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6.1

Overall Score

Author: Kalicia Bateman

LAST UPDATED: March 27th, 2022

Etsy was originally launched in 2005 by a small company known as iospace. The name of the platform was carefully picked because the executives wanted a "nonsense word that could be built into a brand from scratch." Etsy garnered attention within its first year due to the added tools and functionality that allowed business owners to see improved traffic and exposure. After seeing tremendous growth and rapid revenue and sales increases, Etsy finally went public in April of 2015. Today, Etsy is valued at $1.8 billion. Etsy is designed to help both sellers and buyers, allowing business owners to connect with their niche markets.

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The Good

  • Business Management Tools
  • Hassle-Free Shipping
  • Seamless Payments
  • Search Features
  • Additional Features

Business Management Tools

While simple, Etsy has created a number of tools and provides resources to maximize exposure and traffic based on targeted searches by prospective buyers. These tools increase flexibility and potential to maximize profits. Resources include the following:

  • Business management from anywhere: Etsy has the "Sell on Etsy" app which allows business owners to manage orders, update items, and respond to customers from mobile devices.
  • Promotional tools: Whether it is through social media or other forms of exposure, Etsy provides sellers with the ability to promote their listing to drive and even increase traffic.

Hassle-Free Shipping

Sellers do not need to worry about the logistics of shipping because shipping labels can be printed directly from Etsy. Sellers who use Etsy also receive discounted pricing on USPS postage. Etsy also previously rolled out a buyer Free Shipping Guarantee for U.S. orders over $35.

Seamless Payments

Etsy takes care of all payment processing so the seller does not have to worry about it.

Search Features

Etsy isn't just for those looking to host an online shopping cart. It has created a platform that is easy for consumers to navigate and purchase products. Consumers can search the entire e-commerce platform and browse through various categories and products to find exactly what they are looking for at a price they are willing to pay. Not only does Etsy come with descriptive categories, consumers can also use advanced search options to narrow results and cut down on browsing time. Each category also comes with sub-categories to provide a more targeted shopping experience.

Additional Features

Etsy also offers order and negative feedback management, which can help a lot in the marketplace if a problem arises. It also leaves the ability to leave a review, for a customer to express their opinion. The general idea of these features seemed to be based on feedback from merchants, to improve the website. 

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The Bad

  • Fees
  • Privacy
  • Third Parties

Just like any other e-commerce platform, there are some areas that could be improved.

Fees

There are additional fees that come with selling on Etsy. After a "store" is created by business owners, it will cost them $0.20 per listing. There are no limits to these listings, but the seller will need to cover listing costs. This listing will remain on the market for four months or until the item is sold. After the four months is up, the seller will need to pay for the listing again. Etsy costs include the following:

  • Transaction fees - 5 percen of the listing price (this includes the charge for shipping and gift wrapping)
  • Shipping costs - to be covered by buyer or seller
  • Quarterly listing costs - 20 cents

Privacy

Users have expressed concerns regarding their privacy. In late 2013, Etsy created a feature that allowed users' buying and selling histories to be searched which traced transactions. This meant that Etsy users were now connected to others who had similar buying or selling histories. However, this feature was automatic and no permission was/is obtained by the user.

Third Parties

Customers who purchase products on Etsy should also be aware that sellers are now able to use third parties and factories. That also means that products can be drop shipped directly from manufacturers and no longer go through the seller. This can be deceiving since Etsy is known for being a platform for selling handmade products.

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The Bottom Line

Etsy was originally designed to help people sell their homemade products, functioning as a side business. However, it has grown to the point where some business owners strictly conduct all of their business online through the Etsy platform. Benefits of using Etsy as an e-commerce platform include the following:

  • No monthly payments
  • Secure and seamless transactions
  • Automatic deposits
  • Seller protection
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Star Rating

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4.4

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106 Reviews

Review Breakdown

5 grade

62%

4 grade

25%

3 grade

7%

2 grade

1%

1 grade

5%

Sentiment Criteria

Value

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Quality

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Service

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scotty Saint Paul, MN

its very easy to use and setup a online store. Pretty much Just drag and drop. They have multiple templates for different style websites or stores for you to use. have informational pages where you can tell buyers about the shop, different graphics, and premade templates for loading your products on there. But with all that they take 12% of ea sale. That's with the discount cause I hit so many sales in a year. Then your shipping costs arent too bad but can get pretty outrageous. If there's anything left over that's your net. It's very easy for beginning people wanting to get into online sales but eventually you will out grow it

4 years ago

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Dana Hatfield Bullhead City, AZ

I have been working with Etsy for about 8mo now and have been happy with the results I have seen. I found setting up the account a little daunting at first, but as I followed the instructions it got a lot easier. The fees charged are nominal compared to the services they provide. Etsy makes the transaction between seller and customer flow seamlessly. I am not only a seller on Etsy but a happy customer. I have always been satisfied with my purchases and appreciate how easy it is to find the most incredible gifts. All the way around Etsy is a quality company, one I plan on doing business on both sides for years to come.

4 years ago

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Brittney Mac Gregor Louisville, KY

My main business uses Etsy, to market and sell to customers. It's a great site and software. I've noticed that when I introduce a new product, I end up making a lot of sales within the first few days and I think it's because Etsy highlights new items to customers, although I'm not sure. After a couple of days the sales slowed for the new product. We have had a lot of success. The company is not without cons however. It is annoying how much of your sales Etsy skims off the top. It ends up being something around 20% of my total sale including the listing fee. I will never be happy about that. Other than that, I think it's a great ecommerce tool.

5 years ago

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Mario Martin Splendora, TX

For years I had been interested in purchasing a used "cigar humidor" for my office. I hadn't had very much success in my search because of various reasons ( size, style, and price point). It was suggested to me to try Etsy, and "wooow" after my first site visit I actually found a few "humidors" to my liking, so I purchased two! Lol Afterwards, I had experience some difficulties selling a larger cabinet style "cigar humidor", so I decided to use Etsy to sell my cabinet humidor and I found a buyer in less than a week later. I have found Etsy's buying and selling process accessible and amazing!

4 years ago Edited February 11, 2022

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Lisa Wyatt O'Fallon, MO

I've face masks and shirts off of Etsy before. The items always came in great condition and almost what I ordered. I ordered a tee shirt once in honor of my son. When the shirt arrived she spelled his name wrong. Otherwise they'd be getting a 5 star.

4 years ago

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Marianne Parsons Provo, UT

A lovely website business that has a wide variety of wares - most of which are nice. The only downside is that some sellers spam the search engine (ie: looking for one product gives several pages worth of one seller’s products which only loosely fit the definition (not necessarily a bad thing)). The ease of communication with the sellers is quite nice.

7 years ago

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Ashley Ulibarri Herriman, UT

Etsy makes it so easy to set up a sellers account and to start selling. They offer so much information in order to help you be successful and I love being part of a marketplace that has built in marketing, the only reason I didn’t give it 5 stars is because I do feel the transaction fees are a bit high.

6 years ago

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Kimmi Riverton, UT

I have found some really great things on this site. I find it hard to search for items I'm looking for. I'm not sure if that is the sellers listing issue or the search feature. It is a great place for someone to start out selling their items.

6 years ago

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Jon Scoresby Saratoga Springs, UT

Sometimes the filters seem to not work very intuitively. But the functions of buying items online, communicating with sellers online, and leaving feedback have all improved over time. It's a great option for finding unique gifts as an eCommerce option.

7 years ago

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Mason Allen Provo, UT

As an Ecommerce software, Etsy seems to function well. It is quick and usually easy to use. Sometimes the software interface can seem congested but I haven't had an technical issues yet.

5 years ago Edited September 14, 2021

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Desiree Pleasant Grove, UT

If you are looking for a place to sell your creations online, Etsy is the way to go. Etsy has a variety of cute creations, that people LOVE. Although the shipping can be a difficulty, it is a great e-commerce store.

5 years ago Edited September 14, 2021

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Msindoni Pembroke Pines, FL

Etsy offers some pretty great, unique, and personalized products. The only thing I have to comment on is that they don't ship out your order right away so make sure to order in advance.

6 years ago

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Jacob American Fork, UT

Etsy makes it really easy to make money on your side hustle or hobby. With great user interface and quick customer service, it is easy to sell your own products, and find products for gifts and home decor.

6 years ago

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Zac Marx Brighton, CO

Etsy is great for selling homemade products. The user interface is simple, clean, and easy to understand how to post items for sale. I have been able to connect easily with interested buyers.

7 years ago

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Jada Scott Provo, UT

I use Etsy to sell my hair accessories and it's a great way to reach an audience who is looking for unique, handcrafted items. It takes work to develop a following but it's definitely worth it.

7 years ago

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Hadley heaps Lehi, UT

my mom used to use Etsy for a company she was creating. I used it on my moms account too. I helped her model a few of her products. I love that you can see lots of peoples ideas and creations on there.

7 years ago

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Maile Curtis Salt Lake City, UT

Etsy is great! I bought many things and sold many things in this website. The mobile app is functional and user-friendly!

9 years ago

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Inara Jivanee Katy, TX

I think Etsy was a really cool website, I found some pretty cute decor pieces for my dorm and it was nice knowing I was supporting a small business during this time.

5 years ago

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Wendy Liu Bethesda, MD

A great place to sell my artwork, the website is easy to navigate and it has a bunch of options for displaying your work. Super easy to communicate with potential buyers.

6 years ago

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Deanna Bernard Miami, FL

Etsy is a great site to sell items on. I sold multiple items on Etsy that sold out as soon as it hit the site. The site’s operation is great and highly recommended .

6 years ago

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Rachel Butler Provo, UT

I love the products on there, but as a potential seller who looked into using the platform to produce, it was too confusing.

5 years ago

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Kathryn Robinson Riverton, UT

I love the product selection on Etsy. I have used it occasionally as a buyer, but often can find better prices from other sellers.

6 years ago

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amy rex ,

Etsy makes it easy to sale and buy handmade goods. The ease and convenient of the site makes it great.

6 years ago

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Kyle Provo, UT

Awesome content. Great platform for creators to sell goods. Sometimes the UI can be confusing.

5 years ago

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Leisha Logan, UT

Etsy is a great platform for getting your store started!! However, their fees keep going up.

5 years ago

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Brittney Miskin Riverton, UT

Etsy is great at selling your product online. Their software is very user friendly.

6 years ago

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Annie Orr Provo, UT

I love using Etsy to sell my products. It is so easy to manage my products and inventory!

7 years ago