Since being founded in 2005, Etsy has become one of the largest online markets in the world. Currently, Etsy has owned 54 million members, with more than 35 million buyers and nearly 2 million sellers worldwide. It can be said that selling on Etsy will bring you a lot of benefits and access to a huge customer base.
Therefore, in today's article, I will present to you an ultimate guide and tips about Starting an Etsy shop.
What is Etsy? Why should you start an Etsy shop?
First of all, you must understand what Etsy is and why you should own a store on Etsy.
Etsy is an e-commerce site specializing in buying and selling art products, handicrafts, and antique items that are hard to find on traditional online stores. Buyers often choose Etsy when looking for handmade products rather than mass-produced products. Besides, Etsy is also an ideal place for small business owners to display and sell their products without setting up your own website like on Shopify. Obviously, the unique market that Etsy occupies makes it the number one platform for art and collectibles items in the world.
In the past, most craftsmen and artisans sold their goods at fairs, open markets, and shipping. While the Internet opens the door to reach consumers outside their local area, many artisans don't want the hassle of setting up their own website, credit card processor or an e-commerce platform to sell online. While eBay and other DIY e-commerce sites have helped, Etsy has provided a special market for manufacturers. Etsy allows each seller to set up a custom online "store" full of e-commerce features using a simple setup wizard. It's easy, fast, affordable, and an effective way to reach consumers. That's why you should start your Etsy shop right now.
What to do before starting an Etsy shop?
Etsy is clearly a promising e-commerce platform for you. However, do not rush to jump in when you do not really understand and have a plan for what you sell. It will contain a lot of risks there. Here are some things you should make sure you do before opening an Etsy shop.
1. Decide on your shops’ niche
Etsy is a sales site for high-value art goods. Amidst a forest of beautiful and sophisticated artworks, it's not easy for you to sell your products. So you have to define your shops’ niche and make it unique so that selling products will be easier.
2. Research your product and your competition
As mentioned above, among the thousands of art products on Etsy, in order to sell your products, you need to research your products and rival shops carefully. You have to find an attraction for your products compared to other shops to emphasize it and make your items stand out.
3. Test your product on friends and order samples
Make sure your product has good quality when it comes to customers because it will be a decisive point for customers to continue buying other products from your shop. So please check the quality of your product carefully.
4. Plan a rough strategy for your shop
Whether selling on Etsy or on any e-commerce site, you need to have a specific and proper sales strategy. You need to have a clear plan on how to choose the product's image, how to transport the goods, how to handle it if there is a failure during transportation, etc. Planning ahead will help you run your business more smoothly and effectively.
5. Choose a name for your shop and buy the URL
If you already have an idea for an Etsy store name, congratulations. But make sure you have 3 different names to replace in case the name you give is taken. If you don't have an idea for a store name yet, try to give it a concise and impressive name like the products you sell.
6. Open a bank account and get a business credit card
Even if you already have a bank account, I recommend creating a separate bank account. From there you can track the revenue of your shop as well as calculate for the next business steps more easily.
7. Gather some SEO information
Marketing always helps. Knowing your keywords from the outset will help with branding. Thereby helping your products reach more customers.
How to start an Etsy shop in 2021?
You might feel a little overwhelmed when starting a new business on Etsy. Here are a few simple tips to help you make the process more manageable.
Collecting all the essentials before opening a shop will help the job run smoothly. Create your own Checklist to make sure your work is on schedule.
Choose a Name
Please choose a special and memorable name for your shop. Sometimes the names you choose may not be available on Etsy. Don't worry about that. Try adding the word “shop” or “boutique,” your location, or even your initials to the end of your desired name. And remember, you totally can change your name as often as you like before you open your shop by going to Your Shop > Shop Name. After you’ve opened your shop, you can only change the shop name one time. So choose smart.
Set Specific and Attainable Goals
If you're just starting out on Etsy, don't pressure yourself with too big goals. Start with small steps and specific goals. By doing well from the first small orders, you can fully manage larger orders in the future.
When people shop on Etsy with specific products, they often start searching by typing words and phrases in the search bar. As a seller, it's essential to think like a customer to determine which potential keywords that customers will use to find their items. To get the most out of keywords, start by brainstorming words or phrases that customers can use to find your items. Once you have a list of many possibilities, choose the most powerful ones. Go into the list editor and plug those words and phrases into your product tags, item titles, and the top of your item description. Once a week, check your Store Stats (under Your Store> Stats) to see which keywords are active and replace those that aren't with something possible.
Take Captivating Product Photos
Most Etsy sellers are not professional photographers. So I have advice for you: Take sharp, simple and illustrative photos that are the key to selling successfully.
Think Like a Brick-and-Mortar Store
Have you ever walked into a store that was so well-designed and thoughtful that it made you want to buy everything inside? To achieve that effect with your target customers you need to provide a selection of products that look like they are in the same category. Sell items at different prices to attract more buyers, encourage multiple purchases, and attract repeat customers. Even if you create a product, consider creating and listing it with different colors and materials. You can also provide a set of products to attract gift-givers. And finally, when you are ready to add a banner, make sure it fits your brand and complements your product design.
Done is Better Than Perfect
Sometimes our obsession with perfection limits what we can do. When you feel like you're holding back until something is absolutely right, remind yourself that sales are a testing process, and if you don't start, you will never know how to make it better.
How much does it cost when starting an Etsy shop?
Etsy provides a comprehensive e-commerce platform and payment system on which individuals can sell products. To create a store in Etsy, this cost is $0.20 for each item listed. For example, if you sell necklaces by hand and list four types of the same type, the fee will be $ 0.80 (4 x $0.20).In addition to this fee, there is a 3% transaction fee, and if the seller chooses to use Etsy's "Direct Checkout" feature, each transaction will cost 3% per transaction.
Compared to the cost of setting up a website with a shopping cart, and getting a merchant account (which also charges processing fees), Etsy is a reasonable alternative.
6 Tips on successfully selling on Etsy
You now have an Etsy shop and have started your business. So is there a way for your product to sell more and attract more customers? Well, I have some tips for you here.
1. Hire a professional photographer
People are about the visual. We want to see, touch, and feel products before we buy them. And if the product's image is appealing, it will help customers want to buy your product
2. Organize your shop
You should put every item on your list in the order you specify. You need to make a good first impression so that people who buy into your store see a professional layout.
3. Learn Etsy SEO
Etsy SEO is the key to driving sales. Etsy SEO is also based on keywords. Use as many valuable keywords as possible so that searchers can match your products and present your store in search results.
4. Optimize your pricing
Price has a direct impact on the quantity you sell. Find ways to cut production costs to make your margins higher. You can update prices regularly to reflect economic factors such as your raw material costs and your competition.
5. Keep good financial records
The right accounting can help you understand the direction your Etsy business is heading. It can also help you set goals and know whether you are profitable or at a loss. The more accurate numbers you capture, the more informed your decision will be.
6. Study the data
Use analytics tools to help you keep track of your business. Some products may sell more than others and you may need to remove inactive products and increase the number of active products.
3 Successful Etsy shops for your inspiration
For Dana Muskat, founder of the Etsy Big Stuffed store, the fun is in the details. Does she enjoy the creativity in choosing materials for her oversized marine life: Small or big eyes? Are the feathers soft enough? Each choice adds to the character of the pieces. After working with big fashion names, including Lanvin and Giambattista Vali, she realized she wanted to create something of her own. Dana began her undersea journey with a three-foot stuffed octopus she made as a gift to celebrate her granddaughter's birth. She opened the Etsy store based in Paris, France in April 2014 and started selling from the beginning. She started her business seriously when she started selling every day. Dana hopes it will become bigger. She wants to turn BigStuffed into a lifestyle brand and partner with her contacts from the fashion industry on new products.
Adi Kilav, Israel
At the age of 40, Adi Kilav decided to pursue his old dream. He went back to school to learn how to polish shoes. Later, he gradually built a thriving business from his studio in Jerusalem. Adi quickly went from taking regular orders to owning three brick shops in Israel. He sold his first pair of shoes in the Etsy store, Adi Kilav, in 2013. Since then, the Adi Kilav Shoe has become popular among shoppers in the United States and Canada and is currently gaining traction in Europe and Australia. He aims to provide high-quality customer service like his shoes, answer questions with speed, and personal contact. Adi sees his customer satisfaction with his products as essential to his happiness and success.
Vice and Velvet, Australia
Soap making has been a hobby for Mei Ong since she was a teenager. Mei opened her shop, Vice & Velvet in April 2012. She blends oils, butter, and scents to create her vegan products, including body scrubs, cleansers body, moisturizing mousse, and a variety of soap. Mei runs her operations from her one-bedroom apartment in Melbourne, Australia. One of Mei's signature products, the popular jewel-shaped soap as gifts and wedding gifts, is sourced from a customized order. Less than a year after Mei opened her store, she was mentioned in two articles - on the Etsy Blog and in O Magazine, Oprah Magazine - that marked a turning point in her business. In 2014, the spotlight reappeared in Mei, when she won the Etsy Design Award, recognizing Australian designers, in the housing and living category.
If you have artistic blood and want your artworks to be known to the public, Etsy is a great choice for you. The above are instructions on how to start a store on Esty. Hopefully, the above guidelines and tips will help you get a successful start on your first Etsy shop.