2020: THE YEAR OF SOCIAL SHOPPING

In the past year, we’ve seen retail turn on its head as consumers embraced new ways to shop and started to think about their closets — what goes in, what comes out, and how quickly — in a radically new way. Social commerce and resale surged to the forefront as more and more consumers sought out peer-to-peer platforms like Poshmark to shop their favorite brands and discover new ones. 

 

Our rapidly-growing community of 60 million users in the U.S. and Canada is a reflection of the momentum that's building around these trends — and we tapped a number of them for insights and feedback to help shape this report. Inside you’ll find data on changing shopping behaviors across generations, a breakdown of the modern revolving closet, an in depth profile of the Gen Z shopper — an increasingly influential force in retail — and much more. 

I've always known that peer-to-peer engagement is critical to commerce. It makes shopping fun, personal, and human again, while also creating countless opportunities for a new generation of retailers, influencers, and brands to succeed. There is, undoubtedly, tremendous untapped potential that resides in consumers' closets. To date, over 100 million orders have been placed on Poshmark alone. And I believe we haven't even scratched the surface.

 

This retail evolution will only continue as we embark on a new decade, but one thing we're sure of is that social shopping is here to stay.

METHODOLOGY

Poshmark’s Social Commerce Report contains findings from a consumer survey conducted by Zogby Analytics, a research and analytics firm. Zogby Analytics’ assessment of the social commerce landscape was determined through a comprehensive online survey of 8,573 respondents: 1,006 adults ages 18-53 and 257 ages 54-75 in the U.S.; 508 adults ages 18-53 and 258 ages 54-75 in Canada, and an online survey of 6,351 U.S. and 193 Canadian Poshmark users. Poshmark user survey respondents were 97% female. Non-user survey respondents were 52% female, 47% male and <1% other. Poshmark’s Social Commerce Report also includes 2019 internal user and brand performance data from its community of 60 million users. 

Manish Chandra,
Founder & CEO

01.

SOCIAL SHOPPING:

THE FUTURE OF RETAIL

Social shopping, which is characterized by peer-to-peer transactions, has emerged as the new normal — everything from brand discovery to brand engagement to purchasing happens at the peer-to-peer level.

@tastycloset

SOCIAL CONNECTIONS AND INFLUENCERS ARE REDEFINING BRAND DISCOVERY.

@torontoshay

 While friends, family, and word-of-mouth lead the way, influencers continue to be a prolific force in brand discovery.

FRIENDS, FAMILY, AND WORD-OF-MOUTH

57%

INFLUENCERS

41%

SOCIAL MEDIA MARKETING

33%

BRICK-AND-MORTAR STORES

31%

PERSONAL SOCIAL MEDIA NETWORKS

29%

ADVERTISING

16%

EMAIL CAMPAIGNS

16%

DIRECT MAIL

8%

BILLBOARDS

7%

HOW CONSUMERS DISCOVER NEW BRANDS

E-COMMERCE TRANSACTIONS AND INTERACTIONS ARE GROWING EXPONENTIALLY AT THE PEER-TO-PEER LEVEL.

are comfortable purchasing items through a social media platform instead of directly from a company’s website.

Poshmark is among the most popular platforms to purchase from, alongside Instagram and Facebook Marketplace.

are comfortable buying an item directly from a person online.

POSHMARK SEES A POWERFUL COMBINATION OF RESALE AND SOCIAL SHOPPING AT SCALE.

On par with style influencers, nearly half of Poshmark users surveyed in both the U.S. and Canada each have over 

50,000 followers on the platform.*

@flippedthrift

38M

items shared on Poshmark per day

1.8M

likes on Poshmark  per day

365K

comments on Poshmark per day

Social shopping and resale have fueled the revolving closet phenomenon. Shopping and selling have become more fluid, accelerating the opportunity of a circular economy — and everyone’s getting on board. Shoppers are turning to platforms like Poshmark to extend the lifecycle of clothing, creating a more sustainable future.

THE REVOLVING CLOSET PHENOMENON

02.

@cmariemedina

Of all the sellers on Poshmark in 2019, 48% used a portion of their earnings to also make a purchase on the platform in the same year.

Poshmark users think about resale value when shopping. Around three-quarters (76%) consider an item’s resale value before purchasing, and 66% consider the resale value when shopping for luxury items, specifically.* 

When unable to return an item online, 92% of Poshmark users* and 35% of non-users would sell it online.

HOW POSHMARK CLOSETS STACK UP

It’s no secret that Poshmark users love resale. Nearly 40%* of the items in their closets are secondhand.

SECONDHAND

(consignment, resale, friends and family)

LOCAL BOUTIQUES

ONLINE DTC BRANDS

 (i.e. Everlane, Eloquii)

RENTAL OR SUBSCRIPTION

(i.e. Le Tote, Rent the Runway)

FAST FASHION

(i.e Zara, H&M)

LUXURY

(i.e. Chanel, Gucci)

DEPARTMENT STORES

(i.e. JCPenney, Macy’s)

MID-PRICES

(i.e. Gap, J. Crew)

VALUE CHAINS

(i.e. Target, Walmart)

OTHER

The Poshmark Shopper’s Closet

The Average Shopper’s Closet 

(non-Poshmark users in North America)

38%

14%

5%

7%

4%

6.5%

1%

2%

10.5%

11.5%

4%

4.5%

12%

16%

13.5%

12.5%

8%

19%

4%

7%

THE MODERN SHOPPER'S CLOSET BY GENERATION**

Across the board, resale is a trending category that is particularly popular with Gen Z and Gen X.
Millennials’ closets are the most diverse of all generations, straddling traditional mall brands and emerging brands. 
Gen X loves the mall — their closets are comprised of clothing from mid-priced retailers and department stores, as well as value chains.
Baby Boomers appreciate a good deal and look to the value chains more than any other generation to fill their closets.

GENERATIONAL TRENDS ARE ALSO REFLECTED IN POSHMARK PURCHASES.

Gen Z’s Poshmark hauls are microcosms of their closets — fast fashion and luxury sit side-by-side.

Consistent with their closets, Millennial and Gen X resale purchases are primarily mall brands. 

Interestingly, Baby Boomers are drawn to high-end secondhand items.

GEN Z

MILLENNIALS

GEN X

BABY BOOMERS

THE GEN Z EFFECT

This hyper-social generation is a key driver of social shopping.

 

For Gen Z, if it’s not social, it’s not worthwhile. They’re part of a key demographic altering the retail landscape. Approximately 20% of Poshmark users are Gen Z and in 2019, approximately 1 in 4 people joining Poshmark were Gen Z.

Gen Z is significantly more likely to take their style cues from social media influencers (34%), their peers (48%), celebrities and pop culture icons (37%), and streetwear (38%) than older generations.

 

They also discover brands in different ways: 

of Gen Z discover new brands via influencers on social platforms.

@fromemmayi

41%

of Gen Z users have earned up to $5,000 on Poshmark.*

10%

of Gen Z users have earned up to $10,000.*

Gen Z owns the most resale, the most fast fashion, and the most luxury products of all generations, underscoring their desire for consistently fresh looks.

Resale has become a conduit for connection, fueling the acceleration of social shopping and democratizing retail at scale, allowing anyone to be a retailer, an influencer, or a brand. Just take a look at the diversity and success of Poshmark sellers.

ANYONE CAN BE A RETAILER, AN INFLUENCER, OR A BRAND

03.

@themazyckbtq

POSHERS ARE GEOGRAPHICALLY DIVERSE

UNITED STATES

THE SOUTH DOMINATES OVERALL

of all U.S. Poshmark sellers live in the South.

of all U.S. Poshmark shoppers live in the South. 

CALIFORNIA IS THE MOST POPULAR STATE FOR RESALE

13%

of all U.S. Poshmark shoppers live in California.

14%

of all U.S. Poshmark sellers live in California. 

Users that live in major cities.*

Users that live in small to medium-sized cities.*

Users that live in suburbs and rural areas.*

Users that live in major cities.*

Users that live in small to medium-sized cities.*

Users that live in suburbs and rural areas.*

CANADA

ONTARIO DOMINATES OVERALL

45%

of all Canadian Poshmark sellers 

live in Ontario.

39%

of all Canadian Poshmark shoppers 

live in Ontario.

@abritishposher

THEY'RE BUILDING THRIVING SOCIAL BUSINESSES

Half of Poshmark users surveyed sell part-time and use Poshmark as a side-hustle. However, a notable amount sell full-time.* 

FULL-TIME SELLERS

22%

U.S.

16%

CANADA

THEY SELL NATIONALLY, WITHOUT GEOGRAPHICAL BOUNDARIES

of U.S. Poshmark shoppers purchase from sellers out-of-state.

of LA and NYC-based users shop from non-coastal Poshmark closets or boutiques.

@colorresale

@threadheadz

25%

of Poshmark users consider themselves small business owners.*

@lunasucre

88%

@ethanvdang

45%

of Poshmark sellers have repeat customers.

of daily shoppers on Poshmark are repeat buyers on the platform.

Posh Ambassadors saw an average of 67% growth in orders in 2019 compared to the year prior. 

of Poshmark sellers in the U.S. and Canada have styled customers at some point on the platform. 

Half of those members who have exchanged advice made a sale or purchase as a result of that interaction.*

@sewandreapshop

THE FUTURE OF SHOPPING IS SOCIAL. 

SOURCES

1. Zogby Analytics survey data derived from a consumer survey, distributed to the following groups:

  • 1,006 adults ages 18-53 and 257 adults ages 54-75 living in the U.S.

  • 508 adults ages 18-53 and 258 agsd 54-75 living in Canada

  • 6,351 Poshmark users living in the U.S. 

  • 193 Poshmark users living in Canada

 

 

2. Poshmark platform data, including:

  • 2019 user transaction data in the U.S. & Canada

  • 2019 listings and social interactions data in the U.S. & Canada

  • All-time data of users who have listed at least 1 item in the U.S. & Canada

  • 2019 order data in the U.S. & Canada

  • 2018-2019 order comparison of Posh Ambassadors in the U.S. & Canada

  • Brand user data from a sample of 3.4M users in the U.S. & Canada and brand purchase data from a sample of 1.6M users in the U.S. & Canada

KEY

*Denotes that data on Poshmark users is based on survey findings, not Poshmark platform data

**Denotes that data is based on survey findings, excluding surveyed Poshmark users

NOTES

All data not annotated is based on all U.S. and Canadian survey findings or Poshmark platform data. Poshmark-specific data findings are clearly stated as such.