Klarna, an AI-powered global payments network and shopping assistant, has partnered with Poshmark to enable consumers to resell and earn money from their wardrobes.
Revealed in the Klarna app, the collaboration with Poshmark seeks to support users in reselling and earning funds through their wardrobes. Klarna app customers across the US can now list their previous Klarna purchases on Poshmark, with these listings being simplified through pre-filled product descriptions and images.
Optimising in-app resale
The partnership is based on a shared commitment to optimising resale and enabling consumers to actively participate in the circular economy. Commenting on the move, representatives from Klarna mentioned that this collaboration focuses on improving how users engage with resale by allowing them to list eligible items from past Klarna purchases. By including product details and images automatically, the two companies intend to transform a traditionally manual process into a more efficient and intuitive experience.
Furthermore, Poshmark emphasised its commitment to finding ways to mitigate complexities from the resale experience and support individuals in bringing their closets online. The decision to launch the solution now coincides with the back-to-school shopping season, with the move being a strategic choice. During this period, consumers tend to clear out their closets, updating wardrobes and reevaluating what they already own. This creates a significant opportunity to turn past purchases into additional funds.
At the same time, Klarna and Poshmark plan to connect closets across the US to enable a network of circular commerce. Klarna mentioned that this joint venture is set to help scale the circular economy, with over 400 million items listed and circulated on Poshmark. As found by a recent survey conducted by Poshmark, 90% of individuals said the resale capability minimised time, while 78% of them stated that the new capability helped inspire them to resell an item they would not have previously thought to.
Even if currently, AI and machine learning are not directly included in the automation of the product details and images, Klarna and Poshmark do not rule out leveraging these technologies in the future. Moving forward, Klarna aims to promote smarter consumption and develop a more connected retail ecosystem. On the other hand, Poshmark’s alliance with the company falls in line with its long-term objective for the industry by utilising technology to support relationships between the point of sale.
