Opening an etsy shop
37.1 million buyers bought goods through Etsy in 2018
What are the benefits to starting on Etsy?
- Huge customer base; with 37 million registered shoppers you are sure to find buyers that are looking for exactly the product you make. It’s always a good idea to have your own website; I have my own that I run through Weebly (update – I now use WordPress for my website). Weebly is still a good option if you are just getting started. Having your own website is great for blogging and getting the word out about your shop, but you will most likely only be able to attract a fraction of the people shopping on Etsy every day.
- Low seller fees; listing an item for four months, or until it sells, costs you 20 cents plus a commision fee. Basically, for each product sold, you will pay 20 cents, plus a commission of 3.5% on each purchase.
- Social Media aspect; in addition to being an online shop, Etsy also functions as a social network site, similar to Facebook, in which buyers and sellers can create personal profiles and connect with one another. A few bonus features are that buyers can favorite their preferred shops, and write reviews, increasing social proof and the chance that others will want to buy from your shop.
- Trust factor; by virtue of being a household name, Etsy has a trust factor that takes time to build up on your own website. People trust buying on there, because they know it’s a global company. Buyers feel safe making a purchase on Etsy because there are rules and regulations that the company adheres to.
- Home based business, how cool would it be to create the crafts you already love making, get paid for doing so and all from the comfort of your home? This is probably my favorite aspect of selling on Etsy. I mean, it’s great to interact with people at a craft show, or a brick and mortar shop, but those avenues also mean higher costs to you for entry and table fees, and rent. You will still be paying for the cost of your craft supplies but imagine all of the savings to be had from working at home in your pajamas, plus not having a long commute to work.
Disadvantages to selling on Etsy
• Just like with any other platform, changes to the algorithm and growth can be hard to keep up with.
• Competition. According to Etsy, there were 2 million sellers on the e-commerce website in 2018. Before you panic and think “I can’t compete with that!”, it’s important to note that not all of those shops are active and the number of buyers outweigh the number of sellers by nearly 30 to 1 (37.1 million buyers bought goods through Etsy in 2018) Those sound like pretty good odds to me!