🛍️ ThredUp’s New Marketplace Launch
ThredUp, a major player in the secondhand apparel market, has launched a new peer-to-peer marketplace. This new platform, currently in beta, allows users to list and sell their own items directly, challenging established platforms like Poshmark and Mercari. The marketplace was discovered by Danielle Vermeer, founder of the thrifting app Teleport, and is accessible through the “Sell” tab on ThredUp’s website.
📈 ThredUp’s Strategy Shift
This new marketplace marks a significant change from ThredUp’s current model, where the company handles inventory and sales. Now, sellers upload photos and details of their items, keeping them listed until they are sold. This peer-to-peer format is seen as a move toward profitability, especially given ThredUp’s recent financial struggles. In 2023, despite record revenue of $322M, ThredUp reported a net loss of $71M.
💰 No Seller Fees—For Now
One of the most notable features of ThredUp’s new marketplace is the absence of selling fees during the beta phase. This contrasts with competitors like Poshmark, which charges up to 20% on sales over $15, and Depop, which charges a payment processing fee. ThredUp’s approach aims to attract more users by offering a cost-free selling experience, at least initially.
🌍 ThredUp’s Global and Domestic Focus
This move comes shortly after ThredUp’s announcement to exit the European market, following disappointing second-quarter earnings in 2023. ThredUp's European revenues fell by 18%, leading the company to focus on the more promising U.S. market. With over 1.6M active buyers, ThredUp’s peer-to-peer marketplace could help the company refocus and grow domestically.
Will ThredUp’s new marketplace reshape the resale industry?
