How to Sell on Etsy for Beginners in 2022

How to Sell on Etsy for Beginners (2022)

How to Sell on Etsy for Beginners

Etsy is one of the most famous online marketplaces in the world. What sets Etsy apart from other e-commerce giants is the products, which are unique and mostly hand-made.

Etsy takes its place in the top 10 shopping websites in the world. Furthermore, Etsy has become one of the go-to places for people interested in doing e-commerce business with more than 96 million active users,  

If you are thinking of starting selling on Etsy, it is the right time to get started. In this descriptive guide, you will find answers with exceptional tips to these 3 questions:


Etsy Statistics for Sellers

If you are still not convinced to start your business with Etsy, here are some latest stats that will change your mind.

  1. Etsy is the 6th biggest e-commerce website in the world. 
  2. Etsy currently has 96 Million active buyers, and 40% are repeat buyers.
  3. More than 7.5 Million sellers prefer Etsy to sell online.
  4. Etsy generated $2.32 billion in revenue in 2021, a 34% YoY increase
  5. The product listed on Etsy is over $65 Million.
  6. More than 2 million shoppers download Etsy Buyer App each month.

All these stats prove there is huge potential in the Etsy marketplace for new sellers. With the right strategies and products, you can start your Etsy journey.  

Pros and Cons of Selling on Etsy

Like any other business, becoming a seller on Etsy has pros and cons. Here is everything you need to know about the benefits and drawbacks of Etsy.

Pros ✅

  1. Etsy is one of the leading e-Commerce platforms with traffic that keeps growing each year, which means more opportunities.
  2. Products available on Etsy are harder to find on other marketplaces. 
  3. The returning buyers’ ratio is one of the highest on Etsy.
  4. Setting up the shop on Etsy is fairly simple.
  5. The minimal product listing fee encourages beginners to start their businesses on Etsy.

Drawbacks ❌

  1. As the buyers’ ratio keeps growing yearly, so do the sellers. It means more competition.
  2. Market saturation can lead to competing small shop owners against mass producers.
  3. Listing fees must be paid after every 4 months. Even though the fee is very small but for new sellers who have not found any success yet on Etsy, this amount can make or break their interest.
  4. Sellers don't have full control over their shops in terms of branding.

What to Sell on Etsy

What makes Etsy different from other online marketplaces is its distinguished products. Given that there are more than 150 categories of items listed on Etsy, the potential of selling unique products is extremely high.

But that does not mean a seller can list anything in their shop. Etsy has allowed sellers to sell anything that comes under their approved policy. Here is everything you need to know about what to sell and not to sell on Etsy, and how you can find a winning product.

Allowed Products to Sell on Etsy

1. Handmade Products

Handmade products refer to items made or designed by the seller. If the partner is providing the product, you must disclose that to Etsy. The photography or videography of the handmade product must be your own, which means no stock videos/photos.

2. Vintage Items

Etsy considers an item vintage if it's 20 or more years old. Vintage items are one of the best selling on Etsy as it covers a wide range of products. While listing vintage items on your shop, you may get questions like these from Etsy:

  • Source of the vintage item or where the item is from?
  • How is the vintage item’s age determined?
  • Who is the designer of the item? 
  • If the Vintage item is clothing, what is the fabric material made of? Does it have any brand label or care instructions?

3. Craft Supplies 

Craft supplies refer to materials that are required in the creation of an item. It can be handmade, commercial, or vintage material. Party supply products come under craft supplies too.

If you are not sure about this category, it would be handy to discover the Top 500 Esty Craft Supplies & Tools Shops


Prohibited Items to Sell on Etsy

1. Alcohol & Drug

Any type of Alcohol or Drugs is strictly prohibited on Etsy.

2. Hazardous Materials.

Hazardous materials, including all products used to make explosives or fireworks like weapons, are prohibited from selling on Etsy. It also includes all ammunition and firearms.

3. Human Or Animal Remains

Any time made of either from torturing animals or humans in any shape or form can not be listed on Etsy for sale.

4. Adult Content 

Adult or nude content of any sort, including pornography, is restricted on Etsy.

5. Violent Items

Items that can hurt the sentiments of an individual or can harm a person or an environment are banned on Etsy.

💡For more details please visit Prohibited Items Policy


Discover Winning Products

The plethora of Etsy products selling well can be overwhelming for a new seller. Starting your Etsy store with the right product is the key to gaining early visitors and beginning your sales.

Deciding on a product to sell manually by going through all the stats is not feasible. Using third-party tools is the way to go if you want to begin your journey with a winning product. 

EtsyHunt Product Research is one of the leading tools. It allows the user to explore winning items to sell on Etsy. 

Thanks to its wide filtering feature, you can shortlist the results according to the number of sales, reviews, and favorites. Plus, you can easily discover winning products by narrowing the list according to the country, product category, and the seller's badges. You can export the results to your PC with one click and analyze them in detail.


How to Sell on Etsy: Step-By-Step Guide

Here is everything you need to know to set up your store and how to sell on Etsy:

1. Learn Essentials Before Starting

Before moving with the process, your products and profile must abide by these policies to work on Etsy.

Seller Policy

  1. Anti-Discrimination and Hate speech is prohibited, and your products or profile must not represent any such sign.
  2. Marketing and Advertising policy should be according to the mentioned policies of Etsy.
  3. Prohibited Items Policy. Items that are banned must not be listed on the seller’s profile.
  4. Delivery policies. Implies that the seller is agreed with the terms and conditions of the delivery process done by Etsy.

Countries Eligible for Etsy Payment

You must be from one of these countries for getting paid through Etsy Payment:

  • Australia
  • Austria
  • Belgium
  • Bulgaria*
  • Canada
  • Croatia*
  • Cyprus
  • The Czech Republic*
  • Denmark
  • Estonia
  • Finland
  • France
  • Germany
  • Greece
  • Hong Kong
  • Hungary*
  • Indonesia
  • Ireland
  • Israel
  • Italy
  • Latvia
  • Lithuania
  • Luxembourg
  • Malaysia
  • Malta
  • Mexico
  • Morocco
  • the Netherlands
  • New Zealand
  • Norway
  • Philippines
  • Poland*
  • Portugal
  • Romania*
  • Singapore
  • Slovakia
  • Slovenia
  • South Africa
  • Spain
  • Sweden
  • Switzerland
  • Turkey
  • the United Kingdom
  • the United States
  • Vietnam

💡Exceptions: Etsy will send EUR directly to the sellers' bank accounts in Bulgaria, Croatia, the Czech Republic, Hungary, Romania, and Poland. Sellers in India can use third-party apps or net banking. Etsy sellers in Turkey and Israel can not accept PayPal.

2. Sign in to Etsy.

After going through all the policies, it's time to register with Etsy as a seller.

Go to Etsy.com and sign up with your credentials to make your Etsy account.

You will receive a confirmation email from Etsy to open and complete the process.

Sign in to your account and complete the necessary details on the public profile page, like Bio and Profile picture.

There are two types of plans that Etsy offers for its sellers.

  1. Etsy Standard: No additional charge. Users pay for the tools/services they use, like Etsy Ads, patterns, and Etsy labels, without signing up for a monthly subscription
  2. Etsy Plus: Comes with a monthly subscription with tools to jumpstart your store. This subscription includes 
  • Credits for Ads and listings
  • Advanced customization of the store
  • Custom packing discounts

💡Pro Tip: For beginners, the Standart plan is a good way to go. 

3. Create Your First Listing

Next thing you want to do after completing an account registration, its time to create your first listing. Follow these simple steps:

  • After Logging in to your Etsy account, Click on ‘Shop Manager.’
  • Select Listings from the menu, then click on ‘Add a listing.’
  • Click on ‘Add a Photo’ and select all your product photos. 
  • Select and Adjust the Thumbnail of your product.
  • Add a video of your product if you have one. (💡Pro Tip: Based on a July 2020 analysis of over 5 million buyers, product videos have a higher conversion rate on Etsy)
  • Fill in all the details mentioned, including the Title, Aboud this listing, and Category according to your product.
  • Scroll down and fill Product Description, Selling Price, and Tags
  • Click on Publish to create your first listing.

4. Open Your Store

After uploading a listing, open your Etsy store by readying its storefront to attract potential buyers.

  • Upload the Etsy store’s logo to the profile and banner
  • Make a user profile and introduce yourself as a store manager to give confidence to the buyers while interacting.
  • Write down the Store’s policies in detail to avoid any potential dispute.

5. How does Etsy protect sellers?

Etsy heavily emphasizes protecting its sellers and buyers by providing friendly, professional, and secured transaction cycles. As a seller, you are responsible for listing and selling products under Etsy’s policies and delivering them on time.

Just like any other online business, some disputes are inevitable. To resolve these cases, Etsy has created an “Etsy’s case system,” which aims to resolve the disputes and find a solution that benefits both parties.


Grow Your Etsy Shop

Scaling and growing your Etsy shop is a time taking part that requires the right strategies to stand among the competition. Here is how you can grow your Etsy Shop

Proper Pricing

Pricing is a crucial part of making any business successful. You will see many sellers online with a larger audience but not making enough profits, mainly due to setting the wrong pricing on products.

Etsy charges multiple fees that should all be kept in mind before deciding on a product’s price.

Here is everything you should know about Etsy fees;

Listing Fees

Etsy charges a $0.20 listing fee each time you list a product. The listing fee applies for 4 months or until the products last. To renew the listing, you must pay the same amount again.

💡Pro tip: If your product is selling well, set the listing to renew automatically to avoid unavailability after 4 months.

Transaction Fees

The transaction fee applies each time you sell a product. Consider it a charge for using Etsy’s platform. The fee for each transaction is 6.5% of the product's price and includes customization and wrapping costs.

Shipping Transaction

Etsy also charges 6.5% shipping transaction of the total charges the buyer is paying for the delivery. 

💡Pro tip: To avoid paying shipping transaction charges, you can offer free delivery to the customers and include the estimated shipping amount in the product.

Payment Processing

If your country is on the eligibility list for Etsy Payment, you can use it to get paid. Etsy payment charges 3% +$0.25 on each transaction.

You can also use third-party payment processors like PayPal or Square, which generally take $2.9 +$0.30 per transaction fee.

Currency Conversion

Suppose your seller account does not fall under the eligibility countries for Etsy payment and PayPal. Etsy offers direct payment to bank accounts and charges 2.5% conversion fees.

Pattern Fees

If you are interested in building a separate customized website for your Etsy store, then you will require Etsy Pattern. The fee for using Pattern is $15 per month with applicable taxes.

💡Are you confused with Etsy fees? Consider using Etsy Fee Calculator for free:


Etsy SEO

Given that the competition keeps increasing in almost every niche on Etsy, you need to perform SEO on your store to outrank the competitors. Here are some tips that can help you rank on Etsy.

Using the Right Keywords in the Right Places

Using the right keywords is the primary part of SEO. Keywords allow you to identify what buyers are searching for and how you can use these keywords to rank your product.

After getting the correct keywords, it is equally important to use them in the correct positions. The targeted area for a keyword is generally in the Title, Product description, or tags.

A Perfectly Written Description

A well-written product description caches a buyer’s attention and helps your product rank. Use your keywords in the description seamlessly. 

You can also hire someone to write product descriptions for your products if you are not familiar with writing.

Use All Etsy Tags

While updating a listing, Etsy allows the buyer to write 13 tags relevant to the product. Don’t miss this opportunity; write all the research keywords, as it can help your product rank.

Using Shop Section Effectively,

Shop sections help buyers navigate your shop. Although it is optional, you can use it to create an attractive display of your products.

External Search Engine

External search engines, especially Google, play a key role in ranking your Etsy store. Perform keyword research relevant to your products that people are searching for on Google and integrate them into your Etsy Store.

SEO Tools

If you want to automate all SEO processes, it is extremely handy to use top Etsy SEO Tools. They take a vital role in making your shop completely visible with considerable parameters.


Etsy Ads

You can use two types of ads to promote your Etsy store.

On-Site Ads

Etsy’s built-in promotional ads are called ‘Etsy Ads.’ The daily minimum budget for promoting your products on Etsy is $1. However, Etsy Ads are automated and promote your products according to their insight data to target potential buyers.

Offsite Ads

Etsy's Offsite ads program was introduced last year. In Offsite ads, Etsy promotes the seller's store on high-traffic websites, including Google, Facebook, Pinterest, and Bing. If a buyer lands on the Etsy store using offsite ads and makes a transaction, a certain percentage between 12% and 15% will be charged to the seller.


Social Media

Social media plays a crucial role in a business's success. The same goes for Etsy. You can use different social media platforms to engage customers and direct them toward your Etsy store. 

Using social platforms effectively can boost your visitors if you are a new seller. Here is how you can use social media to scale your Etsy store.

Facebook

Facebook is a social media giant with 2.93 billion monthly active users, and it keeps growing. Use Facebook pages, Live sessions, and ads to connect and interact with potential buyers.

Instagram

Instagram is one of the best ways to create brand awareness for your Etsy store. You can write creative stories about your products and post them on Instagram. To increase reach, you can use Instagram Ads to promote your store

💡Pro tip: Use Hashtags effectively.

Pinterest

Many new sellers tend not to focus on Pinterest, which is a big mistake. Pinterest has a huge user base actively looking to find unique, vintage items and many other products.

Coupon Code and Gifts

Providing coupons, discounts, or gifts is a great way to build a strong relationship with buyers. Etsy allows buyers to provide discounts on their products using Sales, Discount codes, and targeted offers.

Here is how to Sell on Etsy more effectively using these discounts to attract more buyers.

  • Login to your Etsy Seller account and click on Shop Manager
  • Click on Marketing > Sales & Coupons
  • Click on New Special Offer
  • Select the discount offer you want to provide to your buyers.
  • Fill in the details according to the discount you are providing, and the discount will be live in your store.

Conclusion

To wrap it up, Etsy is among the leading e-commerce giants for a reason. Etsy promotes creativity in its listed products and encourages new sellers, whether individuals, small groups, or large manufacturers, to start their businesses on Etsy.

However, for a new seller, the marketplace of Etsy can be quite challenging and competitive. To stand out among the competition, you need to perform keyword research, competition analysis, and promotional strategy through Ads.


FAQs

Q. How to list an item on Etsy?

Simply follow these steps: Log in to your Etsy Seller Account > Shop Manager > Add New Listing and fill in the required blanks with descriptive text.

Q. How to make money on Etsy?

You can make money on Etsy by setting up your store on Etsy and working as a seller.

Q. How to get more sales on Etsy?

Use Onsite and Offsite Ads to promote your Store. Perform SEO and utilize Social media effectively to boost sales.

Q. How do Beginners sell on Etsy?

Set up your Etsy store with accurate descriptions and pictures of the product. Find the right keyword for your keyword using software like EtsyHunt.

Q. How to sell on Etsy as a minor?

Etsy allows minors between 13-17 years old to sell on its platform. All you need is permission from parents or guardian angels, as the account will be created using their information.



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