What is Poshmark? How does Poshmark work? With 700 million users in the United States, Australia, and Canada and 200 million items for sale, Poshmark is an e-commerce powerhouse by and for everyday people. Between 2018 and 2019, the company doubled its revenue paid to sellers from $1 billion to $2 billion.
Poshmark’s popularity and skyrocketing revenue are enough to convince anyone to look through their closet and find an old dress or unworn pair of shoes to sell. When it comes to Poshmark competitors, like Poshmark vs Mercari, for example, the foremost is usually the winner.
Want to join their list of trusted sellers?
Learn how to sell on Poshmark with our comprehensive guide. You’ll be in business in no time.
How Does Poshmark Work?
On Poshmark, buyers can search by categories, including:
- Women
- Men
- Kids
- Home
- Pets
- Handbags
- Shoes
- Jewelry
- Accessories
- Makeup
- Dresses
They can also search by:
- Popular Brands
- Top Selling Brands Weekly
- Current Trends
- Popular Collections
Understanding the Poshmark ecosystem helps sellers market their products and maximize their revenue.
How to Sell on Poshmark
Poshmark makes it easy for sellers to list their products. In less than 60 seconds, sellers can create a list and be in business.
How to Make a Listing
Creating a listing on Poshmark is a simple three-step process:
- Take a picture of the item with your phone.
- Write a catchy and compelling description for the item.
- Set a price for the item.
How to Market Your Products
Once you start listing items on Poshmark, boost your marketing efforts and connect with the Poshmark community to make the sale. Poshmark has a series of features that makes it easier than ever for you to share your product and convince buyers to click checkout.
Posh Stories
The Poshmark buying and selling platform is leaning into the social aspect of their marketplace with their Posh Stories function. Sellers can share quality photos and short videos and tag their listings to make it easy for shoppers to buy once they see an item in action.
Posh Bundle
Sellers can group multiple listings together with Posh Bundle to reduce shipping costs and provide buyers with a discount that encourages them to click buy. When buyers purchase a Posh Bundle, they’ll receive this seller discount to thank them for purchasing multiple items.
Sellers can create bundle suggestions and curate eye-catching outfits that buyers will have to have.
Posh Parties
Posh Parties are virtual shopping parties grouped by themes and brands. Poshmark hosts four Posh Parties per day. Sellers will be invited the join Posh Parties and can showcase their listings in showrooms that remain active after the Posh Parties end.
Limited Time Events
Poshmark offers special limited-time events every once in a while that sellers can participate in. These events provide both buyers and sellers with discounts and prizes. The three main events are:
- Closet Clear Out – During Poshmark Closet Clear Out days, participating sellers drop listing prices by at least 10 percent. Poshmark adds discounted shipping and notifies buyers who have liked these listings.
- Make a Deal Days – On Deal Days, sellers can drop listings by at least 10 percent and create a shipping discount for a chance to win prizes through Poshmark. Each listing with a seller’s discount will be another automatic entry for a prize, and Poshmark incentivizes buyers to purchase by notifying them of discounts on their liked listings.
- Love or List Challenge (LCC) – For the Love or List Challenge, when sellers create a new listing during the challenge period, they are automatically entered to win prizes. Each new listing is an additional entry, and Poshmark announces winners hourly.
Offers to Likers
Buyers on the Poshmark app can “like” items that they love but might not be ready to buy. Sellers can see these likes and privately send a deal to these buyers by dropping the price by at least 10 percent and adding a shipping discount.
Everyone who has liked the listing will have 24 hours to take advantage of the offer. Access this feature by selecting “Offer/Price Drop” on any listing and choosing “Offer to Likers.”
How to Ship Products
Once you’ve made your first sale, it’s time to say goodbye and ship it to its new home. Poshmark offers sellers pre-paid and pre-addressed shipping labels. Follow these four final steps:
- Print the label.
- Package the items.
- Add the label.
- Drop it off at a mailbox or the Post Office.
It’s really that easy! Sellers can also arrange to have the package picked up from their homes for free.
How to Trade on Poshmark
Poshmark sellers can use the marketplace to make trades with other sellers. However, Poshmark doesn’t offer protection for these trades, and the standard shipping fee is still included. Because Poshmark trades use an honor system, the company warns each Poshmark seller against making trades unless they are prepared for potential consequences and losses.
Tools for Poshmark Sellers
Whether you’re trying to clean out your closet or create a full-on side hustle, Poshmark offers its sellers a variety of tools to help them succeed.
Sales Report
Poshmark creates a sales report for its sellers to help them optimize their sales. Sellers can access this report on the My Seller Tools tab within their Accounts page. This sales report can:
- Track earnings
- Identify top-selling brands
- Suggest top-selling categories
Poshmark sellers looking to grow their revenue should rely on their sales report to guide their future sales decisions.
Inventory Report
Poshmark also offers an inventory report to help sellers keep track of their listings and make decisions about their business. Sellers can find this report on their My Seller Tools page as well. The inventory report provides a range of information for each listing, including:
- Listing Date – The inventory report includes the day you created the listing.
- Days Listed – The inventory report includes the number of days an item has been listed.
- SKU – The inventory report includes a SKU, a code unique to each item.
- Description – The inventory report includes the item description.
- Likes – The inventory report includes the history of potential buyer likes for an item.
- Cost – The inventory report includes the original amount you paid for a listing.
- Price – The inventory report includes both the lowest price of an item as well as its current price.
- Additional Information – The inventory report includes any private information you added to a listing.
With the inventory report, sellers can manage their closets and grow their sales.
How Much Do Poshmark Sellers Make?
Poshmark users always have access to their earnings and can deposit them to their checking account, receive a check, or use the earnings to make purchases on the Poshmark platform.
Poshmark makes its own revenue by charging sellers a fee. For Poshmark sales that are less than $15, Poshmark charges a flat rate of $2.95. For sales that are $15 or more, Poshmark keeps 20% of the Poshmark listing price, leaving 80% for the seller.
How much sellers make depends on the original cost of the item, how much they charge, and how much Poshmark takes.
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Sources:
https://poshmark.com/what_is_poshmark
https://www.businessinsider.com/what-is-poshmark
https://blog.poshmark.com/2020/05/07/your-complete-guide-to-poshmarks-features-tools/
