Shopee Increases Platform Commission by Up to 15%, New Burden for Sellers?

thecekodok


The increase in commission rates of up to 15% for local sellers in the Marketplace category by the popular e-commerce platform, Shopee, has raised concerns among entrepreneurs and attracted the attention of MCA, which urged the government to conduct a joint investigation into the new fee structure.


Shopee previously announced the changes to the Shopee Seller Centre on June 23 and began to be enforced on July 16, thus triggering an alarming reaction from local merchants who claimed that it put a huge pressure on their operating costs.


In addition to the new commission, Shopee has also introduced a Platform Support Fee of RM0.50 per order (subject to 8% SST), which will be automatically deducted from sales proceeds before being transferred to the seller's account.


MCA Economic and SME Affairs Bureau Chairman, Datuk Lawrence Low said that the fees covering transactions, promotions, withdrawals and the 'Pay Later' scheme have cumulatively placed a continuous financial burden on micro, small and medium enterprises (SMEs).


According to him, although each charge may seem small individually, the combination of them can affect merchants' profit margins and force them to raise prices, thereby burdening consumers.


Low also warned that uncontrolled actions like this could trigger a domino effect, with other platforms also imposing similar charges, ultimately threatening the competitiveness and growth of local brands.


In this regard, he urged the Ministry of Domestic Trade and Cost of Living together with the Ministry of Communications to conduct an investigation into the validity of the fees, as well as suggesting that the government introduce a specific code of ethics for e-commerce platforms and establish a fee declaration mechanism to ensure that any changes are transparently and early notified to merchants.


At the same time, Low also advised Shopee to postpone the implementation of the fees until the ministry's engagement session on July 17 is completed.