Importance of the U.S. Reseller Market to Help Brands Clear Excess Inventory

Importance of the U.S. Reseller Market to Help Brands Clear Excess Inventory
May 1, 2025

The U.S. reseller market is exploding, and it’s becoming a crucial outlet for brands dealing with excess inventory. Brands are increasingly turning to independent resellers and online marketplaces to quietly move products out the door. This isn’t a niche side hustle anymore, its become a significant part of the retail economy. In 2023, the U.S. secondhand market (the core of the reseller economy) grew 11% to roughly $43 billion and is on track to reach about $70 billion by 2028. And that’s just apparel; add electronics, beauty products, home goods, and more, and the reseller ecosystem becomes even larger. In fact, when you include both off-price retail and resale of goods, the market generated over $340 billion in 2024 and could climb to $600+ billion by 2031​. This explosive growth underscores one clear trend: resellers are now a mainstream channel for inventory management.

Who are these resellers? They’re millions of everyday people (and small businesses) selling on platforms like eBay, Amazon Marketplace, Poshmark, Whatnot, Mercari, and StockX. Once dismissed as mere “auctioneers” or hobbyists, these independent sellers have built thriving communities and customer bases. They specialize in finding buyers for products that brands need to unload, whether it’s last season’s fashion, overstock gadgets, returned beauty products, or any other excess inventory. Brands and retailers are noticing. With a smart, discreet strategy, a company can recover cash from unsold goods without torpedoing its brand image or pricing integrity in mainline channels. How? By leveraging the reseller market.

In this article, we’ll break down the size and growth of the U.S. reseller economy, introduce the major platforms and their seller communities, and explore why brands are embracing resellers as partners. We’ll also compare key platforms in a handy table and explain how third-party sellers (and aggregators) on Amazon enable brands to quietly liquidate stock. We’ll also include a comparison table of top platforms and explain how businesses can sell inventory to resellers without jeopardizing their primary sales channels. Let’s dive in.

A Booming Reseller Economy in the U.S.

The rise of recommerce (resale commerce) in the U.S. has been nothing short of remarkable. What used to be the domain of thrift shops and garage sales is now a tech-enabled, multi-billion dollar industry spanning all consumer categories. Consumers have embraced buying “pre-loved” or overstock items online, and brands have quietly started to feed this demand with their excess goods. Consider these eye-opening stats:

  • U.S. secondhand market value: As mentioned, the U.S. secondhand goods market hit about $43 billion in 2023, up 11% year-over-year. It’s seven times faster growth than traditional retail. By 2028, projections peg it around $69–73 billion​, reflecting continued double-digit annual growth. That’s a huge slice of retail spending moving into resale.
  • Global growth: Worldwide, resale is growing even faster and the global secondhand market grew 18% to $197B in 2023​. A lot of that is driven by U.S. innovation in this space. Analysts predict the global market could double by later this decade.
  • Off-price + resale combined: Traditional off-price retailers (like TJ Maxx or outlet stores) plus the newer online resale channels together make up an enormous part of retail. One analysis found this combined “secondary market” generated $340+ billion in sales in 2024​. It’s expected to keep surging as more inventory finds its way from primary shelves to secondary channels.
  • Seller communities: Millions of Americans are now part-time or full-time resellers. For example, eBay hosts roughly 17–19 million sellers worldwide (about 1.7 billion listings) at any given time​. Amazon’s third-party marketplace has over 2 million active sellers globally, including 1.1 million U.S.-based sellers​. Fashion resale app Poshmark has over 8 million sellers who have listed closets full of apparel​. Newer entrant Whatnot has “several million” users (buyers and sellers) on its live-auction platform and facilitated about $2 billion in sales in 2024. Even niche platform StockX (for sneakers/streetwear) counts about 1.7 million sellers and 15+ million buyers to date. In short, there’s a vast army of resellers out there, ready to connect excess products with eager buyers.
  • Consumer mindset shift: Shoppers are increasingly comfortable – even enthusiastic – about buying from these secondary channels. One survey noted more than 70% of consumers plan to buy used or resale goods in 2024​. It’s no longer stigmatized to snag a deal on last year’s model or a “new with tags” coat on an app. For many, it’s savvy shopping. This cultural shift means brands have a willing audience for their overstock, as long as pricing is attractive.

Hands browse through a rack of apparel at a resale shop. The U.S. secondhand apparel market is growing rapidly and expected to reach $73 billion by 2028, as consumers embrace thrifted and overstock fashion. Brands are tapping into this trend to offload unsold inventory without hurting their image.

The data makes it clear: the reseller economy is large, growing, and here to stay. For brands and retailers, this represents an opportunity. Instead of seeing unsold goods as a pure loss or headache, they can view them as assets that, with the help of resellers, can be converted back into cash and circulated into the consumer market. As one recommerce specialist noted, “there is now a genuine opportunity to turn unsold inventory into cash while maximizing operational efficiency and saving precious space and time”. In other words, the secondary market is maturing, and it’s creating win-wins for both sides: shoppers get deals, resellers earn income, and brands recover value.

Major Online Platforms and Their Seller Communities

So where is all this resale activity happening? Primarily on a handful of major online platforms that each cater to different product categories and audiences. If you’re a brand with excess stock, these are the marketplaces where your products might quietly find a second home:

eBay: The OG of online reselling, founded in 1995. eBay has a massive, diverse user base. As of 2023, it had about 18 million active sellers worldwide and over 130+ million buyers. Categories range from electronics and motors to fashion, collectibles, and home goods – basically everything. Sellers on eBay are a mix of casual individuals and power-sellers running businesses. Formats include auctions (historically eBay’s claim to fame) and fixed-price “Buy It Now” listings.

eBay’s audience skews toward deal-hunters, collectors, and everyday folks looking for both new and used items. For brands, eBay offers huge reach and flexible pricing as you can sell anything from a pallet of overstock smartphones to a single designer handbag from last season. Many brands have even opened official “outlet” stores on eBay to offload inventory under the radar.

Amazon (Third-Party Marketplace): Amazon isn’t just for buying new items from Amazon itself; in fact, the majority of units sold on Amazon are from third-party marketplace sellers (over 60% of sales in Q4 2024 were 3rd-party​). There are an estimated 2+ million sellers active on Amazon’s marketplace globally, with about 1.1 million in the U.S.. These range from tiny one-person operations to large reselling companies and “aggregators.” On Amazon, everything is fixed-price with a buy box (often competitive pricing). Product focus: literally any retail category, including electronics, apparel, beauty, home, toys, etc.

Many Amazon third-party sellers specialize in selling new, overstock goods (as well as customer returns and refurbished items via Amazon Warehouse). The audience is the broad mainstream consumer who expects convenience and Prime shipping. For brands, Amazon’s marketplace is a double-edged sword: it has unmatched scale, but brand image must be managed carefully due to Amazon’s very public pricing and comparison. Often, brands use intermediaries (aggregators or authorized third-parties) to sell on Amazon in order to maintain a degree of separation (more on that later).

Poshmark: A popular fashion-focused resale app/community. Poshmark has a predominantly female user base and is known for apparel, shoes, accessories, and beauty products. Over 8 million people have sold on Poshmark (cumulatively) as of 2020​, and a recent count showed 4+ million active sellers in 2022. The platform feels like a social network, which allows users follow each other’s “closets,” share listings, and negotiate prices via offers. It’s mostly fixed-price listings with an option for buyers to offer lower and bundle items.

Poshmark even reports that about 20% of items sold are new (NWT – new with tags)​expandedramblings.com, indicating a lot of overstock or unworn purchases end up there. For brands, Poshmark’s audience is fashion-savvy and deal-savvy. Some brands have quietly partnered with Poshmark Resellers to list new overstock items on Poshmark at discount, leveraging the platform’s social nature to move small batches. The benefit is a targeted fashion audience and a context that feels like “scoring a find” rather than a clearance rack.

Whatnot: A rising star (founded 2019) that combines live streaming and commerce, akin to a mix of TikTok and eBay. Sellers host live auctions or shopping shows where viewers bid in real-time on items. Whatnot started with collectibles like Funko Pops, Pokémon cards, and comic books, and has expanded into sneakers, streetwear, vintage apparel, and more. The user base as of early 2025 is “several million” strong (mostly U.S., ~85% American users) and skews younger (18-34) and male (about 65% male)​, though categories like women’s fashion are growing.

For brands, Whatnot offers a unique, high-engagement way to liquidate inventory: via live, gamified sales. A brand (or its Whatnot reseller partner) could host a live auction event to sell, say, excess sneakers or limited-edition apparel, creating hype and urgency. Benefits include very rapid sales (everything sells in minutes if the auction is set right) and reaching enthusiasts. It’s also somewhat contained – live sales happen in the app community, not on Google for the whole world to see – so it can be a discreet channel for offloading specialty products.

Mercari: An online marketplace app originally from Japan, now popular in the U.S. Mercari is often described as a “mini eBay” – it’s a general marketplace for individuals to buy and sell just about anything (fashion, electronics, toys, decor, etc.), heavily mobile-focused and user-friendly. Mercari reported over 23 million active users in 2023​. The selling format is simple fixed-price listings with an option for buyers to request a lower price. It’s very much consumer-to-consumer, with a reputation for easy selling of things around the house.

For brands, Mercari might not be a primary channel for bulk liquidation (since it’s oriented to single-item listings), but it does have a younger demographic and a growing base in the U.S. Some smaller brands or local retailers might use Mercari to unload excess goods in a low-key way. Benefit: Mercari’s audience is looking for deals and is less concerned with “official” store experience, so they’re happy to buy, say, a new-with-box gadget from a random seller if the price is good.

StockX: A specialized marketplace for sneakers, streetwear, and other high-demand items (like collectibles, designer bags, and electronics like game consoles). StockX uses a bid/ask model – buyers place bids, sellers place asks, and when they meet, the sale happens (like a stock exchange for products). As of 2023, StockX had about 1.7 million sellers and 15 million buyers and surpassed 50 million transactions in its lifetime​research.contrary.com. The audience is mostly young, sneakerhead or hypebeast culture, and they expect authenticity (StockX authenticates items) and often new condition (called “deadstock” for sneakers).

Brands, especially in footwear and streetwear, have complex relationships with StockX. While the platform is known for reselling limited releases at higher than retail prices (the classic sneaker resale scenario), it’s also a channel to dump excess pairs that didn’t sell out. For example, a shoe brand might quietly sell leftover inventory of a model to a known StockX seller or bulk dealer, who then sells them on StockX at whatever price the market bears. The brand gets them off its books without holding a public sale. Benefit: StockX caters to enthusiasts, so even discounted items maintain a certain cachet by being on a collector marketplace rather than on a clearance shelf. It helps maintain brand exclusivity or at least the appearance of it, all because the discounts aren’t splashed on the brand’s own site.

Those are the key players in the U.S. reseller scene that brands are eyeing. Each platform has its own niche and strengths, which we summarize in the comparison table below:

Comparison of Top Resale Platforms for Excess Inventory

To help illustrate the differences, here’s a side-by-side comparison of major reseller platforms, focusing on their audience, product focus, selling format, and the benefits they offer brands looking to offload goods:

PlatformAudience & ReachProduct FocusSelling FormatBenefits for Brands
eBay~135M global buyers; broad age range; US & global. Mix of bargain-hunters and collectors. ~18M sellers worldwideAll categories (electronics, fashion, auto parts, etc.). New and used. Strong for collectibles and one-of-a-kind items.Fixed-price listings and auctions. Sellers set price or start bid; buyers bid or “Buy It Now.”Huge marketplace reach (lots of eyeballs). Can move diverse product types. Auction format finds market price. Relatively low-key channel – an eBay sale doesn’t scream “clearance” to your main customers. Brands can even run official “outlet” stores.
Amazon MarketplaceMillions of Prime shoppers; very broad audience (mainstream retail consumers). ~2M active third-party sellers (1.1M U.S.)​Virtually all retail products. Focus on new goods (overstock, refurbished, etc.). Notable for consumer electronics, books, home goods, beauty, etc.Fixed price “buy box.” Multiple sellers can offer the same product SKU. Fast-turnover if priced competitively.Massive scale – ability to sell large volumes quickly. Amazon handles payments, fulfillment (via FBA) if used. Anonymity via 3P: A brand’s goods can be sold by a third-party seller, so discounts aren’t directly tied to the brand’s name (helps with MAP compliance and brand image).
Poshmark~100M users (mostly North America); heavily female, millennial and Gen Z. Over 4–8M sellers (mostly individuals)​. Very engaged community.Fashion, apparel, shoes, accessories, some beauty and home decor. Both secondhand and new-with-tags. Trending styles and brand-name clothing do well.Fixed price with social features. Buyers can make offers; lots of negotiation. Mobile app focus with “virtual closet” feel.Targeted fashion audience – great for apparel overstock. High user engagement means listings get visibility via shares/parties. Brands can sell without overtly opening an outlet – just blend into the social marketplace. Smaller lot friendly (even one-off items). Maintains a sense of “exclusive find” rather than public sale.
WhatnotSeveral million users (85% in U.S.​). Skews young adult, ~65% male. Fast-growing, especially among Gen Z collectors and streetwear fans.Collectibles (trading cards, toys), sneakers, vintage clothing, comics, electronics, etc. Expanding into broader categories like mainstream fashion and accessories.Live-stream auctions and fixed-price drops. Real-time bidding, often starting at $1, short auctions. Highly interactive (chat, giveaways).High-energy, fast sales – can liquidate inventory in live shows within minutes/hours. Creates urgency and excitement, often yielding fair market prices. Good for small batches or unique items. Mostly app-based, so it feels like a special event (less visible to general public). Great for tapping enthusiast niches (e.g. sneakerheads).
Mercari20M+ U.S. app downloads; popular with millennials and Gen Z, also moms and casual sellers. ~23M active users worldwide​ U.S. focus growing.General merchandise: clothing, electronics, toys, games, appliances, etc. Often secondhand or unneeded new items. Many one-off listings by individuals.Fixed-price listings with option for buyers to offer lower. No auctions. Very quick listing process (mobile-centric).Ease of use – quick way to offload miscellaneous stock. Younger, mobile-first customer base. Lower profile than eBay/Amazon, so selling here flies under radar. Good for low-value or miscellaneous items that need a home. Brands can clear small quantities without much fuss.
StockXMillions of sneaker and streetwear enthusiasts globally; ~15M buyers, 1.7M sellers to date​. Mostly younger male demographic, highly brand-conscious.Sneakers, streetwear, luxury apparel, watches, and collectibles. Emphasis on new condition, limited editions. Street fashion and hype brands.Bid/ask marketplace. Sellers list an ask price, buyers bid; sales execute when bid meets ask. StockX authenticates items. Pricing is dynamic market-driven.Maintains brand cachet – goods are sold as collectible items, not as markdowns. Good for excess high-end or limited items: better to sell here than to publicly discount. Global reach to enthusiasts who’ll pay for coveted products. Brand can avoid handling the sale; just seed inventory to a reseller. Prices might even appreciate if item is desirable.

(Data current as of 2024-2025. Seller counts are global unless otherwise noted. Audience characterizations are generalized.)

As the table shows, each platform offers something different. A fashion brand drowning in last season’s dresses might find Poshmark or Whatnot useful; an electronics maker with too many widgets might lean on eBay or Amazon; a sneaker company with extra pairs could consider StockX. Many brands use multiple channels, depending on product category. The key is that all these platforms have thriving communities of sellers who know how to reach buyers for those products. Brands don’t necessarily have to sell excess inventory directly on these sites (though some do open their own outlet stores on eBay or Amazon), and often they can work through third-party sellers who specialize in each platform.

Conclusion: Resellers as Partners, Not Adversaries

Not long ago, brands viewed resellers and the gray market as a nuisance, something to clamp down on. But the industry has evolved. Today, the U.S. reseller market has become a vital pressure release valve for the retail system. Brands and retailers find themselves with excess goods for all kinds of reasons (forecast misses, seasonal shifts, returns, economic turns), and resellers have emerged as the nimble entrepreneurs ready to absorb that excess.

The growing importance of this reseller ecosystem is evident in the numbers and behaviors we’ve discussed: tens of billions of dollars of goods changing hands, millions of sellers making a living or side income, and more and more brands proactively engaging with these channels. It’s a symbiotic relationship – brands get a solution for inventory woes, and resellers get inventory to fuel their businesses. As one report succinctly noted, “a network of unofficial resellers buys leftover goods and makes a profit by exploiting regional price gaps… there have been recent reports of brands offering inventory directly to resellers”​. In other words, what used to be done in the shadows is increasingly an open secret and a strategic play.

For brands considering this route, the key is to approach it strategically and ethically: choose reputable resale partners, set clear guidelines to protect the brand, and be transparent internally about how these secondary channels fit into the overall distribution plan. When done well, using resellers to move excess stock can improve a brand’s bottom line and contribute to sustainability by ensuring products find a user instead of being wasted.

For retailers and consumers, the rise of the reseller market means more opportunities: retailers can reduce losses from returns/excess, and consumers get access to quality products at lower prices. It’s no wonder the reseller movement has gained so much momentum.

In a casual conversation, one might say: “Brands have figured out that if you’ve got extra stuff, there’s someone out there who can sell it for you.” That “someone” – the reseller – is no longer an afterthought; they’re now an integral part of the retail ecosystem. The U.S. reseller market’s growth story is really about innovation in distribution. By embracing that, brands are not only solving their inventory headaches but also meeting customers where they are – increasingly, on resale platforms looking for the next great deal.

Ultimately, excess inventory doesn’t have to spell doom and discounts don’t have to spell brand dilution. With the right reseller strategy, brands can quietly turn a problem into an opportunity, strengthen their financial position, and maybe even win new fans in the process. In a world where waste is out and resourcefulness is in, the reseller market offers a path for retailers to be both financially savvy and customer-friendly. And that’s why it’s more important than ever for any brand with products to sell to understand and appreciate the power of the reseller economy in the U.S. market today.