Home / Business and Economy / eBay Buys Depop for $1.2B, Targets Gen Z
eBay Buys Depop for $1.2B, Targets Gen Z
19 Feb
Summary
- eBay is acquiring fashion marketplace Depop for $1.2 billion.
- Depop's user base is predominantly under 34 years old.
- The acquisition aims to increase eBay's presence with younger shoppers.
eBay has announced a significant acquisition, agreeing to purchase the popular secondhand fashion marketplace Depop from Etsy for about $1.2 billion in cash. This strategic move is poised to expand eBay's reach into the coveted Gen Z market.
Depop boasts a substantial user base, with approximately 7 million active buyers as of December 31, 2025, nearly 90% of whom are under the age of 34. This demographic alignment makes Depop an attractive target for eBay's growth strategy.
The deal underscores the burgeoning trend of reselling used clothing, driven by consumer demand for unique items, cost savings, and environmental consciousness. Depop is expected to retain its distinct brand, platform, and culture following the acquisition.
The transaction has received unanimous approval from the boards of both eBay and Etsy, and is anticipated to close in the second quarter. eBay's shares saw a notable increase in after-hours trading upon the announcement.
Etsy plans to use the proceeds from the sale for general corporate purposes, share repurchases, and investments in its core marketplace. This acquisition marks a strategic effort by eBay to invigorate its platform and connect with a younger generation of online shoppers.
