Poshmark App on smartphone.

Poshmark Shutting UK, Australia, and India Operations

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To consolidate its focus on North American operations, fashion and social ecommerce marketplace Poshmark announced that it would cease operations in the UK, Australia, and India.

This decision revealed through a statement on its website and an email to affected users, is part of the company’s refocused effort to drive significant growth within its primary markets: the United States and Canada.

“I’m sad to share that we’ve made the tough decision to close three of our expansion marketplaces: Poshmark UK, Poshmark Australia, and Poshmark India.” said Manish Chandra, Founder & CEO at Poshmark.

“I know this is especially hard news for those of you across the globe who have come to know and love Poshmark – please know that I’m incredibly grateful for you and for the community that we’ve built together. We hope to be back at some point in the future.”

Effective November 2, Poshmark’s platform will no longer be accessible for buyers and sellers in the affected markets, both on the web and through the app.

This announcement follows the company’s relatively recent expansions into these markets, having launched in India and Australia in 2021 and initiating operations in the UK at the beginning of this year.

Poshmark Critical Dates

In preparation for the market exit, Poshmark has outlined critical dates for its users in these regions.

The deadline for utilizing Posh Credit has been set for October 25, and any unshipped orders will be automatically canceled as of October 28. Returns will be processed for orders made prior to October 26.

This transition emphasizes the company’s commitment to reallocating its resources and intensifying its investment in areas where it sees the most substantial potential for growth and customer engagement.

Founded in 2011, the California-based Poshmark has established itself as a prominent player in social ecommerce, offering a platform where users can easily buy and sell a wide range of items, mostly from shoes to clothing to fashion accessories.

Despite creating a vibrant community of approximately 8.1 million monthly active users on its phone apps, as per data quoted by TechCrunch from intelligence firm Sensor Tower, the company reached only about 500,000 active users across its UK, Indian, and Australian markets in the past month.

And according to SimilarWeb, a web analytics company, More than 92% of its user base is in the United States, with Canada barely cracking the 1% mark, and all others well below that threshold.

Presumably, the Canadian market is tightly integrated with the U.S. platform, making it easy to manage operationally from a customer service and technology perspective.

This reorganization of Poshmark’s business comes after its acquisition by South Korean ecommerce heavyweight Naver in a deal worth $1.2 billion last year.

The market exits appear to signal a strategic realignment by parent company Naver, to focus on Poshmark’s North American user base, which likely is the profitable part of its operations.

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