I’ll be honest with you, there is not a day that goes by when someone pops into my DM’s or sends me an email asking: “Is Etsy worth it? Is it too expensive?”
At first glance when researching Etsy and seeing the fees associated, it can be overwhelming, so it makes sense why people considering it will question it. However, there is a lot more to uncover, so let’s do it!
Is Etsy Worth It?
My short answer to this question is: yes, yes, absolutely yet! Etsy is totally worth it and one of the best resources available to us.
When I started my online business which is primarily based on Etsy, I had quite a few critics wondering why I chose Etsy and questioned it. I am very glad I didn’t listen to anyone else and forged ahead because I wouldn’t have the success I have today.
Selling on Etsy is worth it as it’s one of the quickest, cheapest, and easiest ways to get your digital products available in front of a big audience that is low risk and low upfront costs, compared to any other business!
Here is why Etsy is 100% worth it:
- Etsy has an audience that is ready and waiting for you
I love to remind people that Etsy comes with a pre-established group of people that trust and love Etsy and enjoy browsing and searching the site for a product they desire. This is a huge win when it comes to creating a brand as people will be more likely to find it on Etsy as opposed to a random site. I like to compare it to a real shop in a high pedestrian traffic area! There is going to be a higher chance of sales and store visits than in a place where no one knows.
You have to put in the work to set up your page well to bring in the buyers, with 160 million buyers, you are sure to be discovered if you offer a stand-out digital product that buyers view as valuable. You will need to ensure you are doing substantial research into keywords and tags that Etsy provides so you can ensure your product is discovered easily.
- Etsy is relatively simple to learn
Listen, one thing Etsy isn’t is rocket science! Sure, it takes time to get yourself acquainted with it however it’s significantly simpler than creating your own website and domain. Etsy’s design is intuitive and makes it easy to add listings, edit a listing and update your shop. If you are keen to learn the ins and outs of the site, I suggest my Digital Shop from Scratch Course!
If you opt for creating your very own website, do you expect people to just randomly come across your website? The harsh reality is no, they won’t. You will instead need to have a substantial budget for marketing and a heck of a lot of time to dedicate to doing this, too.
- Etsy offers educational resources
Etsy is a great teacher! The site offers a very practical library of resources to help sellers succeed, improve their listings and improve sales and teach about e-commerce in general. I also offer a free masterclass on How To Get
Started Selling Digital Products which can support you, too.
- Etsy offers analytics
Analytics are not as scary or as intimidating as you might think of. Rather, they are incredibly helpful in your success. You can see the number of listings active, what’s expired, the number of people who have viewed your listing, your sales, and sales over the year.
Is Etsy Too Expensive?
I believe that Etsy is not too expensive, especially when you compare costs for starting your brand on a different site — or starting a brick-and-mortar business!
When you do a cost analysis between starting a business on competing sites such as Shopify, MailChimp or Squarespace, the cost is substantially more affordable and worthwhile on Etsy. One huge example is that if you set up an alternative site, you would be required to pay your website operational cost, typically in the form of a monthly or annual fee, in addition to needing a budget for marketing to draw traffic to your site. This can quickly add up!
Plus, if you are not confident or experienced in website creation, you will likely need to pay for a website designer, for a website that can stand out and can include purchasing features. This can quickly add up.
What Are The Costs Associated With Etsy?
Transparency is important and another thing I like about Etsy, as they don’t shy away from the costs or force people to sign up before showcasing the price. Etsy charges a few different types of listing fees, that you’ll encounter these fees throughout your time as an Etsy seller. These are:
- Listing fees
Listing fees are a flat rate of $0.20 for publishing a product for sale. This listing fee guarantees your listing stays active on the site for up to four months, or until your item sells, whichever comes first.
- Auto-renew sold fees
In the event your item doesn’t sell within four months, Etsy will automatically renew the listing for a fee of $0.20. Etsy does this automatically when it’s sold or expires, unless you select otherwise.
- Multi-quantity listing fees
If you’re selling multiple quantities of one item, you can make a single listing with the number of items you have to sell. Etsy will not charge a fee for the extra listings until they sell.
- Private listing fees
It’s possible to list your product for a private sale to a specific buyer which costs $0.20.
- Transaction fees
Etsy’s transaction fee is 6.5% of the total cost of the sale. These fees are only collected on products that actually sell, and are taken automatically out of your account after a purchase. This 6.5% transaction fee is applied to the total cost of the sale, and includes the cost of shipping. The reason that Etsy also takes costs out of the shipping fee is to stop sellers from charging a low sale amount and then charging an inflated shopping cost. Tip: if you’re doing the digital product route that I recommend, you won’t even need to worry about shipping costs!
- Payment processing fees
Payment processing fees are charged on a transaction that uses Etsy Payments. The fees are a set rate plus a percentage of the total sale. You will have to look into the Etsy fees relevant to you, as they vary for every country.
Conclusion
I’m a huge advocate for Etsy, especially for first time sellers. Etsy offers e-commerce software that guides you into building a great online store, the ability to track your sales, and support you! Comparatively, it’s affordable, pretty easy to use, and you can enjoy the educational materials. What are you waiting for?!
