Commission structure FAQs

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1. Which types of products are considered Apparel and Electronics categories?
2. What destinations define the European Union (EU) and non-European Union (non-EU) at Wish?
3. How are local currencies factored into the progressive commission structure?
4. Under the progressive commission structure, what if a store’s Wish Standards’ tier is updated?
5. Where can I find the commission for each order?
6. How is item value in the progressive commission structure determined then if merchants enable the Calculated Shipping feature (applicable to Mainland China-based merchants only) for their stores?
7. How is the commission calculated for flat rate shipping orders?

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1. Which types of products are considered Apparel and Electronics categories?

Apparel products include, but are not limited to:

• Apparel Accessories
• Men's Clothing 
• Women's Clothing 
• Underwear & Sleepwear 
• Shoes 
• Watches
• Jewelry & Accessories

Electronics products include, but are not limited to:

• Cellphones & Telecommunications
• Computer & Office
• Consumer Electronics
• Electronic Components & Supplies
• Earphones & Headphones
• Smart Electronics (including smartwatches)
• Speakers
• VR/AR Devices
• Walkie Talkie
• Cameras & Photo (and related accessories)
• Mobile Phone Accessories

2. What destinations define the European Union (EU) and non-European Union (non-EU) at Wish?

See lists of EU and non-EU destinations as defined by Wish. Note they are broken out as three lists: United States, the European Union, and the rest of the world, with the United States and rest of the world making up the non-EU destinations.

3. How are local currencies factored into the progressive commission structure?

The Transaction Fees ($0.30 per item) in the progressive commission structures are set in USD amounts. For stores receiving payments in different local currencies, the per-order commission fees will be converted to their local currencies based on the exchange rates at the time when the commission fees are calculated.

4. Under the progressive commission structure, what if a store’s Wish Standards’ tier is updated?

Commission fees for orders released within 24-48 hours after a store’s Wish Standards’ tier is updated may still be calculated using the previous Wish Standards’ tier. In general, the new Wish Standards’ tier should take effect in commission calculation after 48 hours.

5. Where can I find the commission for each order?

Merchants can locate per-order commission details on the Order details page on Merchant Dashboard and via API.

6. How is item value in the progressive commission structure determined then if merchants enable the Calculated Shipping feature (applicable to Mainland China-based merchants only) for their stores?

If Calculated Shipping is enabled, an applicable product’s item value will be defined as the listed product price as provided to Wish by merchants plus the calculated shipping cost as calculated by Wish. The progressive commission structure then arrives at an effective commission fee, and Wish applies that effective commission fee to the calculated shipping cost to derive the shipping price that customers see and pay. Similarly, that effective commission fee is also used to calculate the total payout to merchants.

If an order has multiple quantities, the effective commission fee remains unchanged as the percentage calculated based on single-quantity item value (i.e., single-quantity product price + calculated shipping cost as displayed on the above-mentioned Edit International Shipping Options page.) See example 2 (below) for details.

Examples:

1). A Germany-bound order (order quantity is 1) for an Apparel product is released to a Silver tier merchant, subject to the following highlighted commission structure:

Merchant enables Calculated Shipping for this product and ships this order via Advanced Logistics Program. 

Assuming we have the following information:

• merchant-provided product price = $10 
• calculated shipping cost = $9

The calculation of the total commissions for this order and other relevant amounts is as follows:

Merchant-provided product price	$10
Calculated Shipping cost	$9
Item value with Calculated Shipping enabled	$10 + $9 = $19
Order value *Order value is defined as (item value * quantity)	$19 * 1 = $19
Amount of item value	Commission
Item value	$19 * 18% = $3.42
Transaction Fees	$0.30 * 1 = $0.30
Effective Commission Rate	($3.42 + $0.30) / $19 = 19.58%

2). A France-bound order (order quantity is 2) for an Apparel product is released to a Silver tier merchant, subject to the following highlighted commission structure: 

Merchant enables Calculated Shipping for this product and ships this order via Advanced Logistics Program.

Assuming we have the following information:

• merchant-provided product price = $15
• single-quantity calculated shipping cost = $10 (calculated by Wish and displayed on Products > View All Products > Country Shipping Price column > Edit International Shipping Options page) 
• average per-order-quantity calculated shipping cost = $8 (calculated by Wish and displayed to merchant in Orders > History page)
  • Note: Shipping cost per order quantity is reduced as quantity is increased, based on how Calculated Shipping works.

The calculation of the total commissions for this order and other relevant amounts is as follows:

Merchant-provided product price	$15.00
Calculated Shipping cost	$10.00
Item value with Calculated Shipping enabled	$15 + $10 = $25
Order quantity	2
Average per-order-quantity calculated shipping cost	$8.00
Amount of item value	Commission
Item value	$25 * 18% = $4.5
Transaction Fees	$0.30
Effective Commission Rate	($4.5 + $0.30) / $25 = 19.20%

 

Merchant shipping price	$8 / (1-19.20%) * 2 = $19.8	1. Effective commission rate applied to average per-order-quantity calculated shipping cost to arrive at a merchant shipping price 2. Multiplied by 2 to capture the entire order’s “merchant shipping price* (as order quantity is 2)
Merchant product price	$15 * 2 =  $30	Multiplied by 2 to capture the entire order’s “merchant shipping price* (as order quantity is 2)
Merchant total price	$19.8 + $30 = $49.8	Sum of the above two rows
Total payout to merchant	$49.8  * (1-19.20%) = $40.24	Deriving total payout to merchants from merchant total price (for the entire order with an order quantity of 2) and effective commission rate calculated above
Total Commissions	$49.8 - $40.24 = $9.56	Merchant total price minus total payout to merchant

 

7. How is the commission calculated for flat rate shipping orders?

There is no change to the commission rates and the calculation of effective commission rates,  but we will charge commissions based on the adjusted total price (i.e., customer displayed product price + adjusted shipping price). 

If an order has multiple quantities, the effective commission fee remains unchanged as the percentage calculates based on single-quantity item value.

See the example below for details.

A United States-bound flat rate shipping order for an Electronics product is released to a Silver tier merchant on May 22, 2023, UTC, subject to the following highlighted commission structure:

Assuming we have the following information:

• Merchant set product price = $7.00
• Merchant set shipping = $4.00

The calculation of the total commissions for this order and other relevant amounts is as follows:

Merchant set product price	$7.00
Merchant set shipping price	$4.00
Item value	$7.00 + $4.00 = $11.00
Amount of item value	Commission
Item value	$11.00 * 13% = $1.43
Transaction Fees	$0.30 * 1 = $0.30
Effective Commission Rate	($1.43 + $0.30) / $11.00 = 15.73%

Learn more about Wish commissions.