The Ultimate Guide to the Poshmark vs. eBay Debate

Introducing First: Poshmark

Poshmark is one of the most popular online marketplaces for buying and selling both new and pre-owned items, with over 80 million users. More than 200 million items, including anything from electronics to designer clothing, are available on the site. Customers in the United States, Australia, Canada, and India make up the bulk of its intended market.

The business was founded in 2011 as an online marketplace for clothing and accessories. These days, it sells essentially anything you can imagine. Depop, Amazon, eBay, Mercari, and OfferUp are just a few of the sites that directly compete with it.

You can quickly get the information you require thanks to the platform’s neat and user-friendly layout. The Poshmark app and the corporate website are both available to customers. In the first two months of 2022, the Poshmark app saw over two million downloads.

Poshmark is another online marketplace where people can sell their wares crafted by hand. However, it focuses mostly on apparel and footwear, both new and pre-owned. But that’s not all; customers can also buy electronics like cellphones, computers, cameras, and more, either brand new or pre-owned.

Posh parties can also be held and attended online. These in-person sales events feature only one brand or type of merchandise, such as jewelry, electronics, or jeans.

Sellers that “join” the party increase the visibility of their ads, while buyers increase their odds of finding a good deal.

Understanding eBay

Since its launch in 1995, eBay has grown to include millions of items from millions of sellers worldwide. It’s been around for a long time and is now the second largest online marketplace (behind only Amazon). More than 142 million customers in 190 different countries have purchased it thus far.

Half.com was purchased in 2000, PayPal in 2002, Skype in 2005, StubHub in 2007, Milo.com in 2010, Magento in 2011, and Qoo10.jp in 2018. In 2015, PayPal, one of the most widely used online payment systems, officially severed ties with eBay.

The eBay app first appeared in 2008, and subsequent years saw the introduction of features like ShopBot, Bill Me Later, and the Seller Hub.

eBay is far more involved than Poshmark and comparable platforms since it provides the resources necessary to establish a business from scratch. Start an online store, sell expensive things, make auction-style listings, survey potential customers, and analyze sales data with this flexible platform.

Data-driven insights on customer behavior, market trends, and critical metrics like sell-through rate and impressions will be provided to you as a retailer. Furthermore, shops can use potent advertising resources and a variety of funding methods.

Settling the Debate!

Both eBay and Poshmark offer many advantages for merchants, but they do so in different ways.

Depending on your needs, you may choose to go with one over the other. Selling a few T-shirts or bracelets is far easier than listing and promoting hundreds of products from dozens of different manufacturers.

You can begin using either site if you are an entrepreneur or if you want to sell used goods. Setting up a new seller profile and listing your products takes only a few minutes, but your company’s requirements may evolve over time.

So, before you join the bandwagon, here’s what you need to know about Poshmark vs. eBay.

User demographics

As a vendor, you need to know who you’re selling to so you can effectively communicate with them. When you’re done, you’ll be in a far better position to select an online marketplace that speaks to your ideal customer. In addition, your advertising efforts will perform better.

Start with Poshmark, shall we? About 80 million people in the United States, Canada, India, and Australia use the site. Millennials, and notably young women, make up the bulk of its user population.

eBay has a larger user base and is available in more countries. Around 61% of consumers fall into the age range of 35-64. Therefore, Generation X and Baby Boomers make up the bulk of eBay’s customer base.

Poshmark is a popular destination for shoppers interested in purchasing gently used or pre-owned brands and items.

On the other side, 16.4% of all eBay purchases are made up of electronic goods that people are selling. Following automobiles, health and beauty aids, and then sports gear, apparel is the second most sought after category.

Shipping

Poshmark requires all sellers to handle packaging and shipping of items. All expedited shipping orders are $7.67, and the buyer is responsible for printing and attaching the USPS Priority Mail mailing label they receive through email before delivering the parcel to the post office.

Shipping labels account for roughly 3–4% of total sales. Except for packages heavier than five pounds, sellers are not responsible for shipping costs. Log in to the Poshmark app and request a new label if the total weight of your items is going to be higher than the maximum. Your earnings will be reduced by the shipping cost difference.

eBay sellers with a global customer base face some added shipping challenges. Here are some potential solutions:

• Determine the shipping charges based on the buyer’s location using eBay’s shipping calculator.
• Compare shipping costs with similar vendors, and pick a method (or several) that works for your company.
• Add the cost of shipping to the price of the product.
• To save time and money, register for eBay’s worldwide standard shipping and utilize eBay labels.

The latter enables you to print a batch of 100 labels at once, ready for distribution by FedEx, USPS, or UPS to more than 220 countries.

If you are an international seller, you can take advantage of eBay’s Global Shipping Program (GSP) to send items internationally from a fulfillment center in your country or another one.

You could also arrange for local pickup. For the one-man or one-woman shop, this may be the best option. In addition, you can accept cash or check payments at the time of collection.

Finally, sellers can team up with fulfillment partners like Deliverr and Shipwire to ensure orders are processed quickly and accurately through eBay. A third party will handle inventory and distribution if you choose this route.

Seller fees

Both eBay and Poshmark include selling fees that are calculated in part by the item’s listed price.

Poshers are responsible for a flat fee of $2.95 on any orders under $15, and 20% on all sales over $15. Shipping costs will increase if your package weighs more than five pounds. There will be no returns accepted under any circumstances since all sales are final.

eBay charges a percentage of the sale price for each item sold, plus additional fees for various shipping and handling options.

There is a monthly fee of $0.35 for sellers who list more than 250 items. Payment for each successful sale is 12.9% of the item price (varying by category) plus $0.30 per order. There is also the possibility of additional fees for listing enhancements and PayPal transaction fees for each order:

• Listing subtitles
• Scheduled listings
• Promoted listings
• Photo galleries
• Bold fonts

Please note that the above costs do not apply to all product categories. Booksellers, for instance, must factor in eBay’s listing costs (for 250+ items each month) in addition to 14.6% of the sale price. If you choose a fixed-price listing instead of an auction one, you may save money.

The initial fees for opening an eBay business are lower for merchants, but they must pay a monthly subscription fee. There are currently five options, with monthly prices starting at $4.95. If you own an Anchor or Enterprise shop, the listing charge is as cheap as $0.05.

Payment options

You can’t move on to further sales on Poshmark until your customers have received their purchases and marked them as fulfilled. Within three days, the money should be available in your account. The next step is to have the funds transferred to your bank account. If you choose, the company can send you a check via regular mail. That’s how easy it is!

With eBay, money earned is not subject to withdrawal. Instead, customers will pay you directly. PayPal, Apple Pay, Google Pay, credit cards, debit cards, money orders, cheques, and cash on pickup are all accepted on the site. You can take Escrow, wire transfers, and other payment options like Xoom and Fiserv, depending on what you’re selling.

Customer service

Emailing Poshmark for assistance can take up to two days to be answered, and sadly, most of their responses are rather generic. If you have trouble with your listing, payment, etc., this can be a difficult situation.

When compared to this, eBay’s phone-based customer support means you may get your questi犀利士
ons answered and your problems solved faster than ever before. From 5 AM to 10 PM (GMT -10), you can reach someone from customer support by phone.

Once the customer receives your goods, Poshmark handles all returns and refunds for you. Unless a buyer files a case against you (for a misrepresented product, damaged item, etc.), the funds will be transferred immediately into your Poshmark account.

On eBay, though, you can choose to make a return if you so choose. Retailers are not obligated to accept returns. Even if you explicitly say “no returns” on your offering, buyers still have 180 days to request a refund through PayPal.

So, Which Should You Pick?

Poshmark and eBay both provide resources for starting and expanding a business, but how do you decide which one is for you?

The answer is contingent upon your intended audience and ultimate objectives. If you’re just a casual seller looking to make some additional cash, you can do so successfully on any platform. If you want to establish a business and eventually develop your customer base, though, eBay is the way to go.

Poshmark membership is a terrific opportunity to try before you buy. You can focus on selling a certain brand of designer tote bags, for instance. If that goes well, the next step is to open an online shop, such as on eBay or another similar platform.

You can certainly try your hand at selling on Poshmark as a hobby, but you shouldn’t count on it to replace your day job. If you want to start a business dealing in used goods, eBay is the place to do it. Be sure to read the fine print on cancellation and refund policies before signing up on either platform.

It’s fine to use both systems if that helps you make more money as a reseller, too. Imagine this as a chance to expand your consumer base and break into untapped markets. Diversity is the key to success on the internet.