Etsy Dropshipping Ultimate Guide to Etsy Sellers

Etsy Dropshipping Ultimate Guide to Etsy Sellers

Are you one of those trying to be a successful dropshipper and boosting your enterprise sales through the power of dropshipping? Then this article would be a great starter for you to be able to understand the world of dropshipping. You should cover Etsy strategies that will be mentioned in the following lines. 

Table of Content

You will be able to figure out what dropshipping is, how Etsy dropshipping system works in a nutshell. It is significant to note that dropshipping on Etsy has both ups and downs, so every step should be taken carefully to avoid some common mistakes. The article also provides some insights into dropshipping from Etsy to Shopify to make the best out of it.

What is Dropshipping Model?

Dropshipping model includes selling a variety of products with the help of online stores in which the retailers do not have to keep their stock of goods regularly. So they focus on transferring orders coming from the customer and details related to shipment to either channel, namely the product maker or wholesaler. 

etsy dropshipping model

This market growth is most likely owing to the boost in customers preferring online shopping and the skyrocketing trend of e-commerce across borders. 

According to the latest report on dropshipping market size and the latest figures related to that, the global dropshipping market is expected to grow to reach USD 557.9 billion by 2025

e-commerce platforms for dropshipping

It is a totally different way of running a business. So, which e-commerce platforms for dropshipping should be used to do it perfectly? Here is the list of the top five of them:

  1. Magento
  2. WooCommerce
  3. Shopify
  4. OpenCart
  5. BigCommerce

What is Etsy Dropshipping?

Etsy has a unique marketplace including mainly three main categories, namely handmade items, vintage items, and craft supplies. If you want to be a significant player in this field and consider Etsy dropshipping to get your business running, then there are fundamentally two ways of doing this on Etsy. 

  • First things first, you can dropship the products sold on Etsy through e-commerce platforms such as Shopify, WooCommerce. 
  • The second one is quite opposite of the first method, that is, selling the products sold on other platforms on Etsy, which includes a lot of rules

You need to keep in mind, though, that you have to comply with the basic rules regarding categories mentioned above and learn more here.

Why Choose Etsy for Dropshipping?

Etsy is the fourth largest e-commerce site, making it an appealing sales platform. That is according to the Forbes report. Etsy has gained most of its popularity since the COVID-19 hit the world, coupled with restrictions and lockdowns. 

why choose etsy for dropshipping

As the CEO of Etsy mentioned in the report of the third quarter of 2021,  the company dramatically outperformed e-commerce industry benchmarks in 2020 and was set to lap that performance with flying colors, reinforcing the significant market share gains it made. It clearly shows that Etsy is here to stay.

The Advantages of Etsy Dropshipping 

Etsy being the fourth e-commerce platform and multiplying the number of sellers, customers and products each year may be enough to choose Etsy for dropshipping. However, its advantages should be examined in detail.

Reputation worldwide

It can be deducted from the post on global online marketplace platforms, Etsy is one of the largest online marketplaces for online shoppers, gaining 391.8 M visitors monthly. It makes Etsy dropshipping among the top ten online giants. 

So it would be a big step to take to start dropshipping on Etsy in 2022 because of the great success it has made so far with its unique product selling policy. Sellers can use this global potential to move it forward in the dropshipping world.

Targeted demography and conscious shoppers

There are only three categories available to the customers on Etsy:

  • handmade items, 
  • vintage products and 
  • craft supplies.

The shoppers on Etsy are quite conscious of the items presented to them online and they give great value to handmade products. The products in the three categories mentioned above are unique in the sense that they are not common, easy-to-find items. 

Rather, it requires a lot of creativity and hard work. It should be noted that the items on Etsy are not mass production, rather, they are tailor-made and a result of years of hard work. 

So, it would be wise to say that it is a profitable decision to dropship on Etsy thanks to the advantage of conscious and more importantly loyal shoppers. 

Supportive community

With the help of a supportive Etsy community, sellers join in conversations to grow their business. They explore what is new on Etsy and seek advice on a great variety of topics regarding their business. 

etsy community

Furthermore, sellers on Etsy team up with sellers with the same interest and collaborate, creating a unique community ready to assist one another any time. In this way, they see their strong and weak parts of the business. 

Unique Niches

It is unquestionable fact that the crucial part of dropshipping is to find unique niches. It is also valid for Etsy dropshipping. Etsy is of great importance in terms of both its house rules including rigid applications and the customer profile, which is also exceptional.

The items presented and sold on Etsy are for the customers who are in pursuit of finding their niches.  Etsy is the exact marketplace for the people who are both sellers and customers with regard to creating tailor-made products, vintage items, and craft supplies of which customers make conscious choices.

Doing this business with Etsy dropshipping will definitely give you the edge over other areas of business and other marketplace platforms.

High-Profit Margin

The prices on Etsy may seem a bit more expensive than those of other marketplace giants. However, the buyers on Etsy have a unique way of perceiving the items and valuing them based on not only custom-made products being valuable but also the dedicated hard work of years for this specific item. 

So high-profit margin is always a probable situation on Etsy. To illustrate this, let’s use the EtsyHunt Product Research. The extensive filter enables you to shortlist products. Let's say you want to analyze products that are sold more than 9999 and their prices are higher than USD 30. 

etsy product research - 1

Moreover, you can also discover the products sold at huge prices. The following item is all about selling tailor-made dining chairs at a price of $ 10.000 and some careful and conscious customers are incredibly keen on them. 

etsy product research -2

You can have a great look at the price ranges here to make the best out of it. In this way, you can compare the pros and cons of hand-made items versus massively produced ones. 

Disadvantages of Etsy Dropshipping 

Etsy dropshipping isn't perfect, although it has many advantages. Therefore, it is necessary to examine the negative aspects in order to make the right decision.

Hefty Fees

The fees on Etsy may sometimes become a burden on sellers’ shoulders when do dropshipping on Etsy. This is especially the case when it comes to Etsy Listing and Transaction Fees. 

Etsy will charge you a listing fee of $0.20 for each item that you list for sale on its website or Etsy's mobile apps, which means a larger range of products you have on your listing, more payment fees you will have to pay. 

Etsy Hefty Fees

Additionally, when it comes to making a sale through, Etsy will again charge you a transaction fee of 5% of the price you show for every listing in addition to the amount you charge for shipment and wrapping gifts for your beloved ones. 

So this makes Etsy dropshipping process a tough one for those wanting to start a new business through Etsy’s appealing profit margins. It will be vital to newbies on Etsy to keep these guidelines in mind.

They are highly recommended to take a look at a wide range of fees directly related to different selling and reselling methods, and Etsy dropshipping suppliers and sellers will make tough decisions on whether to move ahead or not.

Listings expiry

If you decide to Etsy dropshipping, the problematic issue about listing will wait for you. The listings on the platform come to an end after four months, which makes it a challenging and also demanding procedure for the seller’s part. 

etsy listings expiry

Of course, there are some exceptions to that rule such as pattern-only listings. Because they do not expire after some specific period. Nevertheless, the issue of expiry date on listings on Etsy poses a significant question for those who are eager to use this platform as a start-up point.  

Operates according to economic sanctions and trade restrictions

There are also restrictions and sanctions policies of Etsy dropshipping. Rules are rigid. So the company does whatever it takes to ensure compliance with sanctions programs such as the US Department of the Treasury and  Bureau of Industry and Security at the US Department of Commerce

etsy leagal terms and policies

Just to give a vivid example, Etsy prohibits members from using their accounts while in certain geographic locations such as Cuba, Crimea, North Korea. If a company or seller on Etsy fails to do so, they might be suspended or their use of our Service will be terminated.

So it is strictly forbidden to list, buy, or sell items stemming from the aforementioned sanctioned areas. To see the sanctioned countries and regulations regarding restrictions on selling or dropshipping on Etsy, you may refer here.

Termination of Wholesale Program

etsy wholesale program

For those viewing Etsy dropshipping as a perfect option for the growth of their business, it can be disappointing to learn that Etsy terminated its wholesale program back in 2018. This was a great dropshipping opportunity, owing to the fact that it made up a very small part of their overall business. 

Profit Sharing

Sometimes, you may have to share your profit margin in compliance with a partnership made between sellers and those wanting to add some different dimensions to the existing item.  Even if it seems like a profitable process for both sides, it is an unwanted situation for the seller’s side especially in Etsy dropshipping.

How to Dropship from Etsy to Shopify?

How to Dropship from Etsy to Shopify

Dropshipping from Etsy to Shopify is possible when some specific criteria are met. Items on Etsy are unique in their nature, handmade, vintage items so it requires rigorous work to draw customers’ attention to Shopify.

Step1: Discover Etsy Top Shops

It is always better to discover Etsy top shops to have a general idea, enabling potential customers to be drawn into these appealing items. At this point, EtsyHunt Shop Analyzer will help you.

how to discover etsy top shops

Step2: Contact Etsy Sellers

Now that you have chosen your unique items to be sold, it is high time you got into contact with the related person immediately and started to collaborate with them as much as you can. 

Let’s say, you selected PlannerKatel to get contact. Click the “View on Etsy” icon on the right side of the EtsyHunt Shop Analyzer list. Then you will be redirected to the Etsy store.

how to contact etsy sellers

Now you can tab to the “Contact” button to communicate with the store owner.

Step3: Migrate Products to Shopify Store

Finally, you have made a deal with an Etsy seller and want to migrate their items to Shopify but do not know how. Three basic steps are used for this procedure. They are as follows:

  1. Exporting your existing shop data from Etsy
  2. Importing your store data into Shopify
  3. Reviewing and updating your imported data

For further information such as deleting a store data import or considerations for your passwords, you can always refer here.

FAQs about Etsy Dropshipping 

1. Does Etsy allow Dropshipping?

Yes, it does. You may have referred to dropshipping on Etsy regulations in a detailed manner.

2. Can I dropship from Etsy to Shopify?

Yes, it has three basic steps to do that. Please go to the previous parts to get to know the basics.

3. Is It Possible Dropshipping from Aliexpress to Etsy?

No, it isn’t. Regulations do not allow it presently.

Final Words 

In this article, Etsy dropshipping has been discussed and there are different ways of doing this. Etsy is one of the fastest-growing online marketplaces all over the world, attracting thousands of potential sellers. 

It has a unique style of a collection of items, namely hand-made items, vintage products, and craft supplies. E-commerce platforms such as Shopify can be used to have a fresh start with Etsy. Those who want to use Etsy dropshipping in 2022 should take pluses and minuses of the system into consideration.

Tips: As Etsy's officIal business partner, CJdropshipping provides Etsy dropshippers with one-stop solutions including sourcing, listing, and order fulfillment, which can save time and effort.

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