Depop Cuts Seller Fees In Australia As Buyers Pick Up New Marketplace Fee
Depop is removing seller fees in Australia on July 22, bringing the market closer to the zero-seller-fee model already used by the platform in the UK and US.
The change eliminates Depop’s 10% commission for Australian sellers, though payment processing fees will still apply.
Depop lists the Australian payment processing fee for Depop Payments, powered by Stripe, at 2.6% plus A$0.30, charged on the item sale price plus shipping costs and any applicable taxes. Boosting fees will also still apply if sellers choose to promote their items.
Australian sellers will also be required to use Depop Payments, the platform’s integrated checkout and payout system, to list and sell. Payouts go to Depop Balance before being sent to a linked bank account.
That also continues Depop’s move away from PayPal in markets where Depop Payments is required. Depop’s help pages say sellers in the US, UK and Australia “won’t be able to connect” PayPal, while a separate page warns Australia-based users that once PayPal is disconnected, it cannot be reconnected.
But the good news for sellers comes at a cost for buyers. An email sent to Australian sellers says buyers will pay a marketplace fee of up to 5% of the item price plus up to A$1, with Depop saying the fee helps fund 24/7 customer support, secure transactions, fraud detection and account security.
The move comes as Australia becomes a more active battleground for resale marketplaces.
Value Added Resource recently reported Vinted has quietly launched domestically in Australia while also connecting Australian users with the UK through an international shipping corridor.
Liz Morton
Vinted also uses a zero-seller-fee model, with buyers paying a Buyer Protection fee when using the Buy Now button. Depop’s Australia change moves it closer to that structure, with less reliance on seller commission and more of the cost flowing through buyer fees, payment processing and optional promotion.
The timing also matters because eBay’s planned $1.2 billion acquisition of Depop from Etsy was recently reviewed by the Australian Competition and Consumer Commission.
eBay and Etsy announced the deal in February, with eBay agreeing to acquire Depop for approximately $1.2 billion in cash. Depop had 7 million active buyers and more than 3 million active sellers as of the end of 2025, with nearly 90% of active buyers under the age of 34, making it a clear play for younger resale shoppers and sellers.
The ACCC issued a Phase 1 determination without conditions in May, finding eBay’s proposed Depop acquisition was unlikely to substantially lessen competition in Australia’s C2C pre-owned fashion marketplace segment.
The ACCC said eBay and Depop are currently the largest suppliers offering buyers and sellers integrated services for listing, messaging and payments in Australia. It also noted Depop had rapidly increased market share since entering Australia in 2020 through a differentiated, discovery and social media-driven business model.
The regulator acknowledged the deal would remove competition between eBay and Depop, but concluded eBay would still face pressure from other suppliers.
One reason was the expected entry of a new platform that the ACCC believed would be likely, timely and sufficient to keep pressure on eBay.
But despite clearing regulatory hurdles in Australia, the deal has still not closed as the UK Competition and Markets Authority continues its merger inquiry with a Phase 1 decision deadline of August 6, 2026.
Liz Morton
Depop’s Australia fee change does not appear to be an eBay-driven integration, at least not based on the current status of the deal.
But it does make the competitive picture more interesting amid a broader shift in how eBay and other resale marketplaces are charging C2C buyers and sellers.
After dropping C2C selling fees in Germany in 2023, eBay went fee free for private sellers in the UK in 2024 and added a Buyer Protection Fee and mandatory managed shipping in the UK to help replace lost seller-side revenue in 2025.
That free-to-sell model has since expanded to small C2C sellers in Australia, along with Buyer Protection Fees and managed shipping.
Liz Morton
eBay-owned secondhand fashion app Tise also expanded into Australia earlier this year with a seller-fee-free model that charges buyers a service fee.
Now Depop is removing seller fees in Australia too, while eBay’s acquisition of the platform is still waiting on UK regulatory review.
Whether or not the timing is connected, the direction is hard to miss: in Australia’s secondhand fashion market, free selling is quickly becoming table stakes, while buyers, payment processing and optional promotion carry more of the cost.
