Is selling on Etsy worth it?

Is Selling on Etsy Worth It?

Judging from the Etsy seller growth of 42% and active buyers increase of 55%, it’s clear the platform has a lot to offer. If you’re thinking, “is selling on Etsy worth it?” then you’ve come to the right place.

While you can explore some sellers’ successes in greater detail, let it only motivate you. If you want to find out whether Etsy is right for you, you’ll have to consider all the platform’s aspects, both good and bad.

We’ll mention the pros and cons of selling on Etsy and discuss the things you should thoroughly explore. Without further ado, let’s examine the platform’s pros. They’ll help find the answer to the question: is selling on Etsy profitable?


1. A Large Audience

Opening your store will take more time to get the audience and returning visitors. On the other hand, with Etsy, you immediately get to tap into the vast marketplace with millions of potential customers.

2. Good Testing Ground

Before you make heavy investments, starting up an Etsy store is an excellent way to try things out. You don’t have to bother with launching a site, investing in advertising, and building a brand. All you have to do is make an account, and list your products.

You’ll learn how much profit you can make and processes to optimize for better efficiency. Testing how everything goes will immediately show you whether selling on Etsy is worth it.

3. Supportive Community

The platform comes with a big and supportive community. You can check out Etsy forums and learn more about other sellers’ experiences. Additionally, whenever you encounter a challenge with the platform, you can share your issue and receive help from the other members.

Having a supportive community is a great advantage that makes using the platform even easier.

4. It’s Extremely User-Friendly

Using the platform is simple. You only need to set up an account and fill out all the details, and you can start selling your products.

5. Detailed Analytics

From the moment you set up your store, you can take a look at analytics about it. Some of the information you can track is the number of visitors, orders, and favorites. You also have an insight into your overall revenue per item.

Having all the data at your disposal will help you optimize your listings for higher sales numbers.


1. Competition

The wide range of pros is what’s attracted millions of worldwide sellers. Over the years, practically all the categories of the platform have become saturated with products. You’ll face a lot of competition on Etsy. It’s just something to keep in mind.

2. Etsy Fees

Even though Etsy is a very appealing platform, there’s a wide range of fees. The most important include:

  • Plus Plan - subscribing to this plan is optional.
  • Listing fees - every new listing incurs $0.20 in fees.
  • Transaction fees - there’s a transaction fee of 5%.
  • Shipping transaction fees - shipping fees are also 5%.
  • Payment processing fees - Etsy Payment fee is 3% + $0.25 per transaction.
  • In-person selling fees - if you sell in person, Square fees are 2.6% + $0.10 per transaction.
  • Pattern fees - you can create a unique online store with Etsy Pattern. It’ll set you back $10 per month.
  • Currency conversion fees - prevent this 2.5% fee per transaction by listing and using the same account payment currency.
  • Ad Fees - if your store makes more than $10,000 annually, every item sold via the Etsy Ad program will have 12% fees.

Only after knowing all the expenses can you set the correct product pricing. If you want to simplify the process, you can use Etsy fee calculators

Taking this step is essential, as you’ll immediately know whether selling on Etsy is worth it for you.

3. Lack of Customer Loyalty & Branding

If you’re looking to build customer loyalty and establish a unique brand, starting with Etsy might not be the best option. The platform comes with plenty of limitations in those terms. You can’t easily make a mailing list or a page on social media platforms.

Look at it this way - you’re just one of the brands available in an online supermarket. If you opt for a different approach, you’ll be able to build better customer loyalty and a unique brand through your online store.

4. You Can Only Sell Handmade Items

There are limits to what can be sold on Etsy. If you plan to sell something other than vintage items, handmade items, or craft supplies, going a different route is a better option.

Is Etsy Right for You? Things to Consider

Besides the pros and cons, there are several other things to consider before you start selling on Etsy. Keep reading to find other essential suggestions.

1. Are Your Products Going to Be Profitable?

From the moment you start planning an online store, you have to figure out what your profit margins are going to be. Staying around 30% will ensure a steady income for your online store.

The Alura calculator will help you quickly see what prices would provide you with a satisfying profit margin. It’ll take into account all the Etsy fees and calculate your exact profit.

2. Who Is Your Target Audience and Where Does it Shop?

No matter what kind of online store you’re planning, knowing who your target audience is crucial. If you don’t know how to achieve that, you can always do your online research and discover some methods.

You can take some of the following steps:

  • Check out your competitors
  • If you’re already selling, see who is buying
  • Focus on demographics

Taking a closer look at your competitors will clearly show you who your potential buyers are. That way, you can optimize your next ad campaign to target them directly.

One of the best ways to learn is from your sales. Every next sale is a piece of the puzzle completing the picture of your target audience.

Explore statistics websites. Some of them are rich with valuable information. For example, did you know that according to Statista, buyers on Etsy are primarily women? The difference is quite big, as 81% are women, while only 19% are men.

Consider all of the abovementioned suggestions. Targeting the right audience will positively affect the number of sales.

3. How Are Your Products Going to Stand Out?

As you’re entering a competitive market, there’s a lot you can do to get your products more in front of your customers’ eyes. Consider the following:

  • SEO - Learn more about keyword research. Tagging your listings and using the right keywords will help with your listing’s ranking. You’ll automatically get more exposure.
  • Photography/Videography - Do everything you can to promote your products with top-notch images and videos.
  • Invest in social media marketing - Take your marketing efforts to a whole different level. Use social media platforms for advertising your products. Investing in marketing will allow you to outperform the competition, as more people will get to see your listings.
  • Wisely use the Etsy Shop Banner - Your shop’s banner is the best way to leave a lasting impression on your customers. Use it to present what your shop is about straightforwardly. You’ll get more customization options available with the Etsy Plus plan.
  • Use your words wisely - While branding with Etsy remains challenging, it’s still possible to do it. Keep your store’s name short and easy to remember. Your branding journey starts with your shop’s name. Think it through.

While all these tips will be useful for making a great impression, remember to deliver outstanding service once you receive an order. It’s the small things that make great impressions. 

That’s why you should pay careful attention to your buyer’s journey. If everything’s in order, you’ll end up with a happy customer who might return.

Open your Etsy shop

The Final Tip: Be Thorough

Going through the whole process is the only way to see if selling on Etsy is worth it. 

However, with every step you take, remember to remain thorough. Follow your visitors, favorites, sales, and profit margins. Only after dedicating some time will you know whether the platform is the right choice for you.

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