How to Sell Your Clothes on Poshmark vs. ThredUp vs. The RealReal: A Profit Comparison.

The online clothing resale market has exploded into a $28 billion industry, with millions of people turning their unused wardrobes into cold, hard cash. But with dozens of platforms competing for your closet cleanout, choosing the right one can feel overwhelming. The three giants—Poshmark, ThredUp, and The RealReal—each promise to help you monetize your clothing, but their approaches couldn’t be more different.

Whether you’re looking to make some quick cash from last season’s purchases or build a sustainable side hustle from your fashion finds, understanding which platform delivers the highest returns for your specific situation is crucial. The difference between choosing the right platform and the wrong one could mean hundreds or even thousands of dollars in your pocket.

In this comprehensive analysis, we’ll break down the real earnings potential, effort requirements, and ideal use cases for each platform, giving you the data-driven insights needed to maximize your clothing resale profits.

Understanding Each Platform’s Business Model

Before diving into profit comparisons, it’s essential to understand how each platform operates, as their business models directly impact your earning potential and required involvement.

Poshmark: The Social Selling Powerhouse

Poshmark operates as a peer-to-peer marketplace with a strong social media component. As a seller, you’re essentially running your own mini boutique within their ecosystem. You photograph your items, write descriptions, set prices, share listings, follow other users, and engage with potential buyers through comments and offers.

This social approach means success on Poshmark often correlates with your ability to build a following and actively participate in the community. Top sellers frequently share others’ listings, host virtual “Posh Parties,” and maintain active, curated closets that tell a story about their style.

ThredUp: The Hands-Off Consignment Solution

ThredUp functions more like a traditional consignment shop that’s been digitized and scaled. You simply order a “Clean Out Kit” (a large bag), fill it with items, and send it back. ThredUp’s team handles photography, pricing, listing, customer service, and shipping.

This model appeals to sellers who want minimal involvement in the process. However, ThredUp is highly selective—they typically accept only 5-40% of items sent to them, depending on brand, condition, and current demand. Rejected items can be returned to you for a fee or donated.

The RealReal: Luxury Authentication Specialists

The RealReal positions itself as the premium option, focusing exclusively on authenticated luxury goods. They accept items from high-end designers and luxury brands, putting each piece through a rigorous authentication process.

Like ThredUp, The RealReal handles most of the selling process after you consign your items. However, their standards are even higher, and they cater to a more affluent customer base willing to pay premium prices for verified luxury items.

Commission Structures and Fee Breakdowns

Understanding the fee structure is crucial for calculating your actual profits, as each platform takes a different approach to compensating sellers.

Poshmark Fee Structure

Poshmark’s fee structure is straightforward but can be steep:

• Sales over $15: 20% commission to Poshmark, 80% to you
• Sales under $15: $2.95 flat fee to Poshmark, remainder to you

For a $50 item, you’d receive $40. For a $10 item, you’d receive $7.05. This structure means Poshmark becomes more profitable for higher-priced items, while lower-priced items suffer from the flat fee structure.

ThredUp Payout Rates

ThredUp’s payout structure is more complex and varies significantly based on the item’s selling price:

• Items selling for $5-19.99: You receive 5-15%
• Items selling for $20-49.99: You receive 15-30%
• Items selling for $50-199.99: You receive 30-55%
• Items selling for $200+: You receive 55-80%

This sliding scale means that while you’ll earn very little on lower-priced items, higher-end pieces can yield substantial returns with minimal effort on your part.

The RealReal Commission Rates

The RealReal operates on a sliding scale based on the final sale price:

• Items selling for $0-499: 45% to consigner, 55% to The RealReal
• Items selling for $500-1,499: 50% to consigner, 50% to The RealReal
• Items selling for $1,500-2,999: 55% to consigner, 45% to The RealReal
• Items selling for $3,000+: 60% to consigner, 40% to The RealReal

While these rates might seem lower than Poshmark’s 80%, The RealReal’s luxury focus often means higher selling prices, potentially offsetting the increased commission.

Effort vs. Earnings Analysis

The relationship between effort invested and earnings potential varies dramatically across platforms, making this a crucial factor in your decision.

Time Investment Required

Poshmark demands the most time investment. Successful sellers often spend 1-2 hours daily sharing listings, engaging with other users, and managing their closets. Photography, writing descriptions, packaging, and shipping all fall on your shoulders. However, this investment can pay off—top Poshmark sellers earn six-figure annual incomes.

ThredUp requires minimal ongoing time investment. After your initial cleanout (which might take a few hours to sort and pack), your involvement is essentially complete. However, you’ll need to wait several weeks for processing and have no control over pricing or presentation.

The RealReal falls somewhere in between. While they handle most processes, the initial consultation and authentication can take time, especially for valuable pieces. Some consigners work with The RealReal’s personal shoppers for optimal presentation and pricing.

Photography and Listing Requirements

Quality photography can make or break online clothing sales, and platforms vary in their requirements:

Poshmark relies entirely on your photography skills. Successful sellers invest in good lighting, clean backgrounds, and multiple angles. Poor photos often mean poor sales, regardless of item quality.

ThredUp handles all photography professionally, ensuring consistent, high-quality images across their platform. This removes the photography burden but also removes your control over presentation.

The RealReal provides professional photography and detailed condition reports, often showcasing items better than individual sellers could manage.

Customer Service Responsibilities

Customer service can significantly impact your time investment and stress levels:

Poshmark sellers handle all customer interactions, from pre-sale questions to post-sale issues. While Poshmark provides some seller protection, disputes and difficult customers are your responsibility to manage.

ThredUp manages all customer service, protecting you from difficult buyers and return issues. This hands-off approach reduces stress but also removes your ability to build customer relationships.

The RealReal handles all customer service professionally, often providing detailed expertise about luxury items that individual sellers couldn’t match.

Target Audience and Item Performance

Each platform attracts different buyer demographics, directly impacting which items sell best and at what prices.

Best-Selling Categories by Platform

Poshmark’s social nature and broad appeal make it ideal for:

• Contemporary and mid-range designer brands
• Trendy, fashion-forward pieces
• Complete outfits and styled looks
• Items priced between $20-200

ThredUp excels with:

• Everyday basics and wardrobe staples
• Children’s clothing (which they heavily promote)
• Mass-market brands in excellent condition
• Items priced under $50

The RealReal specializes in:

• Authenticated luxury designer pieces
• Vintage designer items
• High-end jewelry and accessories
• Items priced $100+ (often much higher)

Price Point Considerations

Your items’ original retail prices significantly impact platform choice:

• Under $50 retail: ThredUp often makes the most sense due to their professional handling and broad customer base for affordable items.
• $50-300 retail: Poshmark typically offers the best returns, especially for on-trend pieces in good condition.
• $300+ retail: The RealReal usually delivers the highest returns, particularly for luxury brands, thanks to their authentication process and affluent customer base.

Seasonal Trends

Understanding seasonal patterns can optimize your selling strategy:

Poshmark shows strong seasonal trends, with fall/winter items selling best from August-December and spring/summer items performing well from February-June.

ThredUp maintains steadier sales year-round due to their vast inventory and algorithm-driven recommendations.

The RealReal shows less seasonal variation since luxury items often transcend seasonal trends, though certain categories like outerwear peak in appropriate seasons.

Case Study: Real Profit Comparisons

To illustrate the practical differences between platforms, let’s examine how the same items might perform across all three:

Example 1: Designer Handbag (Original Retail: $400)

Poshmark Results:

• Listing price: $180
• Final sale price: $160 (after offers)
• Your earnings: $128 (80% after 20% commission)
• Time invested: 3 hours (photos, listing, negotiations, shipping)

ThredUp Results:

• Their listing price: $120
• Your earnings: $36 (30% payout rate for this price point)
• Time invested: 15 minutes (packaging for shipment)

The RealReal Results:

• Their listing price: $200
• Your earnings: $90 (45% payout rate for this price point)
• Time invested: 30 minutes (initial consultation)

Example 2: Mid-Range Sweater (Original Retail: $60)

Poshmark Results:

• Final sale price: $25
• Your earnings: $20 (80% after 20% commission)
• Time invested: 2 hours

ThredUp Results:

• Their listing price: $18
• Your earnings: $2.70 (15% payout rate)
• Time invested: Minimal

The RealReal Results:

• Likely rejected (doesn’t meet luxury standards)
• Your earnings: $0
• Time invested: Consultation time wasted

Example 3: Luxury Designer Dress (Original Retail: $1,200)

Poshmark Results:

• Final sale price: $400
• Your earnings: $320 (80% after 20% commission)
• Time invested: 4 hours (extensive photography, description writing)

ThredUp Results:

• Their listing price: $350
• Your earnings: $192.50 (55% payout rate)
• Time invested: Minimal

The RealReal Results:

• Their listing price: $450
• Your earnings: $225 (50% payout rate at this price point)
• Time invested: 1 hour (authentication consultation)

Maximizing Profits: Platform-Specific Strategies

Success on each platform requires different approaches and strategies.

Poshmark Success Tips

1. Invest in quality photography: Natural lighting and clean backgrounds increase sale prices by 20-30%
2. Share strategically: Active sharing during peak hours (7-10 PM EST) improves visibility
3. Build your following: Engaging with other users increases your items’ exposure
4. Price for negotiation: Most Poshmark sales involve offers, so price 20-30% above your target
5. Bundle incentives: Encourage multiple-item purchases with shipping discounts

ThredUp Optimization Strategies

1. Send only pristine condition items: ThredUp’s acceptance rates increase dramatically for like-new pieces
2. Include popular brands: Focus on brands that sell well in their system (check their brand acceptance list)
3. Time your cleanouts: Sending seasonal items slightly ahead of season improves acceptance rates
4. Consider their upfront payout option: For guaranteed income, though at lower rates

The RealReal Maximization Techniques

1. Focus on authenticated luxury brands: Only send items from their accepted designer list
2. Provide original receipts/authenticity cards: This speeds processing and may increase prices
3. Consider in-person appointments: Major markets offer white-glove consignment services
4. Be patient: Their authentication process takes time but often yields higher prices

Which Platform Is Right for You?

Choosing the optimal platform depends on your specific circumstances, goals, and inventory.

Choose Poshmark if you:

• Have time to actively manage listings and engage socially
• Own contemporary designer and mid-range brand items
• Enjoy the selling process and want maximum control
• Can invest in quality photography and presentation
• Want to build a sustainable reselling business

Choose ThredUp if you:

• Want a completely hands-off selling experience
• Have large quantities of everyday brands in excellent condition
• Don’t mind lower per-item earnings for convenience
• Lack time or interest in individual item management
• Have children’s clothing to sell

Choose The RealReal if you:

• Own authenticated luxury designer items
• Want professional handling without active involvement
• Have high-value pieces that justify their commission structure
• Prefer dealing with a luxury-focused platform
• Don’t need immediate payment (their process takes longer)

The Multi-Platform Approach

Many successful sellers don’t limit themselves to one platform. A strategic multi-platform approach might involve:

1. Sending luxury items to The RealReal for maximum authentication credibility
2. Using Poshmark for mid-range designer pieces where you can maximize profits through active selling
3. Bulk sending everyday items to ThredUp for convenient decluttering

This approach requires more organization but can optimize earnings across your entire wardrobe range.

Conclusion: Maximizing Your Resale Success

The choice between Poshmark, ThredUp, and The RealReal isn’t just about which platform pays the most—it’s about finding the right balance of earnings, effort, and experience for your specific situation.

Poshmark offers the highest earning potential for those willing to invest time and energy into active selling. ThredUp provides unmatched convenience for busy sellers who prefer passive income over maximum returns. The RealReal delivers premium positioning for luxury items with professional authentication and presentation.

Your success ultimately depends on matching your inventory, available time, and selling goals with the right platform’s strengths. Consider starting with the platform that best matches your primary inventory type, then expanding to others as you gain experience and confidence in the resale market.

Remember, the fashion resale industry continues evolving rapidly. Stay informed about platform changes, fee adjustments, and new features that could impact your profitability. With the right strategy and platform choice, your unused wardrobe can become a significant source of income—the key is knowing where to sell what for maximum return on your investment.