Mercari will begin charging payment processing fees on shipping costs in addition to the item-sold price. It will also raise disbursement fees, it informed customers in an email on Thursday.
Sellers compared the change to fees assessed by eBay and Etsy, which charge commission and payment processing fees on shipping. While Mercari will begin charging payment-processing fees on item price plus shipping, it appears it will continue to charge its 10% commission fee only on the item price. Mercari sets out fees in its Terms of Service.
The move follows a fee change in November when Mercari raised its payment processing rate from 2.9% plus 30 cents per transaction to 2.9% plus 50 cents per transaction.
One reader said it was an easy was an easy way for Mercari to keep revenues growing, but said it was bad for sellers.
Another reader told us the change to include shipping in the payment processing fees might not seem outrageous, but said when buyers purchase items with Mercari shipping, the seller never sees that money.
“Why should a seller pay a additional fee when they never get that money,” the reader asked. “To make matters worse, Mercari raised the shipping label costs so high that the cheapest rate you can ship a 2 pound item is $9.50. A item near 4 pounds gets closer to 20 dollars for some services. Mercari has deals in place with the carrier services and now it seems like they are offsetting those costs onto the seller who profits nothing from Mercari shipping labels.”
Mercari explained the fee changes in the email to sellers as follows:
- Effective April 17, 2023, the calculation for the payment processing fee that is charged to sellers will change from 2.9% of the item sold price plus $0.50 per completed transaction to 2.9% of the combined item sold price and shipping price plus $0.50 per completed transaction. Note: The shipping price refers to both buyer and seller paid shipping using Mercari labels and Mercari Local delivery.
- All transactions will automatically be updated starting April 17, 2023, to reflect the latest fees. For listings created before April 17, 2023, it may take several weeks from the effective date for updated fees to be fully implemented. Any sale transaction that is already in process before the fee updates are implemented will be completed with the existing processing fee.
Mercari also announced Thursday it would be raising the cost of getting instant payouts, explaining:
Effective May 1, 2023, the Instant Pay processing fee will increase from $2.00 to $3.00 per Instant Pay transaction and the transfer limit will increase from $500 to $600 per month. The rate is displayed when you initiate the transfer. Use Payment Processing Fee and Instant Pay on the Mercari app to get paid in minutes.
Sellers reacted to the news on Mercari’s Facebook page – the following comment was representative of the sentiment: “Not happy with new fees! Shipping has increased and now fees. Sales are down. Where’s the incentive to list and sell?”
Some posters predicted some sellers would leave the platform – some mentioning Facebook Marketplace. Others said they would raise their prices. “Really? Another raise in fees? I left Ebay and Poshmark for Mercari. Guess it’s time to look for a new selling platform.”
Sellers also turned to Twitter, where some left comments in replies to a recent Mercari tweet, including the following tweets:
“OMG! In all my years selling on Mercari, I have never so many price hikes in ONE year! First the shipping, and now everything else.” (lehuanani62)
“I would like to know why you think it’s fair to tack fees onto already high shipping costs that we are paying for.” (beachandboat47)
“So now we have to pay fees with shipping? That the BUYER pays in full for? Why is that money coming out of my pocket? I’ve sold hundreds of items with you but I will not continue to do so. All these fees continue to screw over sellers & you don’t care. Bye bye Mercari!” (carissaokay)
Sellers also commented on this Reddit thread, such as a seller who wrote, “Not a good update. I do not make money on shipping as it goes through Mercari shipping label program. I have buyer pay shipping. This new update makes no sense.”
1) for the numbers Mercari is asking from sellers (which is too much) they should at leat provide REAL humans to talk to
2) theres ZERO appeals for either buyers OR sellers when issues arise
3) you cant list an item with multiple quantities in it (in 2023)
4) too many “likers”, not enough buyers
5) still considered “rinkydink”
theres a whole list – its a money grab – they learned that if the other 2 wicked sisters can do it – they can too!
Mercari was designed just as Poshmark was — for those wanting to sell a few things they didn’t want and for buyers who were looking for a good deal. Poshmark has now become retail with ridiculous shipping fees that sellers have no control over. I decided I didn’t want to force buyers to pay expedited shipping for small lightweight jewelry items. So I don’t sell on Poshmark.
I sell on Mercari to make a little extra money. I started using their shipping labels because it was easier. Now that they are going to charge commission on those labels, I will start offering free shipping and go back to printing my own labels.
Unless you have your own website to sell your own products, you will always be at the mercy of other selling platforms. But I guess people don’t get this, and that’s why we have this gripe forum.
I don’t sell on Mercari but over the past year I’ve bought 37 items
As a buyer I’m real happy with Mercari
I’ve had a few issues and they’ve responded every time in a timely manner.
I just might try selling there someday ~ maybe
Toolguy, I also buy supplies from Mercari sellers, but as a seller, I think I will just include free shipping to bypass the shipping fees. Because if I use Mercari’s prepaid shipping, there’s going to be a cost. I will ship on my own.
Listen Mercari was never the ultimate sales venue. Anyone thinking they have escaped the corporate venue have stars in their eyes. Build the shipping into your sales price – stick to it and buy your labels from Pirate. All these folks who say they “leaving!” aren’t exactly thinking things out. Where are you going? Please tell me because I really stopped looking. I think they forget all the perks on Mercari – yes there are a few
Pros
no store fee (that’s a big one remember)
1-unlimited listings available
2-you decide when to take your money not when ebay thinks you should have it
3-Mercari actually stands behind the seller if the seller has done their due diligence.
4-For me I have no problem with C/S – my inquiries are answered promptly
5-The site has NEVER been down for me ever in 2+ years and I’m on it all day long.
6-Mercari actually promotes my items to Google – I see them all the time
7-Mercari shows sold items unlike waste your time Etsy & Pinterest
Cons
1-Mercari suggests to shoppers to offer less than the asking price – sometimes up to 50%!
(stop that will ya? when someone offers me 50% off I simply decline and place them on my
blocked bidder list – they were never going to be my customer – I’m not broke or stupid)
2-Mercari doesn’t always show ALL your listing – sound familiar?
Mercari only allows me to offer 25% less than the sellers asking price.
How can I offer 50% less? The system won’t allow me to do so.
I listed several items on Mercari, when they first ‘came out’.
there was an error in the price, and i could not edit the listing to put the correct price in,
that is because, as told to me by Mercari… ‘we here at Mercari, like low prices, you cannot raise a price once you make your listing’
took a while for this one to catch up with them LOL
thanks Pace306, for the update on what ive been missing.
“Listen Mercari was never the ultimate sales venue. Anyone thinking they have escaped the corporate venue have stars in their eyes”
Cant argue with you – that describes me – I am always on the hunt for an alternative to the “twin sisters of destruction” aka eBay and Amazon (more eBay though)
The 3 day payout is great – though to be honest – I RARELY have issues with eBay on payouts (they and I have threatened each other with lawsuits over other things – I think that unless they have a reason to – I get payouts right away)
Not having a human to talk to coupled with the short/curt responses – leave me a little cold – but I understand that they are trying to be “no frills” … but sometimes – just emailing isnt enough
They (volume wise) are nothing compared to eBay – but 1) any sale taken from eBay is a good thing 2) they seem to be a different kinds of buyers (which is good).
I understand that costs go up – as long as services get better to match – Im ok with it (sorta)
Ive never gone there. strange I just think its an weird name.
But all those marketplaces raising the rent, at a time with so much changes with tax collection, during this crummy economy… I think you are money grabber marketeers!