Etsy plans to spend $1.6 billion buying Depop, a social shopping app that’s helping teens get rich. Some Depop sellers pull in $300,000 a year – here’s how to make money on it.

Depop
Depop is a social shopping app targeted at Gen Z shoppers.

Instead of spending weekends or school holidays washing dishes and waiting tables, entrepreneurially minded teens are launching mini businesses to earn money online.

Depop app
The Depop app.

This is largely thanks to new apps that enable young shoppers to buy or sell secondhand clothing and accessories.

Depop, which launched in Milan in 2011 and has quickly gained a cult following around the world, is one of them. 

Depop is easy to use, which is one of the reasons it’s so successful.

Depop
Downloading the Depop app.

Depop has amassed more than 30 million customers in 150 countries since launching in 2011.

First, you need to download the app.

Depop
The landing page on the app.

Depop counts companies such as Poshmark and ThredUp as its competitors, and has been described as a mix between eBay and Instagram.

Depop will then ask you to create a username, link the account to your email address, and add a photo that represents your brand.

Depop
Setting up your shop.

Unlike rivals such as Poshmark or eBay, there’s more of a communal aesthetic on Depop and sellers are primarily listing streetwear, vintage, or late 1990s/early 2000s fashion. 

You’ll need to describe the style of your brand and what you’re planning to sell.

Depop
Explain what you’re selling.

This description will appear just under your username on your personal page. You can also link to your Instagram page to promote yourself more.

Next, you set up your billing address details and link your account to your PayPal. This is where all payments are handled.

Depop
The process is fairly straightforward.

You also have the option to register as a business and add in the relevant tax details. 

It’s as simple as that.

Depop
Now you can list your first item.

You’re ready to go.

Once you have a profile, you can start listing new items for sale.

Depop
Catchy photos pay off.

Depop advises sellers to post at least four photos and a video to give the item its best chance of selling.

You select the category that the item falls under.

Depop
There are 14 categories in total.

These are umbrella categories, such as menswear, womenswear, or sports equipment, for example. You can add a more detailed description of the item in another box, however.

The seller must cover the cost of shipping each item.

Depop
Depop uses Hermes courier in the UK.

In the UK, for example, the seller can either choose to do this process entirely on their own or pay to use a Depop recommended delivery company.

If you’re shipping internationally, you need to set the price yourself. 

Lastly, add the price of the item you’re listing.

Depop
There are no set guidelines for pricing.

There are no set guidelines for pricing, but sellers are advised to benchmark their prices against other products listed on the app.

Depop charges a 10% fee on each item sold.

Depop
Sellers will lose 10% of what they earn on each item.

This 10% is taken off the total transaction amount, which includes the cost of shipping. 

Customers can like, comment on, or save an item to their profile, much like you can on Instagram.

Depop
It has an Instagram-like setup.

They can also leave reviews and rate the seller. This feedback appears on the sellers’ profile page. 

Etsy said Wednesday that it was buying Depop for $1.625 billion as it looked to expand its reach to the Gen Z market.

Depop
Depop is known for being popular with Gen Z shoppers.

90% of Depop’s users are under 26 and it has its sights firmly set on this consumer base.

The company says its mission is to empower young shoppers to disrupt the fashion industry and give them the chance to become entrepreneurs.

Emma Rogue, Depop Seller
Emma Rogue (@emmarogue_ on TikTok) runs the Depop shop Shop Rogue

“This company is for the next generation,” Rachel Swidenbank, vice president of marketplace at Depop, previously told Insider. 

And for some, selling on Depop is a lucrative hobby.

Emma Rogue Depop
Emma Rogue lists a Y2K Fuzzy Animal Print Minibag on her Depop for $22.50

Swidenbank said that some users pull in as much as $300,000 a year selling on the app

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