The customer may pay with Apple or Google Pay, PayPal, or a credit or debit card. Run the Numbers and Keep an Eye on . In contrast to the past, when the majority of transactions were made through PayPal, they began to offer their own payment processor in 2019. ChannelX is published by InternetRetailing Media Services Ltd on its behalf.Tel: +44 (0) 207 062 25 25Email: [emailprotected], Be notified of upcoming events and webinars. PayPal doesn't anticipate a significant slowdown after the pandemic ends. To me, that was a worthy sacrifice.. How much should I charge for recording studio time? Lastly, if youre using a credit or debit card to make a payment, your bank may have added any additional fees such as processing fees or foreign transaction fees. Customers can now pay with their credit card, debit card, Apple Pay account, or Google Pay account by selecting Depop Payments at the time of checkout. As thrifting and more sustainable fashion has become more popular among young people, Depop became the place to go and find great secondhand styles. We use cookies on our website to give you the most relevant experience by remembering your preferences and repeat visits. Enter Depop. Despite the app's digital-first approach, behind the profiles are real people, so treat them like it. PayPal owns one of the world's largest online payment networks. Please read rules before posting. https://www.nytimes.com/2022/07/25/technology/depop-gen-z-designers.html. In addition to these two fees, Depop also charges for other optional services, such as promoting your item to reach a broader audience, premium placement in the search results, and a reduced transaction fee for sales higher than $50. It was recently acquired by Etsy for $1.6bn and is a London based business that now has 30 million customers in 150 countries since launching in 2011. For some reason beyond me they took out $29.40. There are other optional services available but are not mandatory. Depop is authentic and human because social interaction is at its core, she explains. And what is depop limited? Anything from plain tees to one-of-a-kind clothing has a placeyou just have to find your audience. I did the math on all of them and received less than what the app says I would receive after 10 percent on every single order. Test out different poses. It may take up to 21 days after the sale is completed for the fee to be automatically deducted from your PayPal or Depop Payments account. In addition to these fees, Etsy also charges a payment processing fee of 3% + $0.25 on every transaction made through their platform.if(typeof ez_ad_units!='undefined'){ez_ad_units.push([[300,250],'newzealandrabbitclub_net-box-4','ezslot_9',175,'0','0'])};__ez_fad_position('div-gpt-ad-newzealandrabbitclub_net-box-4-0'); Overall, while both Depop and Etsy charge fees for using their platform, Depop has a lower commission fee compared to Etsys transaction fee. charges a 10% commission for every sale made through the BUY button. On the other hand, Poshmark charges a fixed commission fee of 20% for items sold at or above $15. In the meantime, make sure you're staying in the green. (With 12 Easy Tips), Are Nike Blazers Good for Wide Feet? DEPOP FEE BREAKDOWN The Depop fees are 10% + Paypal fees Paypal fees are 2.9% + $0.30 per transaction (US) Doing the math, if you sell an item for $25.00 Shipping (paid by the customer is $9.00) Total Cost $34.00 Depop fee is 2.50 (10% of 25.00) Paypal fees are Total Cost $34.00 (2.9%)=.986 +.30=1.29 2. So, in the case of a $10 sale, Depop would take a commission of $1. By building a strong brand, creating visually attractive listings, promoting your store on social media, finding the right pricing, and connecting with your audience, you can create a profitable online business on Depop. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services. Depop payment fees include 3.4% + 0.30 for all its UK and EU sellers, whereas the US sellers are charged 2.9% + $0.30 on each payment. The standard transaction fee for selling on Depop is 10%, which includes both the items cost and shipping fees. There could be a few reasons why Depop is charging you more than 10. The fee that Depop takes from a $10 sale depends on the category of the item and the seller's location. Helen Parker is the Managing Director of The Supplier Central marketplace and community. The technical storage or access is necessary for the legitimate purpose of storing preferences that are not requested by the subscriber or user. Depop charges a 10% selling fee for sales on the platform. I'm so confused about this and tried to contact them but haven't heard back. Only now are rising brands succeeding in making sustainable second-hand fashion cool. YouTube and Twitter are also good places to promote your Depop store. if(typeof ez_ad_units!='undefined'){ez_ad_units.push([[728,90],'newzealandrabbitclub_net-box-3','ezslot_4',180,'0','0'])};__ez_fad_position('div-gpt-ad-newzealandrabbitclub_net-box-3-0');Depop also offers a feature called Seller Protection, which provides extra safety for sellers when they sell their items through the platform. Running your business will be a breeze thanks to the platforms countless apps, integrations, and features. Thank you for your advise. However, it is important to keep in mind that your earnings on Depop are directly related to the amount of time, effort, and strategy you are willing to put in. Ms. Lopez still spends more time on Depop, where she has 30,000 followers, compared with fewer than 1,000 on . Why can't I log into Depop? Depop is charging both the buyer and the seller for sales tax. When it comes to comparing the fees charged by Depop and Etsy, its important to note that they have different fee structures and pricing models. So I ended with 176.81 into my paypal before depop takes out their 10% cut. The r/Depop subreddit is meant to create a safe spaceusing that term loosely because this is the internet were talking aboutfor Depop users to air out their concerns, celebrate their wins, and ask for advice. (What else would you expect from a business started by the founder of edgy pop-culture magazine Pig?). You still need to sit down and figure out the Depop fees once you have a better idea of the kinds youll be considering when setting up your store. What happens if a baby doesnt get adopted. They reveal 5 ways to make money with Gen Z's favorite shopping app. Instead of thinking about how I would look wearing a new outfit, Im wondering what I could resell it for. With shipping and complicated seller fees, it felt like a chore. Another reason you may be charged more than 10 is if there are any international transaction fees or currency conversion fees. It doesnt necessarily just focus on clothing, or the selling of clothes. This commission fee is taken out automatically during the payment process, and the remaining balance is deposited into the sellers account. Ms. Tang said Depops popularity led her to make the same items again and again, restricting her creatively. Having already closed a $8 million round in 2015, a $8.25 million round in 2016, and a further $20 million round this year, Raga is ready to take Depop global. The final problem the fashion industry faces is that it cant help but pedal new items. Jennilee Marigomen for The New York Times. Using Depop shipping can have its advantages. are youngsters choosing the Instagram-like Depop? - Sold by @guccidurags Additionally, some vintage pieces are no longer produced, and Depop is one of the few places where buyers can find them. Depop, a social shopping app, was a springboard for many young designers during the pandemic. It may take up to 21 days after the sale is completed for the fee to be automatically deducted from your PayPal or Depop Payments account. Depop sellers seem to not fall in to other marketplaces, and the same vice versa, so why should we care? Bars, restaurants, and clubs required spending at least $50, so trying to plan a fun night out always boiled down to Can I afford this? Then I found a way to sustain my lifestyle of bar hopping, morning matcha lattes, and even a trip to Tokyo: selling my clothes on Depop. The pool of people on the app, which is currently at around 21 million, is smaller than the user base of both Poshmark and eBay, but its the right crowd for the caliber and quality of my clothing. For sales under $15, you pay a flat rate of nearly $3, but for sales above $15, the platform takes 20% of your total sale. All purchases made using the Buy button on Depop are subject to a 10% fee. Sydny Sky, Depop seller, phone interview, October 28, 2020. As a subscriber, you have 10 gift articles to give each month. russian last names starting with r; best food in chinatown vancouver; central ticket office cervinia; grazia magazine australia; inmate video visits zoom; sekka rice cooking instructions; fastest acl recovery nba Perhaps Depops biggest mission is to tackle the bland sameness of e-commerce and the high street: both of which make it difficult for shoppers to lookor feelindividual. Also remember, PayPal fees! What motivates them is being part of the Depop story.. To avoid surprises, always remember to subtract the flat fee and the shipping costs (if applicable) from the profit. For items sold in the United States, Depop takes a flat 10% commission on the total sale price including shipping costs. Depending on the situation, either the buyer or seller may be responsible for covering the shipping cost, or both parties may contribute a portion of the shipping fee. On the other hand, using your own shipping method can also have its benefits. By communicating clearly and accurately, both parties can ensure a smooth and transparent process when it comes to shipping and the associated costs. Depop charges a 10% commission fee on each sale made by a user. It is worth noting that if you price too high, you may not attract many buyers, while pricing too low can result in a loss of potential earnings. As a result, Depop has to do barely . Make money to buy new-to-you ones. The vintage community is very large.. However, there are exceptions to this standard commission fee. Since then, the app has ingrained itself in Gen Z culture, with promoters such as Megan Thee Stallion, the YouTuber Emma Chamberlain and the model Winnie Harlow. They dont charge listing fees (like Etsy, for instance) or monthly fees, but they do when you sell the item. Anyone can read what you share. This sum consists of 2.9% of each sale plus an extra $0.30 (or 0.30 pounds, if you live in the UK) per transaction. Sellers can easily promote their store on social media platforms such as Instagram, Twitter, or TikTok, which can help to attract more followers and drive traffic to their store. It has the in-built dopamine hit that social media natives have grown up with, and doubled its revenue to $70million in 2020. This trend is one that will have to be integrated into other marketplaces, perhaps searches start to explicitly prefer sustainable products and materials now is the time to ask the questions of suppliers so you can put it in your product info. In June. That's a 34% commission for depop? The deal was structured as an all-cash transaction, with Etsy funding the acquisition through a combination of cash on hand and debt. I am a relatively new seller on Depop, but I have sold at least 11 items in the past 3 months. When you sell an item, Depop will automatically charge the 10% fee on the total transaction amount, including shipping costs. These top Depop sellers make as much as $10,000 a month. Additionally, Depop charges fixed fees for certain services, such as shipping and payment processing. CREDIT: AP. The Motley Fool owns shares of and recommends Alphabet (A shares), Alphabet (C shares), Apple, PayPal Holdings, Pinterest, and Square. Its a good idea to use one like this one from Selleraider. The Motley Fool recommends the following options: long January 2022 $75 calls on PayPal Holdings, long March 2023 $120 calls on Apple, and short March 2023 $130 calls on Apple. Purging Old Clothes? PayPal's growth rates support those claims. Vintage clothing has a unique appeal to buyers due to its uniqueness and history, making it a popular choice for fashion-conscious individuals. While Depop predominantly charges a 10% commission fee on transactions, it may offer promotions or reduced fees for certain situations. Its simple and free to get started. Your anticipated profit will be the final result. Try modeling the clothes you want to sell. To determine the potential profit from each sold item is the main objective of this. There could be a few reasons why Depop is charging you more than 10. Depop is a popular online marketplace that is largely focused on selling or buying second-hand clothing and unique items. But, by late 2020, she was turning away from Depop and establishing her own website. It also claims consumers are "nearly three times more likely to complete their purchase when PayPal is available at checkout.". It only takes a few minutes on Depop to see vintage and recycling is viewed as better than fast fashion. And she was tired of the app charging a 10 percent commission on every item sold. Therefore, PayPal is a market leader, but it doesn't have unlimited pricing power. We tapped experts and researched recycling programs to find reasonable ways to offload your clothes. Instead, they should keep an eye on its churn rate to see if it was the right move. Scan this QR code to download the app now. Depop is known for its user-friendly mobile app that allows buyers and sellers to connect with each other easily. Depops fee structure is a bit more complex than other online marketplaces, and the fee size largely depends on how much the item is sold for. Its a marketplace that allows space for personal expression, culture, and communityone that Short has successfully tapped into and subsequently helps drive her sales. In sum, both Depop and Poshmark offer unique features to their users, and the choice of the platform often comes down to personal preferences. Making the world smarter, happier, and richer. Transactions on Depop are basically business deals. Sky warns: "Don't let your photo be more distracting than the product you're selling.". A sub for discussing all things Depop. Try moving your iPhone and charger to a cooler location. PayPal likely believes that massive market presence, along with the stickiness of its services for merchants, gives it pricing power against competitors like Square (SQ 0.35%), Stripe, Apple (AAPL 0.75%) Pay, and Alphabet's (GOOG -0.14%) (GOOGL -0.23%) Google Pay. This means that for every item a seller lists and successfully sells on Depop, Depop takes a 10% cut from the sale price as a fee for facilitating the transaction. Because its solving three of the biggest problems they face, Raga tells Forbes: they want to feel unique, to shop with (and from) friends, and to build their own green businesses without losing a drop of street cred. For sales above $20, the seller is charged 10% for the first $20 plus a 5% commission on the rest. So do you know, We found 15 urban outfitters alternatives that are just as edgy, fun, cool, and most importantly, way kinder to the, Your email address will not be published. Furthermore, Depop charges fixed fees for specific services like shipping and payment processing, which are separate from the commission fee. However, PayPal's fees for in-person PayPal and Venmo QR code transactions will remain unchanged at 1.9% + $0.10 for transactions over $10, and 2.4% plus $0.05 for transactions under $10. The Motley Fool has a disclosure policy. I asked a friends fashion-studying 17 year old son recently if he bought on Depop his answer was no, but its like a magazine, we look there then go to a vintage shop or charity, or eBay and see if we can get the same. Her account has a whopping 184,000 followers and counting, and selling through the app is Shorts full-time job. I struggled to find things to do that would get me out of my tiny apartment without sucking my wallet dry. Additionally, Etsy charges sellers a 3% + $0.25 fee for payment processing, which covers the cost of processing the payment from the buyer. To make the world smarter, happier, and richer. Take up to four photos. Depop charges you only when you make a sale, unlike many other selling platforms, so there are no fees for the time your item is listed or any upfront costs to list it. Brands that want to be cool are opening shops on Depop. This means that the seller would receive $9 from the sale ($10 sale price $1 Depop commission). With features like social media integration, shopping cart features, and custom product bundles, sellers can quickly reach a larger audience and boost their sales potential.