News, Education and Events Decoding Digital Payments & Fraud

News, Education and Events Decoding Digital Payments & Fraud

60% of Marketplace Sellers Tab Speed of Payments as Top Reason to Stay Loyal: Report

60% of Marketplace Sellers Tab Speed of Payments as Top Reason to Stay Loyal: Report

While 60 percent of marketplace sellers have a separate full time job, 90 percent of them derive up to half their total income from that source, according to a new study from online payment provider Hyperwallet. With more sellers relying on marketplaces like eBay, Etsy and Amazon for an increasing share of their income, there is more pressure on those marketplaces to make payments to sellers simpler, quicker and more efficient. The study, State of Ecommerce Marketplace Selling in 2017, found many sellers are feeling the crunch of the economy—nearly two-thirds have been forced to sell a personal item to make ends meet—but that 30 percent have had to wait a week or more for payments to process.

The Hyperwallet report noted the increasing number of marketplaces is putting pressure on them to offer quicker payments to their sellers. According to the study, 59 percent named speed of payments as the top reason (other than number of users) to stay loyal to a marketplace and 13 percent of those polled said they have switched because the payment process was frustrating. Cost, obviously, also is a factor. The study found nearly 80 percent of sellers said they would switch marketplaces if they believed the fees associated with selling on their current site were too high.