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Discussion in 'Chill Out Forum:' started by Lewis Wood, Aug 19, 2016.


Would you be interested?

  1. Yes

    1 vote(s)
  2. No

    2 vote(s)
  1. Lewis Wood

    Lewis Wood New Member

    Hia guys.
    After using a lot of Marketplaces to sell my goods (e.g. CreativeMarket, GraphicRiver) I've noticed how high some of the commison rates are to sell. With a lot of the marketplaces I wasn't making enough money because of the commison they would take off the end sale. So I decided to look into building my own marketplace where designers have an option to pay on a commison basis (probably 15% of every sale) or a monthly fee to sell that never goes up or down and you can sell as much as you want.
    Would anyone be interested in this if I built it. It would obviously take a while to grow so people might want to start out on the commission side of things but I have been in marketing for along time and think I could drive a lot of traffic for sellers.

    Please reply with if you would be interested and any ideas/suggestions.
  2. Paul Murray

    Paul Murray Moderator Staff Member

    This is the main issue you'd run into, actually getting the site to a standard that competes in a short enough amount of time. The other marketplaces take a higher cut, but I would assume they invest a lot of that into adverting and marketing to actually get buyers to their sites, as well as paying for transaction security, paying necessary tax and having for water-tight legal contracts and ToS in place. You'd have to ensure there was enough start-up capital to get the site running and marketed. You'd probably have to offer the first 50/100/500 registrars a stupidly low commission or something for the first month to encourage them to sign-up.

    You could maybe have an option that allows sellers to sell that one item exclusively through your site in exchange for a lower commission rate. This would need some thinking about as it would be very easy to just cheat the system, but that could be one of the appeals of the site, a higher cut for the seller in exchange for exclusivity (happens all the time in retail).
  3. Quickandeasy

    Quickandeasy Junior Member

    From someone who has run a rather large design resources website ( and in the middle of starting a new one ( and helped a friend start his own Photoshop/Lightroom marketplace (, I can 100% confirm that the fees you pay to sell on CreativeMarket and GraphicRiver are worth every single penny.

    Please don't take this the wrong way, but you were probably not making enough money because of the quality of your product or the over-saturation of the product type, not because of the fees.

    Marketplaces such as CreativeMarket & GraphicRiver:
    • have millions of registered members. That's millions of credit cards and paypal accounts ready to spend money
    • both engage in sophisticated marketing tactics and spend millions of dollars on advertising
    • have huge networks of affiliates that are ready and waiting to promote your item - if it is worth their while
    • have incredible SEO power, meaning your items will rank in Google with no work on your part
    GraphicRirver starts commissions at 50% for exclusive sellers (which I will admit is high), but that soon makes it's way up to 70%. CreativeMarket is also 70% (as is iTunes), so it's fair to say that 70% is quite standard.

    Should you start your own marketplace/website?

    Probably not. If you can't sell your items on CM or GR, then you're not going to be able to sell them on your own site (or it will be near impossible).

    To start your own site you're going to have a) build it b) generate traffic to it c) compete directly against CM & GR who have all powers listed above. And if you're not selling on their websites, that's a sign people don't want your products.

    And this is without mentioning fees. It is impossible to remove fees. Why? because PayPal and credit card processors will take 5% of your payments to begin with. And if you're processing small payments (less than $10-$5) those fees are even higher. And higher again with currency conversion. Then you've got chargebacks and all the other fun stuff credit card fraud brings along.

    So your monthly fee model certainly won't work, not unless you enable sellers to accept payments via their own PP accounts (which will be a pain to setup). But then what happens if someone starts selling $10,000/day and costing you terabytes of data? How will you share those costs?

    Could you run a marketplace on a 15% commission? If you could I'd like to know how. With payment fees, the costs of running an online business, advertising etc, you'd have nothing left. You certainly wouldn't be able to have affiliates (unless you had millions of dollars in the bank like CM & GR).

    Marketplaces are a dime a dozen

    Recently a bunch of graphic design websites have started cashing in on Marketplaces because they appear to be easy money. i.e other people make the content and you provide a platform to sell it.

    However, one of the key differences with these design websites starting marketplaces vs any old tom starting one is: they already have traffic.

    How can you start a marketplace?

    Whatever you do, don't hire a developer to build a marketplace. It'll cost you thousands and then some. You can do it with existing tools for a few bucks:

    • Setup your website using WordPress ( FREE
    • Use a reliable wordpress host ( $15/month
    • Use the EasyDigitalDownloads plugin for your "store" ( FREE
    • You'll need the EasyDigitalDownloads marketplace add-ons ($199)
    • Use the Marketify theme (for setting up a marketplace with EasyDigitalDownloads) (also the same theme I use for ($64)
    • Or, use a free theme from EasyDigitalDownloads:

    Should you start a marketplace?

    Again, probably not. Being "cheaper" is not necessarily an attraction. CM & GR offer far more than you can, even if you're a little cheaper. If you want to sell your own content online and make money selling graphic design resources, focus on making better products.

    Again again, if you couldn't make money on GR and CM, it's because people didn't want to buy them, not because the fees were high. Make products people want to buy.

    Personal curiosity:

    What were you selling on GR/CM? Flyers, maybe?

    That for one is a category where everyone expects to make easy money, yet it is completely and utterly saturated.
    Stationery Direct likes this.
  4. Lewis Wood

    Lewis Wood New Member

    Wow! What an answer, thanks! Can you drop me a Whatsapp message and we can talk further?
  5. Quickandeasy

    Quickandeasy Junior Member

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