Flipkart scraps commissions on all fashion products, giving sellers higher margins

Flipkart has extended its zero-commission policy across all fashion products, removing the earlier price cap of ₹1,000, in a move aimed at helping sellers retain more of their earnings and expand their businesses.

The Walmart-owned e-commerce marketplace said the revised policy will benefit around 90,000 transacting fashion sellers, including MSMEs, direct-to-consumer (D2C) brands and homegrown labels, by allowing them to keep additional margins that can be reinvested in inventory, product expansion and brand building.

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Under the earlier policy, zero commission was available only on fashion products priced up to ₹1,000. By removing the ceiling, Flipkart has extended the benefit across all price points, including premium fashion products.
The company said sellers will also have access to AI-powered demand insights, trend analytics and catalogue management tools through its seller dashboard, enabling them to respond more quickly to changing consumer preferences and broaden their product offerings.

"By extending this seller-first initiative across the entire fashion category, we are making a long-term investment in our sellers so they can invest more confidently in innovation, assortment expansion and brand building," Kapil Thirani, Vice President, Flipkart Fashion, said.

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The move comes as e-commerce marketplaces step up efforts to attract sellers.

Earlier this year, Amazon expanded its zero-referral-fee programme to products priced below ₹1,000 across categories, while Flipkart's latest announcement goes further by waiving commission on all fashion products irrespective of price. Flipkart said the policy is expected to strengthen opportunities for MSMEs, emerging designers and D2C brands as India's online fashion market continues to grow. It added that Gen Z now accounts for nearly half of Flipkart Fashion's audience, making faster trend adoption and wider product availability increasingly important for sellers.