Flipkart drops fashion commission for all price points

What changed

Flipkart has extended its zero commission policy to cover all fashion products regardless of price, removing an earlier cap that limited the benefit to items priced below 1,000 rupees, according to Inc42. The company said around 90,000 active fashion sellers, including MSMEs, homegrown labels and direct to consumer brands, can now avoid paying commissions on every fashion sale. Flipkart first introduced zero commission pricing last year for products under 1,000 rupees, and later widened it across its hypervalue platform Shopsy.

Flipkart said the change lets sellers retain higher margins and reinvest in wider ranges and brand building, and that it should improve product selection across fashion categories including premium segments.

Why it matters

Meesho pioneered the zero commission model in 2021, and Amazon India has waived referral fees on products under 1,000 rupees, so the change sharpens a three way contest for seller loyalty. For Indian D2C brands, dropping the cap changes the maths on listing higher priced apparel and footwear on Flipkart, where margins on premium items were previously eroded by commission. Brands that held back their costlier styles from the platform now have a clearer reason to list them, though the trade off is heavier reliance on a marketplace that can revise its own terms. Sellers will watch whether rivals respond with similar caps of their own.