How Much Money You Get For Thredup

Poshmark vs. thredUP for Selling

Poshmark and thredUP are both well-known platforms for selling to make extra money, simply they operate very differently. This post provides a comparison of Poshmark vs. thredUP for sellers and then that you tin can decide where y'all desire to sell your items.

Disclosure: This mail contains affiliate links. This ways that I may receive compensation when y'all click on a product link or buy an detail linked on this site. Click hither for details.

** If y'all don't accept a Poshmark account, you can receive a costless $ten bonus when you sign up with my code SFGIRL2015.

** If you don't have a thredUP account, yous can receive a complimentary $10 bonus when you use this link to sign upwards.

FYI: thredUP and Poshmark policies and procedures are e'er changing. I try to keep the information here upwardly to date, just the latest changes may non be reflected in this post. Review the companies' websites for the latest information.

Permit'south dive in!

Poshmark and thredUP are two online marketplaces for selling new and used clothing, shoes, and other items.

Inventory: How companies obtain and store items

Poshmark: The seller maintains all inventory. You can think of each apartment or house as a little warehouse of its own. Sellers joke most their "Posh rooms" and share pictures of their inventory taking over their houses.

thredUP: thredUP houses all the inventory they sell in warehouses around the country. They get their items from people like you lot and me sending in our clothes and other goods.

The first stride is to order a cleanout bag from thredUP. You fill information technology out and send it dorsum to them with the pre-paid shipping label. Y'all accept several options for types of bags:

Standard purse – free. Your handbag is likely to take a longer processing time.
Expedited handbag - $xvi. Your pocketbook is supposed to be processed within one week of arrival at a warehouse but tin can take longer.
Donation bag – free. Your items are donated to charity and a revenue enhancement receipt will be sent to you.

The processing time varies regardless of which pocketbook y'all choice. I've heard of processing taking anywhere from a few days to half-dozen+ months. It depends on which warehouse receives your bag, if at that place'southward a backlog, and other factors such equally COVID procedures.

thredUP processes your bag meaning they look through what you sent in and select what they want from it to sell. They accept items on consignment, meaning you get paid when the particular sells and the transaction is completed. More on this below.

What about the things that are not accepted?

When picking the bag that you want, you can determine if you want return balls for an additional $ten.99. thredUP will return the items they don't select dorsum to you.

Any costs related to selecting a bag or return assurance are deducted from your earnings.

Otherwise, thredUp distributes, resells, or recycles unaccepted habiliment.

Inventory: What'due south allowed for sale

Poshmark: Poshmark allows women's, children'southward, and men'due south fashion and accessories, new personal intendance products, select home goods, and select pets' items. I've seen lots of jewelry, makeup, children's toys, and dining ware.

The list of allowed items grows as they expand into new categories. Any make is immune as long as it fits in one of those categories.

thredUP: thredUP accepts women's and children'southward vesture as long as it has a size tag. Specific categories include dresses, jackets, activewear, and backpacks.

They don't permit categories such as sleepwear, undergarments/slips, and jewelry. You can accept a look at this list to see the many categories of items they accept and don't accept.

Since your items are inspected by thredUP, it makes sense that your items are more likely to be accepted if they're more than electric current styles, clean, and in good condition.

thredUP is non accepting fast fashion from new sellers as of Dec 2021. While they don't mention specific brands, examples of fast fashion brands include F21, H&Chiliad, and Way Nova.

Listing items & Pricing

Poshmark: The seller does all the work listing and pricing items. This requires time and possibly materials like a body form and a lighting kit if you lot need them.

If you're a seller who is looking to become rid of items from your dwelling house closet and don't intendance how much yous make, you can price your items based on your preference and how quickly you desire to sell.

If you're a reseller looking to maximize your profits, you lot'll need to spend some time researching sold prices of your items to price them competitively.

Listings can stay up indefinitely. I've had items stay upward in my Poshmark closet for over 1-ii years.

3-PM+pricing-min.png — Poshmark'due south listing template showing earnings when sold

thredUP: thredUP does all the work of listing and pricing for you lot. They take pictures of items. Clothes are shown on a torso grade with good lighting. Most items only get 2-3 pictures though.

As a seller who likes to describe items thoroughly, I don't think 2-3 pictures are enough to show used items well. They may describe an particular stating it has minor pilling but don't show information technology in a motion-picture show.

Pricing is set past their algorithm based on past sales for that brand and other criteria they have set. Y'all have some control of pricing. Some tips:

Check that your items are listed under the correct brand. If you're selling St. John article of clothing, brand sure it's listed nether the high-finish brand St. John and not the JCPenney make St. John's Bay.
Bank check the price of your items. At that place'due south currently a 12-hour window to edit the price of an detail after the detail has been accepted. Then at that place'south a 12-hr bidding window, where the price is uneditable. The cost can be edited again later on that.

If you raise the recommended price by 50% or more than, you'll pay $5.99 per item to repossess the item if information technology doesn't sell. This is to keep items reasonably priced for buyers. More on this below.

Listings stay up for 60-90 days depending on the brand.

thredUP listing windows — thredUP list windows

Promotion

Poshmark: Poshmark does the major advertising like Boob tube commercials and online ads to attract buyers, merely sellers do the in-platform promotion to make the sales. Poshmark has several promotional tools available for sellers to effort to brand sales:

Closet Clear Out – On designated days, sellers driblet the price of items meeting Poshmark's criteria, and buyers will go discounted shipping on the detail. It's unremarkably a few dollars departure in the aircraft price, but it's covered past Poshmark.
Offers to Likers – Sellers tin can make an offer to people who similar an item at whatever time. The offer has to include a shipping discount and so that sometimes entices people to purchase.
Bundle discounts – Sellers can automate discounts on bundle purchases of a certain number of items from their closets.

The Offers to Likers and Bundle discounts event in the seller roofing the difference in costs, therefore making less money.

thredUP: thredUP does the advertising that brings buyers to the platform and influences pricing promotions. They price items and sellers can modify that price within a certain limit.

You lot might notice that thredUP often has discount codes or promotions. Those discounts encourage people to buy, but your earnings are reduced upwards to 20%.

Aircraft

Poshmark: Sellers take to have aircraft supplies and be familiar with Poshmark shipping procedures, although it'due south relatively piece of cake compared to many other platforms.

Poshmark sends yous a aircraft characterization that the buyer paid for (up to five lb). You adhere information technology to a mailer or box and ship it off via USPS.

Poshmark uses only USPS Priority mail service. You lot can get free Priority shipping boxes and envelopes through USPS.

Once yous're familiar with how their shipping works, you'll have no trouble doing it.

Order free USPS shipping materials to use on Poshmark sales — Order complimentary USPS shipping materials to use on Poshmark sales

thredUP: thredUP handles all the shipping, so this one is no piece of work for sellers. Items are sent wrapped with tissue paper set in a polymailer or box.

Committee structure

Poshmark: Poshmark takes a flat rate of $2.95 on items sold below $fifteen and xx% items on items sold at or above $15.

thredUP: The commission or payout structure is more complicated for thredUP and varies by listing price.

For example, if your item sells for $five-$19.99, you'll receive a 3%-xv% payout. It goes upward from there. If your particular sells for $200+, you'll receive lxxx%.

What does this mean?

If you sell something for $19.99 with a 15% commission, you would make $2.99. If yous sell something for $200, you'd make $160. See below well-nigh selling strategy for more on this.

You can see the chart below for more detail and go to this page to use their payout estimator.

Payment: When & how do y'all go paid?

Poshmark: Buyers take 3 days after an item is tracked as received to open a case for return.

If non, the transaction is finalized on the 4th day, and funds are transferred to the seller. Buyers tin take a packager earlier and the seller will receive payment before.

Sellers tin withdraw the coin via direct eolith to a bank account or request a check. Funds accept ii-3 business days to transfer via direct eolith in one case requested.

thredUP: Sellers go paid 14 days after an item is tracked as delivered because buyers have a 14-twenty-four hours return window.

Sellers can withdraw the coin via PayPal or Stripe direct deposit.

PayPal: ii% transfer fee
Stripe: $0.25 and 1.5% transfer fee

Earnings remain in an business relationship for 1 twelvemonth. After that, they are converted to an east-souvenir carte du jour to exist used on thredUP.

thredUP consignment timeline showing when you get paid — thredUP consignment timeline showing when you become paid

Customer returns

Poshmark: Poshmark's policy is that no returns are accustomed unless the item never ships or is not as described in the listing.

If a buyer opens a case for a render, Poshmark volition notify the seller nearly the case, and the seller can then provide additional information and pictures. A Poshmark employee and so decides the case, and that's the end of it.

This sometimes goes the fashion of the buyer and sometimes the seller. If a return is granted, Poshmark provides the buyer a aircraft label. The heir-apparent gets a refund when the item is tracked every bit delivered back to the seller.

thredUP: Buyers can initiate a return within xiv days of delivery unless the item was marked a final sale. Once the item is returned to thredUP, information technology goes back upward for auction.

I've heard sellers say that the item is listed for the amount of time it had left before the sale.

Reclaiming unsold items

Poshmark: Sellers go along all the inventory, so in that location'southward no need to reclaim anything.

thredUP: Items are listed for 60-ninety days depending on the brand. It's important to go along an center on when those items expire and reclaim them within the vii-day window before they elapse.

If the items expire, they belong to thredUP and are non able to be reclaimed. Sellers can no longer use their points (earned by shopping) for complimentary shipping hither.

Information technology costs $5.99 total to have upward to 30 items returned after their 60-day or 90-24-hour interval list window is completed.

If you raised the price of whatever detail by l% or more than from its recommended price, it costs $5.99 per each of those higher-priced items.

Buyer & seller facts

Poshmark: Here are some numbers based on Poshmark'southward SEC filing dated December 17, 2020:

31.seven million agile users as of 9/xxx/twenty
6.ii million agile buyers equally of 9/30/20
4.5 meg active sellers as of 9/30/20
The average club value in 2019 was $33.
87% of purchases were preceded past a similar, comment, or offer in 2019.

thredUP: Here are some numbers as of December 31, 2020, based on thredUP's SEC filing:

1.24 million active buyers
428,000 active sellers
80% of orders in 2020 were by repeat buyers.
The average lodge value was $68.95 with approximately 4 items in an gild.
Active buyers fabricated an average of 3.two orders in 2020.

Additional thoughts

1) You accept to choice one or the other platform at least to start.

Information technology'south impossible to sell on both marketplaces at the aforementioned time. Many sellers do both sequentially. Here are two examples what of sellers can do with their items:

Outset by selling on thredUP -> reclaim items -> list to Poshmark -> yard auction or donate items that don't sell.

Outset by selling on Poshmark -> send items that haven't sold in a certain amount of time to thredUP -> reclaim items -> list once again to Poshmark and other marketplaces.

2) How much time do you lot have?

1 of the major differences between Poshmark and thredUP is the amount of time (and effort) required to sell items.

If you accept the time and inclination to sell, Poshmark might be all-time for you lot. Y'all have to set up apparel to sell, take pictures, write descriptions, price items, pack items away, and ship them when they sell.

At that place's some learning involved to optimize your listings and brand the most sales you tin.

If you are limited on time, thredUP may be the way for y'all. You can be easily-on or easily-off in the selling process.

Hands-on would exist making a spreadsheet of everything y'all transport in, taking pictures of items in case they are damaged or lost, checking updated processing dates, checking reclaim dates, adjusting prices of items, and checking to become paid.

You tin can be hands-off and not do those things, although they may ensure against the disappearance of items and assist yous make more money.

3) How much money do y'all want to make?

The tradeoff and so is profit. In general, y'all volition brand more than money with Poshmark because their commission is lower. Yous keep lxxx% of sales $xv and up. That makes sense since yous are doing most of the work of selling.

But in that location is potential to make money on thredUP too, especially if you tried selling items elsewhere and they didn't sell. More oft than not though, you will brand more coin on Poshmark than on thredUP because of their committee structures.

iv) Do the math

Do the math to see what's most worth it for you. The math is piece of cake on Poshmark and more than complicated on thredUP.

On Poshmark, if you have several height make items like Female parent jeans and Farm Rio dresses, they're going to sell and you're going to want to keep 80% of those sales.

On thredUP, you'll want to enter your items into the payout calculator. Don't forget to factor in other possible costs:

$16 expedited processing fee
$10.99 for return assurance
$v.99 to repossess upwards to thirty items
$5.99 to repossess each item whose price was raised 50% or more than

Fees eat away at profit, so attempt to keep your costs and fees as depression as possible.

5) Track your items

Continue runway of every item you sell no matter which platform you use. Rail information such as

The item'south proper name
Amount it cost to learn
Items sent to thredUP
Dates items sold
Commission & payout

Engineering has glitches and mistakes happen. You have to take hold of the mistakes that would otherwise toll you sales and profits.

I've as well read of many sellers who have had items lost or damaged. You'll need to keep track of your items and their condition so that you get the advisable payout if anything happens to them.

The payout will be small, nowhere most the retail value or what you thought was the potential sale value of the particular. That's another risk with sending your items to someone else to sell.

6) Selling strategy

thredUP's change to its policies and procedures in late 2020 made it more than difficult for resellers to profit from selling on thredUP.

I heard people used to source items specifically to transport to thredUP. That might have been items that are new with tag purchased for $one or items bought past the pound at Goodwill Outlets.

With the changes such as the introduction or increase of fees for certain things, disallowing utilize of credits for costless shipping on reclaimed items, altering the payout structure, and lowering prices of items, many resellers are having to rethink their thredUP selling strategy or turning to other marketplaces altogether.

Some sellers are only sending in items that are probable to sell above a sure price similar $50 or $100. Use the payout calculator and comparable items already on thredUP to see if the payout is worth it to you.

An particular has to sell for approximately $27 to receive a payout of $5. Yous have to sell something for $xl to make $10, and that'due south if the buyer doesn't use a coupon code, or you'll exist making less.

If you sell an detail for $27 on Poshmark, you'll go on $21.threescore. And if you sell something for $40, you'll keep $32. That'southward a huge deviation!

Many sellers have pointed out that threduUP may still exist worth using for high-priced items. Selling an item for $200 will internet you $160 on both Poshmark and thredUP.

I mentioned a little in a higher place another mutual apply of thredUP, which is to sell items that oasis't sold on Poshmark or elsewhere in a certain amount of time.

Another common utilise of thredUP is to articulate your home closet of items you don't want to article of clothing anymore. Those items would have been donated, and then even a few dollars earned from selling those dress might be worth it.

Expect for more changes from thredUP as time goes on. thredUP is non favorable for resellers looking to make a consistent and significant profit from them.

You'll demand to examine the price of the items you source, how much you lot can send information technology, and your estimated profits to know if information technology's worth it for y'all.

7) Children's clothes

I don't find either platform great for selling children's clothes. People generally don't pay a lot for children'south clothes. So those apparel tin can sell, simply the payouts are low.

On Poshmark, selling children'south dress for under $fifteen incurs a $ii.95 fee. Buyers accept to pay shipping ($7.45 as of this writing) and possibly country sales tax.

Simply you prepare the toll and know the payout amount before your sell. You lot tin also offer bundles to make the sale more worth it for you and the buyer.

On thredUP, the payout is usually less than $i per children's detail.

Your all-time pick is to sell locally on Facebook Marketplace, in mom groups, and children'due south consignment shops.

8) Cross-listing items

Finally, it may seem similar I'm promoting but Poshmark hither. I do think Poshmark is the better selling pick when compared to thredUP primarily considering of the higher payout, but information technology's non the only option.

When you proceed your items to sell them for yourself, you have the opportunity to list your items to multiple marketplaces. This tin greatly boost your sales.

Some buyers stick to the aforementioned ane or two platforms like eBay or Facebook Market place to observe what they want. You can cantankerous-listing to those marketplaces.

Your items will likely testify up in Google searches, so you can become buyers that way likewise.

You tin cantankerous-listing manually. I've washed that and found information technology worthwhile when I didn't accept many items to cross-list.

After having almost 100 items, it ate upwards too much of my piece of work time. That's when I turned to cantankerous-list services.

I've tried Vendoo and ListPerfectly services to date. Both have their pros and cons merely will salve yous time cross-listing items and hopefully lead to more sales.

This post details my feel with Vendoo and this mail is about List Perfectly.

Wrap Up

As you tin run into, Poshmark and thredUP are very different marketplaces.

While there is money to be made selling on thredUP, following recent changes in its policies, information technology has become less favorable to sellers trying to sustain and maximize profits.

If you lot are interested in selling on thredUP, evaluate your items and calculate your earning potential. Practise the aforementioned with Poshmark and determine which is all-time for you to pursue first.

Good luck with your selling!

What are your thoughts on selling on Poshmark and thredUP?

Related posts:

Poshmark for Beginners Guide 2021
thredUP Mystery Box Review
thredUP Mixed Clothing Rescue Box Review
21 Top Brands to Sell on Poshmark in 2021
4 Essential Strategies to Make Poshmark Sales

By the way, I created a handout on 200+ tiptop-selling brands to know to aid you brand more sales. Take hold of your re-create below!

Source: https://www.frompenniestoplenty.com/blog/poshmark-vs-thredup

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