Revenue & Fees

How to make money with your marketplace: commission rates, fee structures, and revenue examples.

Revenue Calculator

Project your earnings based on your commission rate, average order value, and expected sales. Export to CSV or Google Sheets.

How Marketplace Owners Make Money

As a marketplace owner, your primary revenue comes from commission fees - a percentage you take from each sale on your platform. This is how Etsy, Airbnb, Uber, and virtually every successful marketplace generates revenue.

Your Revenue = Commission on Every Sale

When a seller makes a sale on your marketplace, you automatically keep a percentage as your platform fee. This is configured in your Store Settings and is completely separate from Prometora's fees.

Setting Your Commission Rate

You can set your commission rate in Store Settings → General. This percentage is automatically deducted from each sale and sent to your Stripe account.

%

Example: 10% commission on all sales. Try our calculator to see how different rates affect your earnings.

Commission Rate Guidelines

The right commission rate depends on your marketplace type and the value you provide:

RateBest ForExamples
5-10%High-volume, low-margin goodsElectronics, commodities, wholesale
10-15%Standard product marketplacesHandmade goods, vintage, art
15-20%Service marketplacesFreelance, tutoring, consulting
20-30%Premium/high-value servicesRentals, luxury goods, experiences

How to Choose Your Rate

Research what similar marketplaces charge. If you're just starting, consider a lower rate (5-10%) to attract sellers, then increase as you add more value (traffic, features, trust).

Understanding All Fees

There are three types of fees involved in a marketplace transaction:

1. Your Commission

You Keep This

The percentage you set (e.g., 10%). This goes directly to your Stripe account. This is your revenue.

2. Prometora Platform Fee

Based on Plan

A small percentage on transactions, depending on your Prometora plan:

  • Starter: 2% per transaction
  • Professional: 1.5% per transaction
  • Business: 1% per transaction

3. Stripe Processing Fee

Payment Processing

Stripe's standard payment processing fee: 2.9% + $0.30 per transaction (varies by country and payment method).

Complete Revenue Example

Let's break down exactly what happens when a buyer purchases a $100 item on your marketplace:

Sale Price
$100.00
(Professional Plan, 10% Commission)
Your Commission (10%)
+$10.00
Prometora Fee (1.5%)
-$1.50
Stripe Fee (2.9% + $0.30)
-$3.20
Seller Receives
$85.30

You earned $10.00 from this single transaction

Who Pays the Fees?

By default, sellers absorb all fees. This is the most common approach used by major marketplaces like Etsy, eBay, and Airbnb. Here's why:

Seller Absorbs Fees (Default)

  • • Clean buyer experience - price = what they pay
  • • Higher conversion rates at checkout
  • • Sellers factor fees into their pricing
  • • Industry standard approach

Buyer Pays Fees (Alternative)

  • • Sellers receive the full listed price
  • • “Service fee” shown at checkout
  • • More transparent for sellers
  • • May reduce conversion slightly

Communicating Fees to Sellers

Be transparent with your sellers about fee structure. Most sellers understand and accept platform fees as a cost of doing business - just like payment processing fees. Include fee information in your seller onboarding and FAQ.

Revenue Projections

Here's what you could earn at different marketplace sizes (assuming 10% commission, Professional plan):

Monthly GMVYour Commission (10%)Prometora FeeSubscriptionNet Revenue
$5,000$500$75$89$336/mo
$10,000$1,000$150$89$761/mo
$25,000$2,500$375$89$2,036/mo
$50,000$5,000$750$89$4,161/mo
$100,000$10,000$1,500$89$8,411/mo

* GMV = Gross Merchandise Value (total sales). Net revenue = your commission minus Prometora fees and subscription. Stripe fees are paid by sellers, not deducted from your commission.

Upgrade to Business for Higher Volume

At $50,000+ monthly GMV, upgrading to Business ($159/mo, 1% fee) makes sense. You'd save $91/month in platform fees at $50K GMV, plus get API access, webhooks, and data export.

Tips for Maximizing Revenue

1. Focus on GMV Growth

Your revenue scales with sales volume. Focus on attracting quality sellers and driving buyer traffic. A 10% commission on $100K GMV is far better than 20% on $10K.

2. Start Lower, Increase Later

Begin with a competitive rate (5-10%) to attract early sellers. As you add value (traffic, features, trust), you can gradually increase your commission.

3. Consider Tiered Pricing

Some marketplaces offer lower commission rates for high-volume sellers. This encourages seller loyalty and growth.

4. Add Premium Features

Beyond commission, consider offering premium seller features: featured listings, analytics dashboards, or promotional tools for an additional fee.

Frequently Asked Questions

Currently, Prometora supports commission-based monetization. Listing fees (charging to post a listing) are on the roadmap. Most successful marketplaces use commission as it aligns incentives - you only earn when sellers earn.
The default is seller-pays, which is industry standard. Buyer-pays (service fee at checkout) is a feature we're considering. Contact us if this is important for your business model.
Your commission is transferred to your Stripe account when the payment is processed. Stripe then pays out to your bank account according to your payout schedule (typically 2 business days in the US).
If a transaction is refunded, the commission is also reversed. Stripe processing fees are not refunded by Stripe, so factor this into your refund policy.
Revenue & Fees | Prometora Docs