Trade Me fee change to impact big-ticket sellers

  • News
  • January 12, 2016
  • Elly Strang
Trade Me fee change to impact big-ticket sellers

Trade Me will now claim a flat rate success fee of 7.9 percent for items that sell for more than $1.00 and an unchanged maximum success fee of $149.

Sellers of items which go for under a $1 will not be charged any success fee, while most items listed for $200 or more will go up in fees under the 7.9 percent success fee.

For example, an item sold for $1000 will be charged $79 instead of $55 under the old fee scheme, while an item that sells for $2000 will be charged $149 instead of $89.

Current fees vs. new fees

However, big-ticket items are rare on the site.

Trade Me says only 0.3 percent of items sold for more than $1500 in 2015.

Other perks are also being introduced. Sellers can now add up to 20 photos to their listing for free instead of being charged for it.

The fee changes don’t affect motor, property or job listings.

Mventory says that in comparison to eBay Australia, Trade Me’s fees are better for casual sellers, with a 9.9 percent fee charge on eBay and 7.9 percent fee charge on Trade Me.

However, it says professional sellers and stores are better off on eBay’s unlimited package, which charges 4, 6 and 7.5 percent versus Trade Me’s 7.9 percent.

Trade Me is a popular ecommerce store platform for many New Zealand retailers, including Booktopia, the Savebarn franchises, Torpedo 7 and North Beach.

Currently, Trade Me has 264,201 stores operating on its website, with most of the companies’ listings numbering in the thousands.

However, a lot of these listings aren’t high in price, so they are unlikely to be too deeply affected.

North Beach’s highest priced listing is several watches priced at $575. The fees may bear more of a brunt to the likes of Torpedo 7, which has almost 100 items listed for over $1000.

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