Trade Me is New Zealand’s dominant online marketplace — far larger than eBay in the NZ context, with millions of listings across all categories. Whether you’re decluttering, reselling, or building a full side business, here’s what you need to know.
Trade Me charges a listing fee (~$0–$1) plus a success fee (typically 7.9% of the sale price, capped at $159 for most general categories). What sells best: electronics, clothing, baby gear, tools, vintage/collectibles. Regular reselling with profit intent is taxable income under IRD rules — even if there's no formal threshold, frequency and intent determine if it's a business.
Trade Me Fees Structure (2026)
| Fee Type | Amount | Notes |
|---|---|---|
| Listing fee (standard) | $0–$1.00 | Free for many categories with basic listings |
| Success fee | 7.9% of sale price | General categories |
| Success fee cap | $159 | Maximum success fee for most categories |
| Motor vehicles | 1.15% (different structure) | |
| Property | Flat fee (not % based) | |
| Pay Now (credit card processing) | ~2.5% of payment | If buyer uses Pay Now |
Example: Selling an item for $500:
- Success fee: $500 × 7.9% = $39.50
- After fees: $460.50 (before shipping)
Example: Selling an item for $3,000:
- Success fee: capped at $159
- After fees: $2,841 (before shipping)
What Sells Well on Trade Me
High-velocity categories:
- Electronics: Phones, laptops, gaming consoles, headphones — high demand, fast sales, but competitive
- Baby and kids gear: Prams, cots, car seats, clothing — parents buy and sell frequently; good margins on preloved items
- Power tools and hand tools: Consistent demand from tradespeople and DIYers
- Vintage and collectibles: Coins, stamps, old advertising, New Zealand memorabilia — niche but good margins for knowledgeable sellers
- Clothing and shoes: Fast fashion resale is competitive; branded or quality items sell at good margins
- Sports equipment: Bikes, surfboards, ski gear — seasonality is important
Lower-performing categories:
- IKEA-type furniture (cheap new alternatives)
- Books (very low prices, expensive to ship relative to value)
- CDs and DVDs (declining market)
Sourcing Products
| Source | Notes |
|---|---|
| Your own items | Free — highest margin; not scalable |
| Op shops (Salvos, Vinnies, SPCA) | $1–$10 items often resell for $30–$100+ |
| Garage sales and estate sales | Variable quality; knowledge of value matters |
| Facebook Marketplace (buy to resell) | Source locally, sell on Trade Me with broader reach |
| AliExpress / overseas suppliers | Possible but note: NZ Customs duty applies on goods over $1,000 NZD (no duty under this threshold for most goods) |
Note on imports: NZ Customs applies duty and GST (15%) on goods valued over $1,000 NZD. For goods under $1,000, GST is still collected by low-value importers (AliExpress has NZ GST arrangements). Factor import costs carefully into your margin calculations.
Auction vs Buy Now Strategy
| Strategy | When to Use | Notes |
|---|---|---|
| Auction | Unique items with uncertain value; collectibles | Market discovers price — can exceed estimates for rare items |
| Buy Now | Commodity items with known market value; high-volume selling | Control pricing; faster sales for known items |
| Auction with reserve + Buy Now | Best of both — sets a floor, allows immediate sale | Most common for mid-value items |
For most casual sellers: start items at a low auction price to attract attention, with a Buy Now at your target price. This creates urgency while giving you a guaranteed exit point.
Building Your Trade Me Reputation
Feedback score matters on Trade Me — especially for higher-value transactions. NZ buyers are cautious about purchasing from sellers with low or negative feedback.
- Ship promptly and as described
- Respond to questions quickly
- Pack items well to avoid damage claims
- Describe items honestly — negative feedback for “not as described” is the most damaging
When IRD Considers Your Selling a Business
There is no fixed transaction number or dollar threshold that triggers taxable business status in NZ. IRD assesses based on:
- Frequency: Occasional one-off sales vs regular, ongoing selling activity
- Intent: Did you buy items with the purpose of reselling for profit?
- Pattern: Is this systematic or clearly a hobby/declutter?
One-off sales of personal items (your old phone, furniture) are generally not taxable. If you’re regularly buying items specifically to resell on Trade Me for profit, this is income and must be declared.
If unsure, speak with an accountant or use IRD’s Tax in the gig economy guidance.
Shipping on Trade Me
| Provider | Service | Typical NZ Rate |
|---|---|---|
| NZ Post | Parcel | $7–$25 depending on size/weight |
| CourierPost | Standard courier | $9–$20 |
| Aramex | Competitive for heavier items | $10–$30 |
| Pickup only | No shipping cost | Limits buyer pool |
For small/light items: NZ Post. For heavier items: courier services. Always offer tracked shipping — untracked parcels with disputes are difficult to resolve on Trade Me.