ThredUp Inc. (TDUP): Business Model Canvas [Dec-2025 Updated]

You're looking at the second-hand market, and honestly, the story for ThredUp Inc. right now isn't just about selling used clothes; it's about infrastructure finally paying off. After years of investment, their Q3 2025 results show a clear inflection point: revenue hit $82.2 million with margins holding near 80%, largely thanks to scaling their proprietary tech. The real game-changer, though, is their push into Resale-as-a-Service (RaaS), which is bringing major apparel brands onto their platform-we're talking 60+ brands in talks as of Q2 2025. If you want to see exactly how this platform model is translating massive inventory-over 250 million items processed-into accelerating growth and a clear path to profitability, you need to see the nine building blocks below. That's where the real detail is.

ThredUp Inc. (TDUP) - Canvas Business Model: Key Partnerships

You're looking at the ecosystem that helps ThredUp Inc. scale its marketplace and its growing Resale-as-a-Service (RaaS) offering. These relationships are critical for supply acquisition, market intelligence, and operational execution.

The RaaS platform is a major focus, allowing major retailers to offer branded resale experiences directly to their customers. As of the second quarter of fiscal 2025, ThredUp Inc. reported that over 60 apparel brands were engaged in conversations regarding the company's open-source RaaS strategy.

For context on the scale of the managed marketplace, ThredUp Inc. had processed over 200 million unique secondhand items from 60,000 brands across 100 categories by Q2 2025.

The company's strategic alliances extend beyond direct brand integration to critical operational and intelligence functions. Here's a look at some of the key entities involved:

• Retail brands leveraging the RaaS platform for branded resale programs.
• Over 60 apparel brands engaged in RaaS strategy conversations (Q2 2025).
• Logistics and shipping providers for managing inbound/outbound consignment kits.
• GlobalData for market research and the annual Resale Report.
• Charity partners for seller donation options.

The intelligence partnership with GlobalData is foundational to understanding the market ThredUp Inc. operates in. The 2025 Resale Report, conducted by GlobalData, projected the global secondhand apparel market to reach $367 billion by 2029.

For seller options, ThredUp Inc. facilitates the ability for sellers to direct their payout to the charity of their choice. Through its Rescues channel, the company had sold a total of 6.3 million items to date as of its August 2025 Impact Report.

Operational partnerships support the physical movement of goods and material circularity. While specific logistics providers for every Clean Out Kit are proprietary, ThredUp Inc. has demonstrated commitment to recycling the bags themselves:

Partner Entity	Focus Area	2024 Metric/Detail
The AZEK Company	Clean Out Bag Recycling	Recycled 182,400 pounds of materials in 2024
American Circular Textiles (ACT)	Public Policy/Advocacy	Partnered on Sales and Use Tax petition
Internal Infrastructure	Processing Capacity	Current facilities support up to $600 million in revenue

The RaaS client list includes major names that rely on ThredUp Inc.'s expertise. For instance, in 2024, the RaaS segment expanded to 50 brand clients.

Known RaaS clients mentioned in connection with the platform include:

• Reformation
• Torrid
• Madewell
• Gap
• Athleta

The company's Q2 2025 financial performance, which included $77.7 million in revenue and $3.0 million in Adjusted EBITDA, is underpinned by the efficiency gained through these scaled operations and partnerships. Finance: draft 13-week cash view by Friday.

ThredUp Inc. (TDUP) - Canvas Business Model: Key Activities

You're looking at the engine room of ThredUp Inc., the core actions that keep the resale flywheel spinning as of late 2025. It's all about logistics scale and tech superiority right now.

Operating and scaling the proprietary processing and fulfillment infrastructure is non-negotiable. As of the third quarter of 2025, ThredUp Inc. was running four U.S. distribution centers, which collectively hold capacity for 9 million items. Honestly, the infrastructure is designed for speed, capable of processing over 100,000 unique SKUs per day across its footprint, though the Dallas, TX facility was noted as operating at only 25% capacity in Q3 2025, suggesting room to ramp up output without immediate CapEx. This custom-built platform is what allows them to handle the volume.

Developing AI-driven product experiences and social commerce features is where ThredUp Inc. is building its competitive moat. Management pointed to the successful roll-out of AI-powered features like the Daily Edit and Trend Report as key drivers in Q3 2025. The impact of this tech is concrete: sessions using the Visual Search feature have resulted in an 85% higher conversion rate. Furthermore, new AI features, like AI-generated model images, contributed to a 60% increase in the sign-up-to-purchase rate in Q2 2025. It's defintely changing how they staff too; project teams have shrunk to about four people thanks to AI scaffolding.

Acquiring new buyers is showing fantastic momentum, especially when you look at the growth rate for first-time customers. In Q3 2025, new buyer growth hit 54% year-over-year, which the company called its best quarter for new buyer acquisition in history. Total Active Buyers reached 1.57 million in that same quarter, marking a 26% increase year-over-year. To be fair, Q2 2025 was even hotter for new buyers, surging 74% YoY, pushing total Active Buyers to 1.47 million.

Managing and curating a massive inventory is the direct result of successful acquisition and processing. By the second quarter of 2025, ThredUp Inc. had processed over 200 million unique secondhand items through its platform. This inventory spans a massive selection, covering over 60,000 brands across 100 categories. That's a lot of sorting and attribution work.

Onboarding and integrating new RaaS (Resale-as-a-Service) brand partners is a key supply and growth lever. The November 2025 newsletter highlighted welcoming Cotopaxi, Vitamin A, and New York & Company to the RaaS family in that quarter alone. Just prior, in August 2025, they celebrated launching programs with Farm Rio and Pact. This channel is clearly a focus for strategic growth, evidenced by RaaS being named to Inc.'s Power Partners 2025 list.

Here's a quick look at some of the key operational numbers we just discussed:

Metric	Value/Amount	Reporting Period/Date
Q3 2025 Revenue	$82.2 million	Q3 2025
Q3 2025 New Buyer Growth YoY	54%	Q3 2025
Q3 2025 Active Buyers	1.57 million	Q3 2025
Q3 2025 Gross Margin	79.4%	Q3 2025
Distribution Center Capacity	9 million items	Q3 2025 (Total)
Items Processed (Cumulative)	Over 200 million	Q2 2025
Brands Managed (Current)	Over 60,000	Q2 2025
AI Image Search Conversion Lift	85%	Reported

The company is also managing its balance sheet to support these activities, ending Q3 2025 with $56.1 million in cash and cash equivalents, restricted cash, and marketable securities. Finance: review the Q4 2025 cash burn projection against the current run rate by Wednesday.

ThredUp Inc. (TDUP) - Canvas Business Model: Key Resources

You're looking at the core assets that let ThredUp Inc. run its massive online resale operation. These aren't just things they own; they are the engines driving their competitive edge in the circular economy space.

The most critical resource is the proprietary operating platform and distributed processing infrastructure. This custom-built system is what lets ThredUp handle the massive, messy inflow of used apparel at scale. It's the backbone that supports their entire managed marketplace model, from intake to listing to shipping.

This infrastructure represents a significant sunk cost and barrier to entry for competitors. The company has stated a cumulative investment of over $400 million in technology and operations, which underpins their ability to process volume efficiently. This investment is designed to create a defensible moat through patented processing infrastructure, powerful technology, and proprietary data and AI systems.

The scale of inventory handled is a direct result of this infrastructure. ThredUp reports a vast inventory of over 250 million unique secondhand items processed across its history. This sheer volume feeds the marketplace flywheel. For context on recent performance enabling this scale, in Q3 2025, ThredUp reported $82.2 million in revenue and achieved a gross margin of 79.4%.

Another indispensable resource is the data science expertise for pricing, merchandising, and personalization. ThredUp leverages machine learning and AI to manage the complexity of millions of unique items. This expertise directly impacts efficiency and customer experience.

Here's a quick look at the tangible financial resource available as of the end of Q3 2025:

Financial Metric	Amount as of Q3 2025
Cash and Equivalents (including restricted cash and marketable securities)	$56.1 million
Debt (Reported in Q3 2025 context)	$19 million
Free Cash Flow (Q3 2025)	$2.4 million

This data science capability translates into tangible operational metrics that show the platform's effectiveness. The platform's ability to convert visitors is a key output of this resource:

• Visitor sign up rates on ThredUp are up 30% year-over-year (as of Q2 2025 data).
• Sign up to purchase rate is up 60% (as of Q2 2025 data).
• Combined, this represents an 18% improvement in how visitors turn into ThredUp customers.

The platform's technology stack is also being deployed for external partners, which represents an additional, growing resource stream through their Resale-as-a-Service (RaaS) offering. This allows leading brands and retailers to leverage ThredUp's core assets for their own resale experiences.

ThredUp Inc. (TDUP) - Canvas Business Model: Value Propositions

You're looking at the core reasons why customers and partners choose ThredUp Inc. over other options. It's about making the circular economy work financially for everyone involved.

For Buyers, the primary draw is access to a massive, curated inventory at steep discounts. You can find value, premium, and luxury brands at up to 90% off retail. This value proposition is backed by platform efficiency; in Q2 2025, ThredUp Inc. reported 1.47 million Active Buyers, a 17% year-over-year increase, driven in part by a 74% year-over-year growth in new buyers.

The value for buyers is quantified by the savings they realize:

• Access to value, premium, and luxury brands at up to 90% off retail.
• Black Friday sales in late 2025 included offers like 50% off plus free shipping.
• Coupon codes for up to 50% off purchases were available in December 2025.

For Sellers, the value is in the simplicity of the Clean Out Kits to unlock cash or donations. It's a managed process that removes the friction of peer-to-peer selling. The payout structure shows how cash is unlocked, though it is highly dependent on the final selling price:

Item Selling Price Range	Seller Payout Range
$5.00 to $19.99	15 cents to $2.99
Over $200.00	80% of the sale amount

The standard kit fee was noted as normally $14.99, but was offered at $7.49 at one point in early 2025. The focus on higher-quality items is clear, as premium service kits grew 44% quarter-over-quarter in Q2 2025.

For Brands, the Resale-as-a-Service (RaaS) offering provides a scalable, customizable, and low-friction integration for their own resale operations. ThredUp Inc. offers partners like Walmart and Nordstrom access to its technology stack, including the clean-out kit program, to power branded resale shops. This B2B play leverages the operational efficiency that results in a strong gross margin, which stood at 79.5% in Q2 2025.

The entire model is built around promoting circularity and sustainability in the fashion industry. This resonates strongly with the market, as evidenced by industry statistics:

• The secondhand apparel market in the US grew 14% in 2024.
• Online resale is expected to grow at a Compound Annual Growth Rate (CAGR) of 13% to reach $40 billion by 2029.
• 63% of Gen Z shoppers planned to opt for resale and upcycled products for holiday spending in 2025.
• 55% of younger generations believe brands should take back unwanted or used apparel.

The high-quality, curated secondhand supply is the engine for the buyer value proposition. This supply is being actively managed and improved, with the premium kits growing 44% QoQ in Q2 2025, which also helped drive higher average selling prices. This focus on quality inventory is key to maintaining the platform's high gross margin, reported at 79.5% in Q2 2025.

Finance: draft 13-week cash view by Friday.

ThredUp Inc. (TDUP) - Canvas Business Model: Customer Relationships

You're looking at how ThredUp Inc. connects with the millions of people buying and selling on its platform as of late 2025. The focus here is on making the experience feel tailored and easy, whether you're dropping off a bag or browsing for a specific style.

Automated, personalized recommendations driven by AI and data science

Artificial intelligence is central to how ThredUp Inc. keeps shoppers engaged. The company launched a fully rebranded experience in Fall 2025, underpinned by these new AI tools. The goal is to make thrifting feel as frictionless as buying new.

The impact of these tools is measurable:

• Sessions using the image search feature see conversion rates that are 85% higher.
• By the end of Q2 2025, AI-generated model images were live on approximately 100,000 product pages.
• The 2025 Resale Report noted that 40% of consumers feel that personalization, improved search, and discovery make shopping secondhand as easy as shopping new.

The Style Chatbot, which suggests curated, shoppable looks based on user descriptions (like an outfit for a Chicago autumn job interview), is a key part of this personalized discovery.

Self-service tools for buyers and sellers on the online platform

The platform is heavily geared toward self-service, which helps manage the massive volume of items. For buyers, the AI-powered search, which understands natural language queries, is the primary self-service discovery tool. For sellers, the process is streamlined through digital tools.

Seller activity shows adoption of premium, fee-based self-service options:

Metric	Q2 2025 Value	Context
Premium Service Kits (Fee up to $34.99)	Increased 44% Quarter over Quarter	Indicates adoption of higher-touch seller service.
First-Time Sellers using Premium Kits	Approximately 25%	Shows self-service tools attract new consignors.
Resell-through-Returns Volume	Grew more than four times Quarter over Quarter	Suggests efficient self-service processing for returns.

Importantly, the growth in returns processing did not lead to a measurable rise in overall buyer return rates, suggesting the self-service quality checks are holding up.

Dedicated account management for RaaS brand partners

For Resale-as-a-Service (RaaS) brand partners, the relationship shifts from a transactional fee model to a partnership layer, which ThredUp Inc. calls its Universal Recommerce Layer (URL). As of May 2025, the company eliminated upfront and monthly fees for branded resale shops.

Customer relationship structure for RaaS partners includes:

• Brands retain 100% of the revenue generated from their directly provided secondhand items.
• Brands earn a revenue share on items sold from ThredUp Inc.'s existing inventory within the partner's branded shop.
• Partners receive customized tile advertisements on thredup.com product pages at no additional cost.
• Access to ThredUp Inc.'s vetted aftermarket partner network for environmentally conscious processing of unsellable garments.

This structure is designed to make the partnership economically compelling and scalable for major retailers.

Community building and social commerce features for engagement

Engagement is increasingly moving toward social channels. ThredUp Inc. launched Shop Social, an AI-powered social commerce experience, in April 2025. This directly addresses consumer trends where social interaction and shopping are merging.

Industry data from the 2025 Resale Report shows the importance of this area:

• 39% of younger generation shoppers made a secondhand apparel purchase on a social commerce platform in the last 12 months.
• 70% of retail executives believe social commerce will play a significant role in driving resale adoption within their brand.

These features help build a community around the brand's circularity mission.

Customer support for consignment processing and order fulfillment

While much is automated, direct support remains for complex issues, especially around consignment processing and order fulfillment. The overall platform growth suggests support systems are scaling effectively with buyer volume.

Buyer metrics show significant growth in the user base interacting with these fulfillment systems:

Period End	Active Buyers (TTM)	Year-over-Year Growth
Q1 2025	1.37 million	6%
Q2 2025	1.5 million	16.5%
Q3 2025	1.57 million	26%

The platform saw its best quarter for new buyer acquisition in Q3 2025, with new buyers up 54% year-over-year, putting sustained demand on all customer-facing operations.

Finance: review Q3 2025 customer service cost per order against the $65.2 million Q3 2025 gross profit.

ThredUp Inc. (TDUP) - Canvas Business Model: Channels

The channels ThredUp Inc. uses to reach and serve its customer segments are a mix of owned digital properties and strategic brand integrations.

Primary online marketplace (ThredUp website and mobile app)

The core channel remains the direct-to-consumer digital platform. For the third quarter ended September 30, 2025, ThredUp Inc. reported total revenue of $82.2 million. This represented a 34% increase year-over-year. The platform supported 1.57 million Active Buyers in Q3 2025, a 26% rise from the prior year, with new buyer acquisition growing by 54% year-over-year in that quarter. Total orders processed reached 1.61 million, marking a 37% increase over Q3 2024. The company's guidance for the full fiscal year 2025 revenue was set in the range of $307 million to $309 million, implying an 18% year-over-year increase at the midpoint.

Here are some key performance indicators for the core marketplace:

• Q3 2025 Revenue: $82.2 million
• Q3 2025 Active Buyers: 1.57 million
• Q3 2025 Orders: 1.61 million
• Q3 2025 New Buyer Growth: 54% year-over-year
• Full Year 2025 Revenue Guidance Midpoint: $308 million

Resale-as-a-Service (RaaS) integrations on partner brand/retailer e-commerce sites

ThredUp Inc. extends its reach by powering branded resale experiences for other retailers, leveraging its technology. This RaaS channel is a key area for scaling the managed marketplace infrastructure. For example, through a specific branded Clean Out Program partnership in 2025, 123K items were recirculated. This particular partnership generated approximately $1.2 million in net revenue year-to-date in 2025. Furthermore, customers participating in that specific program spent, on average, 6x the value of the credit they received.

The RaaS channel's impact can be seen through partner program metrics:

Metric	Value (2025 YTD)	Context
Items Recirculated (Specific Partner Program)	123,000 items	Through a branded Clean Out Program
Net Revenue Generated (Specific Partner Program)	$1.2 million	Year-to-date from the partnership
Customer Spend Multiplier (Specific Partner Program)	6x	Value of credit received

Social media platforms for marketing and social commerce (e.g., iOS features)

Social platforms are used for both driving traffic to the primary marketplace and for direct commerce features. ThredUp Inc. launched 'Shop Social,' an AI-powered social commerce experience, in April 2025. This new feature was in beta within the ThredUp iOS app as of Q3 2025. While specific 2025 social commerce revenue isn't broken out, data from the 2025 Holiday Report indicated that in 2024, 35% of consumers overall who purchased secondhand apparel via social media made a purchase on TikTok or TikTok Shop.

Direct mail (Clean Out Kits) for supply acquisition

The Clean Out Kit is the primary mechanism for acquiring inventory from individual sellers. One user's experience in early 2025 involved sending a kit containing about 40 pieces, of which 32 were listed for sale, and ultimately 14 items sold. The sustainability impact channel is also tied to this: the 123K items recirculated through the Reformation partnership in 2025 via their Clean Out Program saved an estimated 10.7 million gallons of water.

Supply acquisition via kits shows tangible results:

• Items sent in a single user kit (early 2025): Approximately 40 pieces
• Items accepted/listed from that kit: 32 items
• Items sold from that kit: 14 items
• Water saved from a partner's 2025 kit program: 10.7 million gallons

Finance: review Q4 2025 RaaS contract pipeline value by end of week.

ThredUp Inc. (TDUP) - Canvas Business Model: Customer Segments

ThredUp Inc. (TDUP) serves distinct groups within the circular economy, each with specific motivations for engaging with the online resale platform.

The primary consumer segment consists of value-conscious consumers seeking quality and discounts. This group is highly responsive to the platform's proposition of offering branded items at lower price points.

A significant driver of growth comes from younger demographics. Millennials and Gen Z account for 68% of incremental secondhand spend. This cohort is deeply integrated into the resale market.

The platform's buyer metrics as of Q3 2025 demonstrate this engagement:

• Active Buyers: 1.57 million as of Q3 2025.
• Year-over-Year Active Buyer Growth: 26%.
• New Buyer Acquisition (Q3 2025): Up 54% year-over-year, marking a historical best quarter for new buyer acquisition.
• Orders Fulfilled (Q3 2025): 1.61 million, up 37% year-over-year.

ThredUp Inc. (TDUP) also targets fashion brands and retailers looking to establish or expand their own resale operations through its Resale-as-a-Service offering. While specific B2B revenue or partner counts are not detailed here, the focus is on enabling circularity for established players.

The seller base represents another critical segment, looking for a convenient method to monetize or donate used apparel. The willingness of this group to participate is evident in seasonal data:

Seller Activity Metric (Holiday 2025 Context)	Percentage
Respondents Considering Selling to Fund Gifts	Nearly 47%
Millennials Most Likely to Sell to Fund Gifts	70%
Gen Z Most Likely to Sell to Fund Gifts	57%

This indicates a strong segment of users who actively cycle inventory through the platform, driven by both financial incentives and the desire for convenience in managing their closets.

ThredUp Inc. (TDUP) - Canvas Business Model: Cost Structure

You're looking at the hard costs ThredUp Inc. incurs to keep the marketplace running as of late 2025. This structure shows where the money goes before we even talk about profit.

Fulfillment and operations costs, including inbound processing and logistics

These are the costs tied directly to handling the physical goods-getting them from sellers, inspecting, photographing, storing, and shipping them to buyers. While specific fulfillment cost breakdowns aren't always isolated, a significant portion of the non-COGS operating expenses is tied here, especially given the stated investments in inbound processing.

For context on the non-cash costs associated with assets used in operations:

Metric	2025 Full Year Expected Amount (USD Millions)
Depreciation and Amortization	$12.7 million

Technology and development expenses, including CapEx of $10 million for 2025

ThredUp Inc. continues to invest heavily in its AI-led product experience and supply chain automation. These technology costs cover software development, platform maintenance, and the build-out of physical infrastructure.

The planned capital outlay for the year reflects this focus:

• Capital Expenditures (CapEx) planned for 2025: $10 million
• CapEx spent in Q2 2025: $3.3 million
• Maintenance CapEx expected for 2025: Approximately $8 million

Sales and marketing spend, targeting up to 20% of revenue outside Q4

Customer acquisition remains a major cost driver, though the company is seeing efficiency gains, with new buyer acquisition surging in Q3 2025.

The stated target for this spend category outside the busy fourth quarter is clear:

• Sales and Marketing Spend Target (Outside Q4): Up to 20% of revenue
• Sales and Marketing Expense in 2024: $49 million

Here's how the target spend compares to the midpoint of the full-year revenue guidance:

Metric	Amount (USD Millions)
Full Year 2025 Revenue Guidance (Midpoint)	$308.0 million
Estimated Sales & Marketing Spend (Targeting 20% on 75% of Revenue)	$46.2 million

If onboarding takes 14+ days, churn risk defintely rises.

Cost of goods sold (COGS) for direct inventory and consignment payouts

COGS represents the direct costs associated with the inventory sold, primarily consignment payouts to sellers, plus costs like shipping to the customer. The high gross margin reflects the consignment-heavy model.

Recent performance shows the efficiency of this cost line relative to revenue:

• Q3 2025 Gross Margin: 79.4%
• Q2 2025 Gross Margin: 79.5%
• Annual Revenue for 2024: $260.03 million
• Annual COGS for 2024: $52.91 million

For the record-setting third quarter of 2025:

Q3 2025 Metric	Amount (USD Millions)
Revenue	$82.2 million
Cost of Goods Sold (COGS) at 79.4% Gross Margin	$17.32 million

General and administrative expenses (G&A)

G&A covers the overhead-salaries for corporate staff, rent, legal, and finance functions. A portion of stock-based compensation also falls into this bucket, though it can be allocated across functions.

We can look at the Selling, General & Administrative Expense from 2024 as a benchmark, knowing that stock-based compensation is a notable component of the overall expense base for 2025:

• Selling, General & Admin Expense in 2024: $57 million
• Full Year 2025 Expected Stock-based Compensation Expense: $18.3 million

Finance: draft 13-week cash view by Friday.

ThredUp Inc. (TDUP) - Canvas Business Model: Revenue Streams

You're looking at how ThredUp Inc. actually brings in the money, which is key for any valuation work you're doing. The core of the business is still the marketplace, where you see revenue generated from two main avenues: the commission taken on consignment sales and the revenue from direct sales where ThredUp Inc. buys the inventory outright.

The marketplace engine is clearly gaining traction. For the trailing twelve months ending Q2 2025, the platform supported 1.5 million active buyers, and in Q2 2025, orders were up 20.8% year-over-year. The focus on quality is paying off, too; gross margin in Q2 2025 hit 79.5%, and premium kits now account for over 20% of marketplace supply as of Q3 2025, which naturally drives higher average selling prices (ASPs).

Metric	Q3 2025 Data Point	Related Period Data Point
Quarterly Revenue	$82.2 million	Q2 2025 Revenue: $77.7 million
Year-over-Year Revenue Growth (Q3)	34%	First Half 2025 Revenue Growth: 13.48%
Gross Margin (Q3)	79.4%	Q2 2025 Gross Margin: 79.5%
Active Buyers (TTM as of Q2)	1.5 million	Q1 2025 Active Buyers: 1.37 million

Let's look at the top-line guidance you need to model. For Q3 2025, the revenue totaled $82.2 million, which was a 34% year-over-year increase. Looking ahead, the full-year 2025 revenue guidance is set in the range of $307 million to $309 million, reflecting an 18% year-over-year growth at the midpoint.

Next up is the Resale-as-a-Service (RaaS) stream. This is where ThredUp Inc. licenses its platform and logistics to brand partners, like Walmart and Nordstrom, to run their own resale programs. While specific RaaS fee revenue isn't broken out in the headline numbers, the strategic pivot to focus on the U.S. RaaS model, following the exit from Europe, signals a commitment to growing this high-margin revenue component. This service revenue is critical because it diversifies the business away from purely consumer-to-consumer marketplace transactions.

Finally, you have the seller service fees, which include the revenue generated from the Clean Out Kits. The company is actively managing the supply side, and the success of premium kits is a direct driver here. Premium kits have grown to account for over 20% of marketplace supply as of the third quarter of fiscal 2025. This indicates that sellers are opting for paid services that promise better outcomes or faster processing, which feeds directly into this revenue bucket.

You should track these components closely:

• Marketplace commissions and direct sales volume.
• RaaS platform fees from brand partners.
• Adoption rate and revenue from Clean Out Kits.
• Revenue contribution from premium vs. standard kits.