If you’re an active Instagram user, there’s a good chance you’ve seen some users announce their next “drop” on their page, and many are claiming those elements in the comments section. This is the trend of new-age savings in India. The past year has seen a flurry of thrift stores on Instagram – young people selling second-hand clothes and accessories. And the number of subscribers and engagement on these pages also shows that there are more than enough takers.
For Priya Choudhary, her “Finding Keepers by PZ” Instagram thrift store is something she started as a way to declutter her closet during the pandemic, without throwing away clothes. Priya says that unlike before, people are now very open to buying second-hand clothes. It is also a part of young people who are increasingly aware of their environmental impact, thus leading to an even greater adoption of sustainable fashion in the form of thrift stores.
Although there is no formal market data in India, a 2021 resale report from Threadup, an online consignment and thrift store, shows that worldwide, 223 million consumers have declared themselves open to buying used products in 2020, and resale is expected to increase. 5.4X over the next five years, accelerating post-COVID.
Unsurprisingly, the US-based social commerce marketplace, Poshmark, a platform for consumers to buy and sell new and used clothing and accessories, made a foray into India last month, its third market outside of North America after Canada and Australia, as it seeks to develop its community. sellers and buyers through international expansion. It is one of the first formal companies to launch such a market in India, giving new impetus to the booming market in India.
“India is a new and important market for us as we focus on the continued growth of our social market. We are working to build a loyal and diverse community of Indian buyers and sellers and we have received a strong response so far. It’s early days, but we’re excited to be one of the early entrants into this segment, ”Manish Chandra, CEO of Poshmark, told CNBC-TV18.
Another reason for Poshmark’s foray into India is the rapid growth of the consumer base concerned with sustainability and value, and social commerce which has become a massive phenomenon in the country. However, Chandra says India lacked an organized market where Indians can buy and sell new, pre-loved and sustainable fashion directly from each other.
The opportunity is also huge. Social commerce in India will be worth up to $ 20 billion by 2025, with the potential to reach $ 70 billion by 2020, double the size of the market, according to a report by Bain & Company. e-commerce within 10 years.
Chandra says the first response in India has encouraged interest from buyers and sellers across all categories. With the launch coming in the middle of the holiday season in India, Poshmark expects an increase in demand for traditional Indian clothing like Sarees, Kurtas and more.
Poshmark claims that selling on its platform is a straightforward process that only involves clicking on an image of the item for sale, filling in a description, and setting the price. It also offers virtual buy and sell events on its app called Posh Parties where users can browse, buy and list items.
Although the company has not disclosed its current user base in India, Poshmark has over 80 million users worldwide, giving Indian users access to this network of commercial closets.
However, the market is currently still dominated by stores on Instagram, but Poshmark hopes its added value will help attract more consumers to its platform.
“We provide end-to-end solutions designed to connect buyers to sellers, promote listings, facilitate shipping and increase sales. This sets us apart and makes Poshmark truly unique from other e-commerce retailers, ”adds Chandra.
Poshmark’s third quarter results, which are expected to be announced on November 9, may shed more light on the response the company has seen with the foray into India.