TikTok Shop announced that it will charge the new marketplace commission fee on all successfully delivered orders, and it starts from 1st March 2023 (10:00 AM Malaysia Time). So now TikTok Shop charges commission fee, transaction fee and service fees to sellers.
What is the Marketplace Commission Fee?
Just like Shopee and Lazada platforms, TikTok also starts to charge the marketplace commission fees for orders. Commission Fee is an access fee charged to sellers to continue enjoying the services and benefits of platform.
TikTok Shop said it is to continuously provide the TikTok Shop experience to sellers & buyers, so they introduced the new marketplace commission fee of 2.12% (including VAT) on all successfully delivered orders.
How is the commission fee calculated?
The TikTok Shop marketplace commission fee is calculated from the item price, minus any seller promotional charges. And the platform promotional charges will not be deducted from the item price.
The commission fee only be charged on all successfully delivered orders, not for failed deliveries. But for return orders, TikTok Shop will also refund the commission fee to sellers. For orders which are returned partially, they will be refunded based on the actual returned item price.
So here is the calculation:
Commission Fee = 2.12% X (Item Price - Seller Promotions)
For example, the seller item price is RM100, buyer redeemed seller voucher is RM10 and platform voucher is RM5, then the commission fee = 2.12 x (RM100 - RM10) = RM1.91
TikTok Shop charges the transaction fee, commission fee, and service fee (Only for sellers who join the shipping fee program). But the charged fees are still lower than Shopee and Lazada, starting your online business on TikTok Malaysia 2023 is also great, and BigSeller always helps you here!