How to Create a WooCommerce Marketplace for Used Electronics with Dokan

The rapid growth of internet users and the immense development of social media diminishes all the geographical borders. Now everyone is connected with together regardless of their social status, age, profession or geography. This concept of globalization made Online Business popular over the last few years.

Moreover, it's remarkably inexpensive and easy to start an online business if you have dedicated internet service. Sometimes it needs even less than $100 (the cost of purchasing a domain name and hosting service) to establish an online business site.

Moreover, nowadays if you own a multi-vendor marketplace then even you can earn money from your own eShop without having any products of your own in it. Hence, it can be a great idea to establish an eCommerce platform where many different sellers will upload their products. And you can earn a certain percentage of commission from each sale.

Today we will show you how to build a WooCommerce marketplace for used electronics with Dokan. Most amazingly it requires no prior knowledge and less than 30 minutes.

dokan

Why Build Your Own WooCommerce Marketplace Business

WooCommerce marketplace

An online marketplace allows you to reach millions of customers around the globe. The increasing popularity of e-commerce business and online sales provoke more and more people to create a Marketplace on different niches. Moreover, customers also love to purchase on the marketplace as they get plenty of options to choose from.

WooCommerce marketplace

According to a recent study, in 2018, 1.8 billion people have spent $2.86 trillion in online shopping. There are more than 3 million online stores available at this time, but around 63% of them also sell in various marketplaces. Global e-commerce sales are expected to reach $4.8 trillion by 2021.

Besides that, 501 billion USD was the retail eCommerce sales in the United States and it is forecasted that the sale will increase to 740 billion in 2023.

The survey of 6,000 consumers conducted by Salesforce and Publicis.Sapient stated that repeat customers prefer to shop from the online marketplace over the brands. It shows buyers feel safer to spend their money in a broad marketplace like Amazon. With WordPress, it's not anymore a professional's job only to create a site like Amazon.

So, you can also build an Amazon-like platform on your own. However, it must be easy to use for brands and retailers well. Also, you should focus on ensuring better customer experience so that they come back to your shop again and again.

Why Design Your WooCommerce Marketplace with Dokan?

Dokan

People always love to enjoy an easy solution with maximum output and less hassle. This is the reason WordPress has grown so much in popularity and powers more than 33% of all websites globally. Moreover, you can add almost any functionality to your site, with no coding or technical knowledge.

There are tons of free plugins, that you can use without shelling out any cash, or you can opt for premium subscription.

If you have a WordPress site, then you can easily own an Online Marketplace like eBay or Amazon within a day only. With Dokan you get to turn your WooCommerce site into a full-fledged multi-vendor marketplace in less than 30 minutes.

Furthermore, you will get all the functionalities at your fingertips to run your business smoothly. With Dokan you can save hundreds of work hours while creating an online WooCommerce marketplace.

Dokan is the no. 1 open-source Multi Vendor Solution with 30000+ active installations around the world.

Dokan has unique features like:

  • Best frontend experience
  • Easiest configuration option
  • Supports 20+ modules
  • 24/7 Customer support
  • Compatible with any WooCommerce themes

By following some easy steps you can start earning from your online marketplace right away.

WooCommerce marketplace

So, it clearly shows that you require only a few resources and effort to create a used electronics online store with Dokan in WordPress.

Turn your WooCommerce Site into a Multi-vendor Marketplace in Minutes

WooCommerce marketplace

A journey towards the biggest revenue starts from here!

Here, we will show you a step-by-step guide to create a multi-vendor eCommerce platform where vendors can sell second-hand electronics products. In addition, today we will introduce an exciting module of Dokan known as Dokan Single Product Multivendor.

This unique feature allows vendors to sell other vendors' products. They can add a product from another vendor's store to their own store with a single click. Furthermore, they have the flexibility to customize the product details as their liking.

At the same time, customers can go through all the same products that the vendors are selling and compare each price from the product page. This will let consumers buy a product with the best price.

Now let us describe how to configure and build a used electronics marketplace using Dokan's Single Product Multivendor Module.

Prerequisites for Launching a Used Electronics Site

Initial Configuration for Your WooCommerce Marketplace

WordPress: At first, you should buy your own domain and hosting from a trusted provider. Then, install the WordPress on your server. 

WooCommerce: After logging into the site with your personal credentials install and activate the WooCommerce plugin like any other WordPress plugin. That's it your single eCommerce store is ready for launch.

Dokan Free and Pro: Now you have to install Dokan to turn your single store into a multi-vendor marketplace. To unlock all the advanced features you can simply get the Dokan Pro with a 100% money-back guarantee & customer satisfaction.

Active Dokan Single Product Multiple Vendor Module: Now, navigate to WordPress Admin Dashboard → Dokan → Modules.

Click on the toggle button beside Single Product Multiple Vendor to activate the module as shown below.

Single Product Multiple Vendor

An Appropriate Theme for Dokan: Most amazingly, Dokan works well with almost all the popular WooCommerce themes available in the market. So, you have the flexibility to choose a theme that fits your business. You can check all the Dokan Compatible Themes.

However, the theme must be easy for both vendors and buyers to surf and conduct other transactions.

You can check the cost that you need to launch your desired WordPress site.

How to Create a Used Electronics Online Platform Using Dokan

Now, you have all the components in your hands to build your first multi-vendor marketplace for used electronics. Before proceeding, configure your Dokan plugin with all the essential settings as below:

General Setting Dokan

Here you can optimize your marketplace as per your brand requirements. It helps you to operate your business seamlessly. After that, you are free to design your own Marketplace Website using Dokan.

General Settings for Single Product Multiple Vendor

Step 1

Navigate to your WordPress Admin Dashboard → Dokan → Settings → Single Product MultiVendor.
Then, Click on the checkbox beside to Enable Single Product Multiple-Vendor.

Dokan Settings

Step 2

Now, you can change the default content of the “Sell Item Button Text” and “Available Vendor Display Area” title.

To change the ‘Sell Item Button Text', type over the given field. It has the default text “Sell This Item”. You can change it as per your preference.

Here we have set the text as “Sell This Product Now!”.

Dokan Module Settings

This is how vendors will view the button for a product from the store.

WooCommerce marketplace

Step 3

You can also change the text for Available Vendor Display Area Title as you desire. To do this, simply write your desired text over the given field. It has the default text “Other Available Vendors”. 

Here we have set the text as “Buy this product from these vendors”.

WooCommerce marketplace

So, above you can see how the button will appear in the store. Vendors can see the list of all other vendors selling the same product:

product review

Step 4

You can also choose where you want to display the available vendor's list.
For this you have to select the desired option from the drop-down menu given for Available Vendor Section Display Position:

WooCommerce marketplace

Store-end View for Vendors

All the configuration has been done from the admin. Now, when a visitor will visit any product from another vendor, s/he will see a new button “Sell This Product Now!”.

When you click on this button, a new product will be created for your store and you can edit its details as per its specifications.

edit product dokan

Store-end View for Customers

Now when a customer visits your marketplace and clicks on a product a pop-up window will appear. And then they can see the product's details along with the other vendor's names who sell the same product.

As a result, the customer will get a fair chance to compare among all the vendor's offers. It will help them to acquire the best deal at the cheapest price.

WooCommerce marketplace

Furthermore, with this advanced feature of Dokan, you can gain your customer's trust very quickly. It will uplift the customer acquisition and retention rate at a rapid pace.

With the latest update of Dokan, now the admin can assign a single product to multiple vendors very easily from his/her dashboard. Also, you can employ a set of conditions before allowing the vendors to sell other vendors' products. 

Check this documentation to get all the available features of the Dokan Single Product Multiple Vendor. However, for better visibility of your site on the search engine, you should implement proper SEO tactics. It will help you to grow your Marketplace Website faster.

Moreover, you can also create a marketplace for downloadable products using Dokan. Nevertheless, you can create an Airbnb Alternative Site with Dokan WooCommerce Booking.

Note: Admin can set up his/her own store and sell products if s/he has any products and services to sell.

Dokan

Dokan Empowers Your WooCommerce Marketplace with Ease

WordPress makes it easy as pie to build an effective eCommerce Marketplace with interactive plugins. Dokan has all the components to make your journey smooth and efficient. However, you need a strong marketing strategy to reach your target audience. It will improve your brand value. Also, you will get more commission as the sales increase.

Even without being a professional, with Dokan you can develop a highly functional WooCommerce marketplace in a single day. It allows you to bring plenty of related service providers on the same platform. And earn money with a commission from each sale.

Nevertheless, WordPress page builder-Elementor makes the web development process easy than ever. Therefore, you can build a Professional Marketplace With Elementor & Dokan without any prior knowledge and coding. Thus, it makes the journey more effortless from developing a marketplace site to earning money.

Introducing Combine Commission Rate on DOKAN- The Top Marketplace Builder Plugin on WordPress

Since 2015, Dokan, the top multi-vendor marketplace in WordPress, has been successfully providing services to its customers.

Now, Dokan is gradually becoming stronger with every new update. The latest update brings you a new feature in Dokan Commission.

In the latest version 2.9.14, Dokan commission got a new type called ‘Combine Commission‘.

The write-up below will give you an insight into the new commission type and how this new commission type will help you to get the best out of Dokan.

Importance & Usability of Commission in a Marketplace

Dokan Commission

All business-persons want to earn money from their respective businesses. Therefore, a commission sharing system can be a great way to earn revenue and profit from any kind of business. Almost every multivendor site is using the commission to earn their profits and revenue.

With a limited investment, reasonable profit can be earned because of commission.

With a smart commission rate planning, more sellers will be attracted to your marketplace. When your marketplace gets the desired boost, then the commission rate can be increased. Dokan provides these solutions with smart commission rates.

Types of DOKAN Commissions both for Admins & Vendors

There are 3 types of commission rates on Dokan. You can use any of the commission rates to earn your revenue.

Earn with dokan plugin

1. Percentage Commission

With the percentage rate, you can add a commission percentage globally, vendor wise, product-wise, and category wise. If you add a percentage globally, that means you will get that percentage on all your vendors.

If you set it based on vendor, product or category, you will get that percentage specifically for that product, vendor or that category.

Suppose you have set a 10% commission rate, then you will get a $10 commission on every $100 sale.

2. Flat Commission

Flat rate means you will earn your commission in currency form. You can also add a flat rate to all the four commission systems (global, vendor, product, category).

So, if you set a $10 flat rate, you will earn $10 for any amount of sale.

Like, if the sale is $100 or $1000, you will get $10 flat from that sale.

3. Combined Commission (New Feature)

In the new version 2.9.14 of Dokan, we have introduced this new type in commission rates.

With the combined rate commission, you can add both percentage and flat rate commission at the same time.

After selecting the combined type, you have set the percentage rate at 10%, and flat commission at $15. So if the sale is $250, you will get a commission of ($25+$15)=$40.

Combine Commission rate on Dokan

You can also use this commission rate in every commission system.

How to Set up Dokan Commission

We have added multiple ways to earn money from Dokan. An admin or site owner can set commission for all the orders, products, store or product categories.

Go to Dokan→Settings→Selling Options. There you will find all three commission types. Select any one of the commission types, then set the rate and you are good to go.

There are 3 types of Commission.

  1. Percentage type
  2. Flat type
  3. Combine type
Commission types on Dokan

Read the documentation to know how to set up the Dokan Commission.

You can set up different commission rates for different commission systems like Global Commission, Store Base Commission, Product base commission, Category base commission.

Give your knowledge a boost about the commission system with this article.

What Would You Get Using Combined Commission Rate on DOKAN

We have introduced this new commission type in order to keep a balance between the earnings and profit of both the admin and the vendors. With only the percentage and the flat rate type, neither admin nor the vendors were getting the desired profit.

It is certain that the admin and the vendors will both be benefitted from this new commission type.

The new Combined tax rate solves the hassle for admin to decide whether to add a percentage tax rate or a flat rate.

Now, if a product of a vendor is selling beyond expectations, the admin can add a combined tax rate and earn a little extra profit from that product. Not all the vendors will be doing great business.

So, it only makes sense that the vendors who are doing great business should pay more than the vendors who are not doing well. That way the admin will cover up the lost revenue from those vendors. That is where the Combined Commission rate comes in.

Also, the admin has to pay the payment gateway charges, and he pays that from his earned commission. So, it shrinks his desired profit.

With the combined tax rate, the admin can easily make up for it. Suppose, the payment gateway charge is $2. The percentage rate is 10%. So, if there is a sale of $150, the admin will get $15. And with payment gateway charge, he will have ($15-$2)=$13 at the end of the day.

But if he puts a flat rate of $2 with that percentage rate of 10%, which is the Combined commission rate, then he will earn a total commission of ($15+$2)=$17.

With the payment gateway charge, he will have ($17-$2) =$15, which is the desired profit of the admin.

FAQ on DOKAN Commission

Is there any other way to earn from Dokan than Commission?

Yes. With the Dokan Subscription package.

Can the commission rates be changed at any time?

Yes. as an admin, you can change the commission rate any time you want.

What is the minimum selling price for a flat commission rate of $10?

The minimum selling price has to be greater than $10(>$10). Otherwise, the system will not let you set a selling price less than the flat commission rate.

Wrapping up on Dokan Commission

About 20.000+ marketplace around the world is run by Dokan. With its advanced features, Dokan is gaining more strength day by day.

With the new Combined type in Dokan Commission, earning has become easier.

We hope if you employ this smart planning and intelligent feature, you can boost your marketplace and earn the desired profit exactly the way you want.

So, what do you think of the new Combined commission type? Do tell us.

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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