Wrong Royalty on Third Party Sale

YesItsRoy
Contributor

By my calculations, the Royalty on this sale of a Stone Coaster should be $5.71.  Well, it should be 22.6% and not 12.2%, but using Zazzle Math, $5.71. 😅 

052225-coaster-royalty-wrong_vRED.jpg

Department for said Coaster:

052225-department-coaster-home-living.PNG

 

Yes, it's only 17 cents this time, but the system scraping an additional .02% off the top doesn't comply with the Agreement and isn't acceptable. We need to be able to trust the system to work and do math as intended, even when we disagree with its intentions. 💔

19 REPLIES 19

MasterpieceCafe
Valued Contributor III

Are you subtracting the "excess royalty fee?"

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Thank you for trying, but yes. 🙂  I don't do this math on the fly any longer. I need Excel with a pre-set calculator. 😅

$45.92 x 22.6% = $10.38

Subtract $10.38 x 5% or $.52

Subtract $10.38 x 40% or $4.15

$10.38 - $.52 - $4.15 = $5.71 

my spreadsheet agrees with yours.  very curious how z calculated this one. 

 

I appreciate the confirmation -- my eyes start to melt when I've questioned my calcs 6 times before posting. 😉

just playing around with the numbers - 5.60 is the 3rd party royalty IF the department bracket is set at 41%.... 

Yes, that's what my math shows also. 

idraw
Honored Contributor

@YesItsRoy 
How  or where do you set up the  pre-set calculator in excel? Excel has never been my friend Can you give me an example of Excel with a pre-set calculator and how to set each entry up? I googled it for Mac and got a giant algebra headache. I hate excel but willing to give the calculations a try. It might be beneficial to everyone who reads the forums to know how to do it. btw, I sent you a message yesterday or before, which prompted you having to reach out to tech. Hope they get it fixed for you, and no need to reply to my message there since I posted it to you here. Thanks.

It IS a giant algebra headache, and I've been using Excel since version... oh, gosh.  I think it was just called... "Excel." 🤣

I'm going to do a new thread. I'll tag you. 😊

idraw
Honored Contributor

@YesItsRoy 
I posted this reply on your other post, which is where to get the calculator —-<https://community.zazzle.com/t5/share-your-tips-tricks/royalty-referral-calculator-post-4-1-25-calcs...>
but also wanted to post it here to express my thanks.

 

 

When I asked you for an example using excel, I did NOT expect or even hope for such a beautifully detailed answer, and being able to download it is way extra. There seems to be no way to hit you with the solution tag. I would if I could. Not fair, since I asked and you gave me a perfect answer. My grumble at z forum.

if anyone is still thinking about downloading it using the link, it says it expires in 6 days. So hurry, it’s a tool you will want to have.

Beaucoup thanks, Roy, mathwhiz extraordinaire. Sorry about the sleep thing.

You're very welcome. 😊  I'm from the "Show light, and people will find their way" came. Or "teach a man to fish," if you prefer. 🎣  Glad it's helpful! 

I will find another way to link out, if anyone asks! 

Jadendreamer13
Valued Contributor III

Ok, seeing all the money subtracted from our royalties is triggering me all over again. How is this even remotely fair?

Saints_Aplenty
Contributor II

17 cents is exactly what I recently earned for selling two postcards. I would not be willing to cede that amount or those sales to Zazzle under the present or any circumstances.

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Saints_Aplenty

ColsCreations
Honored Contributor II

$5.71 royalty would have been correct for the 40% bracket. So you made $0.11 less then expected.

ColsCreations_1-1747936954186.pngColsCreations_0-1747936921746.png

$5.71 x 1.96%  = your missing $0.11

or

$5.71 x 98.04% = the $5.60 you earned

I've never understood the Secondary Content situation, but this could have been what happened here.

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$5.71 x 1.96%  = your missing $0.11

You're correct, of course -- and illustrate perfectly why I use Excel. 😂  Too late to edit my post, so it stands for now.

 

I've never understood the Secondary Content situation, but this could have been what happened here.


Good guess!  I forget about that b/c I shut down "Edit this Design" when Secondary Content reductions started.  None of my new Products have been editable since then (except for the occasional mistake on my part).  We shouldn't be paying other Designers for their work out of our Royalties.  That's not negotiable for me. 🤷‍

I do understand it though -- the Royalty Rate is recalculated and reduced on sales which incur a Secondary Content reduction.  It sticks out like a sore thumb in Earnings, when we have all Products set to the same rate.  I have that Product set to 22.6% and the report shows it at 22.6%, so that shouldn't be it.  That said, I was allowed into the Design Tool when I got stuck testing a new interface a couple weeks ago. 🤔 I sent an email to Support with a link, but they're asking me for a link again, so no answer.

Do you remember what year that started?  My prior Designs would be open to it.  In this case, the background is the reason someone would buy the Product, though it's not out of the question, if the Product Publish Date is pre-that. 

ETA:  I think Secondary was rolled out with Create, and that would be December 2019, per this news release: https://www.zazzle.ca/about/press/releases?pr=1449335.  Product Published in 2018, so possible.  Royalty Rate reduction not there, so I guess we'll see what Zazzle says. 

Sara_H
Honored Contributor III

@YesItsRoy 

https://help.zazzle.com/hc/en-us/articles/360039941013-Secondary-Content-FAQ

According the wayback machine - that Secondary Content FAQ help page was first captured August 5, 2020 so am thinking around then maybe? I could be wrong though

Fiona
Moderator
Moderator

Hi @YesItsRoy ,

We have taken a look at this and can confirm that this is due to the customer adding an additional element to your product, meaning 1.96% was deducted from the $5.71= $5.60.We understand secondary content is not reflected on your earnings history right now and it can be confusing to work out, but we're looking forward to launching the new calculator and earnings reports which will make your earnings more clear. 

-Fiona


@Fiona wrote:

Hi @YesItsRoy ,

We have taken a look at this and can confirm that this is due to the customer adding an additional element to your product, meaning 1.96% was deducted from the $5.71= $5.60.We understand secondary content is not reflected on your earnings history right now and it can be confusing to work out, but we're looking forward to launching the new calculator and earnings reports which will make your earnings more clear. 

-Fiona


Thank you, Fiona, for taking the time to respond -- I appreciate it. 😊

That those reductions are not reflected is big red flag.  Essentially, we cannot depend on what we are seeing in Earnings to know what we should be earning or how we should calculate our expected earnings.  This needs to be rectified by Zazzle immediately.  The User Agreement dictates that Zazzle maintain a statement of our Earnings, and transparency is of paramount importance, as I'm sure you can imagine. 🙂

Also, and this is absolutely not directed toward you, but please pass along to the Beavers, stakeholders, and other Powers That Be that Secondary Content reduction of our Royalties is and always has been a bad policy with a negative impact on Primary Designers -- it isn't any Designer's responsibility to pay another Designer.  Customer's pay for items they purchase in every other situation on every other website and brick-and-mortar store, unless the seller -- Zazzle, in this case -- chooses to pay it for them.  If I order a hamburger and add cheese, the chef doesn't get charged for my cheese; I do. 

Yes, I'm aware it's in the TOS, but no, it's not a good business practice.  

Again, thank you for your time. 

idraw
Honored Contributor

@YesItsRoy 

If there were a top post of the day, this is right up there. Well said.

@Fiona

I would like to strongly second the above post by YesItsRoy and the one below by idraw. I wrote a post about the needed Zazzler tools and reports in the "Upcoming Enhancements to Earnings Reports – We Want Your Feedback and Suggestions!" here. But the thread is sinking into oblivion.

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Saints_Aplenty