Depop Fees Explained - The Complete Guide for Beginners
Starting a business online means learning many things, but knowing Depop fees is probably one of the essential ones if you plan on using this app. Knowing how much does Depop take when you make a sale will be much easier when you're familiar with each fee you need to pay.
What Amount You Have to Set Aside for Depop Fees?
Being on one of the best online marketplace platforms in the UK requires many preparatory steps and marketing knowledge if you want your business to grow. So, when you pick this online selling app, you'll want to know how to sell successfully on Depop.
It's one of the best places to sell your items where potential customers will have the choice to pay with an Apple pay account, credit card, debit card, or Google Pay account. If you want to use a selling software like Depop, then you should be prepared for some expenses that you as a seller have to pay. And eventually, you should also learn how to change the address, and other useful tips, such as how to refund, the way the shipping works, and all about the return policy.
So, how much does it cost to sell an item on Depop, and how does it work? When you make a sale on the app, you'll be charged a 10% Depop fee, which will be deducted automatically. A transaction fee will be charged from the seller whether the payment went through PayPal or Depop Payments. However, one of many benefits of using this platform precisely is that the fee will be charged only when you sell. And after the sale is closed, it can take up to 21 days for that transaction. So, after a buyer makes the purchase, expect to get 10% less from the price you set.
Enjoy No Extra Depop Selling Fees for Listing and Marketing
While you're gathering all the tips for eCommerce business owners and dealing with all the challenges you'll run into while being on a marketplace platform, keep in mind that being on Depop will provide you with no fees for listing. So, if you're already using a crossposting tool, know you can list without any extra charge on Depop.
When it comes to the shipping fee, know it's already included in that 10% we already mentioned. In other words, when a customer clicks the button BUY, Depop takes 10% of the total transaction amount. Don't worry, you'll still be able to make a profit. Every other similar platform will charge you approximately the same amount. And there's a simple reason for this - the app needs to keep running, releasing new features and, in other words, improving the buyers' and sellers' experience.
What Percentage Will PayPal Take?
Figuring out multi-channel listing software and online selling tools isn't as easy as you thought. You need to consider all the scenarios when it comes to payment processing. If the buyer made a purchase via their PayPal account, you'd be charged a transaction fee directly through your PayPal account, and it will be taken as a separate payment. The amount can vary, but in the UK it is usually 2.9%, plus an additional £0.30 per transaction.
What Is Paypal Seller Dispute Fee?
If a seller is unresponsive to a PayPal dispute or has a PayPal dispute escalated, this fee will be charged automatically. This fee is £12, and if your Disputes Ratio is 1.5% or even more with more than 100 sales transactions in the previous three months, this fee will go up to £24.
Provide Your Buyers More Options With Depop Payments
If you're thinking of providing your potential buyers with more payment options, then the Depop Payments solution is just the right thing for you. It lets your buyers pay using credit/debit cards, Google Pay, and Apple Pay. However, be aware that the amount sold through Depop Payments will be deducted before the payout reaches your account.
Can You Calculate a Depop Fee on Your Own?
Yes, this may sound like too many fees and options for some people, but if you're really into growing your small business with cross-posting software, some sacrifice needs to be made. So, there are three basic types of fees you can count on, one mandatory, and others depending on the chosen payment method.
- Depop selling fee,
- PayPal fee,
- Depop Payments.
Calculating fees is certainly one more step you need to take when setting up your business. In this case, no matter what payment methods are chosen, you'll be charged with an additional 1.29% seller service fee for UK-EU transactions, a standard transaction fee of 2.9% + £/€0.30 across Depop Payments and PayPal.
To fully enjoy all the benefits from using software for selling online, you can calculate fees on your own in advance. Prepare pen and paper if you're into the more old-fashioned method. However, if calculation manually isn't your thing, simply use your phone's calculator. And if you want to level it up, use an excel sheet.
Include all the essential information, such as the cost of shipping an item to the buyer, how much you initially paid for the product, and in the end, how much you'll charge for that item. And, of course, don't forget to add the fees. In the end, you'll get the sum you'll earn after the sale.
Keep in Mind the Fees When Setting the Price of Items You Wish to Sell
Doing everything on your own can be quite exhausting. But over time, when you have more and more sales and valuable customers that keep coming back, leaving positive reviews, it will all pay off. So, besides knowing how crosslisting software works and all other tips and tricks, ensure you're familiar with the fees you have to deal with as a seller on one of the most popular platforms.