Depop has become a popular platform for buying and selling pre-loved items, allowing users like you to set up your own online shop with ease.
One important aspect to consider when joining Depop is understanding the fees involved in each transaction.
How much does Depop take?
When you sell an item on Depop, they charge a fee of 10% on the total transaction amount, which includes shipping costs.
In addition to this, you’ll also incur a standard payment processing fee through either PayPal or Depop Payments. I’m
For users in the United States, this fee is generally 3.49% plus $0.49 per transaction, while those in the United Kingdom face a 2.9% fee plus an additional £0.30 per transaction.
So, if you’re planning to start selling on Depop, it’s essential to be aware of these fees and how they may impact your bottom line.
Be sure to factor in these charges when pricing your items, so you can maximize your profit while maintaining a competitive advantage.
- 1 How Much Does Depop Take?
- 2 Depop Fees for Sellers and Buyers
- 3 Shipping and Handling Expenses
- 4 Depop Payments and PayPal Fees
- 5 Depop vs. Other Online Marketplaces
- 6 Maximizing Profits on Depop
- 7 Key Takeaways
How Much Does Depop Take?
As a seller on Depop, it’s essential for you to understand the fees involved in running your store on this popular marketplace.
In this section, you’ll learn about the transaction and selling fees that Depop takes from your sales.
When you make a sale on Depop, there’s a standard transaction fee for processing the payment.
In the US, this fee amounts to 3.3% + $0.45 for Depop Payments; for PayPal transactions, it comes to 3.49% + $0.49.
If you’re based in the UK, you may encounter an additional 1.29% seller service fee when conducting transactions with EU buyers.
Keep in mind that fees may vary depending on your location and PayPal account setup.
Upon closing a sale on Depop, you’ll be charged a selling fee.
This fee equals 10% of the total selling price, which includes the price of the product and any applicable shipping fees.
This fee applies to both UK and US sellers. The deduction occurs automatically from your PayPal or Depop Payments account, and the process may take up to 21 days after closing the sale.
Remember that since late 2020, Depop is also required to collect sales tax on behalf of sellers.
The selling fee calculation only considers the sold price and shipping charges, while the transaction fee calculation includes the sold price, shipping charges, and sales tax.
By understanding Depop’s fee structure, you can effectively plan and operate your store within the platform.
Keep these fees in mind as you price and sell your products to ensure that you’re turning a profit and managing your financial expectations accordingly.
Depop Fees for Sellers and Buyers
When using Depop, it’s essential to understand the fees for both sellers and buyers.
In this section, we’ll examine the fees you’ll face as a seller and the costs associated with buyers.
Depop charges sellers a 10% fee for all sales made through the platform.
This fee is automatically applied to the total transaction amount, including shipping costs.
The fee will be deducted from your PayPal or Depop Payments account.
Keep in mind:
- Fee percentage: 10% of the total transaction (product price + shipping costs)
- Deduction: Automatically taken from your PayPal or Depop Payments account
When it comes_SELLER_FEES to shipping, Depop offers its own shipping option called “Ship With Depop,” which is powered by USPS.
The prices for this service are as follows:
|less than 4oz
|less than 8oz
|less than 1lb
|less than 2lb
It’s also worth noting that if you need to issue a refund to a buyer, the 10% fee is typically refunded as well.
As a buyer, you’ll primarily be responsible for the cost of the item and its associated shipping fees.
When purchasing an item, ensure that you are aware of the following costs:
- Item price: The cost of the product you are buying
- Shipping fee: The cost of shipping the item to your location
Buyers are not subject to Depop’s 10% transaction fee. However, keep in mind that taxes may be applicable depending on your location and the seller’s location.
By understanding the fees associated with both selling and buying on Depop, you can better navigate the platform’s financial aspects and ensure a smooth and enjoyable experience.
Shipping and Handling Expenses
When selling on Depop, it’s essential to consider the various shipping options available for your items.
You have the option to use shipping carriers like USPS and other reliable services, depending on your location and preferences.
As an online marketplace, Depop makes it easy for you to offer a range of shipping solutions to your buyers, so they receive their items quickly and efficiently.
Remember to think about the following when deciding on your shipping options:
- Carrier: You could use USPS, UPS, FedEx, and other reputable carriers depending on your location and your buyer’s destination.
- Shipping speed: Offer different shipping speeds, such as standard, priority, or express, to cater to your buyers’ needs.
- Insurance: Some carriers provide insurance for items in case they get lost or damaged in transit. This can provide extra peace of mind for both you and your buyers.
Depop shipping costs will typically vary depending on what you’re selling and where the item is being sent.
Sending something to a local buyer is usually less expensive than sending it overseas.
Also, larger and heavier items naturally cost more to ship than smaller, lighter ones.
Here’s a brief overview of some Depop fees related to shipping:
- Depop sales fee: Depop charges a 10% fee on all sales made through the BUY button. This is automatically charged on the total transaction amount, including shipping costs. So, if you sell an item for $100 with a $10 shipping fee, Depop’s 10% fee would apply to the combined $110, which equals a fee of $11.
- Transaction fees: Depending on your location, transaction fees might apply through your PayPal or Depop Payments account. In the United States, this generally costs 3.49% plus $0.49 per transaction. In the United Kingdom, the fee is 2.9% with an additional £0.30 per transaction.
To correctly price your items and estimate shipping costs, consider the size and weight of each product along with the shipping destination.
This will help you avoid underestimating or overcharging buyers for shipping, keeping both parties happy in the transaction process.
Depop Payments and PayPal Fees
When it comes to selling on Depop, it’s essential to understand the fees associated with using the platform.
This section covers the fees you’ll encounter when using Depop Payments and PayPal for payment processing.
Depop Payments Fees
Depop Payments is the platform’s own payment processing system, powered by Stripe Connect.
Using Depop Payments provides buyers with numerous options to pay, including Apple Pay, Google Pay, credit and debit cards, and PayPal.
For each sale made on Depop, you’ll be charged a 10% fee on the total sale price (including shipping costs).
This 10% fee will be taken from your connected PayPal account if you have an available balance or, alternatively, from the connected debit or credit card on your account.
In addition to the 10% fee, Depop takes a percentage of the sale when using their payment processor.
This amount is 2.9% of each sale, plus an additional USD 0.30 per transaction (or £0.30 if you’re in the UK).
PayPal is another available payment method on Depop. When using PayPal, the standard transaction fee is 3.49% + $0.49.
This fee may vary depending on your location and PayPal account setup.
For international sales, you may encounter a higher PayPal variable fee of 4.4% instead of the standard 2.9%.
Keep in mind that, in addition to these fees, there may be a 1.29% seller service fee for UK-EU transactions, as well as other variations based on location and PayPal account setup.
By understanding these fees and costs associated with using Depop Payments and PayPal on the platform, you can better prepare for and manage your overall earnings when selling on Depop.
Depop vs. Other Online Marketplaces
Depop vs. Etsy
When comparing Depop and Etsy, it’s essential to consider the fees they charge.
On Depop, sellers are charged a 10% fee on the total sale price, which includes shipping costs.
Additionally, you’ll encounter a transaction fee for payments made through PayPal or Stripe: 2.9% + $0.30 in the US or 2.9% + £0.30 in the UK.
- 10% seller fee on the total sale price (including shipping)
- 2.9% + $0.30 (US) or 2.9% + £0.30 (UK) transaction fee
On Etsy, you’ll be charged a $0.20 listing fee for each item you list, a 5% transaction fee on the item’s sale price, and a 3% + $0.25 payment processing fee for each transaction.
- $0.20 listing fee per item
- 5% transaction fee on item’s sale price
- 3% + $0.25 payment processing fee per transaction
As you can see, Depop’s initial cost is lower since there is no listing fee, making it more accessible for sellers just starting out.
Depop vs. Poshmark
Comparing Depop and Poshmark, both platforms target fashion-conscious buyers and sellers.
Depop fees remain the same as mentioned earlier: a 10% fee on the total sale price and a transaction fee of 2.9% + $0.30.
Poshmark, on the other hand, charges a flat commission of $2.95 for sales under $15 and a 20% commission for sales of $15 or more.
Poshmark covers the shipping costs, which are paid by the buyer.
- $2.95 commission for sales under $15
- 20% commission for sales of $15 or more
In terms of fees, Depop might be a better option for lower-priced items due to its flat 10% fee structure.
However, for more expensive items, you’ll need to consider whether the 20% commission on Poshmark is worth it or not, taking into account their shipping coverage.
Overall, when choosing between Depop or other online marketplaces like Etsy and Poshmark, consider the fee structures and how they align with your expected sales prices and shipping strategy.
This information should help you make an informed decision about which platform is best suited for your online store.
Maximizing Profits on Depop
To make the most money on Depop, create impressive listings for your products.
Pay attention to the selling price, since Depop takes 10% of the transaction value, including item price, taxes, and shipping costs.
Remember, there’s no listing fee, so you can post as many items as you like.
To enhance your listings:
- Take high-qualityphotos: Capture clear, well-lit images to showcase your fashion items.
- Write detailed descriptions: Include accurate measurements and any relevant product details.
- Price competitively: Research similar items on Depop to determine a suitable selling price for your products.
Buyer and Seller Protection
Depop uses PayPal to process transactions, ensuring both buyers and sellers are protected.
Be aware of transaction fees, depending on your location. In the US, it’s generally a 3.49% cost, plus $0.49 per transaction.
If you’re in the UK, the fee is 2.9%, plus £0.30 per transaction.
To maximize your potential profit, consider these factors:
- Account for fees: Calculate your shipping fees and PayPal fees accurately to prevent unexpected costs.
- Familiarize yourself with Depop’s policies: Understand the platform’s rules for buyer and seller protection to resolve disputes fairly.
To increase visibility and sales, you can use Depop’s “Boosted Listings” feature, which promotes your products to a larger audience.
Here are some tips to take advantage of this feature:
- Select the right items to boost: Choose items with the highest potential profit and popularity to maximize your return on investment.
- Monitor your boosted listings: Track the performance of your boosted items to determine whether the investment was worth it.
By following these strategies, you can optimize your earnings from selling on Depop while keeping transaction fees and costs in mind.
As a seller, it’s crucial for you to understand the fees associated with using Depop.
Here are the key takeaways on Depop fees to help you comprehend how much Depop takes from your sales.
- Depop charges a 10% fee on the total transaction amount, which includes the price of the item and any applicable shipping Fees. This fee applies to all items sold through Depop’s BUY button.
- The 10% fee is deducted automatically from either your PayPal or Depop Payments account. This means you don’t have to worry about manually deducting the fees yourself; Depop takes care of it for you.
- Keep in mind that transaction fees are separate from Depop fees. You’ll also be charged a standard transaction fee by either PayPal or Depop Payments, which is typically around 2.9% + £/€0.30.
- Listing items on your Depop shop is free of charge. You’ll only be charged the 10% Depop fee once an item is sold.
Knowing these key takeaways about Depop fees should help you better understand how much Depop takes from each transaction.
It’s essential to price your items accordingly to ensure you cover these fees and make a profit from your sales.