Facebook is going to levy a 2 per cent commission on the sellers using Marketplace in United Kingdom. According to The Guardian, the sellers have to pay the fee if they continue to use the platform starting January 2022. While it is currently free for sellers to use, it will carry a fee from the beginning of next year, according to MoneySavingExpert. Facebook Marketplace is widely used in India as well where sellers provide an online option to see and purchase stuffs.
Facebook has recently rebranded itself to Meta to enter into virtual reality space. The proposed move is going to add extra income to the social media giant who also owns WhatsApp and Instagram.
Last month the website launched a delivery service that allows sellers to directly post items to buyers using Facebook’s delivery partner rather than relying on face-to-face collections, the report says.
Facebook says the delivery service gives buyers more choice, while enabling sellers to reach more people as they will not be limited by their geographical location.
The Guardian article mentions, “The 2% charge, which does not come into effect until January 2022, will be based on the total cost of the item, as set by the seller, plus the delivery charge as calculated by Hermes. An item selling for £20 with £5 shipping will cost the seller 50p.”
Facebook says the fee will help to cover the cost of customer support and purchase protection. Sellers will still be able to avoid this charge when it comes in by continuing to use Facebook’s collection-only option, it says. Last month the company revealed that its annual revenues grew in 2020 by 35% to $29.01bn (£21.3bn), thanks to a boom in online advertising, reported The Guardian.
CEO of Facebook, Mark Zuckerberg, is now exploring other options to expand its earnings.
Never miss a story! Stay connected and informed with Mint.
our App Now!!