Millions of people use online platforms like eBay, Poshmark, Etsy, and Mercari to buy and sell goods. Whether you want to get rid of an old couch, start a dropshipping business, or sell your crafts, there's an app for it. The best part is, you can reach a global audience from the comfort of your home.
Online shopping has surged in response to the COVID-19 outbreak. This trend can be observed across all age groups, especially among young adults, according to the RAND American Life Panel survey.
What's more, online marketplaces account for two-thirds of global eCommerce sales. Amazon and eBay hold the largest market share, but newer platforms like Poshmark, Decluttr, and OfferUp attract millions of buyers, too.
When it comes to selling on Poshmark vs. eBay, it's important to consider your target audience, industry, and types of products. Also, make sure you fully understand what you'll pay in fees and how each platform works. For example, eBay is more business-oriented, while Poshmark has a more personal feel.
Feeling confused? We're here to help you make the right choice for your business. In this guide, we'll share everything you need to know about Poshmark and eBay, including their pros and cons, customer base, shipping costs, and much more.
Let's get into it!
With more than 80 million active users, Poshmark is a leading online marketplace for new and used goods. The platform features over 200 million products, from designer clothes and footwear to electronics and home decorations. Its target audience consists of consumers based in the U.S., Australia, Canada, and India.
Founded in 2011, the company started out as an online selling platform for clothes and fashion accessories. Today, it offers a wide range of products in every category you could think of. Some of its direct competitors are Depop, Amazon, eBay, Mercari, and OfferUp.
The platform has a clean and intuitive design, making it easy to find what you need when you need it. Customers can either download the Poshmark app or shop on the company's website. The Poshmark app had over two million downloads in the first two months of 2022.
Like Etsy and eBay, Poshmark allows users to sell handmade items. However, its primary focus is on clothing and shoes, including new and pre-owned items. Customers can also purchase new or used smartphones, computers, cameras, and other types of products — but more on that later.
There’s also the option to host or attend virtual "Posh Parties." These live shopping events focus on specific brands or product categories, like jewelry, electronics, or denim clothing.
Sellers who "join" the party can gain more exposure for their listings, while buyers have the chance to grab a good deal.
Poshmark isn't as big as Amazon or eBay, but it has some cool features that set it apart from its competitors.
First of all, it promotes social interaction.
Think of it as a friendly community where users can "like" each other's listings, leave comments, and share their favorite products on other online platforms. Simply put, it has a social element to it rather than being purely transactional.
What's more, sellers can book mentorship sessions, host virtual parties, and attend annual conferences.
The platform doesn't support direct messaging, but you can leave comments and ask questions on other sellers' About Me pages. Plus, you can follow your favorite sellers just like you'd do on Facebook, Twitter, or Instagram.
This online marketplace also features different types of products, from makeup kits to pet apparel. When it comes to Poshmark vs. ThreadUp, the latter only offers women's and children's clothing. Poshmark has fewer restrictions on what you can sell — we'll talk about it later, so stay tuned.
Depop, one of Poshmark's top competitors, is community-driven, too, but it has fewer options for promoting your listings.
For example, sellers can upload no more than four product photos to the platform. Poshmark, on the other hand, allows up to 16 images per listing. Make sure you check out our guide to Depop vs. Poshmark to find out more!
Poshmark also competes against eBay, the second-largest online marketplace in the U.S., which brings us to the next point...
eBay has been around since 1995, offering millions of goods from individuals and businesses. It's one of the oldest shopping platforms on the internet and the second largest marketplace after Amazon. As of today, it has more than 142 million buyers in 190 countries.
The corporation acquired multiple companies over the years, including Half.com (2000), PayPal (2002), Skype (2005), StubHub (2007), Milo.com (2010), Magento (2011), and Qoo10.jp (2018). PayPal, one of the most popular digital payment services, split from eBay in 2015.
The eBay app was launched in 2008, while other services, such as the eBay ShopBot, Bill Me Later, and the Seller Hub, became available over the next decade.
eBay is far more complex than Poshmark and other online marketplaces, offering the tools you need to build a business from the ground up. You can use the platform to start an online store, sell high-value items, create auction-style listings, conduct market research, and see how your store is performing.
As a seller, you'll get data-driven insights into customer behavior, market trends, and key metrics, such as your sell-through rate and impressions. On top of that, merchants have access to powerful marketing tools and multiple financing options.
eBay started as a reselling platform, but it became a full-fledged marketplace over the decades. Think of it as an all-in-one business solution that offers everything you need to set up and run an online store.
Let's take a quick look at some of its key features:
For example, sellers can use eBaymag to manage and optimize their listings. This free tool can automatically translate product listings for each marketplace (e.g., eBay.fr) and suggest the most efficient way to ship your goods.
Third-party services like Kyozou, Inkfrog, and Sellbrite can further streamline the sales process.
Inkfrog, for instance, features pre-built listing templates, designer templates, and easy-to-use tools for building custom templates. Merchants can also use this tool to cross-promote their listings, sync their inventory across platforms, and edit or update multiple product descriptions at once.
If you want to grow your business, you can apply for working capital, loans, or lines of credit via eBay Seller Capital, a financing program powered by LendingPoint. Sellers may qualify for business loans of up to $500,000 with no annual fees.
While both eBay and Poshmark can be a great choice for resellers, each platform has distinct features.
Choosing one over the other depends on your goals. It's one thing to sell a shirt or bracelet, and another thing to list and promote hundreds of products from different brands.
If you're an entrepreneur or someone looking to sell pre-owned stuff, you can use either platform to get started. It takes minutes to create a new seller profile and list your items, but your business needs may change over time.
With that in mind, here's what you know about Poshmark vs. eBay before you jump onto the bandwagon.
Anyone can start selling on Poshmark within minutes. Simply follow these steps:
Make sure you choose a high-quality cover photo for each product. Use Pixelcut to remove the background from images, add a new background, or edit multiple photos at once.
If you sell designer clothes or footwear, include photos of the serial code so that buyers can verify their authenticity. You may also share the original tags, receipts, and other information.
As you probably know, a picture is worth a thousand words. When you're ready to start selling, see these Poshmark photo tips to make your listings stand out!
eBay requires slightly more information from new sellers, but it's easy to get started. First, you'll have to decide whether you want to create a personal or business account.
If you're self-employed or someone running an eCommerce business, select the latter option. Next, enter your business name, address, and email, choose a password, and click Create Account. Later, you may need to provide additional information, such as your VAT number.
To set up a personal account, you'll only have to provide your name and email address. Alternatively, you can sign in with Facebook, Apple, or Google.
If, say, you want to sell a secondhand laptop or pre-owned dress, create a personal account and list your items. Note that individual sellers don't have access to the same features and tools as business users.
When you're done, set up your account preferences and add one or more payment methods. Last, create your first listing on eBay.com or via the eBay mobile app.
Both Poshmark and eBay feature all sorts of products, from clothing and jewelry to electronics. Poshmark, however, has a more restrictive policy on what you can sell.
Poshers can list the following items on the platform:
However, Poshmark isn't an "all-in-one" marketplace like eBay or Amazon. You can't sell furniture, home appliances, fitness equipment, lawnmowers, and so on. The platform revolves around beauty, fashion, interior design, and a few other select categories.
Some types of goods are prohibited altogether. These include but are not limited to:
As far as eBay goes, you can sell just about anything on the platform — with a few exceptions:
Even common products, such as perfumes and magazines, are subject to exceptions. Be sure to double-check eBay's restricted items policy, especially if you're a new seller.
Apart from that, eBay allows the sale of boats, cars, motorcycles, food products, sports goods, and much more. You can even create a listing for your home to reach potential buyers more easily.
As a seller, it's important to define and understand your target audience. After that, you'll be in a better position to choose an online marketplace that resonates with your ideal buyer. Plus, your marketing efforts will be more efficient.
Let's start with Poshmark. As mentioned earlier, the platform has about 80 million users across the U.S., Canada, India, and Australia. Its user base consists primarily of millennials, especially women.
eBay has significantly more users and operates worldwide. About 61% of buyers are 35 to 64 years old. Therefore, eBay's target audience is composed largely of Gen Xers and Baby Boomers.
Another aspect to consider is that most consumers visit Poshmark to buy designer items, pre-owned clothes, home decorations, and so on.
eBay users, on the other hand, are interested in electronics, which account for 16.4% of all sales. The second most popular category is clothing, followed by cars, health/beauty products, and sports equipment.
If you decide to sell on Poshmark, you'll have to package and ship the orders yourself. Buyers pay a flat rate of $7.67 for expedited delivery on all orders — your only job is to download the USPS Priority Mail shipping label received by email, package the items, and drop them off at the post office.
About 3% to 4% of the company's revenue comes from shipping labels. Sellers don't have to pay for shipping unless the package is over five pounds.
If your products exceed the weight limit, log in to the Poshmark app and request a new label. The difference in shipping costs will be deducted from your earnings.
Pro tip: Use Pixelcut to create beautiful designs for your packaging, Thank you cards, and promotional materials. The app features hundreds of templates, font styles, and special effects you can use to personalize your images.
Shipping on eBay is a little bit more complicated, especially for vendors with a global audience. Here are some options to consider:
With the latter option, you can print up to 100 labels at once and ship your products to 210+ countries via FedEx, USPS, or UPS.
International sellers can also register for the Global Shipping Program (GSP) to have their packages shipped to other countries from a local or national delivery center owned by eBay.
Alternatively, you may offer local pickup services. This can be a great choice for casual sellers and small business owners. Plus, you can give buyers the option to pay on pickup.
Last but not least, sellers can partner up with Deliverr, Shipwire, or other companies offering eBay fulfillment services. With this option, you'll have your products stored and shipped by a third party.
eBay and Poshmark charge selling fees based on the listing price, among other factors.
Poshers pay a flat fee of $2.95 for all orders under $15 or 20% for sales of $15 or higher. You'll also be charged extra for shipping if your package exceeds five pounds. All sales are final, meaning that buyers can return a product only in exceptional circumstances.
eBay fees depend on the number of products listed, their price, shipping options, and more.
Vendors who list more than 250 products for sale in a given month are charged $0.35 per listing. When you make a sale, you pay 12.9% of the item's price (depending on the product category), plus a flat rate of $0.30 per order.
You may also have to pay a PayPal fee for each order, as well as additional fees for listing upgrades, such as:
Also, note that some product categories are subject to different fees than those listed above.
For example, book vendors pay 14.6% of the sale price, plus eBay listing fees (for 250+ listings per month). The fees may also vary based on whether you opt for auction-style or fixed-price listings.
Merchants who start an eBay store pay lower fees, but they’re charged a monthly subscription. Currently, there are five different plans starting at $4.95 per month. The listing fee is as low as $0.05 for those operating an Anchor or Enterprise store.
Once you've made a sale on Poshmark, you must wait for the buyers to receive the order and mark it as completed. The funds will appear in your balance within three days.
Next, you can withdraw the money to your bank account. The company can also send you a check via USPS First Class Mail. It's that simple!
With eBay, you won't have to withdraw your earnings. Instead, you'll receive the money directly from buyers.
The platform supports PayPal, Apple Pay, Google Pay, credit/debit cards, money orders, checks, and cash on pickup. Depending on what you sell, you may also accept Escrow payments, wire transfers, or other payment methods, such as Xoom and Fiserv.
Both Poshmark and eBay offer the tools you need to start a side hustle or grow your business, but which one should you choose?
The answer depends on your long-term goals and target audience. If you're a casual seller who just wants to make extra money, either platform will do the trick. However, eBay is a better choice for those looking to start a business and expand their reach later down the road.
Think of Poshmark as a social club where you can list items, rate products, engage in conversations, and discover new trends. Plus, you can make a side income and declutter your closet. At some point, you could turn your hobby into a business.
Joining Poshmark can also be a great way to test the waters. For example, you can try to sell a specific brand or type of product, such as designer tote bags. If everything goes as planned, take one step further and set up an eBay store or eCommerce site.
As far as the money goes, new sellers can make anywhere between $100 and $1,000 per month, said Poshmark Ambassador Nicole Couloute in an interview with Girlboss. The more time and effort you put in, the higher your earning potential will be.
Some vendors have monthly earnings of $4,000 or more, says super-seller Ediza Ferris. So far, she earned up to $3,000 per month.
Ferris notes that most users see an increase in sales after hitting 4,000 followers on Poshmark. She recommends listing at least 10 products when you start.
All in all, you can go ahead and sell on Poshmark as a side hustle, but don't expect to make a full-time income. If your goal is to start a reselling business, you'd be better off using eBay. Just make sure you understand its fee structure, return policy, and other aspects before getting started.
Again, it's perfectly fine to use both platforms so you can maximize your profits as a reseller. Think of it as an opportunity to build your brand and reach new customers in new markets.
Whatever platform you choose, it's crucial to optimize your listings and product images. Try to see things from the customer's perspective — bad product shots, vague listings, misspelled titles, and other issues can deter buyers and make it harder to sell your items.
For starters, make an effort to take high-quality photos from all angles. Later, you can sort them out and use Pixelcut to make edits.
If, say, you want to sell a dress, you can place it on a flat surface, take 10-15 photos, and then edit the best shots with Pixelcut. Our app allows you to remove or replace the background, crop images, adjust the contrast and brightness, add filters, and much more. Plus, you can batch edit your photos to save time.
Ideally, use a solid background or choose a theme and stick to it. For example, you can give your store a boho-chic look by using pastel colors, neutral backgrounds, and creative props like wicker baskets, pink roses, lace, and intricate decorations.
Consider the lighting, too. If you use a digital camera, select “Auto White Balance” to make the colors appear more natural, regardless of the light source. For best results, use soft, diffused lighting. See these product photoshoot ideas for more tips!
Note that both eBay and Poshmark have specific rules when it comes to product photography.
For instance, eBay doesn't allow images with added borders, text, watermarks, or marketing messages. Poshmark requires a cover shot, plus more detailed photos from different angles.
Generally, it's best to show one product per image. There's nothing wrong with including a dress and necklace in the same photo, but you should take some close-ups, too.
So, are you ready to jump on the bandwagon and create your first listing? Whether you decide to sell on eBay or Poshmark, use Pixelcut to get your listings noticed!