Depop abolishes seller fees but what’s the catch?

Reseller platform eliminates seller fees in the UK, opting for a new buyer fee

As of March 20 Depop, the online marketplace known for its vintage and second-hand fashion, has removed its 10% seller fees, opting instead for a new fee structure where buyers have to pay a fee for the transaction.

This shift has sparked a wave of discontent among its user base, who feel that the change could deter potential buyers and ultimately hurt sellers.

The introduction of a 5% buyer fee on each transaction has drawn criticism. Many users argue that this could discourage purchases, as buyers may be unwilling to absorb the additional cost, especially in a market where price sensitivity is high. 

18-year-old Jenny Kembu, an avid buyer on Depop, says: “I think it’s a bad idea, it’s put me off I’m not going to lie. I understand Depop must take money somehow, but I don’t think that’s the right way.”

Kembu is not alone, with other shoppers agreeing with her. 21-year-old Hannah Veale, an active buyer on the platform, says the picture may be a bit more complex, and some sellers may drop their prices: “Depop is already known for being very expensive, hopefully the fact that it’s stopping the seller fees will encourage sellers to list items for a bit cheaper, but it might turn users away.”

Whatever stance the buyers take, sellers seem to be grateful for the shift.

Katie Rigby a 21-year-old from Bournemouth who is an active seller on Depop is in favour of the change: “Depop has taken a significant percentage from its sellers, which could affect small businesses who earn a living on the platform.”

Katie Rigby’s Depop profile

Whether the fee shift will have the intended effect of boosting sales by easing the burden on sellers or if it will drive buyers away, diminishing the platform’s vibrant community, the company’s next steps will be crucial in maintaining its position in the competitive online resale market.

Get a weekly digest in your email.

Subscribe to our Substack.

View more articles