What's Happening?
Whatnot, a live selling platform based in Los Angeles, is experiencing significant growth in its beauty resale business. Originally launched in 2019 to sell collectible figurines, Whatnot has expanded
into various categories, including beauty and fashion, which are now its fastest-growing sectors. The platform operates on a unique model where independent sellers source their inventory, often including discontinued products, from wholesale and overstock distributors. This approach has made Whatnot a popular destination for consumers seeking hard-to-find beauty items. In 2025, the platform saw over 20 million new accounts and $8 billion in live sales, with the U.S. being its largest market. Despite its success, Whatnot faces competition from TikTok Shop, which has a larger market share but operates differently by allowing purchases through both live and pre-recorded videos.
Why It's Important?
The growth of Whatnot's beauty resale business highlights a shift in consumer behavior towards live selling and the demand for discontinued products. This trend is significant for the beauty industry as it opens new revenue streams for independent sellers and provides consumers with access to rare items. The platform's success also underscores the potential of live selling as a viable business model, challenging traditional retail and e-commerce platforms. For brands, this presents an opportunity to reach new audiences and extend the lifecycle of their products. However, it also raises concerns about unauthorized sales and brand control, as many products sold on Whatnot are not directly from the manufacturers.
What's Next?
As Whatnot continues to grow, it may attract more beauty brands to sell directly on the platform, potentially changing its current model. The platform's success could also inspire other companies to explore live selling, further transforming the retail landscape. Additionally, Whatnot may need to address issues related to unauthorized sales to maintain brand trust and consumer confidence. The competition with TikTok Shop is likely to intensify, pushing both platforms to innovate and improve their offerings to capture a larger share of the beauty market.
