UPDATE: Poshmark Listens: Fee Rollback Announced After User Feedback
In a welcome turn of events, Poshmark has decided to roll back to its original fee structure. Starting October 24, 2024, sellers will once again see the familiar rates: $2.95 for sales $15 and under, and a 20% fee for anything over $15.
As for the Buyer Protection Fee and the Posh Pass Beta program? They’re out. Sometimes it’s best to stick with what already works, and Poshmark seems to have gotten the memo.
Sellers, you can breathe a little easier—things are (mostly) back to normal.
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Hey Poshers! Exciting changes are happening in the reselling world, and Poshmark has just rolled out a new fee structure that could impact how you sell your items. Let’s dive into what this means for you as a seller and how it compares to the previous system.
Previously, Poshmark had a straightforward commission model:
While this was simple, it meant that sellers paid the same percentage regardless of the item's price, which wasn’t always fair for high-value items.
As of October 3, 2024, Poshmark has introduced a tiered commission structure designed to benefit sellers of higher-priced items. Importantly, the new fees are calculated based on the total order amount, which includes taxes and shipping. Here’s how it works:
Order Value Flat Fee Commission
$0 - $15 $1 5.99%
$15.01 - $50 $2 5.99%
$50.01 and above $3 5.99%
Let’s look at some scenarios to see how the new structure plays out under a scenario of California sales tax (assumed rate of 7.25%) and Poshmark’s flat shipping cost of $7.67:
While the new fee structure primarily affects sellers, it also has implications for buyers:
Poshmark's social shopping experience has always made it unique among online marketplaces. By lowering seller fees, Poshmark is likely to see more sellers listing high-value items on the platform. This could lead to more desirable inventory, which in turn may attract more buyers.
These premium items often hold their value longer, potentially increasing user engagement and strengthening Poshmark's community-driven approach. However, it's unclear how buyers will react to the new fees they'll have to pay, especially with other resale options like Depop, Vestiaire Collective, TheRealReal, and ThredUp available.
The overall impact on Poshmark's marketplace dynamics will depend on how both sellers and buyers respond to these changes in the coming months.
At Carouge, we understand that keeping track of different fee structures across various resale platforms can be challenging. Whether you’re a shopper or a seller, we're here to help you navigate these changes and understand the value of closet. Easily compare retained commissions across platforms like Poshmark so you can make informed selling decisions (if you choose to resell).
UPDATE: Poshmark Listens: Fee Rollback Announced After User Feedback
In a welcome turn of events, Poshmark has decided to roll back to its original fee structure. Starting October 24, 2024, sellers will once again see the familiar rates: $2.95 for sales $15 and under, and a 20% fee for anything over $15.
As for the Buyer Protection Fee and the Posh Pass Beta program? They’re out. Sometimes it’s best to stick with what already works, and Poshmark seems to have gotten the memo.
Sellers, you can breathe a little easier—things are (mostly) back to normal.
------------------------------------
Hey Poshers! Exciting changes are happening in the reselling world, and Poshmark has just rolled out a new fee structure that could impact how you sell your items. Let’s dive into what this means for you as a seller and how it compares to the previous system.
Previously, Poshmark had a straightforward commission model:
While this was simple, it meant that sellers paid the same percentage regardless of the item's price, which wasn’t always fair for high-value items.
As of October 3, 2024, Poshmark has introduced a tiered commission structure designed to benefit sellers of higher-priced items. Importantly, the new fees are calculated based on the total order amount, which includes taxes and shipping. Here’s how it works:
Order Value Flat Fee Commission
$0 - $15 $1 5.99%
$15.01 - $50 $2 5.99%
$50.01 and above $3 5.99%
Let’s look at some scenarios to see how the new structure plays out under a scenario of California sales tax (assumed rate of 7.25%) and Poshmark’s flat shipping cost of $7.67:
While the new fee structure primarily affects sellers, it also has implications for buyers:
Poshmark's social shopping experience has always made it unique among online marketplaces. By lowering seller fees, Poshmark is likely to see more sellers listing high-value items on the platform. This could lead to more desirable inventory, which in turn may attract more buyers.
These premium items often hold their value longer, potentially increasing user engagement and strengthening Poshmark's community-driven approach. However, it's unclear how buyers will react to the new fees they'll have to pay, especially with other resale options like Depop, Vestiaire Collective, TheRealReal, and ThredUp available.
The overall impact on Poshmark's marketplace dynamics will depend on how both sellers and buyers respond to these changes in the coming months.
At Carouge, we understand that keeping track of different fee structures across various resale platforms can be challenging. Whether you’re a shopper or a seller, we're here to help you navigate these changes and understand the value of closet. Easily compare retained commissions across platforms like Poshmark so you can make informed selling decisions (if you choose to resell).
