You’ve likely heard of Poshmark, whether from your co-worker who somehow affords designer duds on a non-designer salary, or from your friend who hustles to sample sales only to re-post the items scored on her “online boutique,” otherwise known as Poshmark.
Either way, you’re probably intrigued about the app’s earning potential, how it can fit into your life, and what you can expect to realistically earn.
Here’s the reality. The majority of Poshmark users are not earning a livable wage through the app alone, nor are they pulling in six-figure salaries like some sensationalist articles may lead you to believe.
What the app CAN do is give you some extra juice to help with your holiday shopping or add to your vacation fund. It’s supplemental at best, but that shouldn’t dissuade you from downloading and starting your side career.
Why? Well, because it’s fun.
So What Exactly Is Poshmark?
The app is self-described as “a simple and fun way to buy and sell fashion. Shop from millions of people across America — and start selling too!”
The app was created in 2011, and it is the largest social marketplace for fashion, allowing anyone to work as a seller by sharing their individual style with others.
The app also enables users to form personal and working relationships with one another — offering opportunities to bundle purchases or trade with those whose closets you find commonality with.
The company’s mission is to make shopping simple and fun by connecting people around a shared love of fashion, all while empowering entrepreneurs to become the next generation of retailers. Poshmark proudly identifies as the foremost shopping destination for millennials, with a community of over 4 million Seller Stylists helping shoppers to discover the perfect look from over 75 million items and 5,000 brands.
The company has backing from the world’s leading investment firms and venture capital institutions including Mayfield, Menlo Ventures, GGV Capital, Temasek, Inventus Capital, Uncork Capital, Union Grove Venture Partners, Shea Ventures and AngelList.
How Does Poshmark Work?
Poshmark provides a lucrative alternative to dropping your designer clothing off at shops like Crossroads, Buffalo Exchange, Out of the Closet, and Wasteland. It’s not a super great feeling to drag all of your items down to the consignment shop, wait for what feels like a fortnight, have them paw through it all, reject 90 percent of what you brought, and then give you a stingy offer on brand-new, never worn Stone Cold Fox shorts they will surely mark-up an obscene amount. Oh and by the way, if you want cash instead of store credit, the amount they offer you drops dramatically. We won’t even get into the swamp that is mom and pop shops like Gotta Have It in Venice Beach, California, where the attitude is sky-high and the inventory is generic and contrived at best.
Poshmark is cool because you cut out the in-person attitude you sometimes encounter (we should disclose not ALL of our experiences have been negative). The company allows you to buy and sell both new and used clothing and accessories (everything from Louis Vuitton and Prada to Rag & Bone and Marc Jacobs to Zara and H&M to Nike and Lululemon) — right from your phone in just 60 seconds.
- Take a few photos, write a quick description, set your price, and boom, it’s up for sale.
- When your item sells, Poshmark emails you a pre-addressed, pre-paid USPS shipping label you can simply place on any box and hand off to your mailman. Buyer pays for shipping, which is a $6.95 flat rate for two-day Priority Mail to anywhere in the U.S.
- Once your item is shipped, Poshmark then tracks the package as it’s on its way to the buyer and will only release payment to you when the buyer hits accept in the app.
- Find your style mates! Follow people in the Poshmark community to build your shopping network. When they post new items or curate from other closets, it will show up in your shopping feed.
Poshmark takes a 20% commission on each sale, which covers all the backend details including payments, shipping, and customer service.
Some Company Statistics
- Millions of shoppers
- 1 in 30 women in America sell on Poshmark
- Seller Stylists share 14 million items daily
- 1 in 5 new community members joining the app are men
- $100 million worth of inventory is uploaded to the platform every week
- Over 100 fashion brands in the in-app Wholesale Marketplace
- Poshmark has a dedicated customer base unseen currently by most brands: 75% of shoppers are repeat buyers from the same Poshmark boutique
- Users spend approximately 25 minutes per day in the app, opening it 7-9 times (this is Facebook-level engagement)
- Poshmark was named a top emerging app on the Condé Nast and Goldman Sachs 2017 Love List Brand Affinity Index, next to companies such as Snapchat, Amazon, Instagram, Twitter, Pinterest, and Target.
- Poshmark has raised nearly $160 million in funding to date from the world’s leading investment firms and venture capital institutions including Mayfield Menlo Ventures, GGV Capital, Temasek, Inventus Capital, Uncork Capital, Union Grove Venture Partners, Shea Ventures and AngelList. Ashton Kutcher and Guy Oseary of A-Grade Investments and celebrity stylist and fashion designer Rachel Zoe are also investors in the company.
I’m In. How Do I Sign Up For Poshmark?
To start, you have several options. You can use your Facebook account or Google account if you don’t mind them being linked. For those that want a bit of privacy, use a separate email.
You may have been given an Invite Code by a friend or from the internet. An Invite Code will give you $5 off your first purchase and will also reward the person to whom the Invite Code belongs (you’ll be assigned one after you sign up) with $5 once you complete your first purchase.
From there, you’ll create a username (something fun that describes you and your style) and password, and you’ll enter your dress size, shoe size, and ZIP code. The purpose of this is for the application to personalize your shopping searches and to help potential buyers figure out if you have similar sizes when browsing your closet.
Next, you’ll add a profile picture — this is important! You want to show off your amazing taste and a bit of your personality. This will help users feel connected to you and maybe even create a bond with you. The more you feel like a real person they could envision themselves shopping with or hanging out with, the more often they’ll visit your page to see what you’re up to and what new listings you are offering.
On the next page, you’ll be asked to choose your three favorite brands (you can choose more if you LIVE for fashion). Once chosen, the app will curate a personal shopping network for you (meaning your account will suddenly be following certain people who sell your beloved brands).
Once this is complete the app will encourage you to start shopping. Instead, you’ll head to the section where you can start listing items.
Listing Your First Poshmark Item
Tap the sell button in the app (it’s in the same location as the Post button on Instagram). Upload your photos (you are allowed eight images).
Remember to use a mix of nicely modeled images from the company website, as well as artsy photos of the actual item. And be sure to check out our post on Poshmark image quality tips.
Now describe your item by filling in the title (we recommend going to the company website to find the exact name). For example, “Eberjey Gisele Nightcap PJ Set” is much better than “Nightcap Pajamas.” Then, you’ll enter a detailed description (keep it honest… you won’t dissuade certain buyers if there is a tiny stain or hole in your item — honesty is always best when selling online). If your item does have a defect, and you’ve priced accordingly, mention this with something like “item has a small tear along the seam and has been priced to reflect this.” Then, you’ll enter the price, and the categories you wish this item to populate within.
Once you’ve completed all of the items details, you’ll be given the option to share on Facebook, Pinterest, Twitter, and Tumblr — if you so desire.
And There You Have It!
Seems pretty simple right? Try it for yourself to see how much you can earn!