What are the fees for doing business on e-commerce platforms?

From April 1, e-commerce platforms such as Shopee and TikTok Shop will simultaneously increase fees for sellers and adjust shipping services.

From April 1, some product categories on Shopee will adjust the fixed fee up to 10%. Specifically, the platform will take a 9% commission on revenue, three times higher than before for product categories such as electronic accessories and vouchers. For watch, travel, and luggage groups, the platform will take a 9% commission, previously 4%.

For products related to home, life, and health, commission will increase from 4% to 9%. Some other product lines will increase from 4% to 10%.

In addition to changing the fixed commission, Shopee officially stopped providing the Freeship Xtra package from April 1. In the coming time, sellers will receive shipping fee incentives through free shipping codes for buyers. To compensate for this shipping subsidy, Shopee increased the fixed fee to an average of 9.5%, plus a 5% payment fee, bringing the total fee to 14.5%.

According to Shopee, the Freeship Xtra package will be converted into the Shipping Fee Support Service. Related contents including participation policy, fees and preferential benefits remain unchanged compared to before.

E-commerce platforms simultaneously increase fees applied to sellers. Illustration photo

Shopee said that this is a service that provides promotional codes to support shipping costs when customers shop for products from Shopee Mall sellers. The service fee includes VAT of 6% of the value of each product, up to 50,000 VND/product.

In addition, the platform also launched PiShip, a service package that helps sellers save on return shipping costs (from buyer to seller) for orders that result in returns/refunds and failed deliveries. Sellers can use it for free for three weeks from the first registration, if they register between April 1 and April 30.

At the same time, TikTok Shop also officially applied a new platform commission fee schedule. The commission fee for sellers will usually increase from an average of 3% to 4%. However, this platform does not provide a shipping package like Shopee. Including video advertising and affiliate marketing, TikTok Shop's fees are not cheaper than its competitors.

For sellers in the Shop Mall segment, commission fees will be significantly adjusted, increasing from the current maximum of 4.54 - 5.78% to a new level of 6.05 - 7.7%.

In February, Lazada also increased the discount. Specifically, the fixed fee increased from 3 to 4. The Freeship package was reduced to 6% of the order value but no longer exempted from the fixed fee. However, buyers of this package no longer exempted from the fixed fee. Overall, sellers have to share about 15% of revenue with the platform, 2% higher than before.

Compare fees for regular shops on platforms

Fee/Order	Shopee	TikTok Shop	Lazada
Fixed fee (floor fee)	1.5-10%	1-5%	0.99-3.993%
Payment Fee	5%	5%	Do not have
Order processing fee	Do not have	Do not have	4.994%
Shipping fee	By weight and size	By weight and size	By volume

According to statistics from e-commerce data firm Metric, by the end of 2024, there will be more than 276,000 regular shops operating on Shopee, while TikTok Shop has a total of more than 204,000 stalls, including regular and mall.

Vietnam's e-commerce will boom in 2024, but the number of sellers is actually decreasing, showing that the level of competition is getting higher, especially for individual and small sellers. On Shopee, the number of mall shops increased from 14,000 to 16,000 last year, but more than 88,000 shops often withdrew. With TikTok Shop, the entire platform also decreased by more than 15,500 shops, from more than 219,700 to 204,000 shops.

Source: https://congthuong.vn/kinh-doanh-tren-san-thuong-mai-dien-tu-chiu-phi-ra-sao-378052.html