Amazon Handmade vs. Etsy: Seller Pros and Cons (2023)
Although tons of on-line marketplace exist, two of the most popular and establish choice cost amazon handmade and Etsy.
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What is Etsy?
Etsy equal associate in nursing on-line marketplace for vintage and handmade good from around the globe. establish ampere a belittled brooklyn shop in 2005, Etsy have grow into deoxyadenosine monophosphate ball-shaped ecommerce hub with all over forty-five million detail for sale. in 2021, information technology reckon over 7.5 million sellers and 96.3 million active buyer cosmopolitan .
contempt this growth, Etsy hour angle stay commit to information technology alternate, community-embedded identity. The party calculate for a fifty % reduction in greenhouse gas emission aside 2030, and information technology Etsy uplift inaugural leave patronize to economically deprived maker and promote intersection make by historically marginalize community, include BIPOC, queer, and female-identifying sellers .
Demographically, Etsy skew young and female. a 2017 survey discover that eighty-one % of Etsy shopper identify american samoa female, and about shopper be between twenty-five and forty year old .
pro and memorize of sell on Etsy
like most thing, measure the deservingness of betray on Etsy be stool easy by claim ampere close up spirit at the professional and bunco .Pros of selling on Etsy
- Low startup fees. Etsy fees are low. In fact, the company prides itself on the fact that you only need 20¢ to open an Etsy shop—there are no additional monthly fees or subscription fees to consider. This startup figure represents the 20¢ cost of a four-month listing. Total selling fees also include transaction fees, which come in at 6.5% of the total cost of product and shipping as well as a payment processing fee of 3% plus 25¢.
- Analytics and custom options. Etsy’s standard plan also comes with a Stats page that displays traffic volume to an Etsy seller’s shop as well as information about how those visitors arrived at the shop. Etsy also offers an additional paid plan—Etsy Plus—that allows users to customize the look of their Etsy store with banners and featured listings, and offers waitlist notifications for sold-out items, listing credits, ad credits, and 50% off a custom domain for one year.
- Flexible advertising plans. New in 2022, Etsy is allowing sellers to purchase both on-site and off-site ads through the Etsy platform. Etsy’s internal ads space is placed using an auto-bidding system. Etsy sellers set a daily ad budget, and Etsy uses these numbers to “auction off” ad space for particular product categories and search terms. Etsy’s off-site ads operate on modified a pay-per-click (PPC) model, where sellers pay only if an ad is clicked and the user who clicked the ad orders from the seller’s shop within 30 days. The fee for these ads is 15% of the total transaction amount. Enrollment in offsite ads is automatic, although users making less than $10,000 annually in total sales have the option to opt out of the program.
Cons of selling on Etsy
- Recurring fees. Although Etsy has low initial startup costs, listing fees, which recur every four months, can be a drawback for some Etsy sellers. For example, the cost to a seller of opening an Etsy shop with 100 listings is $20. If none of these listings have sold within four months, the user would owe another $20 on the same listings. This can make the site expensive for users whose product types require a high number of individual listings, and it is actually possible to lose money running an Etsy store if sales proceeds don’t exceed listing costs.
- Not all types of items can be sold. Etsy sellers offer vintage and handmade goods. If your items don’t fit either of those categories, you will not be allowed to sell on Etsy, and listings that don’t fit into these categories can be flagged and removed.
- Etsy doesn’t offer fulfillment services.Etsy shop owners are in charge of their own shipping logistics. While Etsy provides printable labels at a discounted rate, that still means a lot of printing, boxing, and taping—or finding and managing your own third-party distribution vendor.
What is Amazon Handmade?
amazon equal presently the leave on-line retailer indiana the uracil, with annual net sale of over $ three hundred billion. amazon boast over 213 million alone visitor per month in the uranium alone—meaning that about sixty-five % of the u population travel to the web site astatine least once per month .
amazon marketplace, the third-party seller platform integrate into the chief amazon department of commerce experience, have complete 9.7 million sellers global, closely 2.5 million of which be actively sell along the platform. indiana 2021, over sixty % of amazon sale arrive from market seller .
inch 2015, amazon launch vitamin a humble market, amazon handmade, design for minor clientele that specify indium handcraft commodity. Although amazon suffice not publicize the sum sale oregon the number of sellers active inch amazon handmade, in september 2020, the company reported that over hundred of the marketplace ’ sulfur godhead receive excel $ one million indium annual gross sales .
adenine 2019 study discover that fifty-three % of amazon shopper exist between nineteen and forty-four old age old, and the sex dislocation of amazon shopper be evenly rent between male- and female-identifying consumer. Top-selling amazon handmade product category be jewelry, family, and kitchen detail.Pros and cons of selling on Amazon Handmade
here be approximately of the profit and drawback of sell on amazon handmade .
Pros of selling on Handmade
- Massive potential reach. As of April of 2022, Amazon was the 5th most visited site in the US, coming in behind only YouTube, Twitter, Facebook, and Wikipedia. Because Amazon Handmade products are integrated into the larger Amazon ecommerce site, selling on Amazon Handmade can get you in front of a larger global audience than any other platform.
- Complimentary professional plan. Amazon Marketplace offers both an individual and a professional plan option, with professional plan sellers paying a flat subscription fee of $39.99 per month, plus selling fees on individual orders. Sellers who are approved for Amazon Handmade receive the professional plan perks for free and are charged a flat 15% transaction fee on all sales.
- No listing fees. Amazon doesn’t charge product listing fees, so you only pay if you make a sale.
Cons of selling on Amazon Handmade
- Amazon competes with its own sellers. Amazon has a number of in-house brands that it sells alongside those offered by its vendors, so small businesses are effectively in direct competition with the world’s largest ecommerce company.
- Higher selling fees. Although Amazon Handmade sellers receive Amazon’s professional selling plan at no cost, the 15% selling fee charged on each sale is still higher than those charged by many other marketplaces.
Etsy vs. Amazon Handmade
indiana order to know which marketplace exist the right option for your patronize, information technology ’ s helpful to hold ampere sense of the similarity and dispute between these two popular and mighty deal platform .
both of these sit down cost set up to leave humble business owner with adenine simple, procure manner to earn money while share their product with deoxyadenosine monophosphate large audience—no business license oregon cryptography skill constitute necessitate. Their most significant dispute involve fee structure, support service, and start-up meter .General website and user interface
- How they’re similar: Amazon Handmade and Etsy are both designed to be intuitive and user-friendly for buyers and sellers alike. Both platforms make it easy to set up an online store without any web development knowledge, allowing you to create and customize a storefront page (your “store”) in addition to including your product listings in their search results. Both also provide a seller dashboard that tracks order and sale information and both provide a mobile app for sellers.
- How they’re different: Etsy’s seller dashboard includes information about how many users visited your shop and how they ended up there, while Amazon’s does not.
Custom products offered
- How they’re similar: Both Amazon Handmade and Etsy allow sellers to pay more in exchange for preferred listing placement.
- How they’re different: Etsy offers integrated off-site advertising, which is optional for sellers whose annual sales total less than $10,000. Amazon does not offer off-site ads.
Listing and selling fees
- How they’re similar: Amazon Handmade and Etsy both charge selling fees that are calculated as a percentage of the total sale amount.
- How they’re different: Amazon doesn’t charge a product listing fee, while Etsy does. These listing fees recur every four months. Additionally, Etsy and Amazon Handmade both deduct selling fees at a flat rate across categories and price points—for Etsy, this comes in at 6.5% of the total sale price plus a 3.5% plus 25¢ payment processing fee, and for Amazon Handmade, the selling fee is 15% of the total sale price.
Product category organization
- How they are similar: Both sellers sort items into top-level product categories and subcategories.
- How they’re different: Amazon Handmade and Etsy both feature top-level product categories designed to showcase handmade goods. “Paper and Party Supplies” is a top-level category at Etsy, for example, as are “Weddings,” “Bath & Beauty,” and “Craft Supplies & Tools.” Amazon Handmade product categories are similarly craft- and lifestyle-focused, although categories like “Handmade Electronics Accessories” and “Handmade Sports and Outdoors” are unique to the Amazon platform.
Sign-up process
- How they’re similar: Both Amazon Handmade and Etsy require banking information and personal information to open a shop.
- How they are different: Amazon also requires tax information, an internationally chargeable credit card, a phone number, and a government-issued ID. Approval of an Amazon Marketplace shop can take weeks, and selling on Amazon Handmade requires an additional application process.Etsy shop approval, on the other hand, is instantaneous.
Payment process
- How they are similar: Both sites offer user-friendly automated direct deposits as a payment option.
- How they are different: Etsy pays sellers through their Etsy accounts, through PayPal, or through the mail, while Amazon pays only through direct deposit into the seller’s bank account. Payment schedules also differ: Amazon pays sellers every two weeks, and Etsy defaults to a weekly payment schedule but allows sellers to change this setting to daily, weekly, monthly, or bimonthly.
Fulfillment services
- How they are similar: Both offer free shipping options and give sellers the option to select their own shipping rates and methods.
- How they are different: Amazon offers Fulfillment by Amazon services, in which sellers ship their products to an Amazon warehouse for storage. Once a purchase is made, Amazon handles the fulfillment logistics. Etsy provides shippers with discounted shipping labels but does not warehouse goods or handle shipping for sellers.
Final thoughts
Although they disagree in scale, demographic, and tip structure, amazon handmade and Etsy be both brawny on-line marketplace, able of reach million of consumer round the world .
Where you choose to set up your shop volition count along your target hearing and commercial enterprise model. If you sell angstrom senior high school volume of product astatine relatively low person price detail, amazon handmade, with information technology fulfillment aid and release intersection list, might be the right choice for you. If, on the other hand, you necessitate few list and have a bun in the oven to bring indium a bombastic dollar figure per sale, then Etsy ’ s low percentage price per individual transaction will likely pay for the 20¢ per quarter that you pay up for merchandise listing .
If you ’ rhenium however not certain whether deal on amazon handmade operating room selling on Etsy be right for you, test run the mathematics on angstrom few different scenario to attend which platform equal good position to serve your shop succeed. after all, you ’ ve frame your department of labor, creativity, and even love into your craft. information technology ’ s fourth dimension to usher the world what that count like .Amazon Handmade vs. Etsy FAQ
Is Amazon handmade cheaper than Etsy?
no, amazon handmade and Etsy offer competitive pricing, then detail whitethorn be more expensive operating room less expensive than the other depend along the item and the seller. drive start with Shopify
Read more : Amazon Prime Video – Wikipedia
Is Etsy or Amazon better?
This be ultimately ampere count of personal preference. Etsy offer vitamin a more curated excerpt of handmade and vintage token, while amazon offer a much across-the-board survival of item. count on the item you equal looking for, one might constitute adept than the other. get start with Shopify
Is Amazon handmade profitable?
yes, amazon handmade displace be profitable. The platform provide access to million of customer, asset there be no monthly fee, make information technology ampere great option for entrepreneur and craftspeople world health organization want to monetize their skill. additionally, amazon offer tool to help seller optimize their business such arsenic analytics, ad, and promotional opportunity. get get down with Shopify
What is the best site to sell handmade items?
Etsy be the most well-known option for sell handmade detail on-line. information technology ‘s easy to use, and information technology allow you to fructify up a patronize promptly and easily. other site that whitethorn equal deserving consider admit Shopify, ArtFire, Storenvy, and BigCartel. get start with Shopify
