Designed poorly, these fees tend to cause disproportionate amounts of pain for customers.
So how best to package these fees up?
Vinted's fees
Vinted, a secondhand clothing marketplace has devised a clever strategy in their approach to where best to both include and how to frame such fees.
Instead of the more commonly-used “Booking fee” or “Service fee” for the buyer, they have what's called a “Buyer protection fee”. There are no fees for sellers.
Clothes on Vinted can be found for extraordinarily-low prices, with sellers and buyers both trading a high volume of secondhand items.
Fees framed around overcoming customer pains
Because of the unique nature of the items sold, buyers can't really be too sure what they'll get, its quality on arrival or, given the lack of a centralised logistics process, whether it will even arrive at all.
Without a safety net, the marketplace would be ripe for strong Loss Aversion, where buyers would be reluctant to part with their cash for fear any of the above occurring.
Given this, reframing the service fee to "Buyer Protection" makes sense to buyers. How the small fee is calculated is clearly communicated, along with a robust refund policy.
The messaging is reinforced by safety and security-laden images that emphasise the reassuring aspects of the safety net, making it feel like a benefit rather than an extra cost to buyers: Vinted have them covered in case of any of something going wrong.
Compare this to the way that others highlight their fees.
Airbnb
For Airbnb, marketplace costs are framed as "Service Fees". These trigger Reactance due to a combination of:
Their large absolute and proportional value (e.g. £136 / 14%)
The framing around "Service" in the hospitality industry; nobody has ever seen an Airbnb employee go in and tidy a home, especially when it's in addition to the cleaning fee
That the fee isn't framed primarily around a concrete benefit to the buyer, but instead an ambiguous set of benefits to Airbnb itself
The Train Line
Compare Vinted also to TheTrainLine, who simply have a vague "Booking Fee", with no understanding of what this is for or what it covers.
Perhaps if they framed it as a "Booking Guarantee" where you could get a refund up to 24 hours before departure or covering you in case of unexpected cancellations, if would feel better.
A good fee is a benefit
In conclusion, Vinted have the right approach in terms of framing their fees, designing it in such a way that reassures and motivates use of their platform.
It's a win for buyers, who can shop safely for a low fee, a win for sellers who will see higher sales rates as a result and have no fees to pay to add clothes, and ultimately a win for Vinted because the marketplace has more use, gathering both higher inventory and service fees along the way.
Safety
Conversion
Reframing fees as benefits
How clothing marketplace Vinted neatly reassure and motivate buyers to use their platform.
Designed poorly, these fees tend to cause disproportionate amounts of pain for customers.
So how best to package these fees up?
Vinted's fees
Vinted, a secondhand clothing marketplace has devised a clever strategy in their approach to where best to both include and how to frame such fees.
Instead of the more commonly-used “Booking fee” or “Service fee” for the buyer, they have what's called a “Buyer protection fee”. There are no fees for sellers.
Clothes on Vinted can be found for extraordinarily-low prices, with sellers and buyers both trading a high volume of secondhand items.
Fees framed around overcoming customer pains
Because of the unique nature of the items sold, buyers can't really be too sure what they'll get, its quality on arrival or, given the lack of a centralised logistics process, whether it will even arrive at all.
Without a safety net, the marketplace would be ripe for strong Loss Aversion, where buyers would be reluctant to part with their cash for fear any of the above occurring.
Given this, reframing the service fee to "Buyer Protection" makes sense to buyers. How the small fee is calculated is clearly communicated, along with a robust refund policy.
The messaging is reinforced by safety and security-laden images that emphasise the reassuring aspects of the safety net, making it feel like a benefit rather than an extra cost to buyers: Vinted have them covered in case of any of something going wrong.
Compare this to the way that others highlight their fees.
Airbnb
For Airbnb, marketplace costs are framed as "Service Fees". These trigger Reactance due to a combination of:
Their large absolute and proportional value (e.g. £136 / 14%)
The framing around "Service" in the hospitality industry; nobody has ever seen an Airbnb employee go in and tidy a home, especially when it's in addition to the cleaning fee
That the fee isn't framed primarily around a concrete benefit to the buyer, but instead an ambiguous set of benefits to Airbnb itself
The Train Line
Compare Vinted also to TheTrainLine, who simply have a vague "Booking Fee", with no understanding of what this is for or what it covers.
Perhaps if they framed it as a "Booking Guarantee" where you could get a refund up to 24 hours before departure or covering you in case of unexpected cancellations, if would feel better.
A good fee is a benefit
In conclusion, Vinted have the right approach in terms of framing their fees, designing it in such a way that reassures and motivates use of their platform.
It's a win for buyers, who can shop safely for a low fee, a win for sellers who will see higher sales rates as a result and have no fees to pay to add clothes, and ultimately a win for Vinted because the marketplace has more use, gathering both higher inventory and service fees along the way.
What’s a Rich Text element?
The rich text element allows y
ou to create and format headings, paragraphs, blockquotes, images, and video all in one place instead of having to add and format them individually. Just double-click and easily create content.
Static and dynamic content editing
A rich text element can be used with static or dynamic content. For static content, just drop it into any page and begin editing. For dynamic content, add a rich text field to any collection and then connect a rich text element to that field in the settings panel. Voila!
How to customize formatting for each rich text
Headings, paragraphs, blockquotes, figures, images, and figure captions can all be styled after a class is added to the rich text element using the "When inside of" nested selector system.
Safety
Conversion
Reframing fees as benefits
How clothing marketplace Vinted neatly reassure and motivate buyers to use their platform.
Designed poorly, these fees tend to cause disproportionate amounts of pain for customers.
So how best to package these fees up?
Vinted's fees
Vinted, a secondhand clothing marketplace has devised a clever strategy in their approach to where best to both include and how to frame such fees.
Instead of the more commonly-used “Booking fee” or “Service fee” for the buyer, they have what's called a “Buyer protection fee”. There are no fees for sellers.
Clothes on Vinted can be found for extraordinarily-low prices, with sellers and buyers both trading a high volume of secondhand items.
Fees framed around overcoming customer pains
Because of the unique nature of the items sold, buyers can't really be too sure what they'll get, its quality on arrival or, given the lack of a centralised logistics process, whether it will even arrive at all.
Without a safety net, the marketplace would be ripe for strong Loss Aversion, where buyers would be reluctant to part with their cash for fear any of the above occurring.
Given this, reframing the service fee to "Buyer Protection" makes sense to buyers. How the small fee is calculated is clearly communicated, along with a robust refund policy.
The messaging is reinforced by safety and security-laden images that emphasise the reassuring aspects of the safety net, making it feel like a benefit rather than an extra cost to buyers: Vinted have them covered in case of any of something going wrong.
Compare this to the way that others highlight their fees.
Airbnb
For Airbnb, marketplace costs are framed as "Service Fees". These trigger Reactance due to a combination of:
Their large absolute and proportional value (e.g. £136 / 14%)
The framing around "Service" in the hospitality industry; nobody has ever seen an Airbnb employee go in and tidy a home, especially when it's in addition to the cleaning fee
That the fee isn't framed primarily around a concrete benefit to the buyer, but instead an ambiguous set of benefits to Airbnb itself
The Train Line
Compare Vinted also to TheTrainLine, who simply have a vague "Booking Fee", with no understanding of what this is for or what it covers.
Perhaps if they framed it as a "Booking Guarantee" where you could get a refund up to 24 hours before departure or covering you in case of unexpected cancellations, if would feel better.
A good fee is a benefit
In conclusion, Vinted have the right approach in terms of framing their fees, designing it in such a way that reassures and motivates use of their platform.
It's a win for buyers, who can shop safely for a low fee, a win for sellers who will see higher sales rates as a result and have no fees to pay to add clothes, and ultimately a win for Vinted because the marketplace has more use, gathering both higher inventory and service fees along the way.
What’s a Rich Text element?
The rich text element allows y
ou to create and format headings, paragraphs, blockquotes, images, and video all in one place instead of having to add and format them individually. Just double-click and easily create content.
Static and dynamic content editing
A rich text element can be used with static or dynamic content. For static content, just drop it into any page and begin editing. For dynamic content, add a rich text field to any collection and then connect a rich text element to that field in the settings panel. Voila!
How to customize formatting for each rich text
Headings, paragraphs, blockquotes, figures, images, and figure captions can all be styled after a class is added to the rich text element using the "When inside of" nested selector system.
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