Poshmark will enter the Indian market! Its Q2 quarterly financial report will be released next week

Poshmark, the US second-hand e-commerce giant, has announced that it will enter India to further expand its international expansion. For India, this move may change the Indian online fashion ecosystem. It is reported that Poshmark was launched in Australia in February 2021. In May 2019, the company was founded in Canada. It has more than 2.5 million Canadians in its community and its market size in Canada has expanded to US$5 billion. In the United States, its main competitors are thredUP and Real Real.

Poshmark, the "American version of Xianyu", has similar functions to eBay and looks like Instagram. People can sell their second-hand products on Poshmark, and buyers can comment on the second-hand products or click "like this product", and can also follow many "sellers" on the platform.

Poshmark's entry into India will not only allow it to indirectly compete with Indian second-hand e-commerce companies such as Quikr and Olx, but it may also compete with Reliance's Ajio, Walmart's Flipkart's Myntra and Snapdeal. Unlike local Indian second-hand e-commerce companies Quikr or Olx, after Poshmark enters India, sellers and buyers must arrange pickup, delivery and payment by themselves, and Poshmark will provide backend support for them.

Poshmark said it has been working hard to build its Indian team, betting on the country's social commerce potential. Poshmark predicts that the current Indian social e-commerce market is about $2 billion, but it is expected to reach $20 billion in just five years and could reach nearly $70 billion by 2030. In short, Poshmark's e-commerce market in India will double in 10 years.

The Indian market also has more than 622 million active Internet users and a rapidly growing group of consumers who are sustainability- and value-conscious, especially Generation Z and Millennials, which is a consumer group with great potential. According to a report released by financial technology company FIS in March this year: India's e-commerce market is expected to soar 84%, from around $60 billion in 2020 to $111 billion in 2024. The main driving force will be attributed to mobile shopping, which FIS estimates will increase by 21% annually in the next four years. And Indian buyers are more concerned about sustainable development, and the addition of Poshmark will win the trust of a large number of Indian buyers.

Poshmark's ways of entering this new market include supporting local payment and transportation systems and expanding the range of clothing sales categories. Indian buyers will be able to find traditional Indian clothing such as saris, shawls, and kurtas under "Traditional and Global Clothing" or through searches. The sales of these traditional clothing will also be expanded to mature markets such as the United States. Poshmark will also adopt a highly customized strategy for the Indian market, led by Poshmark, who has worked in the Indian office for 8 years, and develop content regionalization like the US market to cater to consumer needs in different regions of India.

Poshmark's GMV in fiscal 2020 was $1.4 billion, a year-on-year increase of 29% from $1.1 billion in 2019. Poshmark said that international expansion remains one of its main growth strategies, and the company will continue to invest in unique markets and localization to serve more markets in the future. It is understood that Poshmark's second-quarter financial report will be released next week.

Editor ✎ Estella /

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