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As a new or regular online seller, it’s important to consider seller fees charged by different e-commerce platforms. When choosing a platform to sell stuff online, you need to understand seller fees and other fees you may incur.
Like any other online marketplace, Mercari charges fees on completed sales, shipping, and payment processing.
Here’s a complete breakdown of the Mercari seller fees. I have also compared Mercari to other online marketplaces like eBay and Poshmark to help you decide which platform works for you.
What Are Mercari Seller Fees?
Mercari is by far one of the best-selling platforms globally. This is because they charge relatively lower fees than other online marketplaces.
A huge upside of Mercari is that listing is free. You can list your items without paying anything, at least until you make a sale.
However, Mercari charges other fees, which you should know before using the platform. Below is a breakdown of the same.
Different Types of Mercari Seller Fees
The main types of fees on Mercari are seller fees and payment processing fees.
In addition to that, you may incur promotion fees when you decide to promote your product. You may also incur processing fees when you use the instant pay cash-out method.
Here are the different types of Mercari seller fees:
1. Mercari Seller Fees
Mercari charges a 10% commission for every completed sale. It’s important to factor in the commission amount in the product’s price to ensure you don’t incur losses.
In light of this, Mercari has a Smart Pricing Feature, which sets the price of your product depending on the market demand. The best thing about this feature is that the price is never set below your floor price.
2. Payment Processing and Transaction fees
In addition to seller fees, Mercari charges payment processing fees and transaction fees.
The payment processing fee charged is 2.9% + $0.50 per sale. The fee is based on the completed sale plus the item’s shipping costs. Mercari only charges the payment processing fee for completed transactions, not for declined, canceled, or expired offers.
3. Money Transfer Fees
Additional fees are charged when you transfer money from Mercari to your bank account.
Mercari offers two payout methods: direct deposit and instant pay. For direct deposit, no fee is charged for items above $10. However, for direct deposits below $10, you’ll be charged a 2% flat fee.
The direct deposit payout takes around five business days. If you need the money urgently, you can opt for the instant pay method. In this case, you’ll pay a $2 fee.
4. Promotion Fees
Promoting your product is one valuable trick to selling on Mercari. It boosts your product listing, increasing your chances of making sales.
When you promote your product, Mercari reduces the price by 5%. The product is boosted on search results. In addition, all the likers of your product are notified of the price drop. You can promote a maximum of 10 products per 24 hours.
You can also send a special offer to people who have liked your product. The “Offer to Likers” option reduces the price of your product by 10%. Moreover, the likers are notified of the price reduction. Note that the new price cannot be less than $6.
You’ll incur promotion costs indirectly through price reduction since Mercari doesn’t directly charge you for promotion.
5. Cancellation Fees
Cancellations only occur when you cannot fulfill an order. If you have several cancellations as a seller, Mercari may charge a cancellation fee of 5% of the item’s price ($25 maximum). This fee covers any transaction fees and operational or shipping label costs.
However, Mercari will notify you if you reach this limit before a fee is charged. The fee is typically deducted from your Mercari balance within 30 days after Mercari notifies you.
Other Mercari Seller Fees
You may encounter other seller fees on Mercari besides those mentioned above. They include the following:
- Failed direct deposit: If your financial institution rejects the direct deposit and the money is returned to your Mercari balance, you may incur another $2. Ensure your bank details are correct to prevent such an occurrence.
- Incorrect shipping details: You may incur an extra cost if you put in the wrong size or weight when listing the product. Mercari charges you additional shipping fees after the item is delivered. Ensure you input the correct product information to avoid parting with extra cash.
- Transfer of money under $10: As mentioned earlier, you incur a $2 fee to transfer less than $10. To avoid this, you need to wait till you have more than $10 in your Mercari account before you make the transfer.
- Local delivery fees: Local deliveries under 50 lbs will cost $15.99. For items weighing more than 50 lbs, like furniture, you may need to pay up to $199. The good thing is that you can negotiate with the buyer such fees.
Who Pays For Shipping on Mercari?
Since Mercari is an international platform, you must ship the items to the customer. Mercari offers several shipping options you can choose from depending on whether you want to cover the shipping costs or pass them to the buyer.
You can choose the Mercari Prepaid Label, where a prepaid shipping label is emailed to you. All you need to do is package and drop off the product at the nearest post office.
This option offers shipping protection of up to $200. However, the package should not exceed 50 lbs and 45” in length. You’ll pay an extra fee if the weight and length of your product are above the limit.
A trick to boosting sales is to provide free shipping. Remember to factor the shipping fees into the product’s price. This is to ensure you don’t incur any losses or lower profit margins.
Mercari vs. Poshmark vs. eBay vs. Depop Seller Fees
Now that you’re conversant with Mercari seller fees, let’s look at those charged by websites like Poshmark, eBay, and Depop. These apps are similar to Mercari in several ways.
Poshmark is a popular online marketplace that mainly deals in clothing and accessories. eBay, on the other hand, deals in a large variety of items like video games, clothing, electronics, and more. Depop is renowned for clothing resale一it’s perfect for selling streetwear and vintage fashion.
Below is a breakdown of the eBay, Depop, and Poshmark seller fees compared to Mercari seller fees.
Poshmark Seller Fees
Like Mercari, listing your products on Poshmark is free. The fees are charged on completed sales. For sales under $15, Poshmark charges a flat rate of $2.95. For sales above $15, the fee is 20%.
For shipping, Poshmark charges a flat rate of $7.97 for every sale as long as the weight doesn’t exceed 5 lbs. You can offer a shipping discount to boost sales, which may lower your profit margin. Mercari has relatively lower fees than Poshmark.
eBay Seller Fees
Unlike Mercari, eBay charges an insertion fee of $0.35 per listing.
However, the first 250 listings you make per month are free. eBay charges the amount for any additional listings you make. The fees are non-refundable, meaning you pay the cost even if you don’t sell the product.
You have the option to pay for a store subscription on eBay to enjoy final value fee discounts and increase the number of your free listings.
eBay also charges 3% to 15% plus $0.30 for every completed sale, depending on the product category.
Mercari’s shipping policy is simpler than eBay’s. This is because, with eBay, you have to set the shipping rates yourself while considering different factors like weight, package sizes, and more. The process may be cumbersome, especially if you’re a new seller on the platform. The process is also less time-consuming on Mercari.
Depop Seller Fees
Listing your items on Depop is free. Similar to Mercari, seller fees are charged on completed sales. The platform charges a 10% fee per sale.
Depop also charges various transaction fees. If you’re in the U.S., the standard transaction fee is 3.3% + $0.45. The standard Paypal fee is 3.49% + $0.49. Note that there may be additional costs depending on your location.
If your product sells through a boosted tile, Depop charges an 8% fee on the sale based on the item’s price plus the shipping fees.
Overall, Mercari fees are lower compared to the mentioned sites. If you’re looking for apps like Mercari with even lower fees, try Facebook marketplace.
Is It Worth it to Sell on Mercari?
Selling on Mercari is relatively cheap and easy, especially if you’re a new seller. If you’re a more experienced seller, you may easily navigate eBay.
Mercari is also a great option if you have a large variety of items, not just clothing. It’s also great for flipping items to earn extra cash.
You can go for websites like Depop and Poshmark if you mainly want to deal in clothing and accessories.
You can also take advantage of the free listing feature on Mercari by cross-listing the items on other websites similar to Mercari. You have nothing to lose. You can make a sale!
Extra Reading: How to Sell on Mercari
Frequently Asked Questions
Is It Better to Sell on eBay or Mercari?
Both eBay and Mercari rank among the best e-commerce platforms today. Both of them provide a variety of product categories. They also offer a large market base for your products because both platforms have a large number of users.
It’s free to sign up on both Mercari and eBay, and the process is easy on both platforms. They’re also available on mobile devices, making it convenient and easy for you to connect with buyers whenever and wherever.
Listing items on Mercari is free, but on eBay, you get up to 250 free listings, after which you pay a fee of $0.35 for every additional listing.
In terms of scope, eBay has more users and, therefore, a wider market than Mercari. However, Mercari is also quite popular. If you’re looking for a wider audience, then eBay is the way to go.
Mercari charges a 10% fee for every completed sale and a 2.9% + $0.50 fee per sale for payment processing. Depending on the product category, eBay charges a final value fee of 3% to 15% plus $0.30 for every completed sale.
Both Mercari and eBay are good e-commerce platforms. However, you must consider all the factors mentioned above when deciding which platform is right for you. You can also consider cross-listing your products on both platforms.
Is It Cheaper to Sell on Mercari or Poshmark?
Like Mercari, listing your products on Poshmark is free. For sales under $15, Poshmark charges a flat rate of $2.95, while for those above $15, the fee is 20%. Mercari, on the other hand, charges a 10% commission fee.
When it comes to shipping, Poshmark charges a flat rate of $7.97 for every sale as long as the weight doesn’t exceed 5 lbs. Mercari has several shipping options, which are quite affordable.
Both Mercari and Poshmark offer reasonable rates, but Mercari takes the day. The Mercari commission rates are favorable, especially for new sellers.
Is It Better to Sell on Mercari or Depop?
Depop mainly focuses on clothing, shoes, and accessories, while you can sell almost anything on Mercari as long as the item is not prohibited.
It’s free to list items on both platforms.
Like Mercari, Depop charges a 10% fee on all completed sales. For Depop, the standard transaction fee is 3.3% + $0.45, and the standard Paypal processing fee is 3.49% + $0.49. Mercari charges a processing fee of 2.9% + $0.50 per sale.
Payments on Depop are put into your account almost immediately when a sale is completed. For Mercari, you’ll get the funds when the buyer receives and rates your product.
How do I Avoid Mercari Fees?
Every online platform has to charge some fees for their services and ensure they run smoothly. Mercari is not an exception.
There are two Mercari seller fees that are unavoidable: seller fees and payment processing fees. However, you can avoid some fees, such as the instant transfer fee and fees charged for transfers under $10.
You can avoid the instant transfer fee of $2 by using the direct deposit cashout method, which is free. To avoid the $2 fee charged for transfers under $10, you can wait for the money in your Mercari account to build up to more than $10 before you cash it out.
You can avoid the extra shipping costs by providing your product’s correct weight and size information. Choose a convenient shipping method that accounts for the extra weight.
If you’ve been overcharged unfairly, contact the Mercari team to rectify the charge.
Overall, Mercari is a great marketplace to sell stuff online. The Mercari seller fees are convenient and relatively cheaper than other platforms.
The platform is also easy to use and convenient for beginners. The free listings feature is a huge plus since you can set up a store without paying anything. You can take advantage of these user-friendly Mercari features and you’ll be on your way to making your first sale.
If you’re already selling your products on other websites like Poshmark, why not cross-list your products on Mercari? You don’t have much to lose. Remember to consider the fees discussed above when choosing a platform and, most importantly, when setting prices for your products.
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