A Step-By-Step Guide To Selling On Etsy

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Etsy is a legit online marketplace that connects individual vendors to buyers, who are shopping for handmade, crafty and unique items. Etsy has been accredited and has an A+ rating on the Better Business Bureau.

Pros

• Easy to set up & maintain your store
• Market to a large audience – 45+ million active Etsy buyers
• Built-in analytics to analyze your performance & make data-driven decisions
• No shop fees

Cons

• Opportunity to sell only handmade, unique or vintage items.
• 3 types of fees: $0.20 listing fee, 5% sale fee, 3% + $0.25 processing fee per transaction

How To Sell On Etsy? A Step-By-Step Guide for Beginners

Step 1: Signing Up for An Account

The first step to selling products on Etsy is to sign up for an account on the website. It is free to sign up for an Etsy account. 

Step 2: Set Up Your Etsy Store

Once you have signed up for an Etsy account, you will be prompted to set up your Etsy store. There are several details that you will need to decide on for your Etsy store, such as:

• A name for your store
• Your location
• The language that you want your store to be in
• The currency that you want to sell in

Step 3: Finding Products to Sell and Listing Them

If you do not already have a product in mind that you want to sell, this is what you should be doing in Step 3. For inspiration, you can browse the stores of other sellers on the platform to find ideas of what you can sell on Etsy. 

Product Images

Once you have decided what you want to sell on your Etsy store, you will need to list the products. When listing products on your Etsy store, try to include at least five images of your products. Having more images will make it more likely that you will be able to sell your products. 

Product Thumbnail

In addition, you should also select the best image of your product as the thumbnail. The product thumbnail is the first image that a viewer will see, and a more eye-catching thumbnail will entice viewers to click on your product. 

Product Description

At the same time, remember to include a short product description as well. Here, you can provide details about your product to a potential buyer. You can use the tags features to tag your product based on what applies to it. 

Step 4: Choose How You Will Receive Payments

After listing your products successfully, you will need to choose how you will receive payments before you can start selling. Etsy offers many payment methods but most sellers opt to use either PayPal or Etsy Payments.

Etsy Payments is the platform’s in-built credit and debit card processing facility. 

Step 5: Provide Your Billing Information

Lastly, before your store is activated and you can receive sales, you will need to first provide your billing information. This is so that Etsy can charge you any fees and commissions from your sales. Once you’ve provided this information, your store will be live, and you can start selling your products.

What Is Etsy?

Etsy is an online eCommerce marketplace where people can buy and sell items. The company was founded in 2005, and its headquarters are in New York. Unlike other online eCommerce marketplaces like eBay and Craigslist, Etsy focuses on a specific niche of products. Etsy caters mainly to buyers and sellers of handmade, vintage, or craft items. 

How Does Etsy Work?

As an online marketplace where people can buy and sell things, Etsy mainly works as a middleman. The platform connects buyers and sellers, providing them with a common ground to buy and sell products.

Unlike larger eCommerce stores like Amazon and Walmart, Etsy mainly caters to small independent sellers. Thus, this means that you are unlikely to find big brands and companies selling products on the platform. As a result, most of the products on the platform are not mass-produced or commercially available.

What Can You Sell On Etsy?

There are many categories of goods that sellers choose to list for sale on the website. The most common types of handmade and craft items that are bought and sold on the website include:

• Clothing and apparel
• Jewelry and trinkets
• Home decorations
• Art and crafts
• Childrens’ toys
• Other handmade items

Related: 23 Easy Crafts to Make and Sell

How Much Does It Cost To Sell On Etsy?

Etsy charges several different types of fees for selling on its platform, including: 

• Listing Fees
• Transaction Fees

Listing Fees

Etsy charges all sellers a fixed listing fee of $0.20 for each product they list for sale on the website. In addition, each listing is only valid for four months, after which the listing fee must be paid again for the listing to remain live.

Transaction Fees

Etsy also charges sellers a 5% transaction fee on each product that they sell. This 5% fee is calculated based on the displayed price of the product that a seller has sold.

Advertising and Promotional Fees

Etsy also offers advertising and promotional services for its sellers. While these advertising and promotional features can help sellers to gain more sales, these services are not free and users are charged for them. Depending on how much advertising and promotional services sellers subscribe to, the fees they are charged will differ. 

Etsy Plus Membership Fees

Etsy also offers users the option to subscribe to Etsy Plus for a fee of $10 per month. Sellers who are Etsy Plus subscribers will get the following benefits:

• 15 listing credits 
• $5 in Etsy Ads credits 
• Added tools for growing their business

Pros and Cons of Selling On Etsy

Pros of Selling on Etsy

• The large user base of more than 80 million active buyers, making it easy to market products to a large audience
• Free to sign up for an account
• Easy to list products for sale on the platform
• Data analytics and reporting feature

Cons of Selling on Etsy

• Only handmade, vintage, and craft items can be sold on Etsy
• Listing and transaction fees may be costly for small businesses and independent sellers

Is It Worthwhile to Sell On Etsy?

Etsy is one of the best places for independent sellers and small businesses to sell their products online. This is because unlike other platforms such as eBay and Amazon, sellers can sell handmade products on Etsy.

In addition, Etsy is also one of the easiest platforms to create an account and sell products on. The account creation and listing processes are direct and do not take much time. Thus, because of the many benefits and pros of selling on Etsy, it is worthwhile to sell on Etsy.

What Are Some Tips for Selling On Etsy?

Creating an Etsy account is a relatively straightforward process. It is easy for anyone to create a store on Etsy and start selling products. Nonetheless, if you are facing some issues with selling on Etsy or have found that your products are not selling well, here are some tips that can help you sell more products on Etsy.

Avoid Copying Others

One of the biggest problems that the Etsy platform faces is a large number of copycats. If you want to increase your sales on the platform, it is better to create an original product instead of copying someone else’s product.

By creating an original product instead of copying, you can appeal to more people. Hence, this can enable you to increase your sales. 

Be Clear About the Products You Can Sell on Etsy

Another common mistake that many new sellers on Etsy make is not knowing what they can and cannot sell on the platform. As a result, many of their product listings end up getting taken down by the platform. According to the Etsy website, here are some of the products that you can and cannot sell on Etsy:

For more information about the products that you can and cannot sell on Etsy, visit the Etsy policy page. 

Use Email Marketing to Promote Your Products

Email marketing is one of the most underrated tools that an Etsy seller can use. You can build free email lists for marketing from buyers who have bought from your store before. Once you have a decently sized email list, you can send regular marketing emails to encourage them to make a repeat purchase.

At the same time, you can also use email marketing to update your past buyers about new products and listings that you have just released in your store. 

Write Detailed Product Descriptions

Don’t forget to write detailed descriptions for your products as well. This step is one that most new Etsy sellers often miss out. A detailed product description that is well written can inspire viewers to purchase from your store. 

In addition, a detailed product description is also crucial to help potential buyers understand more about your products. This reduces the chances that they will be dissatisfied when they receive their product from you. 

A higher level of buyer satisfaction can also make it more likely that your buyers will leave you a positive review, which can translate to higher future sales for your store.