Flipkart to cut vendor fees ahead of festive sales

Flipkart’s reduction in commission and fixed fee would be applicable across various price points in the new policy compared to changes it had brought about in April, which was largely for low-priced products.

Flipkart is set to tweak its fee structure for sellers from Friday, which could result in a drop in prices of products being sold on its platform. This comes at a time when e-tailers start preparing for the upcoming festive season sale. Flipkart, according to the new changes in its seller policy reviewed by TOI, is slashing what it calls ‘fixed fee’ across categories. E-commerce players levy a pre-order fee on every product listed by sellers based on the price. The e-tailer will also reduce its commissions on select categories like fashion and accessories, among others.

Flipkart’s reduction in commission and fixed fee would be applicable across various price points in the new policy compared to changes it had brought about in April, which was largely for low-priced products. The reduction in commission is in the range of Rs 5-12 across different categories and average selling prices. The fixed fee for products, priced between Rs 500 and Rs 1,000, is being slashed to Rs 15 from Rs 20. The same is being brought down to Rs 30 from an earlier level of Rs 40 for products priced over Rs 1,000.

When contacted, a Flipkart spokesperson confirmed that the new policy being introduced for sellers.

The Bengaluru-based company claims to have about 1 lakh sellers while its rival Amazon India claims to have 3.8 lakh sellers.

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