WePay worst deal ever! They take 18%. Lupulin Exchange builds in 5% above your price, fine. WePay charges 18%, this is highway robbery, do not do it! The end result will shock you. I’m very disappointed in LEx. Find a better service. PayPal is only 3.2%
Who is in charge of this WePay scam?
I’m not mad. I should have run the actual numbers first. One thing is for sure if the only way to get paid for hops is through WePay I will not be using LEx.
I don’t see that meaning i don’t see fee’s being charged by WePay. Where did you find this information on the site or google?
@workingclassbreweryh You are incorrect. The fee is 5% flat. WePay takes it’s portion and LEx receives the rest. Typically people do the math and get a percentage like this but they aren’t taking into account that the shipping cost is included in that “fee”.
Perhaps you can provide an order number and I can break down the details for you.
First off, welcome to the LEx Community!
Next, let’s correct your math because it definitely doesn’t go down the way you’ve described. Fees are only 5% total. The 5% includes payment processing (WePay) which is usually ~2.8%. That leaves ~2.2% for LEx to cover its operating expenses (ie employee salary & benefits, payroll taxes, hosting, 3rd party services & software, marketing, tradeshows, giving away thousands of sweet t-shirts to brewers at CBC, local, state, and fed taxes, rent, insurance, etc, etc.
The buyer pays exactly the price they see listed on the site (no hidden fees!) and the seller chooses the exact price they get/the list price (which includes the 5% fee). The 4 working-class founders all still have day jobs (and some of us have more than 1), one of whom has offered to breakdown a receipt for you. Please take him up on that offer and set the record straight!
p.s. If you ever have a question or concern about an order, the LEx Help Desk is always just a click away (see “HELP” at the top or bottom of any page on LupulinExchange.com).
Thanks for the clarification and the valuable service you provide. Cheers!
Hi John, I will post the numbers of my selling experience and let you break it down and explain. Thanks
Hi Rick, please do give us an order number or receipt for the order so we can explain the charges in detail. Regards, John
My apologies I must have gotten the numbers from two different transactions crossed up. Here’s the truth. WePay does cost the buyer an additional 9.6%. So here are the numbers, I list 88# at $6.50 = $572, LEx adds their 5% ($28.60) so we are up to $600.60 then WePay adds their 9.6% ($60.94) now the buyer is up to $661.54 plus shipping. The buyer actually pays $89.54 in fees.
The 5% fee ($28.60) includes WePay’s fee. The ~$60 is the shipping for the order, which is included in your example. The buyer pays for the shipping in their transaction, and we provide you with a label When shipping isn’t included, the fee is significantly less. For the order you are referencing, here’s the breakdown where all the money goes, given the buyer total of $661.54:
Shippo (API we use for shipping): $0.10 ($0.05 per label)
Shipping Extra: $1.72
Now, shipping extra is the only part where WePay really “gouges” the buyer. Unfortunately, they don’t have a field where we can put shipping charges where they don’t apply their fee, so we have to increment the sales prices to account for the shipping charge so that we don’t end up paying that. It’d be great if they added this feature, but for now we consider the amount to be fairly trivial (here it’s 0.26% of the total).
Hi John, I understand you guys are discussing the buyer’s costs but what is alarming is my costs as a seller with WePay. Just an example is a most recent sale of hops that’s listed when I log into the WePay site. Gross proceed $222.57, Fee $46.57, Net $176.00. By my calculations that’s almost 21% fees which is ludicrous. Must we use WePay to see the money in our account after a Lupulin sale? This is most certainly not doing buyer or seller any good…thanks
There is NO COST to sell hop on LEx. Sellers get exactly the price they enter.
Compare the price you entered on the listing screen…
…to the dollar amount that WePay deposited in your checking account. You will see that the amounts match and that you have paid NO FEES. As a seller, you pick your price and you get exactly that amount of money deposited to your bank account.
@steve5 I guess I need to say this again, but let me be clear: there is no WePay fee; there is only a 5% Lupulin Exchange fee, of which we end up sending a portion to WePay.
For any order that looks like the difference between what the buyer pays and the seller receives appears to be above 5%, that means that the buyer has used the prepaid shipping system and has paid the shipping in advance, rather than waiting for the order to be shipped and then paying whatever that cost was.
In your example, the buyer paid $36.66 in shipping costs. You did not pay UPS, you did not create a label and enter in the buyers account number and hope that there wouldn’t be a chargeback in the future; you just printed out the label and the buyer knew well in advance what the exact shipping charges would be and didn’t get a surprise reimbursement request in the future.
If you don’t think this is doing the buyer or seller any good, you are free to turn off prepaid shipping on your account and you will see that every transaction comes out to exactly 5%, at the expense of more work for you, less clarity for the buyer, and likely higher shipping charges for the buyer.