Dive Brief:
- Klarna users can now list past purchases directly on Poshmark, automatically populating the item details and images, Klarna announced Tuesday.
- First-time listers will receive a $10 credit from Poshmark when using the Klarna feature, the company said.
- The companies described the joint initiative as contributing to the growing circular economy, especially ahead of the back-to-school season.
Dive Insight:
This back-to-school season, shoppers are most worried about price hikes, according to a recent ICSC survey. To cope, shoppers are turning to alternative buying opportunities. For some, resale may emerge as an attractive option.
A recent Poshmark survey found that 90% of users feel its resale feature saved them time. Over three-quarters of respondents said the feature inspires them to resell something they otherwise wouldn’t have.
“The back-to-school season is the perfect time for refreshing wardrobes, and we’re thrilled to team up with Klarna to make that easier and more sustainable than ever,” Poshmark CEO and founder Manish Chandra said in a statement. “This partnership isn’t just about convenience; it’s about making it incredibly simple and fun to shop the largest network of closets across America, all while empowering individuals to earn from their style.”
Circularity in fashion has become mainstream, according to the 2025 Circular Fashion Index from Kearney. Over 70% of brands scored “moderate” for their circularity efforts, the report found. However, progress is the slowest in the resale, repair and rental categories.
A recent ThredUp report also found that resale’s popularity in the U.S. could offer a hedge against tariffs. In the U.S., the secondhand apparel market grew five times faster than the broader retail clothing market last year.