Depop removes selling fees in the United States, evolves fee structure

By Depop
15 Jul 2024

Depop, the community-powered marketplace for secondhand fashion, is removing its 10% selling fee for users based in the United States. Sellers listing items on the platform will receive more cash in their pocket from each sale from today onwards with the removal of the selling fee for all new listings. The move is designed to empower Depop’s growing community to earn more from their wardrobes, offer improved value and choice for buyers, and encourage a wider audience to try selling, and join the secondhand revolution. 

The change comes as the resale industry continues to grow, helping an expanding audience of fashion lovers tap into the value of unused items sitting in their wardrobes. The average seller on Depop in the United States made over $450 in their first year selling on the platform*, contributing to the over $3.5 billion made by the global Depop community to date. Depop ranked as the 4th most popular online shopping site for U.S. upper-income teens in Spring 2024** - a consumer trend reflective of the growing Depop community which has given a second life to over 80M items since the platform was founded***. 

The removal of selling fees is part of a wider update to Depop’s fee structure, which also includes the introduction of a small marketplace fee for buyers in the U.S. from July 18th onwards. The marketplace fee will support continued investment across the Depop experience, including in Depop Protection, customer support, platform improvements and growing the community - fostering a dynamic marketplace that opens up access to the circular economy. 

Kruti Patel Goyal, Depop CEO, says: “We want to invite as many people as possible into Depop’s circular fashion community, and we’ll achieve that by making the experience easier, more rewarding and more inspiring than ever. This change will give sellers more cash in their pocket from each sale, empowering our existing community - as well as those who may be new to resale - to list more, sell more and earn more while contributing to a more circular fashion system. Encouraging more listers and more listings means offering greater choice for buyers - helping them to find the items they love, at the right price.” 

The evolved fee structure in the U.S. follows Depop’s move to remove selling fees in the U.K. market earlier this year. Across 2023 and beyond, work to continually improve the experience of buyers and sellers on Depop has helped to: 

  • Make search more efficient: By investing in technology that powers our search experience, buyers are now 42% more likely to find an item they want to buy through search

  • Improve matching: Surfacing intelligent recommendations to match buyers with the perfect item in our catalogue of 34M items, so they are 54% more likely to view a product recommended to them

  • Enhance support: We’ve driven a 40% improvement in resolution time for incoming support enquiries, and a 48% improvement in average support response times year over year.

  • Accelerate product enhancements: Launching new features like Send Offer and Boosted Listings, with a 70+% increase in product development velocity 

  • Streamline listing: Through predictive, AI-powered autofill listings, we've radically improved the listing flow, helping our users create listings faster and easier - driving more choice and variety for buyers

Zero selling fees are available to sellers located in the U.S. and to USD sales only, and the usual payment processing fee will still apply. The marketplace fee will apply from July 18th 2024 and will be up to 5% of the item purchase price, plus a fixed amount of up to $1, excluding taxes and postage costs.

* Captures first-time sellers in the U.S. only based on most recent cohort. Does not cover all listers

** Piper Sandler, Taking Stock with Teens, Spring 2024

*** Estimated based on items sold on Depop that have been tagged as 'used' condition - not all items sold. We assume the split of 'used' to 'brand new' items has remained consistent, as condition attribute was added in Q4 2020.