How is your payout calculated

1. Howis your payout calculated?
In this module, we will discuss :
1. How is your payout calculated?
2. How can you check your commission details?
3. What are the different modes of logistics?
4. How can you measure the weight of a packed product?
5. What are the logistic charges at Paytm Mall?
6. What are the different types of frauds?
7. What is a service level agreement (SLA)?
8. How to avoidpenalties?
9. How is your payout calculated?
10. How can you check your expected payout on the Paytm Mall seller panel?

2. How is your payout calculated?
Your final payout is made after variouscommissions & fee deductions from the selling price
The componentswhich arededucted from theselling price areas follows -
Charges Definitions Rates
Marketplace commission
Fee charged forlisting yourproductson the PaytmMall
marketplace
% of the selling price (varies atthe
category/productlevel)
Paymentgateway
Fee paid forthe transfer of money via PaytmMall
paymentsgateway
2.7% of theselling price
Logistics charges
Charges forusing the services of PaytmMalllogistics
partners
Based on themode of shipment
Penalty
A fraud is a deliberate action of deceivingPaytmMallor
its partners to secure unfairgains.
Dependson the typeof fraud

3. How can you check your commissiondetails?
Click on Profile
You can download your agreementhistoryby going to theseller panel, where you can readthe termsand conditions along with the
commission details of yourproducts
Click on AgreementHistory

4. How can you check your commissiondetails?
Click on ‘ClickTo Download’
Note – Youhaveto download the latest version of the agreement history.

5. What are the different modes of logistics ?
Expressshipment
Standard sized shipments (less than 5 kg) which areserviced through the aerial mode
Localshipment
These are intra-city shipmentsi.e. whosepickup & drop locationsfallin the same city
Zonalshipment
All pincodesassigned to specific zones (north, south, east, west). If pickup and delivery
fallin thesame zone (notcities), zonalrates willbe charged
Nationalshipment
These are inter-zoneshipments i.e. whosepickup & delivery pincodesfallin different
zones

6. What are the logistics charges at Paytm Mall?
Below are theweight slab ratesfor logistics in PaytmMall
Forward shipping charges
Express
Weight Local Zonal National
First 250 Grams ₹ 25 ₹ 30 ₹ 42
251 Grams -500 Grams ₹ 27 ₹ 40 ₹ 55
Additional per 500 Grams ₹ 21 ₹ 30 ₹ 40
Surface
Upto first 1 Kg ₹ 40 ₹ 50 ₹ 65
Upto first 2 Kg ₹ 50 ₹ 65 ₹ 85
Upto first 3 Kg ₹ 60 ₹ 80 ₹ 100
Additional 3-10 Kg (charge per kg ) ₹ 11 ₹ 12 ₹ 22
Additional10-30 Kg (charge per kg ) ₹ 9 ₹ 11 ₹ 22
Additional 30-60 Kg (charge per kg ) ₹ 9 ₹ 11 ₹ 20
Additional kg >60 Kg (charge per kg ) ₹ 8 ₹ 10 ₹ 20
Note – Allthe fee mentionedaboveisexclusive of taxes. Formore detailsclick here
– Incase ofanyissue withLogisticChargesorProductWeight, arequesttobe raisedforassistance within3 monthsofthe Orderdate. Anyquery/dispute raisedafterthistimeline will notbe entertained
andcourierfee chargedwillbe deemedtobe final.

7. How can you measure the weight of a packed product?
The weight of a product can be calculated in 2 ways - dead weight and volumetricweight. The higher of thetwo is used to calculate the
logistic charges
Deadweight = weight of package
Length 5 inches
Width 6 inches
Height 4 inches
Volumetric weight 393.28 Grams
Volumetric weightin grams =
(𝑙𝑒𝑛𝑔𝑡ℎ × 𝑏𝑟𝑒𝑎𝑑𝑡ℎ × ℎ𝑒𝑖𝑔ℎ𝑡 × 2.543
)
5
Note: length, breadth and height in
inches
Weight of the packet measured on the weighing
machine = 900 grams
Deadweight = 900 Grams
Weight
Volumetric
weight
Deadweight
Formula Example
In this case, the dead weight will beconsidered since it is greater than the volumetric weight

8. How can you calculate the logistic charge?
Note – All the fee mentioned above is exclusiveof taxes.
Example 1. If the weight of your product is 250 gm
Shipping charges
Express
Slab LocalCharges Weightbreakup Calculation Final
First 250 Grams ₹ 25 250 gm 25 25
Total 250 gm ₹ 25

9. How can you calculate the logistic charge?
Note – All the fee mentioned above is exclusiveof taxes.
Example 2. If the weight of your product is 1 kg
Shipping charges
Express
Slab Local Charges Weightbreakup Calculation Final
First 500 Grams ₹ 25 250 gm 25 25
251 Grams -500 Grams ₹ 27 250 gm 27 27
Total 500 gm ₹ 52

10. How can you calculate the logistic charge?
Note – All the fee mentioned above is exclusiveof taxes.
Example 3. If the weight of your product is 1 kg
Revised shipping charges
Surface
Slab Local Charges Weightbreakup Calculation Final
Up to first 1 Kg ₹ 40 1 Kg 40 40
Total 1 Kg ₹ 40

11. How can you calculate the logistic charge?
Note – All the fee mentioned above is exclusiveof taxes.
Example 4. If the weight of your product is 5 kg
Revised shipping charges
Surface
Slab LocalCharges Weightbreakup Calculation Final
Up to first 3 Kg ₹ 60 3 Kg 60 60
Additional 3-10 Kg (chargeper kg ) ₹ 11 2 Kg 11*2 22
Total 5 Kg ₹ 82

12. How can you calculate the logistic charge?
Note – All the fee mentioned above is exclusiveof taxes.
Example 5. If the weight of your product is 20 kg
Revised shipping charges
Surface
Slab LocalCharges Weightbreakup Calculation Final
Up to first 3 Kg ₹ 60 3 Kg 60 60
Additional 3-10 Kg (charge per kg ) ₹ 11 7 Kg 11*7 77
Additional 10-30 Kg (charge per kg ) ₹ 9 10 Kg 9*10 90
Total 20 Kg ₹ 227

13. What are the different types of fraud?
Note- 1.This listis just for illustrative purposes and doesn’t includeall cases
2. Paytm Mall reserves the right to blockyour seller account or to disableyour listings depending on the severity of the case
Types of fraud
Dispatch/Delivery of Empty Box or
Fake/Duplicate/Defective/Partial/
Damaged/Used/Wrong Product or product of
lesser/inflated value
Self-Ordering / Seller Buyer Collusion MRP issues
If parcel has other things instead of the actual
product or selling fake branded products
purchased from local trolley without
authorization
Taking advantage of offers and promotions
meant for customers
Altering original MRP
Penalty
3*GMV + cash back+ 15000/(Litigation
expenses)
GMV + Cashback + Claim (If paid) + 15000/
(Litigation expenses)
GMV + Cashback + 15000/ (Litigation
expenses)

14. What are the different types of fraud?
Note- 1.This listis just for illustrative purposes and doesn’t includeall cases
2. Paytm Mall reserves the right to blockyour seller account or to disableyour listings depending on the severity of the case
Types of fraud
No response Seller cancellation
If you don't process order and order crosses the SLA If you cancel the order
Penalty SLAbreach penalty + Cancellation penalty
Pre SLA seller cancellation= Cancellation penalty
Post SLAseller cancellation= SLA breach penalty +
cancellation penalty

15. What is a service level agreement (SLA)?
A Service Level Agreement(SLA) is yourpromise to ship your products to your customerswithin a certainnumber of days. You have to
ensure thatall the ordersare marked Shipped within SLA.
Example:
Note- 1.If SLA is breached, the order will becancelled and you will be charged an SLA breach penalty and a cancellation penalty
2. SLAbreach and cancellation penalties are defined at the category level of the product
3. AvoidSLAbreaches as they affect your seller performance on Paytm Mall.

16. Penalty structure
The SLA breach and cancellation penalties are defined at the categorylevel of theproduct
SLA breach penalty,‘X%’ of selling price
All categories 3
Cancellationpenalty, ‘Y%’ ofsellingprice
All categories 7
There will also be a minimum cancellation penalty amount andminimum SLAbreach penalty amount.This means that the seller will be charged
the higher of the minimum penalty amount OR Y%/X% of SP.
Note- 1.The minimum penalty amount will beRs.35 on both SLAbreaches and Cancellations by the Seller
2. These charges are exclusiveof taxes

17. How to avoid penalties?
• Maintain physical stock of products
• Add inventory only if you have its physical stock
• Procure genuine products only
• You must have authorizations from brands
for all products
• Ship products with an MRP sticker
• Always match the MRP of the product with the
MRP listed in your catalogue
• Ensure that the warranty you offer on
the product is valid
• Maintain arecord of purchases • Do not indulge in fraudulent methods to
obtain induced orders.

18. How is your payout calculated?
Your final payout is made after thevarious commissions & fee deductions from theselling price
Note – Incaseof any issue regrading Commission charged, a request should be raised with Support within 3 months of the order date. Anydispute after this timeline will not be entertained and the
commission charged will be deemed to be final and accepted.
- In case of any issue with Logistic Charges or Product Weight, a request to be raised for assistance within 3 months of the Order date. Any query/dispute raised after this timelinewill not be
entertained and courier fee charged will bedeemed to be final.
Payout
Selling price ₹ 1000
(-) Marketplacecommission (eg. 12.43%) ₹ 124.3 (12.43% *1000)
(-) Paymentgateway fee@2.7% ₹ 27 (2.7%*1000)
(-) Logistic charges ₹ 27 (500 grams)
= Payoutbreakout ₹ 780.60 [1000-(124.3+27+27+32.10+9)]
Example: Product-Men’sT-shirt
DEDUCTIONS
₹ 0(-) Additionalminordeduction/penalty
(-) GST@18% ₹ 32.10 [18%*(124.3+27+27)]
₹ 9 [1%*(Sellingprice- applicableGST on theproduct)]TCS (1%) on baseprice

19. How can you check your expected payout on the Paytm Mall
seller panel?
Click on the Cataloguetab Click on the Edit icon
You can check your expectedpayout amount through thepayout calculator

20. How can you check your expected payout on the Paytm Mall
seller panel?
Click on the Calculator icon

21. How can you check your expected payout on the Paytm Mall
seller panel?
Enter the MRP & selling price Click on the Re-calculate button

22. How can you check your expected payout on the Paytm Mall
seller panel?
View the expected payout break-up here

23. Thankseveryone!
For any query, pleaseraise a ticket usingthe Support tab on your sellerpanel.