Poshmark is a reputed social commerce marketplace that is exclusively meant for buying and selling clothing. Poshmark entered the market in 2011 and has become a million-dollar retailer. With consistent performance, Poshmark has doubled its revenue from 1$ billion to 2$ billion in 2019. Users who have higher attraction towards fashion will definitely enter Poshmark for buying and selling clothing. This marketplace has a greater community as it holds 7 million sellers and 40 million total members.
How Does a Marketplace Like Poshmark Work?
Before you plan to build a marketplace like Poshmark, you need to understand how it works.
Become a member in Poshmark and start listing your products. You can add the product image and give a proper description. After adding products you need to attend a Posh party that is a virtual shopping party conducted through the poshmark app. You can browse and search products and buy them through the app.
Once you order the product, the shipping process continues. Marketplace like Poshmark follows hassle-free shipping and ensures on-time delivery of the product. Also when you shop on sites like Poshmark for home décor you can experience secured shopping as the platform is highly guarded against hacking and other malicious threats.
The Core Features That Makes Poshmark Successful
- User Authorization Is Required – marketplace like Poshmark requires user authorization for the login process. Users can have social media account credentials to login with Poshmark, Canada.
- Sellers Have Individual Pages – dedicated dashboard and an active page will be given to each seller and this will help them to analyze and understand how their business is working well with apps like Poshmark.
- Sellers Have Listing Pages – easy listing is possible with app like Poshmark in Canada. With a few clicks, users can add their product to the platform.
- Item Search – advanced search option is built with apps like Poshmark and users can easily get on their product page through an easy search feature.
- Product Preview – this is one of the essential features that make apps like Poshmark to be successful. This will help buyers to understand clearly about the product before they and this will reduce product returns.
- Secure Payment Options – comfortable payment gateways are the key success for apps like Poshmark. Users will feel secure while shopping on sites like Poshmark for home décor.
Revenue Model of an App like Poshmark
All marketplaces depend mainly on its revenue model to survive in the market. An app like Poshmark can do well in profit as they are integrated with multiple revenue streams. Now let us check out the revenue model of an app like poshmark in Canada in detail.
- Seller Fees – this is the basic and common practice that is widely in use in many major marketplace platforms. A fee is charged on sellers when they make money through the marketplace like Poshmark. This will also not burden sellers as they have to pay only when they earn.
- Shipping Fees – for every order, a shipping fee is charged to buyers and the shipping fee is flat at $6.79 per package. On certain occasions, you can expect some special discounts and offer on the shipping fee.
- Payment Processing Fees – for every transaction, a marketplace like Poshmark charges processing fees. The transaction fee differs for each transaction and it depends on the order value.
- Promoted Listings– sellers will be charged additionally to promote their listing and make it visible to their target audience. This will increase the lead count for sellers and so they will be eager to invest in this process.
- Fees for Adding Listings – just for adding products in their listing, sellers need to pay a fee to a marketplace like Poshmark. This is a good source of revenue for the platform as every seller will keep adding products frequently.
Building a Successful Marketplace like Poshmark
More attention is needed while developing an app like Poshmark. You need to make sure that you have integrated all extensive features while building apps like Poshmark in Canada. Let us check out the key aspects that need to be considered in the development process.
Focus on better user experience – happy users will increase your profit and it is very essential to delight users by providing a better user interface that will be device compatible. When you consider apps like Poshmark, they provide quick shipping that will facilitate users to receive products they order quickly. Thus better user experience is shared.
Build a community – you need to allow people to share their views and suggestions about their shopping experience with your platform. This will increase your platform credibility and will get you more visitors as the same strategy is being used in marketplace like poshmark and have also succeeded.
Prevent scams and inauthentic items – there are wide chances of receiving fake goods especially when you deal with fashion and clothing accessories. This will affect your platform reputation. Apps like poshmark have restrictions and will not deliver the payment to the seller until the buyer acknowledges the product. This will avoid fake items to be sold through your platform.
How Much Does it Cost to Developing an App Like Poshmark?
Costing is the major factor that any entrepreneur will look for when they start planning to build a marketplace like poshmark. But costing differs according to the requirements of the user. Since the marketplace is customizable you can explain your requirement to the developer and can get what you want for your marketplace. Still you can build a marketplace like poshmark in two common ways.
One way is to build it from scratch and that will take more time for completion. But you can carve the platform in the way you want. This method is quite costly as you need to hire a perfect developer who has enough experience in this field and can deliver you a flawless marketplace like poshmark.
Another way is to go for a ready-made solution. You can find ready apps like Poshmark in the market that are already built and ready for launch. You can buy that readymade software and can immediately launch your marketplace and can start getting visitors to your platform. This can be a one-time investment and holds all necessary features and will give you a perfect marketplace like Poshmark. The cost is very affordable and it is highly recommended for startups.
Hope you have gained enough knowledge about the Poshmark home décor marketplace and the features it inherits. Give more effort in promoting your marketplace so that you can easily reach your target audience and gain more organic traffic that will increase leads and get you better conversion.