Disclaimer: The following information is subject to change and based on publicly available information. Payability does not claim to have any inside knowledge into the payment processes or operations of Newegg or any other marketplace.
The Newegg Marketplace gives online sellers the opportunity to grow a successful eCommerce business.
For one thing, Newegg is a highly-trafficked eCommerce site with more than 40 million buyers worldwide. Newegg also provides sellers with marketing support, dedicated account managers, as well as shipping and fulfillment services. What’s more, Newegg sellers can sell to consumers or businesses (or both).
Keep in mind that Newegg isn’t just for electronics anymore. Now, you can sell in just about every category making Newegg an excellent channel to scale and diversify your eCommerce business. If you’re a Newegg seller or thinking about becoming one, you might be wondering how Newegg payments work. To help you, we put together the following post with everything you need to know about Newegg payments. In it, we cover when and how you’ll get paid, what’s included in (and deducted from) each payout, how to get paid daily, and more.
Newegg Payments: When You’ll Get Paid
Newegg pays its sellers via ACH transfer every Wednesday on Net 15 payment terms. This means that your payouts include proceeds from a week’s worth of sales (less commissions and fees), for the week ending 15 days ago. For example, a payout initiated on Wednesday, November 25 will include net proceeds from sales made between November 3-9.
Because payments are initiated via ACH, there might be a delay between Newegg’s payout date (a Wednesday) and the day the funds actually land in your account. According to Newegg, you should expect to receive payment within 3-5 business days.
Newegg Payment Processing: How You’ll Get Your Funds
Depending on your seller account, you’ll either receive payment via ACH transfer or from a third-party payment company. More specifically, domestic U.S. sellers will receive their payouts via ACH transfer or, in some cases, via PayPal.
For global sellers, Newegg offers three options: Payoneer, World First, and PingPong. These payment processing companies offer currency conversion and foreign exchange services for online marketplace sellers. Learn more about Newegg payment processing under “What are my payment options?”
Newegg Fees & Commissions: What Gets Taken Out of Your Payouts
Your Newegg payouts include sales proceeds minus certain fees and commission.
Keep in mind that Newegg Seller fees are charged on a monthly basis and NOT deducted from your payouts. These fees vary depending on your selling tier. For example, their basic seller level — known as Non-Elite — offers selling capabilities with zero fees. Their two elite levels — Professional and Enterprise — come with fees at $29.95/month and $99.95/month, respectively. If you have a Professional or Enterprise membership, your monthly fee will be charged to your credit card on file on the 21st of each month for the upcoming calendar month. You can see a breakdown of what each level includes on the Newegg Sellers homepage.
Commission rates, which are deducted from your payouts, also vary by product category. Refer to the following chart from Newegg for more information:
|Product Category||Types of Products||Commission Rate|
|Apparel & Accessories||Sunglasses, shoes, wallets||14%|
|Appliances||Refrigerators, vacuums, coffee machines||12%|
|Arts & Crafts||General crafts, printmaking, pottery, ceramics & sculpting||13%|
|Auto & Hardware||Car electronics, parts & accessories, tires||10%|
|Baby||Health & safety, strollers, apparel||12%|
|Bags & Luggage||Travel, business cases, backpacks||14%|
|Beauty||Shavers, skincare, fragrance||12%|
|Books, Media & Entertainment||Textbooks, new & used books||13%|
|Camera & Photo||DSLR, point & shoot, lenses & accessories||9%|
|Cell Phone Accessories||Cases, cables, wired headsets & speakers||13%|
|Cell Phones||iOS, Android, Windows||8%|
|Computer Hardware||Notebooks, desktop PCs, monitors||10%|
|Consumer Electronics||Tablets, LED TVs, audio||9%|
|DVD & Videos||Popular titles, collections, greatest hits||10%|
|Food & Beverage||Snacks, candy, coffee, tea||15%|
|Health & Personal care||Vitamins, supplements, hygiene||12%|
|Home & Living||Vacuums, furniture, cookware||12%|
|Home Improvement||Home automation, portable generators, power tools||12%|
|Motorcycles & Powersports||Vehicles, parts, riding gear||10%|
|Musical Instruments||Microphones, PA speakers, electric guitars||10%|
|Office Supplies||Gaming chairs, office furniture, ink & toner||13%|
|Outdoor & Garden||Grills, pool supplies, outdoor heaters||12%|
|Pet Supplies||Dog training aids, fish care, cat furniture & scratchers||11%|
|Software||Business & personal finance, operating systems, PC games||15%|
|Sporting Goods||Cardio equipment, bikes, binoculars & telescopes||12%|
|Toys Games & Hobbies||Drones, RC, learning & educational||12%|
|Video Game Consoles||Xbox One, Playstation 4, Nintendo Wii||8%|
|Warranty & Service||Replacement, installation, parts & labor||13%|
For a full itemization of each payout, what’s included, and what commissions and fees are deducted, refer to your weekly Payment Settlement statements. To find your statements, log into the Newegg seller portal, then go to Business Report > Payment Reports > Settlements > Search > View Transactions. From there, you can export your transaction details into an Excel document.
How to Get Paid Faster on Your Newegg Sales
If you’re trying to improve your cash flow, make growth investments, invest in marketing, and more, you have options. In fact, we recently teamed up with Newegg to bring faster payouts and other financing solutions to their sellers. With Newegg Capital, powered by Payability, you could get daily payouts or a capital advance.
How to get paid daily for your Newegg Marketplace sales
One of the financing options from Newegg Capital, powered by Payability is Instant Access, which pays you your Newegg income one business day after making a sale. So rather than waiting the usual 15-21 days for payment, you’d only have to wait one business day. For example, if you have $1,000 in your account on Monday, you’d get $800 of it on Tuesday (the rest is kept on hold to cover any returns or chargebacks, and is then dispersed according to your normal Newegg payout schedule).
How to get a capital advance from Newegg Capital
If you’re looking for a large lump-sum of cash, Newegg Capital, powered by Payability also offers Instant Advance. With this option, you’d get an advance on your future Newegg sales in one lump sum payment within 24 hours. The amount is typically 75% to 150% of one month of sales revenue.
How to qualify and apply for Newegg Capital, powered by Payability
Newegg Capital, powered by Payability offers faster payouts and flexible financing options, but keep in mind that these are not loans. That means you won’t pay interest or have your credit checked as part of the application process. Instead, there are flat fees, and decisions are based on your Newegg account health and selling history.
Qualifications differ based on the capital solution. For example:
- Instant Access from Newegg Capital, powered by Payability: To qualify, you must have a minimum of 3 months of selling history and average monthly sales of $2,000 on Newegg.
- Instant Advance from Newegg Capital, powered by Payability: To qualify, you must have a minimum of 9 months of selling history and average monthly sales of $10,000 on Newegg.
Taking advantage of these early payout and financing options will help you gain more control over your eCommerce business’ cash flow and growth. To find more information about Newegg Capital, powered by Payability — or to begin an application — login to you seller portal today.
Don’t currently sell on the Newegg Marketplace? Sign up here to get started.