TikTok Shop is an e-commerce marketplace that enables merchants, brands, and creators to showcase and sell products directly on TikTok through in-feed videos, live sessions and the product showcase tab. You need to know what the costs for selling on TikTok Shop Philippines are before you set up a TikTok Shop. TikTok Shop Philippine is currently charging all marketplace sellers Commission Fee and Transaction Fee. In this blog article, we will cover the seller fees for TikTok Shop Philippines 2024 in detail.
 

1. Marketplace Commission Fee

a. What is Marketplace Commission Fee?

After an order is successfully delivered to buyers, TikTok Shop will automatically deduct a fee from the final order/payout settlement. This fee is the Marketplace Commission Fee, an amount charged to all sellers (both local-to-local and crossborder sellers) in the Philippines based on the price of a product.
 

b. How much is TikTok Shop’s Marketplace Commission Fee?

The commission fee is calculated from the item price, minus any seller discounts. Shipping fee and TikTok Shop platform discounts are not included as part of the calculation of the commission fee.

Note:

New sellers who have completed relevant seller missions  will enjoy a 0% Marketplace Commission Fee for 90 days.

Effective January 15, 2024, TikTok Shop Philippines will charge the newly adjusted marketplace commission fee based on product categories, excluding value added tax (VAT).

The Marketplace Commission Fee rate is based on the cluster, category and subcategory of  products on TikTok Shop.

Click here to check more detailed commission fee rates.

 

c. How is the Marketplace Commission Fee calculated?

Formula:

Commission Fee* = Commission Fee Rate % X (Item Price - Seller Discount)

*commission fee is VAT inclusive
 

Example:

 

d. Where can I check the details of the Marketplace Commission Fee amount charged for my order?

For orders that have yet to be settled, you may see it in TikTok Shop Seller Center > Finance > Transactions > To settle > View Details.

For orders that have been settled, you may see it in TikTok Shop Seller Center > Finance > Withdrawals > Settled > View Details.

 

2. Transaction Fee

a. What is Transaction Fee?

After an order is successfully delivered to buyers, TikTok Shop will automatically deduct a fee from the final order/payout settlement. This is called the Transaction Fee, a service fee charged to all sellers (both Local-to-Local and Crossborder) for processing successful orders in TikTok Shop.
 

b. How much is TikTok Shop’s Transaction Fee?

Starting from June 1, 2023, the Transaction Fee rate for TikTok Shop Philippines is 2.24% (VAT/DST inclusive).
 

c. How is the Transaction Fee calculated?

Formula:

Transaction Fee = (Customer Payment - Customer Order Refund) * 2.24%

Example (Successfully Placed Order)

Example (Successfully Refunded Order)

 

d. Where can I check the details of the Transaction Fee amount charged for my order?

For orders that have yet to be settled, you may see it in TikTok Shop Seller Center > Finance > Transactions > To settle > View Details.

For orders that have been settled, you may see it in TikTok Shop Seller Center > Finance > Withdrawals > Settled > View Details.

 

Conclusion

Now you know that TikTok Shop Philippines will charge sellers the transaction fees and commission fees. You can start setting up a TikTok Shop and use BigSeller to manage your store, including quickly uploading products to your TikTok Shop, efficiently processing orders, printing TikTok Shop shipping labels on the same page and so on.