Faire Wholesale Pricing: The Ultimate Guide to Maximize Your Profits

Thinking of selling wholesale on Faire or already listing your products? Understanding how Faire wholesale pricing works is crucial to protecting your profits and growing sustainably. With commission rates, pricing parity rules, and best practices to consider, even seasoned sellers can miss key details. This guide breaks down exactly how the Faire works – and how to make it work for you.

What is Faire Wholesale?

Faire is a leading online wholesale marketplace that connects independent brands directly with retailers seeking unique and curated inventory. Founded in 2017, Faire has rapidly grown into a dynamic B2B platform that empowers small businesses by providing access to a vast network of retailers and brands worldwide. 

Unlike traditional wholesale channels, Faire functions like a digital trade show accessible anytime, offering over 100,000 independent brands and connecting retailers in more than 50,000 cities globally. The platform’s mission is to level the playing field for small and independent businesses by providing tools, market access, and financial flexibility previously available only to large corporations. 

Retailers benefit from a wide selection of products with transparent wholesale pricing and flexible payment terms, while brands gain exposure to a large, verified retailer base with streamlined order management and guaranteed payments.

Faire Wholesale Pricing Model Overview

Faire operates on a commission-based pricing model designed to simplify wholesale transactions while supporting both brands and retailers. Sellers on Faire pay commissions on orders placed through the platform, which fund Faire’s marketplace operations, marketing, and retailer network development. 

The pricing model differentiates between opening orders (first-time orders from a retailer to a brand), reorders, and Faire Direct orders (special orders fulfilled directly by the brand). Payment processing fees vary depending on the payout speed selected by the seller, with options ranging from 60-day payouts with the lowest fees to next-day payouts with higher fees. This tiered fee structure allows sellers to balance cash flow needs against transaction costs. 

Faire also enables sellers to set minimum order quantities and prices to optimize their wholesale strategy. Overall, Faire’s pricing model provides transparency and flexibility, helping sellers maintain profitability while accessing a large, engaged retail audience.

This table provides a quick overview of the key advantages and challenges sellers experience on Faire.

Pros	Cons
Access to a large, diverse retailer network	High commission and fee structure on orders
Easy setup and passive order acquisition	Limited direct contact with retailers
Marketing and promotional support from Faire	Potential dependency on a third-party platform
Reduces need for active advertising or outreach	Competition with other sellers on pricing and minimums

Commission Structure of Faire Wholesale Pricing

Faire’s commission structure is a key component of its pricing model and varies by order type:

• Opening Orders: These are the first orders a retailer places with a brand. Faire charges a 15% commission on the order value plus a $10 new customer fee per opening order. This fee supports customer acquisition and marketing efforts to connect brands with new retailers.
• Reorders: For subsequent orders from the same retailer, Faire charges a 15% commission without the additional $10 fee. This encourages ongoing business between brands and retailers while maintaining Faire’s revenue model.
• Faire Direct Orders: These orders are fulfilled and shipped directly by the brand rather than Faire’s logistics network. Faire charges no commission on these orders, providing brands with a no-fee option for direct fulfillment.

Faire recommends keeping opening order minimums low (typically $100–$150) to encourage new retailers to try products without a large upfront investment. Sellers have full control over their product pricing and minimum order thresholds, enabling them to optimize for profitability and market demand. 

Retailers usually pay shipping costs, but sellers can participate in Faire’s iInsider free shipping partnership program, which helps subsidize shipping costs for eligible retailers by sharing shipping expenses between Faire and the seller.

Payment Processing Fees and Payout Options

Faire charges payment processing fees that vary depending on how quickly sellers want to receive their payouts. These fees cover the cost of processing card transactions, managing payment terms, and guaranteeing timely payouts. Sellers can choose from three payout speeds, each with different associated fees:

• 60-day payout: 1.9% + $0.30 per transaction
• 30-day payout: 2.4% + $0.30 per transaction
• Next-day payout: 3.5% + $0.30 per transaction

The faster the payout, the higher the fee, allowing sellers to balance cash flow needs against transaction costs. For example, on a $200 order with a 30-day payout, the payment processing fee would be approximately $5.30. Sellers set up their payout accounts and select their preferred payout speed when they receive their first order. It is important to note that the final payout amount depends on the order type (opening, reorder, or Faire Direct) and the payout speed chosen.

Pricing Consistency and MAP Policies Controls

Faire requires all sellers to maintain consistent wholesale and retail pricing across all their wholesale channels, including Faire and any other sales platforms. This policy ensures brand value is protected and retailers trust the pricing they see on the marketplace. 

Sellers must adhere to these Minimum Advertised Price (MAP) policies to avoid price undercutting that could harm their brand reputation or retailer relationships. Faire’s enforcement of pricing consistency helps maintain a level playing field among sellers and supports long-term brand integrity.

Faire Wholesale Regional Pricing Variations

While Faire operates globally, pricing rules and commission structures can vary slightly depending on the buyer’s region, especially between North America, the UK, Europe, and Australia. Brands should understand how these regional differences affect their pricing, commissions, and logistics.

North America Updates (U.S. & Canada)

In early 2023, Faire made updates to its pricing policy for North America:

• Commission rates remain 25% for first orders and 15% for reorders.
• However, shipping costs and duties are now handled differently for Canadian buyers.
• Brands must now consider customs, taxes, and local shipping delays, which can impact margins or customer satisfaction if not priced correctly.

💡 Tip: Always factor in higher shipping costs and potential duty charges when pricing for Canadian buyers.

Europe and the UK

Selling to European and UK retailers presents additional layers:

• Faire often covers VAT (Value-Added Tax) and customs duties, which can be a benefit to buyers.
• However, currency exchange fluctuations (EUR vs. GBP) can impact your effective revenue if your wholesale pricing isn’t adjusted correctly.
• You can set regional prices in local currencies, but they must still comply with Faire’s parity policy (prices should not be lower elsewhere).

💡 Best Practice: Review your product listings in each region’s currency to ensure profitability after conversion and fees.

Australia and Other International Markets

Faire is expanding in Australia and other global markets:

• Similar to Europe, Faire may cover some duties or offer incentives to buyers.
• Shipping times and costs are longer, and handling international returns may be more complex.
• Brands often mistakenly forget to adjust shipping-inclusive pricing to reflect these extra logistics costs.

Tips for Managing Regional Pricing

• Use Faire’s “Regional Pricing” tool in your brand portal to adjust prices by country or region.
• Bundle shipping costs into your product price if you offer free shipping.
• Consider setting minimum order values higher for international buyers to cover extra fees.
• Monitor analytics by region to identify where your pricing or margins may be underperforming.

Regional pricing may seem small at first but overlooking it can cost you. By proactively adjusting for currency, duties, and fulfillment, you can keep your brand profitable and competitive across all markets.

Seller Experiences and Market Feedback on Faire Wholesale Pricing

Faire has become a significant player in the wholesale marketplace landscape, especially for independent brands and makers. However, experiences with the platform vary widely, reflecting both its strengths and challenges.

Positive Seller Experiences

Several sellers note that Faire’s marketplace reduces the need for active advertising or outreach, which can save time and resources. Bill from West Park Creative mentioned that he doesn’t mind Faire’s commission fees because he isn’t spending money on advertising, implying that the platform’s marketing reach offsets the cost.

Challenges and Criticisms of Fair Wholesale

Despite these benefits, many sellers express concerns about Faire’s commission structure and fees. The initial 25% commission on opening orders (updated in May 2023 to 15% plus a $10 fee) is considered high by some, especially for makers who already operate with slim margins or discounted prices. M from Tennessee noted the challenge of losing a significant portion of sales revenue to Faire, even though the platform brings in new retailers.

Common Pricing Mistakes on Faire

Even experienced brands can make costly mistakes when setting up their pricing on Faire. Here are some of the most frequent pitfalls to avoid:

Underpricing Your Products

Many new sellers fail to account for Faire’s commissions (15–25%), shipping costs, and returns when setting wholesale prices. This often leads to razor-thin or even negative margins. Always calculate your true costs, including materials, labor, overhead, and platform fees.

Not Maintaining Pricing Consistency

Faire enforces a pricing parity policy, meaning your wholesale prices on Faire must be the same or lower than on any other wholesale channel (your own website, trade shows, reps, etc.). Violating this can lead to your account being suspended or delisted.

Failing to Use Faire Direct for Reorders

Reorders made directly through Faire (without a Faire Direct link) incur a 15% commission. However, if you direct existing customers to use your Faire Direct link, reorders are commission-free. Not promoting this link means losing out on significant savings.

Ignoring Minimum Order Quantities (MOQs)

Without clearly defined MOQs, you may receive low-volume orders that don’t justify the effort and shipping cost. This impacts your efficiency and margins. Ensure your MOQs reflect your production and packaging realities.

Overcomplicating Discounts

Offering too many promotions, bundling deals, or layered discounts can confuse buyers and reduce perceived value. Keep your pricing strategy simple, transparent, and sustainable.

Best Practices for Setting Your Wholesale Prices

Setting the right wholesale prices is crucial for maintaining profitability while attracting and retaining retailers. Here are key best practices based on proven strategies and tools:

Use of Pricing Calculators

Wholesale pricing calculators are invaluable tools that help you determine profitable and competitive prices by factoring in all relevant costs. These calculators typically require you to input:

• Cost Price per Unit: Including raw materials, labor, and production costs
• Overhead and Administrative Expenses: Such as rent, utilities, marketing, and salaries
• Desired Profit Margin: The percentage of profit you want to earn on each sale

By entering these values, calculators like those from Craftybase, Zoho, or Wholesale Suite generate a recommended wholesale price that covers costs and achieves your profit goals. Using these tools ensures pricing decisions are data-driven, transparent, and consistent across your product range.

Setting Clear Minimum Order Quantities (MOQs)

Minimum Order Quantities (MOQs) help manage order sizes to ensure profitability and reduce administrative overhead. Setting clear MOQs prevents very small, unprofitable orders and helps maintain efficient production and shipping processes. 

For example, many sellers on platforms like Faire set opening order minimums around $100–$150 to encourage new retailers while protecting margins. MOQs should balance accessibility for retailers with your cost structure and cash flow needs.

Offering Volume Discounts Carefully

Volume discounts can incentivize larger orders and build retailer loyalty but must be applied thoughtfully. Discounts should not erode your profit margins excessively. 

Consider tiered discounts that reward incremental increases in order size, ensuring that each discount level still covers your costs and desired profits. Monitoring how volume discounts affect overall sales and profitability is essential to avoid unintended losses.

Testing Prices and Tracking Retailer Response

Wholesale pricing is not static; it requires ongoing testing and adjustment. Start with recommended prices from calculators, then monitor retailer behavior closely:

• Track order frequency, average order size, and reorder rates
• Solicit feedback from retailers on price sensitivity and perceived value
• Experiment with small price changes or promotional offers to gauge impact

This data-driven approach helps identify optimal price points that maximize sales volume and profit margins. Adjustments based on real-world retailer response ensure your pricing remains competitive and sustainable.

Final Thoughts

In conclusion, Faire offers valuable opportunities for independent brands to grow wholesale sales, especially for those seeking new retail customers with minimal upfront effort. However, sellers should carefully evaluate the fee structure and consider integrating Faire into a multifaceted wholesale strategy that includes direct retailer relationships and alternative sales channels. This balanced approach helps mitigate risks and maximizes the benefits Faire can provide.

Faire Wholesale Pricing – FAQs

1. Can I change my prices after listing on Faire?

Yes, you can update your prices anytime through your brand portal. However, be cautious – dramatic price changes can confuse retailers and affect future sales. Always ensure updated prices comply with Faire’s pricing parity policy.

2. How often does Faire update its commission policies?

Faire’s base commission structure (25% on first orders, 15% on reorders) has remained stable for a while, but promotions and regional updates (like North America pricing changes) may happen. Always check Faire’s support articles for the latest updates.

3. What if a retailer asks for special pricing?

You can manually create discount offers or promo codes for specific buyers. However, avoid setting custom pricing that violates Faire’s parity rules or significantly disrupts your margin structure.

4. How can I opt out of certain fees?

You can’t opt out of standard commission fees, but you can eliminate commission on reorders by using Faire Direct. Encourage customers to use your personalized Faire Direct link or QR code to order commission-free.

5. Can I list different prices on Faire vs my own wholesale site?

No. Faire requires pricing parity – your wholesale pricing on Faire must match (or be better than) any other wholesale channel, including your website. Violations can result in penalties.