Glossary of Terms

Product Price

The production cost of a product. This does not include tax, or delivery, or commission, or discount. It is 100% cost.

Markup

The amount that is added to the Product Price to determine what the buyer will pay (i.e. the Subtotal). As the owner of the image, you get to set this amount.

Subtotal

The total price a buyer pays for the product minus shipping.

Discount

The amount of savings shown to the end buyer before they make the purchase. A Discount would be set by Format and applied across all Format Prints Marketplace listings. You have no control over this.

Shipping

The amount of shipping costs for the total order. This is calculated by our fulfillment parter based on where the buyer is.

Taxes

We do not calculate taxes on sellers behalf

How does Prints Marketplace pricing work?

[ Product Cost ] + [ Markup ] - [ Discount ] = Subtotal

Buyer Pays = [ Subtotal ] + [Shipping Charges]


What is my payout (how much do I make from each sale)?

Your profits from each sale will vary depending on which Format Portfolio plan you are on. The formula to determine your profit is as follows:

[ Subtotal ] - [ Product Cost ] - [ Marketplace Commission ] = Your Payout

Marketplace Commission is a % of the Final Price

Example:

  • You are on Format Portfolio Pro, which has 15% Marketplace Commission

  • Product Cost of $100 Framed Canvas

  • You set the Markup to $100

  • End buyer applies 10% off Discount Code

  • End buyer pays $180

    • [ Product Cost ] + [ Markup ] - [ Discount ] = $100 + $100 - $20

  • Your profit is $50

    • [ Subtotal ] - [ Product Cost ] - [ Marketplace Commission ] = $180 - $100 - $30


How do Taxes and Shipping charges affect my profit?

They don't. Shipping charges are added to the Final Price.

User pays = [ Subtotal ] + [ Shipping Charges ]


Are Shipping costs included in the Final Price?

No, shipping fees are extra. They added to the Final Price during checkout.

They vary depending on the shipping address.

Shipping costs do not impact your markup or profits.


Why does Format charge Marketplace Commission?

Format uses proceeds from the Marketplace Commission to advertise the marketplace, to attract buyers for your work, cover the costs of payment processing and marketplace hosting fees.


What are the Marketplace Commissions per plan?

Portfolio Pro monthly/yearly

15%

Portfolio Pro Plus monthly/yearly

5%

Professional Bundle monthly/yearly

5%

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