This article was updated in October 2025.
TikTok Shop’s low fees helped pull in thousands of UK sellers, but things are changing. Commission rates are rising, fulfilment costs are creeping in, and a new wave of “service fees” is hitting margins. If you’re selling on TikTok in 2025, or thinking about it, it’s worth getting clear on what you’ll actually take home from each sale.
This updated guide gives you a practical breakdown of the latest TikTok Shop fees, what’s changed recently, and how e-commerce sellers can stay profitable as the platform tightens its commercial model.
Recent Changes to TikTok Shop Fees
TikTok Shop’s fee structure isn’t as generous as it used to be. Here’s what’s new for UK sellers this year:
- Commission increased to 9% as of September 2024 — up from the original 5%.
- A £0.50 service charge was introduced 15th of July 2025 and now applies to each order you fulfil yourself (not using TikTok’s fulfilment).
- Free shipping is now co-funded — TikTok splits the cost with you, but it’s still an extra margin consideration.
- Commission now applies to the full order value, including shipping and discounts.
Sellers can still access lower rates in some categories or via TikTok’s Seller Missions — but the base cost of selling has clearly gone up.
If you’re already on the platform, or exploring it as a new sales channel, it’s a good moment to review your pricing and margins — especially if you’re operating across multiple platforms and using tools like A2X and Xero to manage reconciliation.
Types of TikTok Shop Fees
Fortunately, TikTok Shop fees are relatively straightforward when compared to other marketplaces. TikTok doesn’t charge to list products or keep an account open. The main decision that affects your costs is whether you handle fulfilment yourself, or use TikTok’s own service: Fulfilled by TikTok (FBT).
Fulfilment Fee
- Starts at around £0.78 per item (incl. VAT) for parcels up to 0.5 kg, depending on size and service type.
- The cost increases with weight and item dimensions. A new tiered rate card (effective September 2025) now applies to “Shipped via Platform (4PL)” orders.
Warehousing (Storage) Fee
- Between £0.24-£0.36/day/cubic meters (incl. VAT) for the first 30 days, depending on being low or peak season.
- Aging tiers rise with every additional 30 days
Packaging Fees
- Bubble wrap or pre‑packaging: About £0.60 per item, but lowered to around £0.41 if sellers provide their own materials. Return to merchant packaging is £0.36 per item.
- TikTok occasionally adjusts these based on promotional or sustainability programs.
Other FBT Services
- TikTok has confirmed that SKU labelling and leaflet insertion will be introduced soon, each with additional small per‑unit fees.
How do TikTok Shop Fulfilment Costs Compare to Other Marketplaces
TikTok Shop fulfilment costs are generally lower and more straightforward than those charged by established marketplaces such as Amazon, eBay, and Shopify, especially for small sellers and lightweight goods. Here is a quick comparison:
| Platform | Commission Fees | Monthly Subscription | Fulfilment Fees (per item) | Other Common Fees |
| TikTok Shop | 5-9% (by category) | None | £0.78+ for FBT up to 0.5kg. As high as £4.20 for oversize (up to 15 kg). | Storage £0.24-£0.36/day/cubic meters (incl. VAT) for the first 30 days |
| Amazon | 8–15% (by category) | £25+VAT/mo (Pro) | £1.46+ for small items (FBA) and as high as £42 for oversize | Storage, picking, packing, closing fees |
| eBay | 5–12% (category) | £27/mo | Seller manages; variable | Listing fees, PayPal fees, final value fees |
| Shopify | None (processing only) | £25+/mo | Seller manages; via 3PL or own warehouse | Card transaction fees 2% +£0.25 |
Factors Influencing TikTok Shop Fees
A few key decisions — and the timing of them — can significantly impact how much TikTok takes from each sale.
- Early seller promos
New accounts often get discounted commission rates in the first 60 days, especially if you list products early and join campaigns like seasonal sales. - How you fulfil orders
Shipping products yourself or using TikTok’s fulfilment service (FBT) makes a real difference. FBT adds extra fees — but it can also speed things up and improve delivery performance. - Using affiliates and creators
If you’re working with TikTok creators or affiliates to promote your listings, their commissions come straight off your payout. It’s a great growth lever — but it needs to be built into your margin planning. - Taking part in TikTok promos
You might get access to free shipping subsidies or reduced commissions if you opt into certain programmes. These change throughout the year and often have specific entry windows.
Knowing when and how these costs kick in helps you plan ahead. You might front-load listings to access early discounts, test FBT on selected SKUs, or factor affiliate cuts into your pricing from the start.
Tips to Reduce TikTok Shop Fees
Small adjustments can make a noticeable difference to your margins on TikTok Shop. Here’s where to start:
- Use the new seller discount
New accounts get a reduced commission for the first 60 days — currently around 3%. To access this, complete your onboarding and upload your first product listings promptly. - Choose fulfilment carefully
Fulfilment by TikTok (FBT) includes added costs, but self-fulfilling now attracts a £0.50 per-parcel fee (as of July 2025). It’s worth comparing actual costs between both routes, especially across higher-volume SKUs. - Join co-funded promotions
Some TikTok campaigns offer up to 75% ad subsidy — but you’ll need to opt in and meet the terms. These programmes can significantly reduce your marketing spend if used well. - List in lower-commission categories
Some product categories qualify for a reduced commission (typically 5–6% vs the standard 9%). If your products fit, it’s worth reviewing where they’re categorised. - Manage affiliate costs
Affiliate fees are deducted automatically from your payouts. Setting clear terms, caps, or limits can help you avoid margin leakage as sales scale. - Keep seller performance strong
Good fulfilment speed and customer service helps avoid penalties. TikTok monitors seller standards closely — and falling short can lead to extra fees or reduced visibility. - Build fees into your pricing
Make sure you account for all fees, including commission, shipping, fulfilment and affiliates, when setting prices. This protects your margin and reduces pricing surprises later. - Check settlement reports
Each payout comes with a downloadable settlement report from TikTok. These break down fees, refunds, and commissions. Reviewing them regularly helps catch errors and confirms that what TikTok deducts lines up with their published pricing. - Keep an eye on policy changes
TikTok updates its terms regularly, often with short notice. We recommend reviewing your seller dashboard and official fee updates monthly.
When to Seek Accounting Support for TikTok Shop
You don’t need a full finance team just to start selling on TikTok. But as turnover grows or transactions become harder to track, it helps to have the right financial support in place.
These are common signs it’s time to bring in an ecommerce accountant:
- Turnover is growing fast, and you need to get on top of your margins
- You’re using affiliates or creators and can’t track what’s actually being deducted
- You’ve expanded into new markets and need VAT guidance
- You’re downloading settlement reports but unsure how to read them, or reconcile them to your accounts
We help ecommerce sellers build systems that scale with them. That means clean data in Xero, correct VAT treatment, and visibility on what’s really being earned from TikTok after all the fees.
How Elver Helps TikTok Shop Sellers Stay Profitable
TikTok sales can scale fast, and the numbers can get complicated just as quickly. Between shifting commission rates, new service fees and fast-moving payouts, it’s easy to lose track of what you’re really earning.
Elver helps online sellers stay in control of their figures and protect their margins as they grow.
- Reconcile TikTok payouts accurately
Using A2X, we automate and map TikTok transactions into Xero. Every settlement report is checked, so missing or duplicated fees are caught before they affect your accounts. - Record fees properly to protect your margins
We account for fulfilment, packaging and service charges in the right place, giving you a true picture of profit on each product line. - Stay compliant with UK and cross-border VAT
Our e-commerce VAT specialists manage the correct VAT treatment for platform fees, shipping and international sales, filing through Making Tax Digital–compliant software. - Keep your books accurate each month
Our e-commerce bookkeeping team updates records weekly, so you always have reliable numbers ready for planning or investor reporting. - Plan ahead with forecasting support
We build rolling cash flow forecasts and simple what-if models tailored to ecommerce. To help you plan for stock, ad spend and tax bills.
Don’t navigate the complexities of e-commerce accounting alone. Reach out to us today for expert assistance in accurately accounting for your TikTok Shop revenue and fees.