Side Hustles

How To Make Money On Etsy

how to make money on etsy

You might think creativity and passion are all you need to succeed on Etsy, but believe me there’s more to it! Check out some amazing factors to consider when learning how to make money on Etsy.

The lucrative Etsy is an e-commerce platform that connects sellers and buyers who specialize in handmade and vintage items.

These items fall into any category, including jewelry, bags, clothing, home decor and furniture, toys, artwork, and craft supplies and tools.

The site allows consumers to purchase handmade products and it follows the tradition of open craft fairs. Therefore, providing vendors with a personalized storefront, where they list their products.

What can you sell on Etsy?

Etsy is an e-commerce site that connects people looking for promotions with independent sellers around the world.  Note that whatever you want to sell on Etsy, it must be made by you, used, or a handcrafted supply. All items sold on Etsy are also subject to prohibited item policies. It is your responsibility to ensure that your store and its items comply with Etsy’s policies. 

Here is some more information on the list of items on Etsy.

1. Handmade items

Handmade item refers to items that are made or designed by the seller, also know as Craftsmanship. When selling handicrafts:

  • You must: create the original designs for your items.
  • Involve everyone in the production of your items or in running your business in the About Us section of your store.
  • If you are working with a production or operations team, you should include the production supporter. 

2. Craft Supplies

Etsy crafts are tools, materials, or materials whose main purpose is to create items or special cases. Crafts can be handmade, commercial, or vintage. Party supplies can also be sold as crafts.

3. Prohibited items

Various sorts of gadgets are prohibited from being offered on Etsy, including: 

  • Alcohol, tobacco, drugs, drug paraphernalia, and, clinical drugs.
  • Certain animal products and human remains.
  • Dangerous items, which include unsafe materials, recalled items, and weapons.
  • Hate items, which include items that promote, support, or glorify hatred.
  • Extralegal items, objects advertising unlawful activity, and notably regulated items. 
  • Internationally regulated items.
  • Smut and mature content.
  • Violent items, consisting of gadgets that promote, support, or glorify violence. 

Listings that violate Etsy’s Intellectual Property Policy

Etsy is a platform but isn’t in a position to offer legal advice or assume if your shop content interferes with someone else’s intellectual property. 

In a situation,  when you’re not sure if your item(s) infringes someone’s intellectual property, you can reach out to the intellectual property owner or consult an attorney. However, if Etsy obtains the proper notice of intellectual property infringement, you will have to comply with the policy and remove the specified material.

Services or rentals

Esty will never permit services that embrace rentals to be sold, it’ll solely include service that produces tangible things that align with the vendor policies.

Metaphysical services or items

Metaphysical services,  reiki, and spell casting are prohibited on Etsy. With this in mind, tarot cards or psychic readings that embody a physical or digital copy of the same readings (e.g., a recording, email, or tarot unfold photo) could also be sold on Etsy. 

Tips to become successful on Etsy

No matter where you are, you are likely to contend with dozens of other active sellers offering similar products. Sellers need to stand out from Etsy to become a viable business choice.

1. Research your competitors and avoid their mistakes

Take the time to search Etsy like you were a customer. Search the niches you want to dominate and watch your competitors. Find prices for similar items on Etsy.

It’s also a good idea to factor in prices in other markets like Amazon or local stores to increase your chances of selling. Don’t directly steal what other sellers are doing, just pay attention to what is working in your space and adjust your materials accordingly.

Nobody has a monopoly on keeping up with what works in their niche. Check what your competitors are doing about every six months. Trends and popularity can change quickly on platforms like Etsy.

2. Make sure your Idea is profitable

If you want to make money selling things, selling a product that interests you is important. However, before you dive in make sure it sells. You can do quick market research using the Etsy search bar. Be as specific as possible in your request and click on the different pages of the store to see the number of sales made since it opened.

When there is enough interest in your product idea, you can move on to the next step: make sure you are making money from the product. Here we will show you how to do the calculations.

3. Have a budget for marketing on Etsy

You analyzed the numbers, examined the competition, and created the perfect product descriptions.

Even if you’ve gone through all of the other steps without a hitch, people will have a hard time finding your Etsy shop early on.

Networking both online and in-person is an essential part of successfully selling Esty. Like Facebook, Instagram and Pinterest are great places to expand your reach and drive traffic to your Etsy shop. They’re also a great way to connect with your customers. And in case you weren’t clear the first time, your brand is everything. Therefore, it is important to create accounts with the same business name on all platforms.

4. Be proactive about your Etsy business

 It is possible to make money with Etsy, but it does not happen automatically. You can’t upload some product photos and then sit back and wait for the dough to arrive.

Many sellers on the platform hope that your potential customers will find their way to you. You need to be proactive in how you configure it. Do your best to prioritize your listings in Etsy search. Earn customer trust with your high-quality photos and descriptions that show everything your business does best.

 And don’t be afraid to show your individuality and get creative so that customers will remember you and keep coming back.

5. Optimize your shop for SEO

It’s also an important part of growing an Etsy shop, as most buyers use the site’s search or navigation features to find product options. The exact SEO guidelines can change regularly. Basics of including key keywords as quickly as possible and as often as possible in your titles, descriptions, and tags.

6. Join an Etsy team to keep learning and growing

In addition to the Etsy community, Patel Goyal also recommends joining an Etsy team to get in touch with other sellers.

This feature provides a fun and easy way for you to do just that. Patel Goyal says, “There are many ways to find support for Etsy, especially for sellers who are just starting. For example, Etsy teams are self-organizing groups of sellers who share tips, host local events and run basic campaigns.

7. Approve updates automatically

On Etsy you can set your store to automatically send advertising updates to your social media channels. This will save you time and publish your special offers at the same time.

Patel Goyal says:

“Sellers can also share these offers on their social networks using our tools. Last year we introduced a new social media tool that makes it easy for sellers to share their offers, sales, and promotions, and to celebrate milestones on social media right from their Etsy shop manager and sell in the Etsy app. Etsy sellers are busy. So, the Etsy app helps you keep track of your business, from answering buyer questions to paying bills on the go.”

8. Schedule special promotions

As with any sort of e-commerce commercial enterprise, a unique sale or cut-price code will let you incentive new purchases. And Etsy gives a characteristic that helps you to pick out which kind of merchandising to provide so that you can agenda it on your shop.

Patel Goyal explains, “Special gives can assist dealers to seize the eye of consumers and create a faithful following.

With Etsy’s tools, dealers can agenda and run “percent off” or “unfastened shipping” income that inspires consumers to feature greater to their carts.”

9. Read the seller guidelines carefully

If you’re just starting out on Etsy, step one that Patel Goyal recommends is doing a little reading. Etsy has constantly provided courses like its Seller Handbook to assist commercial enterprise proprietors to make the maximum of the platform. And the one’s substances are up to date continuously so that you’ll constantly have the maximum latest information.

Etsy Fees and Rates 

As with other online selling platforms, there are fees when selling on Etsy. Creating an Etsy account is free. After that, you will see three sales rates. Sellers may be billed for use of some Etsy services. This Fees and Payments Policy explains your fees and taxes and how they are paid.

1. Listing Fee

 A listing fee of $ 0.20 will be charged for every item you list on or the Etsy mobile apps. Your Etsy shop does not incur any additional posting fees for posting items on your Pattern site.

There is no service charge for ads that you display only on your Pattern website. Only one booking fee is charged for creating or renewing a listing on Etsy. Editing a list is free. Whether or not the listed item is sold, you will be charged a posting fee, minus the creation of a private listing.

In this case, you will only be charged the publication fee if the private list is sold. 

 If you are listing multiple quantities of the same item, the initial listing fee is $ 0.20 and the listing will automatically renew to $ 0.20 after each item is sold.

Publication fees will be shown in your paid account and will be deducted at the time of publication or last renewal. It is important to note that publication fees are non-refundable.

2. Transaction Fee

When you make a sale through, you will be charged a transaction fee equal to 5% of the price you view for each listing plus the amount you charge for shipping and gift wrapping.

If you are selling from the United States or Canada, the transaction fee does not apply to sales tax, goods, and services tax (“GST”), or harmonized sales tax (“HST”) unless these charges are included in the listing price if you are from another location.

When selling out of the US and Canada, the transaction fee will be applied to the listing price (which should include any applicable taxes), shipping price, and gift wrap fee. Offer an optional customization fee for an additional fee.

Transaction fees are deducted from your current balance for each sale and shown in your payment account.

3. Payment Processing Fee

Etsy charges a payment processing fee for every transaction through Etsy Payments. Payment processing fees vary based on the location of your bank account. In certain markets, Etsy may also charge a fixed deposit fee for withdrawing funds from the seller that are below certain set thresholds.

4. Shipping Fees

Etsy offers sellers in certain locations the option to purchase shipping labels to help fulfill their orders. The cost of the shipping label depends on the carrier and the origin, destination, weight, and dimensions of the package.

If you add signature verification or insurance, these charges will be added to the total cost of the label at the time of purchase. Sellers who purchase shipping labels can also purchase package insurance through authorized insurance companies. Sellers who purchase return labels from USPS will be billed upon delivery of the returned package. You must accept Etsy Payments or PayPal as a payment method to purchase shipping labels through Etsy.

Shipping costs and any adjustments are displayed in your payment account and deducted from your current account balance.

5. In-person Selling Fees

With the Square Reader, you can process sales payments personally. You have the option to sync your Etsy listings with Square.

When you sync your listings with Square, multi-volume listings will be charged the same renewal fee of $ 0.20 as multi-volume listings on Etsy. A $ 0.20 transaction fee will be charged for ads that are not synced, which will appear in your payment account as the “Manual Square” fee.


In conclusion, Etsy is a great place to sell handmade items online. It could be a great side hustle or full time gig. Therefore, it all boils down to your determination. If you’re a creative person Etsy may be worth giving a try. If you’re looking for more ways to make money online check out this article about selling stock photos online.





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