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There are many ways forÌýsmall businesses toÌýsell products online. Hosting your own webstore onÌýyour company website isÌýone option. This gives you great control over theÌýpresentation andÌýpayment features ofÌýyour store. But, especially forÌýsmall businesses, you might not get enough traffic toÌýmeet your goals.

For higher volume online sales, you can join aÌýlarger online marketplace toÌýgain aÌýwider audience andÌýmore recognition. ByÌýfar theÌýlargest online marketplace isÌýAmazon, with over 6Ìýmillion sellers onÌýtheÌýplatform. But Amazon isÌýnot theÌýonly major marketplace inÌýtheÌýecommerce landscape. Etsy isÌýanother highly popular, but more niche, online seller. Etsy isÌýused primarily toÌýsell handmade orÌýcustom crafts, artwork, andÌýdecor.

Etsy isÌýaÌývery fast-growing marketplace, more than doubling its total number ofÌýsellers . The marketplace generated inÌýrevenue inÌý2020Ìýalone, with over 81Ìýmillion active shoppers. For small businesses that sell custom crafts andÌýdecor, Etsy isÌýaÌýhighly attractive ecommerce marketplace. OfÌýcourse, itÌýisÌýnot forÌýeveryone. Customers don’t turn toÌýEtsy when they need replacement auto parts, forÌýexample. But ifÌýEtsy isÌýtheÌýright market forÌýyou, there are tremendous benefits toÌýselling onÌýtheÌýplatform.

ToÌýhelp small ecommerce businesses get started, here isÌýaÌýhelpful guide onÌýhow toÌýsell onÌýEtsy ´Ú´Ç°ùÌý²ú±ð²µ¾±²Ô²Ô±ð°ù²õ.

How toÌýStart Selling onÌýEtsy: What You Need toÌýKnow

You may beÌýwondering, “how doÌýIÌýsell onÌýEtsy?” Selling onÌýEtsy isÌýaÌýbit different than selling onÌýAmazon orÌýother online marketplaces. InÌýsome ways, Etsy has more requirements than other platforms, while inÌýother ways itÌýisÌýlooser. AsÌýforÌýhow toÌýstart selling onÌýEtsy, theÌýprocess isÌýrelatively simple. You begin byÌýgoing toÌýEtsy’s andÌýclicking theÌý“Get started” button.

From here, you simply need toÌýfollow theÌýprompts asÌýthey appear onÌýyour screen. Begin byÌýregistering your account, just asÌýyou would onÌýanyÌýwebsite. After that, you can start building your shop. Etsy will provide you with options forÌýsupport which you can use asÌýneeded. You can also skip these options andÌýdive right into building your online shop. Give your shop aÌýname, enter your item info, andÌýset upÌýpayment options forÌýyour shop. Don’t worry too much ifÌýyour inventory isÌýnot finalized yet. You can always edit your item info later on.

Once theÌýframework ofÌýyour Etsy shop isÌýinÌýplace, you can begin toÌýcustomize your storefront page. This isÌýaÌýgreat way toÌýpersonalize your shop andÌýallow customers toÌýsee what you sell andÌýwhat your company’s values are. There are many ways you can arrange your storefront toÌýmake itÌýyours. AÌýhelpful tip isÌýtoÌýfocus onÌýways toÌýmaximize customer engagement once they find your page. You can follow many ofÌýtheÌýbasic rules forÌýcreating anÌýeffective landing page when crafting your Etsy storefront.

DoÌýyou need aÌýbusiness license toÌýsell onÌýEtsy?

One ofÌýtheÌýmost common questions people ask is, “Do you need aÌýbusiness license toÌýsell onÌýEtsy?” The answer isÌýtechnically “No.” Etsy itself does not require its sellers toÌýhave aÌýbusiness license. However, some states, municipalities, orÌýcountries doÌýrequire aÌýbusiness license forÌýanyone conducting business within their borders. Etsy itself does not require aÌýbusiness license. However, it’s aÌýwise idea toÌýcheck theÌýlaws inÌýyour area before getting started.

What are theÌýrequirements toÌýsell onÌýEtsy?

Because you don’t need aÌýbusiness license toÌýget started, this isÌýconsidered aÌýgreat perk forÌýmany sellers. AÌýlot ofÌýpeople turn toÌýEtsy initially asÌýaÌýside gig toÌýsell their handmade crafts toÌýaÌýbroad audience. This can turn their craft from aÌýhobby into anÌýeventual business. But early on, obtaining aÌýbusiness license could beÌýaÌýmajor obstacle that could deter many sellers.

With that being said, there are some requirements ifÌýyou wish toÌýbecome aÌýseller onÌýEtsy. New sellers should familiarize themselves with Etsy’s . For most sellers, theÌýprohibited items list isÌýnot anÌýissue. But itÌýisÌýimportant toÌýunderstand what can andÌýcannot beÌýsold onÌýtheÌýplatform.

Etsy also has detailed requirements about items which all sellers must follow. Etsy requires that all items sold inÌýits marketplace beÌýhandmade. But, inÌýtheir own words, “handmade isÌýaÌýspectrum”. Some makers are actually crafting their products byÌýhand toÌýbeÌýsold asÌýis. Others might design their products themselves but rely onÌýproduction assistants toÌýcreate theÌýfinished product. These designers are permitted toÌýsell onÌýEtsy provided they operate within theÌýrules andÌýrestrictions ofÌýEtsy’s seller policy. You can read theÌýupdated Etsy Seller Policy inÌýfull .

How much does itÌýcost toÌýsell onÌýEtsy?

When itÌýcomes toÌýselling onÌýEtsy, fees are minimal, but still important toÌýbeÌýaware of. Etsy does not require aÌýstartup orÌýsubscription fee. SoÌýitÌýisÌýtechnically free toÌýbecome aÌýseller onÌýEtsy.

However, Etsy does charge fees toÌýuse theÌýmarketplace. Most importantly, Etsy charges aÌýsmall listing fee forÌýevery item listed inÌýyour shop. The Etsy listing fee isÌý$0.20ÌýforÌýaÌýfour-month listing, with theÌýability toÌýauto-renew listings.

Selling onÌýEtsy fees are mid-level compared toÌýother platforms. Etsy charges aÌý5%Ìýtransaction fee onÌýall sales. SoÌý5%ÌýofÌýtheÌýprice ofÌýyour product goes toÌýEtsy forÌýeach sale. For instance, aÌý$100Ìýcraft sold onÌýEtsy nets isÌý$95ÌýforÌýyou, andÌý$5ÌýforÌýEtsy.

There isÌýalso aÌýShipping Label Fee onÌýEtsy toÌýcover theÌýcosts ofÌýshipping your items. This varies depending onÌýtheÌýshipping carrier(s) you choose, andÌýtheÌýorigin andÌýdestination ofÌýshipped items.

Other miscellaneous Etsy fees include aÌýsmall payment processing fee, aÌýValue-Added Tax, andÌýoptional fees forÌýpaid ads off-site.

Ultimately, theÌýamount itÌýcosts toÌýsell onÌýEtsy depends onÌýyour sales. Because theÌýfees are based onÌýaÌýpercentage ofÌýyour total sales, you should always make aÌýprofit. Whether that’s enough forÌýyou depends onÌýyour goals andÌýhow much you make.

IsÌýSelling onÌýEtsy Worth It? Pros andÌýCons

So, after learning all that, isÌýselling onÌýEtsy worth it? The answer toÌýthat question depends onÌýyour business. First ofÌýall, your business needs toÌýsell items that meet Etsy’s “handmade” requirements. AsÌýlong asÌýthat isÌýtheÌýcase, there are plenty ofÌýgood reasons toÌýsell onÌýEtsy. Here are some pros andÌýcons toÌýconsider when deciding ifÌýyou should sell onÌýEtsy.

Pro: Very easy toÌýget started

Once you get started, there isn’t anything complicated about how toÌýsell stuff onÌýEtsy from aÌýtechnical standpoint. The interface isÌýintuitive, andÌýEtsy does aÌýgreat job toÌýmake itÌýeasy toÌýmanage your storefront andÌýlist products.

Pro: Huge marketplace

Etsy isÌýtheÌýlargest online marketplace forÌýhandmade crafts andÌýdecor. IfÌýyou’re looking toÌýsell your products online, Etsy has theÌýhighest volume ofÌýtraffic ofÌýinterested customers. For new small businesses, attracting new customers isÌýone ofÌýtheÌýbiggest challenges. Etsy can beÌýaÌýgreat way toÌýsolve that problem early on.

Pro: NoÌýbusiness license orÌýhistory isÌýneeded

Unlike other marketplaces, Etsy does not require you toÌýhave anÌýofficial business license orÌýanÌýestablished reputation. You can simply start making handmade items one day, andÌýbecome anÌýEtsy seller theÌýnext.

Pro: Highly customizable

Etsy isÌýtheÌýbest place toÌýgoÌýtoÌýsell custom items. That spirit ofÌýcustomization also extends toÌýmanaging your Etsy store. Users have great control over their storefront layout, what they sell, andÌýtheir shipping options. Selling onÌýEtsy isÌýaÌýrelatively hassle-free experience.

Con: Highly competitive

The size ofÌýEtsy’s marketplace can beÌýboth aÌýpro andÌýaÌýcon. While theÌýhigh customer traffic isÌýgreat, there isÌýalso aÌýhigh volume ofÌýsellers. SoÌýlearning how toÌýsell things onÌýEtsy can beÌýaÌýbit trickier than simply listing your products andÌýwaiting forÌýcustomers toÌýshow up. You may need toÌýuse some clever marketing tricks. You should also learn toÌýmake your product listings asÌýappealing asÌýpossible toÌýstand out from competitors.

Con: Listing fees can add up

IfÌýyou want toÌýlist aÌýlot ofÌýproducts onÌýyour Etsy store, you could end upÌýspending money onÌýlisting fees. This means some sellers need toÌýbeÌýselective about what items they list, atÌýleast inÌýtheÌýbeginning. AsÌýyour sales grow, you may beÌýable toÌýadd more listings toÌýyour store. But growing your inventory takes time ifÌýyou want toÌýavoid spending too much onÌýlisting fees.

Final Thoughts

Ultimately, theÌýdecision ofÌýwhether orÌýnot toÌýsell onÌýEtsy depends onÌýyour business. IfÌýyou fit theÌýmarketplace andÌýhave quality products, selling onÌýEtsy isÌýalmost always worth it. IfÌýnot, there are plenty ofÌýother ways toÌýgrow your business online.

Ìý

• AÌýBeginner’s Guide toÌýSelling onÌýEtsy
• What Are theÌýBest Items toÌýSell OnÌýEtsy?
• Selling Digital Downloads onÌýEtsy: How To, andÌýWhat toÌýSell
• 7ÌýEtsy Alternatives