

Net revenues	$	5		$	5		$	—
Net (loss) profit	$	(128	)	$	(52	)	$	(7,507	)

	Year ended December 31,
	2015			2016			2017

Net cash (used in) provided by operating activities	$	(247	)	$	(131	)	$	3,073
Net cash provided by (used in) investing activities	$	44		$	—		$	(3,069	)
Net cash provided by financing activities	$	—		$	—		$	—

- Definition

Tabular disclosure of the significant judgments and assumptions made in determining whether a variable interest (as defined) held by the entity requires the variable interest entity (VIE) (as defined) to be consolidated and (or) disclose information about its involvement with the VIE, individually or in aggregate (as applicable); the nature of restrictions, if any, on the consolidated VIE's assets and on the settlement of its liabilities reported by an entity in its statement of financial position, including the carrying amounts of such assets and liabilities; the nature of, and changes in, the risks associated with involvement in the VIE; how involvement with the VIE affects the entity's financial position, financial performance, and cash flows; the lack of recourse if creditors (or beneficial interest holders) of the consolidated VIE have no recourse to the general credit of the primary beneficiary (if applicable); the terms of arrangements, giving consideration to both explicit arrangements and implicit variable interests, if any, that could require the entity to provide financial support to the VIE, including events or circumstances that could expose the entity to a loss; the methodology used by the entity for determining whether or not it is the primary beneficiary of the variable interest entity; the significant factors considered and judgments made in determining that the power to direct the activities of a VIE that most significantly impact the VIE's economic performance are shared (as defined); the carrying amounts and classification of assets and liabilities of the VIE included in the statement of financial position; the entity's maximum exposure to loss, if any, as a result of its involvement with the VIE, including how the maximum exposure is determined and significant sources of the entity's exposure to the VIE; a comparison of the carrying amounts of the assets and liabilities and the entity's maximum exposure to loss; information about any liquidity arrangements, guarantees, and (or) other commitments by third parties that may affect the fair value or risk of the entity's variable interest in the VIE; whether or not the entity has provided financial support or other support (explicitly or implicitly) to the VIE that it was not previously contractually required to provide or whether the entity intends to provide that support, including the type and amount of the support and the primary reasons for providing the support; and supplemental information the entity determines necessary to provide.

+ References + Details

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables)

12 Months Ended

Dec. 31, 2017

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Schedule of estimated useful lives of property and equipment

		Useful lives

Leasehold improvements		Lesser of the lease term or estimated useful life of the assets
Furniture, fixtures and office equipment		5 years
Software and IT equipment		3 years

Schedule of estimated useful lives of identifiable intangible assets

		Useful lives

Domain name/Trade name		Indefinite life
Technology		3 Years
Members		4 Years

PREPAID EXPENSES AND OTHER CURRENT ASSETS (Tables)

12 Months Ended

Dec. 31, 2017

PREPAID EXPENSES AND OTHER CURRENT ASSETS

Schedule of components of other current assets which are included in the prepaid expenses and other current assets

	As of December 31,
	2016		2017
Receivable from processing agencies (1)	$	1,671	$	2,460
Prepayment to suppliers	6,933		11,880
Rental deposits and prepaid rents	198		211
Deferred expense	287		341
Other	585		804

Total	$	9,674	$	15,696

(1)

PROPERTY AND EQUIPMENT, NET (Tables)

12 Months Ended

Dec. 31, 2017

PROPERTY AND EQUIPMENT, NET

Schedule of components of property and equipment

	As of December 31,
	2016			2017
Leasehold improvements	$	3,748		$	4,069
Furniture, fixtures and office equipment	2,345			2,715
Software and IT equipment	2,857			3,088

Property and equipment, gross	8,950			9,872
Less: Accumulated depreciation	(7,879		)	(8,952		)

Property and equipment, net	$	1,071		$	920

ACQUIRED INTANGIBLE ASSETS, NET (Tables)

12 Months Ended

Dec. 31, 2017

ACQUIRED INTANGIBLE ASSETS, NET

Schedule of intangible assets

	December 31, 2016										December 31, 2017
	Gross					Accumulated			Net		Gross					Accumulated			Net
	carrying		Accumulated			impairment			carrying		carrying		Accumulated			impairment			carrying
	amount		amortization			loss			amount		amount		amortization			loss			amount

Intangible assets not subject to amortization:
Trademark/Domain Name	$	1,220	$	—		$	(1,010	)	$	210	$	1,220	$	—		$	(1,010	)	$	210

Intangible assets subject to amortization:
- Technology Platform	90		(90		)	—			—		90		(90		)	—			—
- Non-compete Agreement	9		(7		)	(2		)	—		9		(7		)	(2		)	—
- Customer Base	32		(22		)	(10		)	—		32		(22		)	(10		)	—
- Technology	36		(36		)	—			—		36		(36		)	—			—
- Members	20		(15		)	—			5		20		(20		)	—			—

	$	1,407	$	(170	)	$	(1,022	)	$	215	$	1407	$	(175	)	$	(1,022	)	$	210

ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES (Tables)

12 Months Ended

Dec. 31, 2017

ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES

Schedule of accrued expenses and other current liabilities

	As of December 31,
	2016		2017

Accrued payroll and staff welfare	$	12,944	$	11,150
Individual income tax withheld	591		593
VAT payable	287		271
Accrued professional fees	3,283		3,303
Accrued advertising fees	596		1,666
Credit card processing charges	551		483
Accrued sales return (1)	1,927		1,236
Other accrued expenses	905		2,025

Total	$	21,084	$	20,727

(1)

Schedule of movements in accrued sales return

	As of December 31,
	2016			2017

Balance at January 1	$	2,465		$	1,927
Allowance for sales return made in the year	12,370			7,929
Utilization of accrued sales return	(12,908		)	(8,620		)

Balance at December 31	$	1,927		$	1,236

SHARE OPTIONS (Tables)

12 Months Ended

Dec. 31, 2017

SHARE OPTIONS

Schedule of assumptions used for estimating the fair value of each option granted on the date of grant

	2016			2017

Risk-free interest rate	1.69		%	2.45		%
Exercise multiple	2.8			2.2
Expected volatility	59.7		%	71.7		%
Expected dividend yield	0		%	0		%
Fair value of ordinary shares	$	0.83		$	0.70

(1)

Risk-free interest rate

Risk-free interest rate was estimated based on the yield to maturity of China international government bonds with a maturity period close to the contractual term of the options.

(2)

Exercise multiple

Exercise multiple represents the value of the underlying share as a multiple of exercise price of the option which, if achieved, results in exercise of the option.

(3)

Volatility

(4)

Dividend yield

The dividend yield was estimated by the Group based on its expected dividend policy over the contractual term of the options.

(5)

Fair value of underlying ordinary shares

The fair value of the underlying ordinary shares is determined based on the closing market price of the ADS of the Company as of the grant date.

Summary of the stock option activity under the 2008 Plan

			Weighted average
			exercise price
	Options granted		per option

Outstanding at January 1, 2017	965,850		$	1.82
Granted	120,000		$	1.10
Exercised	(62,000	)	$	1.42
Cancelled and Forfeited	(133,350	)	$	2.42

Outstanding at December 31, 2017	890,500		$	1.83

Summary of information regarding the share options granted

	As of December 31, 2017
				Weighted-
		Weighted-		average remaining
		average exercise		contractual	Aggregate
	Options Number	price per option		life (years)	intrinsic value

Options
Outstanding	890,500	$	1.72	5.73	$	136
Exercisable	586,175	$	1.66	4.53	$	116
Expected to vest	304,325	$	1.85	8.05	$	20

NONVESTED SHARES (Tables)

12 Months Ended

Dec. 31, 2017

NONVESTED SHARES

Summary of information regarding the nonvested shares granted and vested

			Weighted average
			grant date
	Number of Shares		fair value

Outstanding at January 1, 2017	1,906,167		$	2.61
Granted	272,000		$	1.07
Forfeited	(424,691	)	$	2.12
Vested	(669,192	)	$	1.21

Outstanding at December 31, 2017	1,084,284		$	3.28

Schedule of share-based compensation expenses

	Year ended December 31,
	2015		2016		2017

Fulfillment	$	185	$	211	$	214
Selling and marketing	580		458		456
General and administrative	2,431		1,648		1,195

Total	$	3,196	$	2,317	$	1,865

INCOME TAXES (Table)

12 Months Ended

Dec. 31, 2017

INCOME TAXES

Schedule of principal components of the deferred tax assets and liabilities

	As of December 31,
	2016			2017

Deferred tax assets:
Accrued payroll	$	2,730		$	—
Accrued expenses	88			—
Accrued inventory provision	382			925
Net operating loss carry forwards	16,618			20,061

Less: Valuation allowance	(19,818		)	(20,986		)

Deferred tax asset, net	$	—		$	—

Schedule of movement of valuation allowance

	As of December 31,
	2016		2017

Balance at beginning of the period	$	19,320	$	19,818
Additions	498		1,168

Balance at end of the period	$	19,818	$	20,986

Schedule of reconciliation between the expense of income taxes computed by applying the PRC tax rate to loss before income taxes and the actual provision for income taxes

	Years ended December 31,
	2015			2016			2017

Loss before provision of income tax	$	(39,324	)	$	(8,686	)	$	(9,675	)
Statutory tax rate in the PRC	25		%	25		%	25		%
Income tax at statutory tax rate	(9,831		)	(2,172		)	(2,419		)
Non-deductible expenses	8			20			42
Effect of income tax holiday and preferential tax rates	(25		)	(11		)	(67		)
Utilisation of tax loss previously not recognized	(298		)	(124		)	(99		)
Effect of income tax rate differences in jurisdictions other than the PRC	4,582			1,843			1,456
Changes in valuation allowances	5,613			498			1,168

Income tax expense	$	49		$	54		$	81

LOSS PER SHARE (Tables)

12 Months Ended

Dec. 31, 2017

LOSS PER SHARE

Schedule of computation of basic and diluted net loss per ordinary share

	2015			2016			2017

Numerator:
Net loss attributable to ordinary shareholders of LightInTheBox Holding Co., Ltd.	$	(39,407	)	$	(8,723	)	$	(9,548	)
Denominator:
Weighted average number of shares used in calculating net loss per ordinary share —basic	94,970,054			127,180,801			137,641,562
Net loss per ordinary share-diluted	$	(0.41	)	$	(0.07	)	$	(0.07	)

SEGMENT REPORTING (Tables)

12 Months Ended

Dec. 31, 2017

SEGMENT REPORTING

Schedule of components of the Group's net revenues

	For the years ended December 31, 2017
	Product sales		Services		Consolidated

Revenues	$	293,951	$	25,930	$	319,881
Cost of revenues	189,816		24,445		214,261

Gross profit	104,135		1,485		105,620
Unallocated operating expenses					115,787

Loss from operations					(10,167		)
Exchange loss on offshore bank accounts					(89		)
Interest income					581

Loss before income tax expense					$	(9,675	)

	For the years ended December 31, 2016
	Product sales		Services		Consolidated

Revenues	$	262,083	$	30,404	$	292,487
Cost of revenues	160,566		28,371		188,937

Gross profit	101,517		2,033		103,550
Unallocated operating expenses					112,634

Loss from operations					(9,084		)
Exchange loss on offshore bank accounts					(120		)
Interest income					518

Loss before income tax expense					$	(8,686	)

	For the years ended December 31, 2015
	Product sales		Services		Consolidated

Revenues	$	312,332	$	11,431	$	323,763
Cost of revenues	196,753		10,601		207,354

Gross profit	115,579		830		116,409
Unallocated operating expenses					155,568

Loss from operations					(39,159		)
Exchange loss on offshore bank accounts					(938		)
Interest income					773

Loss before income tax expense					$	(39,324	)

Schedule of components of the Group's cost

	For the years ended December 31,
	2015		2016		2017

Apparel	$	118,673	$	89,291	$	99,160
Other general merchandise	193,659		172,792		194,791

Total product sales revenues	$	312,332	$	262,083	$	293,951

Summary of total net revenues generated in different geographic locations and as a percentage of total net revenues

	For the years ended December 31,
	2015			2016			2017
	Revenues		%	Revenues		%	Revenues		%

Europe	$	184,057	56.8	$	145,185	49.6	$	153,697	48.1
North America	88,790		27.4	77,814		26.6	73,339		22.9
Other countries	50,916		15.8	69,488		23.8	92,845		29.0

Total net revenues	$	323,763	100.0	$	292,487	100.0	$	319,881	100.0

COMMITMENTS AND CONTINGENCIES (Table)

12 Months Ended

Dec. 31, 2017

COMMITMENTS AND CONTINGENCIES

Schedule of future minimum lease payments under non-cancellable operating lease agreements

Future minimum lease payments under non-cancellable operating lease agreements as of December 31, 2017 are as follows:

2018	$	3,307
2019	828
2020	99

	$	4,234

ORGANIZATION AND PRINCIPAL ACTIVITIES - VIE Arrangements and Loan Agreement (Details) - 12 months ended Dec. 31, 2011 - Consolidated VIEs $ in Thousands	CNY (¥)	USD ($)
Lanting Gaochuang \| CEO
The VIE arrangements
Ownership interest in VIE (as a percent)	51.00%
Lanting Gaochuang \| Lanting Huitong
The VIE arrangements
Ownership interest in VIE (as a percent)	49.00%
Lanting Jishi \| CEO
Loan Agreement
Amount of loan extended	¥ 255,000	$ 41
Loan agreement term	10 years

ORGANIZATION AND PRINCIPAL ACTIVITIES - Consolidated Financial Information of the Group's VIEs and Subsidiaries (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Consolidated financial information of the Group's VIE and its subsidiaries included in consolidated financial statements
Net revenues	$ 319,881	$ 292,487	$ 323,763
Net (loss) profit	(9,548)	(8,723)	(39,407)
Net cash (used in) provided by operating activities	(14,831)	(15,334)	(37,901)
Net cash provided by (used in) investing activities	(3,521)	(287)	3,138
Net cash provided by financing activities	(3,064)	74,635	(9,224)
VIE and its subsidiaries
Consolidated financial information of the Group's VIE and its subsidiaries included in consolidated financial statements
Total assets	6,117	56
Total liabilities	3,931	1,557
Net revenues		5	5
Net (loss) profit	(7,507)	(52)	(128)
Net cash (used in) provided by operating activities	3,073	$ (131)	(247)
Net cash provided by (used in) investing activities	(3,069)		$ 44
Amount of consolidated VIEs' assets that are collateral for the VIEs' obligations	$ 0

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Accounts Receivable and Property and Equipment, net (Details)	12 Months Ended
	Dec. 31, 2017
Furniture, fixtures and office equipment
Property and equipment, net
Useful lives	5 years
Software and IT equipment
Property and equipment, net
Useful lives	3 years

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Acquired intangible assets, net (Details)	12 Months Ended
	Dec. 31, 2017
Technology
Acquired intangible assets, net
Useful lives	3 years
Members
Acquired intangible assets, net
Useful lives	4 years

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Revenue Recognition, General and Administrative Expense and Foreign Currency Risk (Details) $ in Thousands	12 Months Ended
	Dec. 31, 2017 USD ($) item	Dec. 31, 2016 USD ($)	Dec. 31, 2015 USD ($)	Dec. 31, 2014
Revenue recognition
Number of criteria to be met prior to recognition of revenue \| item	4
Return period, subsequent to the receipt of shipment	14 days			30 days
Shipping costs	$ 60,131	$ 59,964	$ 70,314
VAT on sales as a percentage on revenue from the sale of products	17.00%
General and administrative
Chargeback incurred	$ 2,929	2,354	1,227
Income taxes
Income tax due to uncertain tax positions	0	0	$ 0
Foreign currency risk \| Denominated in RMB
Foreign currency risk
Cash and cash equivalents, term deposit and restricted cash	$ 4,829	$ 2,028

PREPAID EXPENSES AND OTHER CURRENT ASSETS (Details) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
PREPAID EXPENSES AND OTHER CURRENT ASSETS
Receivable from processing agencies	$ 2,460	$ 1,671
Prepayment to suppliers	11,880	6,933
Rental deposits and prepaid rents	211	198
Deferred expense	341	287
Others	804	585
Total	$ 15,696	$ 9,674

PROPERTY AND EQUIPMENT, NET (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Property and equipment, net
Property and equipment, gross	$ 9,872	$ 8,950
Less: Accumulated depreciation	(8,952)	(7,879)
Property and equipment, net	920	1,071
Depreciation expense	764	1,378	$ 2,118
Leasehold improvements
Property and equipment, net
Property and equipment, gross	4,069	3,748
Furniture, fixtures and office equipment
Property and equipment, net
Property and equipment, gross	2,715	2,345
Software and IT equipment
Property and equipment, net
Property and equipment, gross	$ 3,088	$ 2,857

GOODWILL (Details) - Ador Inc. - USD ($) $ in Thousands	1 Months Ended	12 Months Ended
GOODWILL (Details) - Ador Inc. - USD ($) $ in Thousands	Dec. 31, 2013	Dec. 31, 2017
GOODWILL
Net working capital	$ 44
Goodwill acquired during the year	690
Other intangible assets	$ 266
Changes to carrying amount of goodwill		$ 0

ACQUIRED INTANGIBLE ASSETS, NET (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Acquired intangible assets, net
Gross carrying amount	$ 1,407	$ 1,407
Accumulated amortization	(175)	(170)
Accumulated impairment loss	(1,022)	(1,022)
Net carrying amount	210	215
Amortization expenses	5	17	$ 17
Technology Platform
Acquired intangible assets, net
Intangible assets subject to amortization	90	90
Accumulated amortization	(90)	(90)
Non-compete Agreement
Acquired intangible assets, net
Intangible assets subject to amortization	9	9
Accumulated amortization	(7)	(7)
Accumulated impairment loss	(2)	(2)
Customer Base
Acquired intangible assets, net
Intangible assets subject to amortization	32	32
Accumulated amortization	(22)	(22)
Accumulated impairment loss	(10)	(10)
Technology
Acquired intangible assets, net
Intangible assets subject to amortization	36	36
Accumulated amortization	(36)	(36)
Members
Acquired intangible assets, net
Intangible assets subject to amortization	20	20
Accumulated amortization	(20)	(15)
Net carrying amount		5
Trademark/Domain Name
Acquired intangible assets, net
Intangible assets not subject to amortization	1,220	1,220
Accumulated impairment loss	(1,010)	(1,010)
Net carrying amount	$ 210	$ 210

LONG-TERM INVESTMENTS (Details) - USD ($) $ in Thousands			12 Months Ended
LONG-TERM INVESTMENTS (Details) - USD ($) $ in Thousands	Mar. 31, 2017	Feb. 06, 2015	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
LONG-TERM INVESTMENTS
Share of income (loss) from equity method investment			$ 208	$ 17	$ (34)
Demon
LONG-TERM INVESTMENTS
Percentage of equity interest		30.00%
Total consideration		$ 2,100
Share of income (loss) from equity method investment			$ 208	$ 17	$ (34)
Maikailai
LONG-TERM INVESTMENTS
Total consideration	$ 2,950
Percentage of equity interest under cost method investment	10.53%

ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2017	Dec. 31, 2016
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES
Accrued payroll and staff welfare			$ 11,150	$ 12,944
Individual income tax withheld			593	591
VAT payable			271	287
Accrued professional fees			3,303	3,283
Accrued advertising fees			1,666	596
Credit card processing charges			483	551
Accrued sales return	$ 1,927	$ 2,465	1,236	1,927
Other accrued expenses			2,025	905
Total			$ 20,727	$ 21,084
Movements in accrued sales return
Balance at the beginning of the period	1,927	2,465
Allowance for sales return made in the year	7,929	12,370
Utilization of accrued sales return	(8,620)	(12,908)
Balance at the end of the period	$ 1,236	$ 1,927

ORDINARY SHARES (Details) - USD ($) $ / shares in Units, $ in Thousands		1 Months Ended		9 Months Ended	12 Months Ended
	Dec. 16, 2014	Mar. 31, 2016	Dec. 31, 2013	Sep. 30, 2016	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015	Jun. 08, 2016
Amount of stock repurchase plan authorized by the board of directors								$ 10,000
Total consideration to share repurchase plan					$ 3,101	$ 810	$ 9,039
Net proceeds from offering upon private placement						$ 75,423
Warrant
Maximum number of ordinary shares into which the warrant maybe converted				7,455,000
Issuance of ordinary shares (in ADS)				3,727,500
Exercise price of warrant per ordinary share				$ 2.75
Private Placement
Net issuance costs		$ 1,077
Net proceeds from offering upon private placement		$ 75,423
ADS
Amount of stock repurchase plan authorized by the board of directors			$ 20,000
Period to repurchase shares			1 year
Additional Period to repurchase shares	12 months
Repurchase of outstanding shares (in share)					5,410,411	3,966,951	3,695,337
ADS \| Private Placement
Issuance of ordinary shares (in share)		21,250,000
Ordinary Shares
Repurchase of outstanding shares, equivalent to ordinary shares (in shares)					10,820,822	7,933,902	7,390,674
Total consideration to share repurchase plan					$ 23,907	$ 20,806	$ 19,996
Ordinary Shares \| Private Placement
Issuance of ordinary shares (in share)		42,500,000

SHARE OPTIONS - Options Details and Assumptions Used to Estimate Fair Value of Options Granted (Details) $ / shares in Units, $ in Thousands		1 Months Ended	12 Months Ended
	Oct. 27, 2008 shares	May 31, 2014 shares	Dec. 31, 2017 USD ($) $ / shares shares	Dec. 31, 2016 USD ($) $ / shares shares	Dec. 31, 2015 USD ($) $ / shares shares	Dec. 31, 2014 $ / shares shares	Dec. 31, 2013 $ / shares shares
Share options
Incremental compensation expenses \| $			$ 1,865	$ 2,317	$ 3,196
2008 Plan
Share options
Shares authorized to grant \| shares	4,444,444
Additional shares authorized to issue \| shares		6,900,000
2008 Plan \| Share options
Share options
Vesting period	4 years		4 years	4 years
Vesting percentage at the end of the first year through the fourth year	25.00%
Expiration period	10 years
Shares options granted \| shares			120,000	4,000	546,400	1,797,300	307,250
Exercise price of shares options granted (in dollars per share) \| $ / shares			$ 1.10	$ 1.40	$ 2.25		$ 4.75
Incremental compensation expenses \| $			$ 97	$ 102	$ 5
Unrecognized incremental compensation cost \| $			$ 482
Weighted-average period of recognition of unrecognized compensation cost			1 year 15 days
Assumptions used for estimating the fair value of options granted on the date of grant
Risk-free interest rate (as a percent)			2.45%	1.69%
Exercise multiple			2.2	2.8
Expected volatility (as a percent)			71.70%	59.70%
Expected dividend yield (as a percent)			0.00%	0.00%
Fair value of ordinary shares (in dollars per share) \| $ / shares			$ 0.70	$ 0.83
2008 Plan \| Share options \| Minimum
Share options
Vesting period					3 months	3 years	3 years
Exercise price of shares options granted (in dollars per share) \| $ / shares			0.89			$ 1.84
2008 Plan \| Share options \| Maximum
Share options
Vesting period					4 years	4 years	4 years
Exercise price of shares options granted (in dollars per share) \| $ / shares			$ 1.49			$ 3.26
2008 Plan \| Nonvested shares
Share options
Vesting period			4 years
Nonvested shares granted \| shares			272,000	296,000	3,154,800	2,800,300	711,571
Incremental compensation expenses \| $			$ 1,768	$ 2,215	$ 3,191
Weighted-average period of recognition of unrecognized compensation cost			2 years 1 month 10 days
2008 Plan \| Nonvested shares \| Minimum
Share options
Vesting period				3 months	3 months	3 years	2 years
2008 Plan \| Nonvested shares \| Maximum
Share options
Vesting period				4 years	4 years	4 years	4 years

SHARE OPTIONS - Summary of Stock Option Activity (Details) - 2008 Plan - Share options - $ / shares	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Options granted
Balance at the beginning of the period (in shares)	965,850
Granted (in shares)	120,000	4,000	546,400	1,797,300	307,250
Exercised (in shares)	(62,000)
Cancelled and Forfeited (in shares)	(133,350)
Balance at the end of the period (in shares)	890,500	965,850
Weighted average exercise price per option
Balance at the beginning of the period (in dollars per share)	$ 1.82
Granted (in dollars per share)	1.10	$ 1.40	$ 2.25		$ 4.75
Exercised (in dollars per share)	1.42
Cancelled and Forfeited (in dollars per share)	2.42
Balance at the end of the period (in dollars per share)	$ 1.83	$ 1.82

SHARE OPTIONS - Details of Share Options Granted (Details) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Additional disclosures
Share-based compensation expense	$ 1,865	$ 2,317	$ 3,196
2008 Plan \| Share options
Options Number
Outstanding (in shares)	890,500	965,850
Exercisable (in shares)	586,175
Expected to vest (in shares)	304,325
Weighted-average exercise price per option
Outstanding (in dollars per share)	$ 1.83	$ 1.82
Exercisable (in dollars per share)	1.66
Expected to vest (in dollars per share)	$ 1.85
Weighted-average remaining contractual life (years)
Outstanding	5 years 8 months 23 days
Exercisable	4 years 6 months 11 days
Expected to vest	8 years 18 days
Aggregate intrinsic value
Outstanding (in dollars)	$ 136
Exercisable (in dollars)	116
Expected to vest (in dollars)	20
Additional disclosures
Total intrinsic value of options exercised	$ 324	$ 26	$ 253
Weighted average grant date fair value of options (in dollars per share)	$ 0.70	$ 0.83	$ 1.28
Share-based compensation expense	$ 97	$ 102	$ 5
Unrecognized compensation cost	$ 482
Weighted-average period of recognition of unrecognized compensation cost	1 year 15 days

NONVESTED SHARES (Details) - 2008 Plan - Nonvested shares - shares	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Nonvested shares
Nonvested shares granted	272,000	296,000	3,154,800	2,800,300	711,571
Vesting period	4 years
Minimum
Nonvested shares
Vesting period		3 months	3 months	3 years	2 years
Maximum
Nonvested shares
Vesting period		4 years	4 years	4 years	4 years

NONVESTED SHARES - Summary of Nonvested Shares Granted and Vested (Details) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013
Weighted average grant date fair value
Incremental compensation expenses	$ 1,865	$ 2,317	$ 3,196
2008 Plan \| Nonvested shares
Number of Shares
Outstanding at the beginning of the period (in shares)	1,906,167
Granted (in shares)	272,000	296,000	3,154,800	2,800,300	711,571
Forfeited (in shares)	(424,691)
Vested (in shares)	(669,192)
Outstanding at the end of the period (in shares)	1,084,284	1,906,167
Weighted average grant date fair value
Outstanding at the beginning of the period (in dollars per share)	$ 2.61
Granted (in dollars per share)	1.07
Forfeited (in dollars per share)	2.12
Vested (in dollars per share)	1.21
Outstanding at the end of the period (in dollars per share)	$ 3.28	$ 2.61
Fair value of shares vested	$ 808	$ 3,070	$ 2,791
Incremental compensation expenses	1,768	$ 2,215	$ 3,191
Unrecognized compensation cost	$ 2,995
Weighted-average period of recognition of unrecognized compensation cost	2 years 1 month 10 days

NONVESTED SHARES - Share-based Compensation Expenses (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Share-based compensation expenses
Incremental compensation expenses	$ 1,865	$ 2,317	$ 3,196
Fulfillment
Share-based compensation expenses
Incremental compensation expenses	214	211	185
Selling and marketing
Share-based compensation expenses
Incremental compensation expenses	456	458	580
General and administrative
Share-based compensation expenses
Incremental compensation expenses	$ 1,195	$ 1,648	$ 2,431

INCOME TAXES (Details) - USD ($) $ in Thousands	12 Months Ended
INCOME TAXES (Details) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015	Dec. 31, 2014	Dec. 31, 2013	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Income taxes
Statutory income tax rates (as a percent)	25.00%	25.00%	25.00%
Current tax expense (benefit)	$ 81	$ 54	$ 49
Deferred tax assets:
Accrued payroll							$ 2,730
Accrued expenses							88
Accrued inventory provision						$ 925	382
Net operating loss carry forwards						20,061	16,618
Less: Valuation allowance	(19,818)	(19,320)	(19,320)			(20,986)	(19,818)	$ (19,320)
Deferred tax liabilities						0	0	$ 0
Movement of valuation allowance
Balance at beginning of the period	19,818	19,320
Additions	1,168	498
Balance at end of the period	20,986	19,818	19,320
Reconciliation between the expense of income taxes computed by applying the PRC tax rate to loss before income taxes and the actual provision for income taxes
Loss before provision of income tax	$ (9,675)	$ (8,686)	$ (39,324)
Statutory tax rate in the PRC (as a percent)	25.00%	25.00%	25.00%
Income tax at statutory tax rate	$ (2,419)	$ (2,172)	$ (9,831)
Non-deductible expenses	42	20	8
Effect of income tax holiday and preferential tax rates	(67)	(11)	(25)
Utilisation of tax loss previously not recognized	(99)	(124)	(298)
Effect of income tax rate differences in jurisdictions other than the PRC	1,456	1,843	4,582
Changes in valuation allowances	1,168	498	5,613
Income tax expense	81	54	49
Income tax paid	$ 81	$ 54	$ 49
Hong Kong \| Lanting International
Income taxes
Statutory income tax rates (as a percent)	16.50%
Reconciliation between the expense of income taxes computed by applying the PRC tax rate to loss before income taxes and the actual provision for income taxes
Statutory tax rate in the PRC (as a percent)	16.50%
Hong Kong \| LightInTheBox Logistic
Income taxes
Statutory income tax rates (as a percent)	16.50%
Reconciliation between the expense of income taxes computed by applying the PRC tax rate to loss before income taxes and the actual provision for income taxes
Statutory tax rate in the PRC (as a percent)	16.50%
Hong Kong \| Light Square
Income taxes
Statutory income tax rates (as a percent)	16.50%
Reconciliation between the expense of income taxes computed by applying the PRC tax rate to loss before income taxes and the actual provision for income taxes
Statutory tax rate in the PRC (as a percent)	16.50%
PRC
Income taxes
Statutory income tax rates (as a percent)	25.00%
Reconciliation between the expense of income taxes computed by applying the PRC tax rate to loss before income taxes and the actual provision for income taxes
Statutory tax rate in the PRC (as a percent)	25.00%
Additional disclosures
Withholding tax rate on dividends distributed to non-resident entities (as a percent)	10.00%
Deferred tax liability accrued for the Chinese dividend withholding taxes						$ 0	$ 0
PRC \| Lanting Huitong
Income taxes
Reduced tax rate for subsequent period (as a percent)	15.00%
PRC \| Lanting Gaochuang
Income taxes
Income tax exemption period					2 years
Reduced tax rate for the years subsequent the exemption period (as a percent)		12.50%	12.50%	12.50%
Period for reduced tax rate					3 years
Netherland \| LITB Netherlands B.V.
Income taxes
Statutory income tax rates (as a percent)	25.00%
Reconciliation between the expense of income taxes computed by applying the PRC tax rate to loss before income taxes and the actual provision for income taxes
Statutory tax rate in the PRC (as a percent)	25.00%

LOSS PER SHARE - Computation of Basic and Diluted Net Loss Per Ordinary Share (Details) - USD ($) $ / shares in Units, $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Numerator:
Net loss attributable to ordinary shareholders of LightInTheBox Holding Co., Ltd.	$ (9,548)	$ (8,723)	$ (39,407)
Shares (denominator):
Weighted average number of shares used in calculating net loss per ordinary share -basic	137,641,562	127,180,801	94,970,054
Net loss per ordinary share-diluted (in dollars per share)	$ (0.07)	$ (0.07)	$ (0.41)

LOSS PER SHARE - Shares Excluded From the Calculation of Diluted Loss Per Share (Details) - shares	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Share options
Shares excluded from the calculation of diluted loss per share
Shares excluded from the calculation of diluted loss per share	890,500	965,850	1,374,050
Nonvested shares
Shares excluded from the calculation of diluted loss per share
Shares excluded from the calculation of diluted loss per share	1,084,284	1,906,167	3,315,264

STATUTORY RESERVES AND RESTRICTED NET ASSETS (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
STATUTORY RESERVES AND RESTRICTED NET ASSETS
Minimum percentage of after-tax profit required to be transferred to general reserve till such reserve reaches specified percentage of registered capital	10.00%
General reserve as a percentage of registered capital up to which after-tax profit of PRC subsidiaries and VIEs shall be transferred	50.00%
Discretionary appropriations to enterprise expansion reserve, staff welfare and bonus reserve	$ 0	$ 0	$ 0
Amount of restricted net assets of subsidiaries and VIE not available for distribution	$ 5,089

SEGMENT REPORTING (Details) $ in Thousands	12 Months Ended
SEGMENT REPORTING (Details) $ in Thousands	Dec. 31, 2017 USD ($)	Dec. 31, 2016 USD ($) segment	Dec. 31, 2015 USD ($) segment
Segment reporting
Number of operating segments \| segment		2	1
Total assets	$ 108,737	$ 118,201
Product sales	293,951	262,083	$ 312,332
Consolidated	319,881	292,487	323,763
Cost of Product Sales	189,816	160,566	196,753
Cost of revenues	214,261	188,937	207,354
Gross profit	105,620	103,550	116,409
Unallocated operating expenses	115,787	112,634	155,568
Loss from operations	(10,167)	(9,084)	(39,159)
Exchange loss on offshore bank accounts	(89)	(120)	(938)
Interest income	581	518	773
Loss before income taxes	(9,675)	(8,686)	(39,324)
Product sales
Segment reporting
Total assets	104,559
Product sales	293,951	262,083	312,332
Cost of Product Sales	189,816	160,566	196,753
Gross profit	104,135	101,517	115,579
Services
Segment reporting
Total assets	4,178
Services	25,930	30,404	11,431
Cost of services	24,445	28,371	10,601
Gross profit	$ 1,485	$ 2,033	$ 830

SEGMENT REPORTING - Components of product sales (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Segment reporting
Total product sales revenues	$ 293,951	$ 262,083	$ 312,332
Apparel
Segment reporting
Total product sales revenues	99,160	89,291	118,673
Other general merchandise
Segment reporting
Total product sales revenues	194,791	172,792	193,659
Product sales
Segment reporting
Total product sales revenues	$ 293,951	$ 262,083	$ 312,332

SEGMENT REPORTING - Summary of revenues and percentage of revenues by geographical locations (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
Segment reporting
Revenues	$ 319,881	$ 292,487	$ 323,763
Total net revenues
Segment reporting
Revenues (as a percent)	100.00%	100.00%	100.00%
Europe
Segment reporting
Revenues	$ 153,697	$ 145,185	$ 184,057
Europe \| Total net revenues
Segment reporting
Revenues (as a percent)	48.10%	49.60%	56.80%
France
Segment reporting
Revenues	$ 34,693	$ 31,321	$ 39,571
North America
Segment reporting
Revenues	$ 73,339	$ 77,814	$ 88,790
North America \| Total net revenues
Segment reporting
Revenues (as a percent)	22.90%	26.60%	27.40%
United States
Segment reporting
Revenues	$ 60,810	$ 66,475	$ 74,296
Other countries
Segment reporting
Revenues	$ 92,845	$ 69,488	$ 50,916
Other countries \| Total net revenues
Segment reporting
Revenues (as a percent)	29.00%	23.80%	15.80%

FAIR VALUE MEASUREMENTS (Details) - USD ($) $ in Thousands	12 Months Ended
FAIR VALUE MEASUREMENTS (Details) - USD ($) $ in Thousands	Dec. 31, 2017	Dec. 31, 2016
Fair value measurements
Period of financial forecasts on which discounted cash flows is based	5 years
Recurring
Fair value measurements
Financial assets	$ 0	$ 0
Financial liabilities	$ 0	$ 0

RELATED PARTY TRANSACTIONS (Details) - Zhejiang AoKang Shoes Co., Ltd	12 Months Ended
	Dec. 31, 2017 USD ($)
Related Party Transaction
Percentage of outstanding shares held	18.10%
Goods purchased	$ 400

COMMITMENTS AND CONTINGENCIES - Lease Commitment (Details) - USD ($) $ in Thousands	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015
COMMITMENTS AND CONTINGENCIES
Rent expenses under operating leases	$ 4,282	$ 4,247	$ 4,461
Future minimum lease payments under non-cancellable operating lease agreements
2018	3,307
2019	828
2020	99
Total	$ 4,234

ORGANIZATION AND PRINCIPAL ACTIVITIES - Details of History of the Group (Details) - shareholder	1 Months Ended
	Mar. 31, 2008	Jun. 30, 2007
Details of history of the group
Number of founding shareholders	5
Light In The Box
Details of history of the group
Number of founding shareholders		5

COMMITMENTS AND CONTINGENCIES - Contingencies (Details)	12 Months Ended
COMMITMENTS AND CONTINGENCIES - Contingencies (Details)	Dec. 31, 2017
Failure to make payments of contributions for employee benefit plans
Contingencies
Maximum fines ( as a percent)	300.00%