Poshmark vs Facebook Marketplace - How to Make Money With Ease
The best online selling platforms are Poshmark and Facebook Marketplace. Numerous sellers face a common dilemma, what to choose - Poshmark vs Facebook Marketplace. Which platform would be more profitable? Even though both platforms are popular, they are completely different in some crucial aspects. Find out what the pros and cons of each one are and how you can benefit from selling used items. Also, learn about our bonus tip about the perks of using cross-listing software.
Poshmark vs Facebook Marketplace - Let’s Introduce Both Online Selling Platforms
Poshmark, initially a hub for fashion enthusiasts to buy and sell their used unique and luxury clothing items, has evolved into a thriving community of 80 million registered users where sellers can offer home decor, accessories, and more. The main Poshmark's allure is the social features that make shopping an eventful experience. It is used in the United States, Canada, India and Australia.
On the other hand, Facebook Marketplace uses Facebook's vast user base, offering a space for shoppers to pour through numerous listings of different items. From electronics to furniture and even vehicles, miscellaneous stuff is sold on this multi-vendor marketplace platform. Today, it is estimated that about 250 million individuals use Facebook's Marketplace every month to shop.
Poshmark is designed for fashionistas and people looking for stylish and high-end finds. Even though it expanded into an online marketplace platform for home goods and accessories, at its core, it stresses the importance of fashionable clothing and luxury brands. The target audience is primarily fashion-forward individuals.
On the other hand, Facebook's Marketplace focuses on a diverse user base, and anyone shopping for anything is welcome on the app. However, sellers are generally required to sell to local users primarily since the target buyers are usually from the same community. It's focused more on showcasing listings from the buyer's nearby area.
When considering "how does Poshmark work" in terms of shipping, it's vital to note that the platform provides sellers with pre-addressed shipping labels, offering a unified shipping rate for buyers. The transactions are simplified in this way.
Conversely, Facebook's Marketplace shipping is arranged entirely by the seller. Most offer local pickups, while others ship to the buyer's address at an additional cost.
One of the deciding factors for most sellers is the fee structure. Poshmark's charges are a bit more complex. Items that cost $15 or less incur a flat rate of $2.95. But, for products that are priced higher than $15, the online seller needs to pay a commission fee, which is 20%.
On the other hand, when you post on Facebook Marketplace, listing an item is generally free for individual sellers, especially for local sales. In case Facebook's checkout feature is used, a selling fee might apply.
The Pros of Poshmark - Enjoy Numerous Additional Features
To truly understand what Poshmark is and how it can benefit resellers, it's essential to delve into its numerous benefits. Beyond being just a place for selling goods, it also blends e-commerce with social interactions. Sellers can actively participate in "Posh Parties," themed virtual events.
The platform's easy-to-use interface comes with tools like "Posh Stylist," allowing users to curate collections. On top of this, the integrated shipping system simplified logistics, while the robust rating and feedback system ensured transparency.
Watch the video below to learn important tips for reselling on Poshmark.
The Drawbacks of Selling Stuff on Poshmark
While one of the best online selling platforms offers numerous advantages, it's essential to be aware of some limitations. Here is a list that sheds light on some drawbacks.
- Niche market - It's not designed to offer a broad range of goods online, just fashion and apparel.
- Payment waiting period - Funds from a sale are not immediately available. They are sent after the buyer receives an item.
- Charges - Poshmark is one of the costlier sites, and for some sellers, fees eat into the profit.
The Pros of Facebook Marketplace - Sell Unwanted Stuff Quickly
So, can Facebook Marketplace work in your favor and bring success to your e-commerce business? Actually, yes, and mostly so for versatile resellers who want widespread visibility and quick sales. Given that Facebook has 3.03 million active users, 40% of them shop on the Marketplace and provide sellers with a wide range of potential customers. Furthermore, the hassles of shipping can be bypassed since the listings can be localized.
Drawbacks of Facebook Marketplace
Just like Poshmark, there are a couple of limitations that need to be considered when starting an e-commerce business. Some of the disadvantages are:
- No seller protection - When issues and disputes arise, the platform doesn't take part in resolving the issues.
- Scams and frauds - Since it is open and the user base is massive, instances of scams and frauds are more frequent.
- Lack of built-in payment system - The sellers and buyers are left to coordinate and negotiate the sales price on their own.
What Multi-Vendor Marketplace Platform Would Work For You?
Facebook Marketplace and Poshmark serve different needs within the digital reselling space. The Poshmark should be chosen by fashion enthusiasts who want to offer used or new accessories, shoes, bags, clothing, and beauty products. Its social shipping experience is something that can be profitable in the end as well.
On the other hand, making easy money on Facebook Marketplace is recommended to resellers who want to localize their listings and not bother with the shipping process. On top of this, offering a variety of vintage and old items is possible on this app.
Invest in a Crossposting Tool This Year and Put Your E-commerce Business on the Map
Fortunately, there is a way to circumvent making the decision. All you need to do is invest in online selling tools, especially a crossposting tool. In case you don't want to sell only on Poshmark and Facebook Marketplace, use crossposting software and sell on Etsy, eBay, Vinted, Shopify, and Depop as well. Even though it seems overwhelming, a multichannel listing software will showcase all listings in one inventory, so the whole process is simplified for the reseller. So, choose the best software to sell on both eBay and Depop, too - Zipsale. Sign up for the amazing crossposting app and make your new business grow.