The past year has been a roller-coaster ride for e-commerce giants. Although the pandemic ignited an e-commerce boom, it was chased up by a younger demographic preferring to shop locally in support of small businesses and countering overproduction. Among the transition was a broader shift from e-commerce to re-commerce—with a focus on fashion resale platforms like Depop. But what happens if an e-commerce website with a similar operating model acquires the coveted fashion resale marketplace in a $1.6 billion deal? What does the acquisition have in store for both the platforms and its audience?

The biggest news shaking up the e-commerce world today involves Etsy, a Brooklyn-based marketplace synonymous with handmade, DIY and vintage wares, and Depop, a London-based fashion resale platform, in an acquisition deal. According to Etsy, the Depop deal is worth “$1.625 billion consisting primarily of cash, subjected to various adjustments.”

“We are simply thrilled to be adding Depop—what we believe to be the resale home for Gen Z consumers—to the Etsy family,” said Etsy’s CEO Josh Silverman in a press release statement. “Depop is a vibrant, two-sided marketplace with a passionate community, a highly-differentiated offering of unique items, and we believe in the significant potential to further scale.” Silverman also added how Depop’s management team and employees have succeeded in nurturing a community and driving organic growth in a way that aligns with Etsy’s DNA and mission of “Keeping Commerce Human.”

Etsy, with the chart-breaking acquisition, essentially aims to tap two major cultural collaterals: Depop’s gen Z audience and the second-hand market which is projected to reach $64 billion by 2024—growing twice the size of fast fashion on a global basis.

On these terms, Depop currently boasts a community of 30 million users across 150 countries, including 4 million active buyers and 2 million active sellers. As of 2020, the resale platform also reported Gross Merchandise Sales (GMS) and revenue of approximately $650 million and $70 million respectively—each increasing over 100 per cent year-on-year. Etsy also highlighted how approximately 90 per cent of Depop’s active users are under the age of 26. Given the fact that this younger demographic is adopting second-hand fashion faster than any other audience, it further pushes Depop under the booming limelight.

“We see significant opportunities for shared expertise and growth synergies across what will now be a tremendous ‘House of Brands’ portfolio of individually distinct and very special e-commerce brands,” Etsy’s CEO added. Following the closing of the acquisition, currently anticipated to occur during the third quarter of 2021, Etsy’s ‘House of Brands’ will operate three brands in total: Etsy Marketplace, Depop and Reverb (a peer-to-peer marketplace for musical instruments that Etsy acquired in 2019). According to the platform, all three share “similar levels of growth to unlock value—including improving search and discovery, building human connections, and making selling and buying easier.”

In the press release, Etsy further summed up how the Depop transaction is an ideal fit for the company’s Mergers & Acquisitions criteria in terms of mission and value alignment, expansion into a fast-growing market, deepening market leadership with organic brand traction and sharing their peer-to-peer business model.

Before we dive into the potential benefits in the mix for Depop, it’s essential to note that Depop will continue to be headquartered in London and operate as an independent marketplace run by its existing leadership team. In this regard, Depop essentially benefits from Etsy’s shared expertise in areas such as product, marketing, technology and customer support to drive further growth and profitability.

“We’re on an incredible journey building Depop into a place where the next generation comes to explore unique fashion and be part of a community that’s changing the way we shop,” said Depop’s CEO Maria Raga. According to Raga, Depop’s community is made up of users who come to Depop for the clothes but stay for the culture. “We’ll now take an exciting leap forward as part of the Etsy family, benefiting from Josh and his team’s expertise, and the resources of a much larger company whose values are so aligned with ours here at Depop.”

In terms of Etsy’s pandemic-propelled success, the company reported profits of $1.73 billion for 2020—nearly double of its revenue in 2019. The platform’s stocks jumped more than 10 per cent after Elon Musk shared his experience on Twitter after purchasing a hand-knit wool, “Marvin the Martian helm” for his dog earlier this year.

As Etsy, the 5th most popular online marketplace in the US, pairs up with Depop, the 10th most visited shopping site among Gen Z consumers in the US, the ‘match made in heaven’ undoubtedly offers a huge draw for younger consumers. The transaction not only places a bet on the future of second-hand fashion but also spells out an era where brands are willing to go lengths to access the gen Z consumer base. It also fosters a highly competitive environment for the growing field of contenders in the coveted category. Second-hand fashion is finally big business, if you ask me.

I kinda love Etsy

— Elon Musk (@elonmusk) January 26, 2021

Looking to land a job at Depop yourself? Access our Screen Shot Pro special article in conversation with Kelliesha White, Depop’s global brand and cultural impact manager.

So you want to learn exactly how to sell on Depop? You’ve come to the right place! From the benefits of selling on the app and how to optimise your posts’ captions to the best ways of packaging your items, we’ll show you how to become a top seller by covering absolutely everything you need to know. Whether you’re simply looking to sell old clothes to clear your space or dreaming of launching your own brand—either way, there are many ways to make some serious cash on Depop, if that’s what you’re aiming for! Let’s get started, shall we?

Sustainability is the word that has been on everyone’s lips over the last few years and along with it came the rise of online marketplaces aimed at gen Zers. Forget about eBay and its confusing auction bidding process, the new generation was in dire need of a fashion marketplace that was not only simple, community-based and diverse but also sustainable—and it got what it wanted. In 2011, Depop was first launched.

If, like me, you’ve always struggled with a self-inflicted overflow of clothes and accessories, then you probably know of Depop and other apps like Vinted or Vestiaire Collective. You might have even downloaded one of them one day, had a quick test of how it functioned in order to gauge whether selling some of your old clothes on it was actually worth your time, but ended up deleting the app pretty quickly after deciding that it probably wasn’t.

Or perhaps you went further than that and actually uploaded a few pictures of that old dress that you personally can’t see yourself wearing anymore but still has some charm, only to never receive any likes or followers, let alone sell anything. If any of those assumptions sound familiar, or if you’re simply looking to optimise your already existing Depop account, then this How To is perfect for you. First things first, here’s a short introduction to the app and its many wonders.

Just like eBay, Depop was created as an online fashion marketplace first, one where you can buy and sell your unwanted clothes. Unlike its predecessor, Depop is an app-based service, which means that although you can also access it on your laptop, it is mostly used from a user’s phone, which makes it easier and quicker to sell or buy items on it with a tap of a finger.

The app’s interface is similar to that of Instagram, not only because all apps seem to like copying the social media tycoon, but also because the characteristics of Instagram and its design are crucial aspects, especially for gen Zers. Instagram’s interface is simple: it has a few main icons, a handful of shortcuts, and consists mostly of images. As “the fashion marketplace app where the next generation come to discover unique items,” Depop knew it had to fulfil gen Zers’ need for simplicity.

After all, the app’s Unique Selling Point (USP) lies in the fact that it makes selling quick and easy—and it really does, but sometimes when starting out on the app, it can be hard to imagine how others are selling big time and, as a result, see the actual benefits of selling on Depop.

 

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If, somehow, you’re still not fully convinced of the benefits there are to using Depop for selling your unworn but loved clothes, then look at things this way: We are all over consuming—blame it on capitalism—which means that only a handful of people can proudly say that they don’t have personal belongings they wish they could get rid of. But, while your yearly trip to the nearest charity shop helps you both clear your closet and your conscience, you probably still hold on to a few pieces of clothing that are too sentimental (or pricey) to let go of. You want to make sure that whoever gets it will make good use of it (or pay the price you think it deserves). I feel you, trust me, I would be the last one to judge.

Keep in mind that while Depop is mostly known for its second-hand gems, it is also one of the best marketplaces for independent sellers. By that, I mean if you’ve got a collection of handmade products that you would like to start selling, Depop’s app might be a perfect fit for you too! Just like on Etsy, many small designers sell their items on Depop, while others repurpose vintage garments into cool, upcycled pieces. In other words, Depop has way more to offer than what you might think at first.

Still not 100 per cent convinced? Here are 9 benefits of selling items on Depop instead of another online marketplace.

As stated above, Depop’s USP is its simplicity which allows almost anyone to sell their items on the app without any difficulty. Compared to eBay’s old school interface and its confusing mobile version, Depop looks like it was made with kids in mind—and that’s positive, you want to make your life easier, not harder.

Not only does Depop have a highly engaged community, but it also feels so familiar because of its social platform similarities. On the app, you have a profile with a picture, a bio, followers and followings—just like on Instagram. Depop’s feed even looks like Instagram’s. And although eBay also offers sellers the opportunity to have a picture and a short bio, eBay buyers couldn’t care less about who they’re buying from.

On Depop the contrary is true, your personality or your sense of style may be the very reason customers are buying your items and following your account. This idea is founded on the fact that your potential customers will know what to expect from you, much like any other physical shop.

I’ve said it before, but let me reiterate this for the people at the back: Depop’s app is simply the best when it comes to listing (and therefore selling) items. It’s straightforward and sleek, whereas eBay is pretty outdated. With Depop, you can sell clothes, even when you’re on the go.

Because Depop is a community-based platform, it presents itself as a welcoming platform for any type of seller as well as buyer. This means that you might end up finding pockets where people are hunting for niche-interest products. As a seller, this can be helpful if you’re trying to sell very specific items. As a buyer, Depop is great if you’re into some obscure fashion trend that can’t easily be found on other online marketplaces.

Many buyers and sellers steer clear of eBay because sellers on there are ‘faceless’. In other words, when buying something on eBay, you have no way of knowing who you’re buying from, which can sometimes result in scams, whereas on Depop, you can find out anything you want from sellers that have a transparent bio, and you can ask questions. On top of that, Depop’s refund system is seamless, so even if you do end up getting scammed (although the chances of this happening are slim), you’ll get your money back in no time!

It may sound silly, but it is a true benefit of the app. While eBay is more established because of its longtime run as an online marketplace, a lot of it is very serious, including its users. If you want just the right mix between eBay’s legally binding bids and sanctions and Facebook’s local group, then Depop is it.

Depop regularly runs seller offers that reduce the fees to list products. This means that if you’ve got a big inventory, those offers are highly beneficial to cut extra costs. If you’re a buyer, the app also offers some seasonal offers and pushes sellers to discount some items before specific holidays.

Because Depop works just like Instagram, it’s very easy to contact customers who follow you, in case you need to check something with them. This allows you to market your inventory by following, liking and generally immersing yourself in the Depop community.

When a digital platform attracts young fashion enthusiast users, influencers and celebrities usually follow them on the specific app. That’s what happened with Instagram and TikTok, and it also did on Depop. Although the app will probably never gain as much traffic as eBay, it offers sellers the next best thing: a targeted audience. If you have something to sell, find influencers that represent that style and get in with that crowd—the rest will follow. Interaction with other profiles should lead to your own account being noticed.

Now that we’ve exposed the reasons why there is more to gain from using Depop than to lose, it’s time to get rid of that pile of clothes you’ve pushed into a corner and cover the logistics of actually selling items on the app. There are two main things you need to know about before you start making some money: Depop’s selling and listing fees.

Once you’ve sold an item, Depop will automatically charge a 10% fee on the sale price that you’ve personally set, including the shipping costs that you can also manually set depending on the size of the item you’ll be sending. This fee will be taken from your PayPal account, which will be connected to your Depop account, or any card you have linked to your Depop account.

On top of that, there’s a PayPal transaction fee of 2.9% + $0.30 in the US and 2.9% + £0.30 in the UK. It usually doesn’t equal to much, but keep this in mind before your first sell.

Listing an item on Depop, on the other hand, is completely free, unlike other big online marketplaces. This means that the flat 10% selling fee discussed just above is charged only when you sell an item!

Now that you’re aware of all that, let’s get you up and running for your first sell on Depop. All you have to do is to create a free Depop account, list your items, deliver your products, and get paid. Let us take you through a step-by-step process to start selling on Depop.

First things first, you’ll need to create your Depop account after downloading the app on your phone—you can also do this on Depop’s website, but because you’ll probably mostly use the mobile app, you might as well start there.

You can either decide to connect either your Facebook account or your Apple ID to your new Depop account or simply fill in the information needed yourself. If you do the latter, Depop will ask you for your first name, last name, email address, your Depop username and password as well as your location. You’ll also need to read Depop’s terms and conditions and precise your preferred currency.

Once you’re all done setting your new Depop account, you have to connect your PayPal account in order to start receiving payments of your sold items or start buying items on the app.

Because Depop doesn’t currently have its own payment system, all purchases go through PayPal, whether the buyer payment is made with PayPal balance or Debit / Credit card. That’s why, if you want to sell on the app, you will need a PayPal account to connect it to.

To connect your PayPal account, open your Depop app and tap on the ‘Profile’ icon located at the bottom right of your mobile screen. We’ve circled it in red in the image below:

Once you’ve clicked on it, you will end up on your newly created profile. In the top right corner, you should see a ‘Settings’ icon that looks like a grinding wheel. Click on it to access more information on your account, then click on ‘Preferences’.

There, you should see that your PayPal account is not connected to the app yet.

Simply tap on it, select ‘Connect PayPal’ and log into your PayPal account. Once that’s all done, your PayPal account will be connected to your Depop profile and you’ll now be able to get paid when you start selling items!

We’ll go into more detail on how to optimise an item’s pictures shortly but until then, let’s have a look at how exactly you can set up your shop. Go on your profile, and start modifying it to add more information about yourself. Add a photo or a logo that will represent you as a seller or your brand and tap on ‘Next’. Write a short bio about your shop and what you’re selling then tap on ‘Next’. Link your profile to your other social media accounts and tap on ‘Next’. Enter your first name, last name, billing address, and tap on ‘Next’ again.

After you’ve completed those steps, your final step is to add four images and one video of your first item—while the video is optional, we recommend that you upload one if you get the time. This will give your buyers a better view of the product, and an incentive to buy it. You’ll also need to add a description, some hashtags, your location, a relevant category, some shipping information, and the price of the product you’ve chosen. When finished, all you have to do is to tap on ‘Post listing’.

Listing on Depop is, as we mentioned it above, pretty straightforward. However, listing is an essential part of your image as a seller, so you’ll want to always get it right. You can either open your app and tap on the ‘Camera’ icon at the bottom centre of your home screen to take a picture straight away or use pictures that you’ve already taken beforehand. While both work the same way, we advise you spend a bit of time on taking the right pictures to really showcase your items in the best light you can. After all, if your pictures look bad, buyers probably won’t be interested in buying the items you’re trying to sell. That’s why optimising your listing page is really important.

Your listing page is where potential customers view your products. Optimising your listing pages can have a huge impact on your sales, so make sure you follow these tips when adding listings to your Depop store.

Said like that, it might sound time-consuming, however, making an effort when it comes to your listing process is the best way to start selling your items, and for a good price too! While having good clothes to sell in the first place is always a bonus, some good pictures and a nice video can truly improve the quality of a garment. All you need to do is keep a few things in mind when taking pictures and videos of them.

For one specific item, you can only add four pictures and one optional video maximum, so try to use all these media to your advantage. If you’re happy modelling your items, then try to style them with some other cool pieces that you know will uplift the main item you’re selling. Make sure you’re showing every angle of your item, and do not try to hide any stains or holes, simply mention them in the description of your item and try to take some ‘flattering’ pictures of it too.

Take your pictures in natural sunlight in nice settings—no one wants to see your dirty bedroom in the background. Instead, you can even try to ‘stage’ scenes using some of your favourite objects for example. Have a look at how other Depop sellers optimise their listing pictures:

In the first and second examples, you can see that the seller used her plants and a stool as a nice way to create a beautiful environment around her main piece. In the third example, the seller went as far as to create a montage of different angles of her item in order to really show what she’s selling.

Although you don’t necessarily have to add a video, it can be useful as an extra help that gives Depop shoppers a better idea of how your product looks in action.

If you look at the captions above, you’ll soon figure out that detail is key! When writing your own product descriptions, don’t be shy, try to sell your item by using positive adjectives such as ‘amazing’, ‘gorgeous’, ‘cute’. Then, take the time to add proper measurements of the garment to avoid users from messaging you for more information, as well as the quality of the item you’re listing.

An effective product description will convince potential customers to click the ‘Buy now’ button. Before writing your descriptions, have a think about your buyer personas. Are they okay with a familiar tone of voice? Are they quite young? What kind of budget are they willing to spend on one item? What information are they expecting from you? This should dictate the way you first approach your product descriptions.

Once you’re ready to get writing, use short, descriptive sentences that highlight the key features of your item. To finish it off beautifully, include product keywords to optimise for search so that people will find your listing. You can do that by inserting hashtags in your listing, from the brand of your item to a more global description of it. For example, if you’re selling a pink mini skirt you can include hashtags such as #miniskirt and #pinkminiskirt. If your skirt is from Topshop, add this information too! You could write #Topshopskirt or #Topshopminiskirt for example.

Don’t forget to mention defaults such as scratches, stains or holes. Be a trustworthy seller, because if you decide to hide something from a buyer, they can open a dispute against you, which may result in you having to give them a refund. Depop has its very own page to guide buyers on how to open a dispute against a seller if they received a product not as described. Keep in mind that once you’ve sold something to a buyer, both you and them have the possibility to leave a review visible to any other Depop user, so don’t piss anyone off, it’s just not worth it.

When listing an item on Depop, underneath the product’s description you will see a few more categories that need to be filled in. From the item’s size and its brand to whether it is second-hand or completely new as well as extra colour tags, make sure you fill as much of these categories as you possibly can. Remember, the more details the better!

Pricing can be one of the trickier aspects of listing an item. It can have a big impact on whether or not people decide to buy your items, even if you’ve uploaded some top-quality pictures and written a detailed product description.

Before pricing an item, try to calculate the overall cost, including shipping and the retail price of your item. Don’t price your items too low because it could have a negative impact on your profits. Alternatively, don’t price too high either because it can also dissuade customers from buying your product.

If you think that you have an item which is already being sold by other sellers on Depop, search for similar listings to see what they sold for and try to price your item for a slightly cheaper price than the rest. This can give your listing an edge over competitors.

When it comes to your shipping fee, you can manually edit it every time you upload an item or set a global price for all of them. Try not to set it too high, be realistic, but remember that you can also make a small profit from it. By arranging your own shipping, you’ll need to consider the price of packaging as well as the shipping label.

To keep proof of postage, send the item to the address on the in-app receipt and put in the package’s tracking number once it’s sent. In case something goes wrong, you’re protected by PayPal’s Seller Protection.