25 Things I’ve Learned Through Running an Etsy Shop
I’ve been on Etsy since 2013, and although so much has changed on the platform over the last few years, many things remain the same. With that in mind, today I'm sharing 25 of the biggest things I’ve learned through running an Etsy shop. I hope these insights help you with your own Etsy shop, so you can avoid all of the trial and error that I’ve had to go through over the past eight years.
general etsy advice
1 | Etsy is for handmade goods or DIY. (It’s also the best place to go for vintage finds, but that doesn’t really apply to the creative industry, unless you’re looking for flat lay props.) Before you open an Etsy shop, recognize the type of audience you’ll be selling to.
When it comes to selling wedding invitations on Etsy, there are two types of buyers–those looking for something handmade and those looking for a DIY template. Choose one type of client to market to, not both. There are exceptions to this rule–for example, a calligrapher can sell handwritten envelopes and a calligraphy starter kit. In general though, I recommend targeting handmade shoppers or DIYers.
Keep in mind, shoppers looking for handmade items expect to pay more than those looking for printable invitations or editable templates.
You can learn more from this blog post: Three Myths Every Wedding Stationer Will Hear Before Opening an Etsy Shop.
2 | You don’t have control over Etsy, but you do have control over how you market your shop and show up online. Over the past eight plus years, I’ve learned you have to roll with the punches when it comes to Etsy. There will be algorithm changes, policy changes, website redesigns, new expectations for sellers, etc. And yes, just about all of the changes are frustrating. But, you’re either on board or you’re not. No amount of posting in the forums or ranting in private Facebook groups is going to change how Etsy operates their business.
However, you do have control over how you market your shop and show up online. That’s one reason why social media promotion and growing your email list are essential. They can explode your growth no matter what changes Etsy implements.
Besides, the changes Etsy implements are meant to help you, not hurt you.
3 | There will always be a slow “season” in your business. Your business will always have a “slow” period. A lot of times this can cause panic. We’re doing all the right things–marketing our shop, growing our email list, etc.–but then suddenly sales drop, or even stop. Don’t worry. If you’re still marketing your shop and growing your audience, it’s probably just a season. Your slow season can last anywhere from a few weeks to a few months.
customer service
4 | Customer service is everything on Etsy. Etsy’s new Star Seller program is all about customer service. Are you communicating with your clients quickly? Are orders shipping on time? Are buyers happy with your service and your products?
The Star Seller program is, according to Etsy, a way to recognize and reward Etsy sellers who consistently provide an excellent customer experience. If you provide stellar customer service and meet Etsy’s criteria, you will get a Star Seller badge under your listings, enticing buyers to purchase from you.
You can learn more about the Star Seller program here.
5 | Make things as easy as possible for your clients. It should be really easy for buyers to make a purchase from you. If it’s too difficult or if they have to send a message to you for a custom quote or pricing, you might lose the sale.
6 | People want to know who you are and what you do. This is true anywhere you sell online! I find that so many people are fascinated with the lifestyle of creative entrepreneurs. Even if it seems boring to us, it might seem really exciting to an outsider. Let buyers get to know you by filling out your about section, profile bio, etc.
pricing your products
7 | Profit is greater than sales revenue. You can make a lot of money being the “cheapest option”, but it doesn’t mean anything if you aren’t generating a good profit. I priced my products so low when I first began that I was running on a 10% to 20% profit margin. (And in case you’re wondering–that is incredibly low/not sustainable as a wedding stationer!) My sales numbers were great, but my profit was slim to none.
I have a few posts on pricing, but you can find my formula for pricing wedding stationery here. (And this formula works for any industry!)
8 | Yes, you can attract high end clients on Etsy. Etsy has two types of buyers–those looking for something handmade or those looking for DIY items. (They also have a huge market of vintage buyers, but that doesn’t really apply to the creative industry.)
If you want to attract high end clients, you have to target those looking for handmade goods. This allows you to price your goods higher. I talk in-depth about this topic here.
9 | Raise your prices. Most creative entrepreneurs price too low, especially when they’re just starting out.
It’s embarrassing to admit, but when I first began I charged less than Minted. I thought, there’s no way I can compete with a company like that, their designs are so much better. I can’t charge any more than they do. Thankfully, I leaned in to a couple of other creative entrepreneurs who encouraged me to really go for it. I thought, I’m going to lose so many sales! I’ll never make a sale again! But, do you know what happened? Nothing… I was booking almost the exact same amount of clients as before, except I was charging double to triple my original price. Not to mention, I was finally generating a sustainable profit.
If you’re pricing too low, it’s a confidence issue. I talk all about how to be confident in your pricing here.
all about your listings
10 | Your flagship product is the most important product in your shop. Choose one flagship product for your shop. This is what you’re going to be known for. It’s the one product in your shop that offers clients the biggest transformation. And, it’s what you’ll want to rank highest in Etsy search for. Everything else in your shop should support your flagship product.
I sell wedding stationery. My flagship product is wedding invitations because it offers clients the biggest transformation. (It’s what makes their wedding day finally feel real and sets the stage for the big day.) All other items in my shop support this item, like programs, return address stamps, etc.
11 | If they can’t see it, they won’t buy it. Etsy shoppers usually buy listings exactly as they are shown in your photos, even if you offer multiple options for customization or personalization.
For example, I offer 12 different ink colors for wedding invitations and day-of paper, but buyers normally choose the exact same ink color that’s shown in the photos. For Etsy sellers who offer multiple options and add-ons–like a variety of colors, sizes, or styles–you can add each option as a new listing. Not only will this quickly double (or triple!) the amount of listings in your shop, but it also increases your chances of attracting more buyers and generating more revenue.
12 | Don’t “hold on” to inventory. Stock your shop asap. Don’t sit on inventory or wait for the “right time” to list it on Etsy. (The only exception to this rule would be if you’re launching a new collection and promoting the release date on social media or your email list.)
I used to work in retail as a visual merchandiser and our stock room was always full of boxes. Our goal was to unpack as many boxes as possible every day and display all clothing and accessories from those boxes on the sales floor. That’s because if it wasn’t on the sales floor, people couldn’t buy it.
The same goes for Etsy. Even if you just have one new listing to add to your shop, don’t wait. Do it as soon as you can.
13 | Some listings become popular in your shop in a matter of weeks or a few months. Others might take years to become popular. For example, I created a brand new wedding menu listing and added it to my shop in May. Take a look at how quickly this listing generated lots of views and visits.
Now let’s explore another listing in my shop–a return address stamp that was listed on Etsy in 2018. It took two years before it began to generate a decent amount of views and visits. Then, in 2021, it became one of my best sellers after being featured in BRIDES Magazine.
14 | You might only have a few listings in your shop that provide the bulk of your income. I’m a six-figure seller but that doesn’t mean every listing I create is gold.
I currently have 150 items in my shop, but only about 40 of them generate the bulk of my income. The rest of my listings generate a very small amount of revenue. And some listings have not generated any revenue at all this year. Just take a look below.
All of these listings could use some improvement, like additional images and video. The SEO probably needs to be updated as well. Some of these listings I haven’t touched in years, like the program, save the date, and thank you card.
The folded note cards were added to my shop last year, but it doesn’t seem to have resonated with shoppers. I could probably deactivate this listing or update the design and SEO.
etsy seo
15 | Don’t frequently change your SEO. Once you create a new listing or edit an old one, wait at least 4-6 months before you change it again. If I’m honest, I rarely ever change SEO for my items. When I have a listing that’s not working, I normally create a brand new listing with different keywords, tags, and a new title, and I deactivate the old, original listing.
If you need to edit an item for seasonal reasons (i.e. a Christmas gift), then edit the last 1-2 tags of your listing rather than changing everything.
16 | You don’t have to have hundreds of products to get found in Etsy search. I recommend having at least 150 products because it increases your chances of getting found in search and generating more revenue. But, you don’t have to.
For example, I recently purchased a farmhouse shelf on Etsy for our dining room from the shop below. This shop only has 29 listings, but he’s made over 12,000 sales since 2011.
If your listings have great SEO, great images and videos, and high profile backlinks (if you’ve been featured on BuzzFeed or Southern Living’s website, for example), then they will do well in Etsy search.
marketing
17 | Market your products on at least one platform. Choose one social media network (Instagram, TitkTok, etc.) or opt for Pinterest to promote your Etsy shop. This will expand your reach. Not only will you be attracting Etsy shoppers, but you’ll also attract shoppers from another platform.
I recommend choosing one platform in the beginning. Otherwise, it’s really easy to get overwhelmed.
18 | You don’t have to have a huge following on Instagram or Pinterest to make six figures on Etsy. I barely have 1,000 followers on Instagram. I think I have 2,000 followers on Pinterest, but that’s probably because I spend more time on the platform. Either way, it really doesn’t matter how many followers you have.
You can make six figures on Etsy with a very small following. I’m proof.
The thing is, Etsy is kind of like a social media, except it’s a marketplace with a very large audience. A social media presence and/or a presence on Pinterest is beneficial for your Etsy shop. But, you don’t have to have a huge following to be successful on Etsy because Etsy has their own audience that you can market to.
19 | Inbound links can yield incredible results. Backlinks, or inbound links, are links to your store or products from other websites like BRIDES or The New York Times. These are vital to Etsy SEO strategy as they increase search engine confidence in a site. Find out more about what happened to an old listing of mine after it was featured in BRIDES in this blog post.
shipping
20 | Ship large orders or urgent orders via FedEx. For everything else, use USPS. I love our postal service. In fact, it’s one of the best in the world. The postal service works incredibly well for small orders, like return address stamps or art prints. For large (or expensive) orders like wedding invitations or urgent orders like Christmas gifts, I recommend FedEx. (UPS is fine, too, but Etsy has a partnership with FedEx that offers sellers exclusive discounts.) Although I love USPS, FedEx is more reliable when it comes to delivering on time or recovering lost packages.
This brings me to my next point…
21 | Don’t complain about USPS. Small businesses run on USPS. Look at all of the benefits of USPS here.
22 | You aren’t responsible for lost or delayed packages, but make it right anyway. Lost or delayed packages are not fun for either the shipper or recipient. You aren’t liable for lost packages, but find a way to make it right with your customer–even if it means reproducing and reshipping an item.
This doesn’t happen often, but at least 2-3 times a year I have to reship an order for a client. Usually, it’s just an invitation sample or a return address stamp. But, there have been at least three times over the last eight years where I’ve had to reorder an entire set of wedding invitations that were lost in the mail or delivered to the wrong address by FedEx. It’s not fun at all, but it was more important to me to make it right with my client. I now ship most wedding invitation orders with at least $500 insurance.
23 | Clients pay for import taxes and delivery fees on international orders. You are not responsible for this, but let shoppers know this upfront. If you use Etsy’s pre-written shop policies, it will be written in to your policies already. This is a pretty lengthy topic, but you can view more details here.
etsy vs. your own website
24 | You can’t live off Etsy alone. You need a website. Etsy makes it so easy for beginners to get started. But, you can’t live off of Etsy alone. Eventually, you need your own website. Having your own website will allow you to build your own audience through Pinterest marketing, email marketing, networking, and social media.
And then, it won’t matter to you if Etsy makes changes to their marketplace or algorithm because you’ll have your own audience and your own space to generate revenue.
25 | But here’s why you should try both… Yes, you need a website, but that doesn’t mean you should leave Etsy when you launch. Instead of choosing between selling wedding invitations in an Etsy shop vs. your own website, I like to say–why not have the best of both worlds? Etsy can be a great second revenue stream for your business while you’re building up clientele through your own website.
You can learn more about Etsy vs. your own website in this blog post.
One last thing…
I hope you enjoyed today’s post! What are some things you’ve learned from selling on Etsy? Do you have any questions about getting started with Etsy? I’d love to hear from you in the comments below.
