How much does it cost to sell on Mercado Livre?
He wants to know how much it costs to sell on the free market? First of all, recognized as one of the most popular places in Brazil, Mercado Livre makes life easier for those who sell online.
So we are talking about the market. That is, an e-commerce modality that has the ability for third-party sellers to advertise on the platform.
Since the platform provides structure, marketing and also its reputation as advantages for sellers, it is normal that there are costs involved in selling on the site.
However, in most cases, it is better to pay some fees than to invest in an online store from scratch.
So, keep reading to find out how much it costs to sell on Mercado Livre and get your top questions about it. Check it out!
How does selling on Mercado Livre work?
In short, Mercado Livre is considered one of the largest marketplaces in Latin America that currently has more than 60 million ads displayed in real time.
In Brazil alone, the site is the fifth most visited on the Internet, receiving around 52 million visitors per month.
Therefore, it is the largest e-commerce site in Brazil and occupies a prominent place in the ranking of the top 10 sites with the largest audience.
In addition, the sales platform is the gateway for many entrepreneurs starting their online journey, especially small and medium-sized businesses.
So, in addition to different forms of payment and delivery to customers, the seller has the independence to create his own ads on the site.
Thus, the Mercado Livre service was directed more towards individual or occasional sellers right from the start. That is, for people who wanted to sell something that was no longer useful to them, as a kind of online classifieds.
However, currently the site has several specialized professionals, small and large shops that choose to display their products virtually.
account creation
Therefore, to start selling your products on Mercado Livre, you must have an account on the platform. In this case, you can choose to fill in the details to sell as an individual, via your CPF, or create a business account, with a CNPJ.
After this first step, it’s time to register the products on the site according to the requirements, putting the title, description, technical sheet, product images, among others.
It is also important to choose the payment method and the type of ad. Also define whether the product is new or used and indicate whether you want to offer free shipping.
After product registration, you can have an overview of sales on the platform and even insights that you can put in your own virtual store.
However, keep in mind that there are certain costs involved in selling on the market.
How much does it cost to sell on Mercado Livre: Check
First, selling products on Mercado Livre is free. This means that anyone can become a seller on the site without any cost to join the market. Once is enough for the registration to be accepted.
However, this option has some limitations. A fee called a commission is charged for the sale, which may vary depending on the type of ad selected.
It is planned to be advertised on the free market
If you want to know how much Mercado Livre charges per sale, you first need to know the types of ads offered by the platform:
- Free: in this case, the ad is available for up to 60 days, and the seller does not pay anything for it, not even a commission for its sale, but the products will be reviewed a little;
- classic: here exposure is unlimited, with average visibility, with a fee of 11% charged on top of the sales value for products costing more than R$120. For products costing less than R$120, in addition to the 11% fee, R$5 is also charged for each unit sold;
- premium: finally, in the premium ad, a fee of 16% is charged on top of the sales value for products that cost more than R$120. While for products that cost less than R$120, with a fee of 16%, R$5 is also charged per unit sold.
So when you’re evaluating which ad category you want to work with, take into account all the specifics of the items you’re selling. For example, average values and profit percentage.
Although the Premium category is the one that has the most discounts on the value of the product, it is the only one that does not have a fee in case of payment in installments, considering that a large number of consumers opt for this form of payment.
delivery
Besides commissions and sales fees, another important aspect is shipping.
Take this value into account if the costs are borne by the seller or if the sale is included in Mercado Livre’s free shipping policy. Because you can offer free shipping on purchases of R$99 and still have a discount on the cost.
Finally, the offer of this attraction is very important. After all, free shipping is one of the biggest appeals of shopping online.
How to calculate the sale value on the Free Market?
Now the timing of product pricing is critical to determining the profit the seller will make on the product.
And on a platform that has a lot of competition, as is the case with Mercado Livre, it can be more important.
Because most sellers use what we call a markup, which basically consists of an index placed on the cost of a product that forms its selling price on the open market.
Therefore, the calculation takes into account the calculation of the cost value of the product, including operating costs, plus the profit margin.
But you don’t need to use this technique just to calculate the sale price. This is because there are other relevant variables.
However, in the end, the margin is interesting to understand if the cost price at the supplier is really attractive and if you can compete with other sellers in the same segment by practicing that value.
sales tax
It is also worth mentioning that many users do not know, but there is a fee that is charged when receiving the amount of the sale, which happens through Mercado Pago.
In this way, for withdrawal, a fee of R$ 9.90 is paid for a prepaid card and R$ 3.00 for deposits to a bank account.
Therefore, to find the ideal price for a product, some variables are important, such as customer perception, billing, profit, costs and also competition.
In practice, apart from the variables we have mentioned, there are still factors that directly affect the platform. For example, pricing, shipping and selected plan.
At the same time, it is important to know that the selling price of the product must be sufficient for making a profit, as well as that it must be competitive with the competition and attractive to the customer.
Finally, to become a free market purveyor and define how much to sell, you should buy your competitors’ prices and consider Mercado Livre’s costs when setting your price.
Conclusion: Is it worth selling on Mercado Livre?
In short, marketplace advertising is a great opportunity to get more visibility, attract more customers and grow your business.
So if that’s the goal, there’s no doubt that Mercado Livre is a great option. Since this is an out-of-the-box environment, you don’t need to worry about design or technical knowledge. Just enter your information and you’re done.