How to Earn with Dokan Plugin Using Different Vendor Commissions

Revenue and earning is the main target of any business. If you are a business owner, you may always think how can I increase my earning! Similarly, marketplace owners also have the same goal to earn money through their marketplace. There are many different ways to earn money from a marketplace.

In Dokan multivendor marketplace solution, we have added multiple ways to earn money. Dokan will allow the admin/site owner to set commission for all the orders, products, store or product category. Dokan plugin can be used to start earning without investing a lot.

The base of earning in Dokan is the commission on sales. Now, the commission can be different in types. Dokan plugin allows some commission system like below :

  • Global Commission
  • Store base commission
  • Product base commission
  • Category base commission

Global Commission

The site owner can set Global commission rate which will be applicable for all the store of his marketplace. If he sets vendor commission 10% on Dokan → Settings → Selling options area then the site owner will get 90% from each sale of his website. This global rate will be same for all the store. Like as the marketplace has 3 stores which are STORE A, STORE B, STORE C. The commission will look like –

Store Vendor Commission Admin Commission
Store A 10% 90%
Store B 10% 90%
Store C 10% 90%

From the above table, you can see that if you set global commission for the vendors as 10% then each store will get 10% commission from each sale and admin will receive 90%.

This global commission will affect for each store if any store does not have any specific commission. That means if you did not set any store base commission then the global commission will affect for the store. You will get clear description after reading the full post.

Store Base Commission

In Dokan plugin, you can set global commission as we mentioned on the first point. Now, let us think that one of your vendors is selling a very high quality product with a higher price. So, you may think about increasing the commission rate for that specific store.

Dokan plugin always thinks about the customer usability. On that purpose, we have added the option to set different commission rate for specific user/store.

The site admin can insert different commission rate from wp-admin → Users. Now, he needs to edit the user profile of the vendor for whom the commission rate needs to be changed. On the bottom of the profile edit page, you will get the option to set commission –

Now, you are thinking that how the global commission and store base commission will perform together. Please check the below calculation:

Store Global Store Base Vendor Earning Admin Earning
Store A 50% 50% 50%
Store B 50% 90% 90% 10%
Store C 10% 10% 90%

From the above table, you will get a clear idea. Store base commission is overriding the global commission rate for the user.

Product Base Commission

In Dokan plugin, we have the option to set unique commission rate for each product or any specific product. If admin thinks that a product is selling with high price and need to earn more from the product that time he can set commission only for that product.

To set product base commission, the admin will edit the product from wp-admin → Products area. On the edit product page, you have to click on the “Advanced” tab to set commission.

Now, this product base commission will override all the global and store base commission rate. That means if you set commission for a product then the system will calculate the commission from that product.

If the store has 90% predefined commission rate then only for this product vendor will get 80%.

You can read our documentation to know more about our commission functionality.

Category Base Commission

Dokan Multivendor Plugin will help you to earn money from each category. You might be thinking how it can be possible!

Yes, now you can set category base commission for the vendor. You can set different commission for each category. After inserting a different rate for the commission, all other commission rate will be overridden by the category commission.

If a product category has 90% commission then all of the product under that category will be calculated for 90% commission (Category commission rate would not be applied if a single product has commission)

Dokan Product commission works like a chained system. Our plugin searches in the product area and if it does not get any commission then it keeps searching on the product category. Like that it search till the global settings.

dokan plugin commission system

Do you have any other way to earn money rather than commission?

If you think that commission based earning is not your target then we have a good news for you.

Dokan Multivendor Plugin will help you to earn from monthly/yearly subscription package. That means, the vendor need to purchase subscription package to upload product on your website.

So, you will get money from each sale of your subscription package. You can also use commission rate while the vendor purchase a subscription package.

You can read the full documentation about Dokan Subscription extension.

The multiple commission feature is included from Dokan Starter package.

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7 Comments

  • Robert

    Robert

    As announced I published Global Tax Commissions for Dokan today.
    This Add-On is a must have for marketplaces in tax jurisdictions where
    • you are obligated to charge tax on commissions or
    • you have to create invoices for commissions or
    • you have to calculate the commission from the gross product price
    Thx, Robert

  • Mohamed Elmasry

    Mohamed Elmasry

    Hi Sir,
    Is there an option for earning that for advertising areas in the website?
    Best regards
    Mohamed

    • Nayem

      Nayem

      Hello Mohamed,

      Greetings from weDevs. I assume that you are talking about Google ads. If yes, then it is not related with Dokan plugin because you can place Google ads. anywhere on your website and earn money from the advertisement. Also, if you want that vendor will submit add to you and they will be charged for that then we do not have such kind of feature right now.

      Thank you.

  • Corrado

    Corrado

    Hello, there is the possibility to apply a second commission to a product? i have to apply commissions on a variable product that have a first commission flat (75€) and a second commission of 3% on the remain. I have to make an override or what?
    Thank you so much

    • Nayem

      Nayem

      Hello Corrado,

      If you have set commission for the product then the system will calculate the product commission so this will be override with all other commission 🙂

  • Anna Key

    Anna Key

    Doing mathematical solution manually is good thing because the knowledge will be kept refreshing but sometimes when you are doubtful with your answer, it will be good if you can have some reference or guidance to make sure your solution is correct. So calculator would be handy in this case. Plus, if you are on doing it on a very short time, calculator would really help you save time.

  • Zaini

    Zaini

    Hi wedevs team,

    If we plan to charge base on credit/point, it is possible? For example, user might purchase credit/point to boost or feature the product at front page.

    Tqvm

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