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Multivendor Marketplace for Shopify: Commission Type

Updated 6 September 2024

In the app, the Commission is the part that the store owner/merchant gets from the order.

As we have updated the theme of our
Multi Vendor Marketplace app for Shopify,

so please head over to the provided link to get the updated blog for this feature:
Multivendor Marketplace app for Shopify- Commission Type (New Theme)

Now in the Multivendor App admin can have the following commission types :

1) Fixed Commission – In this type of commission, a fixed amount is given to the admin/merchant/store owner

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2) Percentage Commission – In this type of commission, a percentage share will be given to the merchant from the seller/vendor product purchase

3) Percentage + Fixed Commission – In this type of commission, first a percentage of the amount is deducted from the amount and then the fixed part is deducted.

4) Fixed + Percentage – In this type of commission, first a fixed amount is deducted then a percentage of the amount is deducted.

Note: Commission is the part that the admin/merchant/store owner would be getting when the vendor product is purchased. Setting up the Commission by the Store Owner/Merchant :

First of all the merchant can select the type of Global Commission, ie applicable for all the vendor products irrespective of any category or any product type.

Setting up the Global Commission for all the vendor products:

The merchant can do it at the time of installing the app or can change it later from the app configuration :

Set Commission
  1. Fixed Commission:
    Merchant can keep a fixed amount to be deducted from the base price for all the seller product purchases.
    Example:
    10$ is the fixed commission. 100$ – price for product 1 for vendor X. Then the vendor would be getting 90$ ie, 100-10=90 and the merchant will get 10$
  2. Percentage Commission:
    Merchant can set a percentage amount to be deducted from the base price for all the seller product purchases. 
    Example:
    10% is the percentage commission. 100$ – price for product 1 for vendor X. Then the vendor would be getting 90$ ie, 100-(10% of 100)=90 and the merchant will get 10$
  3. Percentage + Fixed Commission
    Merchant can set a percentage amount to be deducted from the base price. And then a fixed amount reduced from the remaining amount, for all the seller product purchase.
    Example
    10% is the percentage commission & 10$ is the fixed commission. 100$ – price for product 1 for seller X. Then first the percentage commission is deducted 100-(10% of 100)= 90. Now, the fixed commission from the remaining 90$ ie, 90-10=80$. So, the vendor would be getting 80$ and the merchant would be getting 20$
  4. Fixed + Percentage Commission: 
    Merchant can keep a fixed amount to be deducted from the base price. And then the percentage amount will get reduced from the remaining price. This would be applicable to all the seller products. 
    Example:  10 is the fixed commission & 10% is the percentage commission. 100$ – price for product 1 for seller X. Then first the fixed commission is deducted 100-10=90, now percentage commission from the remaining 90$ ie, 90-(10% of 90)=81$. Now the vendor would be getting 81$ and the merchant would be getting 19$.

Setting up individual Seller/Vendor Commission

Similarly, you can set seller/vendor wise commission from the “Commission Setting” menu of the multivendor app:

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Also, the commission would be applied in the same way as explained above.

Moreover, please note that the commission is the merchant part from the order amount and the rest would be the vendor part.

This way the merchant can have fixed as well as percentage commission from the vendor.

Merchant will be shown the total commission received and will not be shown the amount received from fixed and percentage commission separately.

Demo

Moreover, find the below link and credentials to use the demo of Multi vendor Marketplace App for Shopify:

https://multivendor-marketplace-5.myshopify.com/pages/demo

In case of any further query, feel free to raise a ticket at http://webkul.uvdesk.com/ or drop an email at [email protected].

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