How to Make Money on Etsy

how to make money on etsy


How to Make Money on Etsy

There’s no money in art. 

This has been one of the biggest misconceptions that we have about artists. While it’s true that some artists are finding it hard to balance money and art, there are now a lot of venues where you can express your creativity while making money at the same time. 

Etsy has become a household name for most artists. This platform provides an opportunity for our budding artists to cultivate their art and passion while paying their bills at the same time. 

Are you curious about how you can make money on Etsy? This article will provide you with all the tips that you should know. 

What is Etsy? 

Etsy is similar to eBay in the sense that it is an online buyer and seller community. What makes it different is the fact that it is specifically created for hand-crafted or vintage goods. Most of the products sold on this platform belong to the category of crafts, arts, paper goods, jewelry, baked goods or artisan candies and housewares. 

If you are looking for a unique or vintage product that you can’t seem to find anywhere else, you are more likely to find them on Etsy. It’s a place where you can find special gifts. It is also a place that encourages small businesses to thrive. 

Etsy is a combination of a craft fair and eBay. It offers a variety of craft goods – from jewelry, clothing, unique pieces of art or even children’s toys. What sets it apart from other eCommerce tools is its social networking feature. This feature enables the seller to feel more connected with their customers. It’s a sociable online marketplace where you can browse through the seller’s profile as well as gather reviews of their products. 

How to Get Started with Etsy


Etsy has managed to establish itself as one of the best e-Commerce platforms. It has almost $3 billion in gross merchandise sales in 2016 and more than 30 million active buyers.

Although about 50% of sellers on Etsy make less than a minimum wage per hour, about 10% of the community earns over $100 per hour. Most people sell between $500 and $1000 worth of items on Etsy per month.

If you want another side hustle and earn extra money, it’s time to use your creativity and set up an account with Etsy. 

Create your account and sign up as a seller. When choosing a username, create one that represents your brand and products. You should also keep it open enough should you expand your product line in the future. Then, fill out all the details asked on the account setup page. 

Set up your Etsy shop and stock your shop with your products. To attract potential customers, make sure that you upload high-quality photos. It is important that you use enticing and captivating product descriptions as well. Pricing is another important process. Make sure that you factor the cost of your supplies, your time and effort spent in creating the item as well as the listing and shipping fees. 

Once a customer buys your item, make sure that you pack it up and send it quickly. Just like with other eCommerce sites, customers can also leave reviews. Aside from providing high-quality products, you should also provide professional customer service. Reviews are important, especially if you’re just starting to build your reputation as a seller. 

Pros and Cons of Using Etsy

Online shopping has become a hit since a lot of customers love the convenience of shopping without leaving the comfort of their home. Platforms like Etsy provides an opportunity for small entrepreneurs to promote their products and connect with the customers. 

Is Etsy the right platform to start your online business? 

Before you can make a solid decision, it’s important to consider the pros and cons of using Etsy. 


Easy to Setup and Use

Setting up your shop on Etsy is very easy, in fact, it will only take you a couple of minutes to do so. Signing up is also free and it’s user-friendly too. You don’t have to worry if it’s your first time using this platform. They provide a step-by-step guide so you won’t feel overwhelmed. It’s also a great platform to sell your digital products. 

Good for Advertising and Search Engine Optimization

Etsy has high engaging fans. Millions of users visit the website every month to look for a specific item. These people are generally eager to buy too. 

Apply SEO strategies to drive more traffic in your store. Since the market is saturated, this method is important in generating more sales. Using advanced tools like advertising and SEO is critical if you want to get in front of your potential clients. 

Encourages Creativity and Diversity

Sure, a lot of consumers patronize mass-produced products such as smartphones. However, personalized or specialized items are creating a buzz too. 

Most of the items sold on Etsy are handmade. Last year, the total value of vintage items, crafts, and handmade goods sold increased to $902 million. This number quantifies a promising future for specialized products. 

This platform encourages artists to tap into their creativity and develop unique products. If you want to express your art in a unique and different way, this could be the right platform for you. 

Great Mobile App

Isn’t it quite a bit of inconvenience when you have to take out your laptop just to answer a customer’s query? 

Thankfully, Etsy is a great mobile application. With just your smartphone, you can easily track your sales or connect with your customers. You can even create a new listing through the mobile app. 


Heavy Market Saturation

Probably one of the biggest downsides of Etsy is its total market saturation. There are already hundreds of thousands of shops out there. It would be hard for your shop to get noticed, especially if you’re just starting out. 

Don’t just rely on your Etsy store alone. Use other platforms to promote your product and make your sales. Establish an online presence by utilizing your social media or personal blogs. Additionally, invest in paid Etsy advertising and SEO to drive more traffic to your store and generate revenue. 

Seller Fees

Though setting up your store is absolutely free, listing your product is not. You would have to pay a  $0.20 listing fee as well as a 3.5% transaction fee on all products sold. It may not seem like a huge cut, but it certainly adds up if you are selling a lot of products. 

Limited Integrations

Another downside of Etsy: You can’t create an email list. 

If you ask any marketing professionals, they would say that the email list carries a lot of potential for revenue and profit. Sadly, Etsy doesn’t integrate well with email service providers such as Mailchimp. It doesn’t provide a venue for you to ask your buyers if they want to be added to your email list. 

How to Make Money on Etsy


Etsy is a great marketplace for crafters and makers. It’s an excellent avenue to hone your passion and creativity while earning money at the same time. 

How much money will you make on Etsy? 

It depends on a lot of things: the time and effort that you put into it, the uniqueness and demand of your product as well as how you market your brand. 

Some sellers earn a steady $100 per month, while others have made selling on Etsy their full-time job. It may not be a quick route to becoming a millionaire, but it’s a good source of extra income, especially if you follow these tips on how to make money on Etsy.

Sell the Right Products


You will find tons of creative and craft-related enterprises on Etsy. Narrow down your niche and choose which type of products you would like to focus on. This way, it’s easier for you to attract a specific target market and create products that cater to their needs. 

  • Handmade items – things like artwork, doll clothes, quilts, toys, soaps, knitted shawls, jewelry and edibles like candy. 
  • Vintage items – accessories, toys, shoes, clothing and small items like jewelry. 
  • Supplies – scrapbooking paper, patterns and stencils, twine, beads, candy molds, sequins, rhinestones, wooden rings, fabric, yarn, etc. 
  • Digital products – printable planners, scrapbook layouts, custom posters, photo collages and invitations

Post Quality Photos

A picture is worth a thousand words, especially if you’re trying to sell a product. 

Use high-quality and high-resolution photos of your products to entice your customers. Show each detail of your item by capturing photos with different angles and depths. 

Also, don’t be shy in posting multiple images. Post at least one photo of your product in action. You don’t need to hire a professional photographer just to get a good photo of your product. A good camera and good lighting will definitely do the work for you. 

Be Active in the Community

Etsy has a huge community. Become an active member of this community to network with other sellers as well as connect with potential buyers. Participate in forums and offer advice to other sellers that are struggling. It is also in your best interest if you attend events within your community such as pop-up shops or meetups. 

Build Your Brand

Your brand does not only represent your shop and your products. It also represents you.

Building your brand is a holistic product. It doesn’t just end after you have created your shop and uploading your products. Establish your brand by creating unique items, being an active member of the Etsy community, providing excellent service and blogging to establish yourself as an expert. 

Logos also play an important role in your brand. This is how your customers and competitors identify you. Create a distinctive logo that represents your products and consistently use this logo on your shop, business cards, ads, and packaging. 

Master your SEO

It’s quite a challenge to make your shop visible, especially that you have thousands of competitors. Making your Etsy shop SEO-optimized plays a huge role in your success. Remember that most of your potential customers would come from internet searches. Integrate SEO strategies to increase the ranking of your shop and products in web searches. 

Make SEO a part of every process – from setting up your business names to choosing your product titles and descriptions. In addition, adding new content regularly will optimize your search results. 

Start your Own Blog

Niche blogger

Fully depending on Etsy to showcase your product may not be a good idea. With its heavy market saturation, you should find other means to promote your product. One of the most effective ways of driving awareness to your product is through blogging

Create high-quality content that promotes your brand. It’s also a great way to drive traffic to your Etsy shop. Moreover, posting informative content can help establish your expertise and could gain the trust of your customers. 

Deliver Excellent Customer Service

A lot of customers patronize a certain shop not just because of the quality of its product but also because of the customer service that they provide. 

Make every customer experience a positive one. Reply to any queries or feedback as soon as you can. Provide customers the option to contact you through chat, phone or email. 

Also, go the extra mile and follow up with your customers after their purchase. Ask if they are enjoying their purchase and be open to any type of feedback. A little extra effort such as sending them a thank you email or asking about their shopping experience will go a long way. 

Leverage Social Media Platforms

Social media is such a powerful tool. In fact, most companies have used social media in their marketing campaigns. 

Create a profile for your shop on Instagram, Twitter, Facebook, etc. These platforms are great to develop relationships with your customers. Be as engaging as you can. Respond to every comment and direct messages. Reach out to influencers and engage with their posts too. They can use their huge followings to promote your brand. 

When you have an upcoming new product or update, keep your followers looped in. Utilize the live feature or story on these social media platforms to share exciting news or updates. Also, if you see a customer posting pictures of your product, make sure to feature them on your page or story too. Leverage these social media platforms to create awareness and increase the visibility of your brand.  

Research Successful Etsy Sellers

Conducting research about your product is important, but so is researching other successful sellers. Take a look at successful shops and analyze why they are constantly getting higher revenue. Are they doing something that you’re not? What are the additional steps that you should make to make yours better? These questions could help you improve your store and your products. 

Final Words

Etsy is a great marketplace to satisfy your passion and creativity while earning a decent amount of money. Just like with any eCommerce endeavor, make sure that you take a lot of time to determine your brand and marketing before fully jumping on. There are tons of great artists and creators on this platform, so it would help to bring something special on the plate. Selling on Etsy could be frightening and intimidating, especially with its tight competition, but you can never go wrong if you apply the tips provided in this article. 


C. James

C. James is the managing editor at Wealth Gang. He has a degree in finance and a passion for creating passive income streams and wealth management.