Did you know that every 60 days, I re-evaluate pricing on some of my older items across reselling platforms?! This is something that I started doing early into my reselling days and has stuck with me years later. I really enjoy setting aside a few moments each day to do this as it helps to ensure that I am staying competitive in a constantly changing market. Today, I wanted to share with you exactly how I do this and why it is important to stay competitive in the reselling market.
When I first started reselling 9+ years ago, Ebay was the main reselling platform available to the masses. Shortly before I started, Poshmark entered the reselling scene and it wasn’t until years later that other reselling platforms were released. Truth be told, the world of reselling is constantly changing and evolving and as resellers, we need to be constantly changing and evolving too. One of the easiest ways that we can do this is by remaining competitive in the market. This can be accomplished by having competitive pricing and knowing the market value of our items. (Notice that I said market value and not platform value as those can be two very different numbers). In order for me to this, I like to re-evaluate comps every 60 days; I use the 60 day mark as this is when I will re-list items using PosherVA.
Why Re-Evaluate Pricing?
As I mentioned previously, the reselling market is constantly changing and evolving and the same is true with the value of items. A lot can happen in the market within a 60 day window. Some items can become saturated while others can become scarce; Retail sites may be running sales on brand new items that are in currently in your closet making their deals more appealing to buyers; The value of an item may increase or decrease. There is SO much that can change within the reselling world at any given moment and it is important to adapt to those changes as soon as possible.
How Do I Re-Evaluate My Item’s Prices?
I am going to share with you my exact process for doing this. It is not perfect by any means but it is easy, efficient, and worth spending a few moments doing each day.
1. Identify 10-20 Listings Older Than 60 Days on Poshmark
Personally, I utilize the re-list feature on PosherVa which identifies these items for me. However, if you do not use any automation software, you can access this information for free on Poshmark and on various other platforms. Head on over to My Seller Tools > My Inventory Report > Email Report. From here, you can open the file from your email and see the age of your items.
2. Check Comps
Remember earlier when I was talking about market value versus platform value?! Those values are going to be important here. When checking comps (or comparable items), there is going to be two different values that you might come across. The market value is the average value of the item (factoring in sold and available items) across various reselling platforms; The platform value is the average value of the item (factoring in sold and available items) on a specific reselling platform.
One problem with only using a platform value when figuring out comps is that it can vary from platform to platform. For example, the same item may have a platform value of $40 on Poshmark and a $100 value on Tradesy. Personally, I like to try keep my items priced at their market value across platforms, even if it means that it might appear too high on one platform and too low on another.
One free app that I like to use to determine the market value of an item is SellHound. It is free to use and shows you comps across multiple reselling platforms at the same time with a simple search. Learn more about it HERE.
3. Other Factors to Consider
Before determining my item’s final value, there are a few other factors that need to be considered.
Market Saturation- Items can and do become saturated in the reselling market. As a reseller, it is important to pay attention to items that are or are becoming saturated as their value may decrease due to high supply. Same can be said when there are a limited amount of a good on the market. Supply and demand can impact an item’s value.
Retail Sales and Discounts- Sometimes, it can be more cost effective for a buyer to buy an item directly from a retail site brand new than from a reselling site. As long as your item is available in the same color and size on a retail platform for a cheaper price, buyers are going to more than likely pick that option over yours. I’ve learned that sometimes it is best to wait until an item is sold out on a retail site to list it on a resale site. If the buyer wants the item, then they will more willing to pay your price for it as they cannot buy it elsewhere.
Value Changes- The value of items and brands changes over time. One example of this is with Anthropologie clothing items. Yes, some Anthropologie pieces still sell well but many of their basic pieces no longer hold their value. As time has went on, pieces from this brand have decreased in value and only unique and high-demand pieces will sell at higher price points. This trend has occurred with many reselling brands on the market and it important to pay attention to them.
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