How seller’s payout is calculated - Wholesale

1. How is 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 avoid penalties?
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 various commissions & fee deductions from the selling price
The components which are deducted from the selling price are as follows -
Charges Definitions Rates
Marketplace commission
Fee charged for listing your products on the
Paytm Mall marketplace
% of the selling price (varies at the
category/product level)
Payment gateway
Fee paid for the transfer of money via Paytm
Mall payments gateway
2.7% of the selling price
Logistics charges
Charges for using the services of Paytm Mall
logistics partners
Based on the mode of shipment
Penalty
A fraud is a deliberate action of deceiving
Paytm Mall or its partners to secure unfair
gains.
Depends on the type of fraud

3. How can you check your commission details?
You can download your agreement history by going to the seller panel, where you can read the terms
and conditions along with the commission details of your products
Click on Profile1
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Click on Agreement History
Click on ‘Click To Download’
Note – You have to download the latest version of the agreement history.
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4. What are the different modes of logistics ?
Express shipment
Standard sized shipments (less than 5 kg) which are serviced through
the aerial mode
Local shipment
These are intra-city shipments i.e. whose pickup & drop locations fall
in the same city
Zonal shipment
All pincodes assigned to specific zones (north, south, east, west). If pickup
and delivery fall in the same zone (not cities), zonal rates will be charged
National shipment
These are inter-zone shipments i.e. whose pickup & delivery pincodes
fall in different zones

5. Below are the weight slab rates for logistics in Paytm Mall
What are the logistics charges?
Note – All the fee mentioned above is exclusive of taxes.
Shipping charges
Surface
Weight slab
Local Zonal National
Up to first 1 Kg Rs 55 Rs 65 Rs 80
Additional kg 1-2 Kg Rs 70 Rs 85 Rs 110
Additional kg 2-3 Kg
Rs 80 Rs 95 Rs 120
Additional kg 3-5 Kg
Rs 95 Rs 110 Rs155
Additional kg >5 Kg
Rs 12 Rs 17 Rs 25

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

7. How can you calculate the logistic charge?
Example 1. If the weight of your product is 1 Kg
Note – All the fee mentioned above is exclusive of taxes.
Revised shipping charges
Express
Slab Local Charges Weight breakup Calculation Final
Up to first 1 Kg ₹ 55 1 kg 55*1 55
Total 1 kg ₹ 55

8. How can you calculate the logistic charge?
Example 2. If the weight of your product is 3 Kg
Note – All the fee mentioned above is exclusive of taxes.
Revised shipping charges
Surface
Slab Local Charges Weight breakup Calculation Final
Up to first 1 Kg ₹ 55 1 Kg 55*1 55
Additional kg 1-2 Kg ₹ 70 1 Kg 70*1 70
Additional kg 2-3 Kg ₹ 80 1 Kg 80*1 80
Total 5 Kg ₹ 205

9. What is a service level agreement (SLA)?
A Service Level Agreement (SLA) is your promise to ship your products to your customers within a
certain number of days. You have to ensure that all the orders are marked Shipped within SLA.
Note- 1. If SLA is breached, the order will be cancelled and you will be charged an SLA breach penalty and a cancellation penalty
2. SLA breach and cancellation penalties are defined at the category level of the product
3. Avoid SLA breaches as they affect your seller ratings and performance on Paytm Mall.
Example:

10. Penalty structure
The SLA breach and cancellation penalties are defined at the category level of the product
There will also be a minimum cancellation penalty amount and minimum SLA breach penalty amount.
This means that the seller will be charged the higher of the minimum penalty amount OR Y%/X% of SP.
SLA breach penalty, ‘X%’ of selling price
All categories 10
Cancellation penalty, ‘X%’ of selling price
All categories 10
Note- 1. These charges are exclusive of taxes
2. The minimum penalty amount will be Rs.50 on both SLA breaches and Cancellations by the Seller
3. To know more details on penalty click here

11. How is your payout calculated?
Your final payout is made after the various commissions & fee deductions from the selling price
Payout
Selling price + Shipping Fee (collected from the customer) Rs 1000 (980+20)
(-) Commission (including GST) (Eg. 5%) Rs 50 (5% *1000)
(-) Logistic charges (per unit) + GST (18%) (Eg. 20/unit) Rs 23.6 (20 + 20*18%)
= Final Payout Rs.917.14 [1000-(50+23.6+9.26)]
Example : Product- Men’s T-shirt
DEDUCTIONS
Rs 0(-) Additional minor deduction/penalty
Rs 9.26 [1%*(1000-(50+23.6))]TCS (1%) on base price
Note- You can claim the deducted TCS amount.

12. You can check your expected payout amount through the payout calculator
Click on the Catalogue tab1
Click on the Edit icon2
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How can you check your expected payout on the Paytm
Mall seller panel?

13. Click on the Calculator icon3
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How can you check your expected payout on the Paytm
Mall seller panel?

14. Enter the MRP & selling price4
5 Click on the Re-calculate
button
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How can you check your expected payout on the Paytm
Mall seller panel?

15. How can you check your expected payout on the Paytm
Mall seller panel?
View the expected payout
break-up here
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16. Thanks everyone!
For any query, please raise a ticket using the Seller Helpdesk tab on
your seller panel.