Etsy is a popular eCommerce platform, similar to Amazon and eBay, with the focus on products being handmade crafts and unique vintage items. It is a marketplace featuring thousands of artists and creators from all around the world. Being a global site, it increases your potential for sales and the customers that you can reach. The products that you can sell are quite limited and exclusive to certain categories, perfect for artisans and creatives, or people selling unique products. The categories for selling are;
- Art
- Clothing
- Jewellery
- Food
- Photography
- Beauty products
- Toys
- Etsy also specialises in gifts
Etsy first became popular in 2007, so with many years of providing a platform for artisans and creatives, they know what they are doing to provide a brilliant, smooth running service. During 2020, Etsy doubled their revenue due to the pandemics eCommerce, home decor and crafting boom. Etsy is most popular among women, making up 67% of members, but not to say that many males won’t thrive using these services.
PROS OF ETSY SELLING:
Etsy is easy to use, created for simplicity and provides easy navigation for both the merchant and the consumer. Etsy clearly understands aesthetics and this is why so many sellers use this site as their go-to!
There is a lot of traffic within the site, although this traffic often needs direction to find your store. In 2020 alone, there were 2 million buyers and 4.4 million sellers, which although being very small compared to Amazon, is a great total for a site that sells limited items.
With easy to view analytics, it makes Etsy an incredible platform for understanding who you are selling to, target audience, how they came across your shop and much more. With breakdown of revenue and easy to view conversion rates, it makes managing your sales extremely easy. The volume of your traffic is shown up in Etsy stats, which makes a great addition to cruise through and promote your sales.
HOW TO SELL WITH ETSY?
- Go to Etsy.com to create an account, click onto the ‘SELL’ link and continue to press ‘OPEN YOUR ETSY SHOP’
- You can customise your shop settings to create the vibe that you want, to attract your customers.
- Select a shop name, something that represents your business and products
- Select a payment method
- Start listing your items
- The final step is to optimize your shop and make any finishing touches on design and layout!
Become an Etsy seller and build your brand at the same time. With an easy to customise storefront, you are able to attract the customers that are likely to have interest in your products. Joining Etsy provides a low risk cost in comparison to setting up your own website. Etsy provides a feedback section for both the customer and the merchant, which makes it great for improving products and services.
Another perk is that there are no commitments and you can stop selling with them whenever you like!
ETST FEES AND OVERHEAD COSTS:
- LISTING FEE = 20 pence per item
- TRANSACTION FEE = 5% of total transaction
There is only one major con amongst the many pros of selling with Etsy, and that is overhead fees and costs. Although it may be one of the lowest fee charges on the market, Etsy makes its money by charging 20 pence per listing fee and taking a small 5% transaction fee on the overall price, including postage. This will eventually add up for big time sellers, especially those who are selling a large amount of product.
A bonus is that this includes gift wrapping and shipping fees!
Depending on how much you sell, there is a potential for up to 15% hidden fees to be added onto the cost, so it is extremely important to keep an eye on the finances that are going in and out of your Etsy account, whereas this only affects whether you are making more than £10,000 in a year on the site.
Remember that similar fees will be found on any site that you wish to sell with, it’s about finding what is best for you and your trade.
You can also use ‘Etsy payments’ which allows customers to pay via credit card, and you’ll be charged a 3% fee.
S IT WORTH SELLING ON ETSY?
In conclusion, Etsy can be a great platform for selling your handmade or vintage products and making a part or full time revenue. Although it isn’t for everybody as it requires hard work and dedication in finding customers, along with competitive sellers if you are selling a common product. It is recommended to use Amazon, eBay or another large selling site to sell your products primarily and to have an Etsy as another form of promotion and selling for your merchandise.
Make sure to do your own research and find the right site for you and your business, before jumping right in and creating an online shop to grow your company.
