Kkarma and Poshmark on Tuesday revealed a strategic partnership in the Klarna app — created to empower consumers to resell and earn money from their wardrobes.
Klarna app users in the U.S. can list their previous Klarna purchases on Poshmark; the Poshmark listings on the Klarna app are now streamlined with pre-filled product descriptions and images.
David Sykes, chief commercial officer of Klarna, exclusively told WWD that the partnership was created from the “shared goal to simplify resale and empower millions of consumers to actively participate in the circular economy.”
“This collaboration redefines how users engage with resale by enabling them to list eligible items from past Klarna purchases with just a few taps — product details and images are automatically populated, turning a traditionally manual and inconvenient process into a quick, seamless and intuitive experience.”
Sykes continued that the strength of the partnership lies in bringing resale to the mass market and allowing consumers to find value from their past purchases.
“At Poshmark, we’re always looking for innovative ways to remove friction from the resale experience and empower people to easily bring their closets online,” said Manish Chandra, founder and chief executive officer of Poshmark. “This commitment created a natural opening to collaborate with Klarna. Imagine a Klarna shopper who no longer wants an item they just purchased; our partnership offers a seamless path for them to embrace resale as a cost-effective alternative.”
Aligning the partnership to the back-to-school shopping season, Chandra explained that launching during this season was a conscious, strategic choice. Skyes similarly said the timing of the launch was a natural fit as “consumers are clearing out closets, updating wardrobes and reevaluating what they already own — creating the perfect opportunity to turn yesterday’s purchases into tomorrow’s finds.”
While most Americans continue to be wary consumers due to economic uncertainty, they are turning to the resale market in record figures. According to the 2025 Second Hand Fashion Market report from Global Market Insights, the secondhand market is set to grow from $208.6 billion in 2025 to $521.5 billion by 2034.
Global Market Insights’ report authors said consumers’ awareness of the environmental issues caused by the fashion industry is one of the leading reasons for this growth. Klarna said the boom can also be attributed to Gen Z and Millennials leading the charge in changing shopping habits globally.
Chandra said the partnership is “seamlessly connecting closets across America” to empower a network of circular commerce. Klarna also noted that this joint venture helps to grow the circular economy, with more than 400 million items listed and circulated on Poshmark.
According to Postmark’s recent survey, 90 percent of people said the resale feature “saved them time,” and 78 percent of people said the new feature helped inspire them to resell something they wouldn’t have previously thought to.
The alignment between Klarna and Poshmark, Sykes said, is its shared commitment to “convenience, innovation and conscious shopping” by embedding resale into the digital shopping journey for customers and “creating smarter, more seamless experiences for users.”
Viewing the partnership as a “win-win-win,” Chandra said it allows Klarna customers to “easily participate” in the circular economy by monetizing items they no longer use. Poshmark, in turn, gains new resellers on its platform, which he said helps to foster a long-term, sustainable retail ecosystem.
While artificial intelligence and machine learning are not “directly involved” in the automation of the product details and images, Chandra didn’t completely rule out utilizing them in the future. He said the company was actively exploring future AI/ML integration to enhance their offerings.
Looking ahead, Sykes said Klarna is interested in driving innovation beyond just supporting marketplaces. The company is looking to promote smarter consumption and create a more connected retail ecosystem. Meanwhile, Chandra said Poshmark’s team-up with Klarna aligns with the company’s long-term vision for the industry by leveraging tech to “drive relationships beyond the point of sale.”
“The back-to-school season is the perfect time for refreshing wardrobes, and we’re thrilled to team up with Klarna to make that easier and more sustainable than ever. This partnership isn’t just about convenience; it’s about making it incredibly simple and fun to shop the largest network of closets across America, all while empowering individuals to earn from their style,” concluded Chandra.
