Poshmark: Shoppers Want Data-Powered Recommendations From Sellers

Fashion resale marketplace Poshmark is bringing artificial intelligence (AI) to its community of 130 million people via its Promoted Closet feature, which exited beta status Thursday (May 16). The tool leverages machine learning to align shoppers’ search terms with promoted listings, enhancing the visibility and sales potential for sellers. The Promoted Closet initiative aims to complement Poshmark’s existing suite of seller tools by providing an easy-to-use platform for increased engagement and earnings. Early results have been promising, with participating sellers reporting a 43% rise in sales.

Adi Thacker, VP and head of Promoted Closet at Poshmark, told PYMNTS the feature uses search algorithms to match products with shoppers’ search terms to ensure relevancy. It is then used to rank listings based on the likelihood of a shopper purchasing the listing. The rank determines the order in which a shopper sees a listing from top to bottom. The combination of these technologies helps to ensure relevance and foster more sales.

This strategic use of machine learning not only enhances the user experience by providing highly relevant search results but also significantly boosts the visibility of sellers’ listings. Thacker said the approach improves traditional search methods, which may not always surface the most relevant or appealing items to potential buyers. According to Thacker, by leveraging advanced algorithms, Promoted Closet ensures that sellers’ products are seen by the right audience at the right time, ultimately driving higher engagement and sales.

The development of Promoted Closet has been a collaborative effort, with Poshmark actively involving its community of sellers throughout the process. “Every year we survey our sellers, and many of them consistently ask for new promotion tools,” Thacker said. “Promoted Closet addresses that need, giving sellers a new paid option to increase visibility of their closet and make more sales.” Over the past year, Poshmark has iteratively built this product, making ongoing updates based on seller feedback.

One significant update inspired by user input is the enhanced results dashboard, which now provides additional listing-level data, including metrics like Top Promoted Listings. This feature shows which promoted listings are receiving the most engagement from shoppers, offering sellers deeper insights into their performance. Thacker said the response from sellers has been positive, with many citing its ease of use, simple dashboard with comprehensive performance insights and increased engagement with their closet.

The Seller Experience

Dina Sudduth, a full-time Poshmark seller, shared her experience with the Promoted Closet feature with PYMNTS. “I actually started selling on Poshmark in 2016 to help pay my student loans, but I kind of got addicted to it, and I found that it’s actually pretty lucrative,” she said. “Now it’s my full-time gig, and it has been for almost eight years.” Sudduth specializes in reselling quality brands and luxury items and has seen substantial growth since using Promoted Closet, seeing an additional $50,000 of revenue per year.

Sudduth said Promoted Closet has given her a competitive edge by providing more insights into customer preferences. “I get to see what people are clicking on, what items they like the most. So, I’m able to tailor my sourcing to that as well,” she said. “It’s basically bringing up my items front and center of the search, giving me a leg up on my competition.” The feature has also enhanced her ability to plan for future inventory and promotional strategies.

Promoted Closet is designed to complement Poshmark’s set of free seller tools, such as Bulk Listing Actions, My Shoppers and Share Shows. Thacker elaborated on how these tools work together to empower sellers: “Promoted Closet works in tandem with existing tools, like sharing, to drive top of funnel engagement and introduce shoppers to sellers’ listings, while tools like Offer to Likers and Bulk Actions help sellers remarket their listings once a shopper has discovered and engaged with a closet,” he said. “Successful sellers utilize a combination of these tools to make sales.”

The metrics reported by Poshmark using Promoted Closet show a 43% increase in sales and an 80% increase in listing page views. Thacker attributed this success to several key factors. “One, its simplicity and ease of use: sellers benefit from having their entire closet promoted at once; they simply set a weekly budget and let it run,” he said. “Two, its use of machine learning surfaces relevant listings, matching shoppers with desired merchandise at the right moment, while helping sellers make sales, faster. Three, Promoted Closet was built in partnership with our community, with their feedback directly shaping the product’s development, helping us provide a service that uniquely serves them.”

With the introduction of performance insights for sellers, such as return on ad spend, cost per click and click-through rate, Poshmark envisions sellers leveraging this data to optimize their strategies and grow their businesses. Thacker said the Promoted Closet dashboard allows sellers to view their weekly spend, cost per click, sales and return on ad spend, providing insight into how their promoting listings are performing and enabling sellers to adjust their promotion strategy to best serve their needs.

As Promoted Closet aims to help sellers increase visibility and forge new connections with shoppers, Thacker sees this tool as a significant enhancement to the overall user experience on Poshmark. “We succeed when our sellers succeed — our number one goal is to help our sellers thrive on the platform, make sales, and build businesses,” he said. “Promoted Closet supports that vision by unlocking a new way for sellers to earn and find success on Poshmark, while helping shoppers discover new closets they love.”

With Promoted Closet now available, Poshmark is inviting sellers to join on a first-come, first-serve basis, with a limited-time opportunity for a free trial.

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