Etsy News: Q1 Etsy Marketplace Update (Getting Worse!)

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In this first edition of my Etsy News report, I deliver an Etsy Marketplace Update of information from Etsy's 1st quarter 2023 earnings report to Etsy investors. This information is of major importance for Etsy dropshipping, to Etsy print on demand sellers (Etsyt POD), sellers of Etsy digital products, and anyone else selling on Etsy. In this report, I discuss trends in the number of buyers on Etsy.com, the amount of sales in the Etsy.com marketplace (showing trends in both U.S. sales and non-U.S. sales), a shocking change in the number of Etsy sellers (aka the number of Etsy shops), and the latest - as of 1st Quarter 2023 - average sales per seller.
Your host in this video has an undergraduate degree in Economics, an MBA in finance from Cornell University, earned the CFA charter (Chartered Financial Analyst), worked as an equity research analyst at top Wall Street firms, and has been the CFO of several software companies.
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Опубликовано:

6 май 2023

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Комментарии : 157

@TheBestWill Год назад

Do you find this information helpful? Please let me know, and leave any questions below for our growing community to answer! Also, please share this video, and be sure to watch the last one, too, where I analyzed Million Dollar Etsy shops and warned about changes in the Marketplace: ru-vid.com/video/%D0%B2%D0%B8%D0%B4%D0%B5%D0%BE-ZyypCuTZaXk.html

@ravenology3551 Год назад

Im loosing fait tbh and starting to think that selling on Etsy is not so healthy anymore.

@gailm1743 Год назад

If Etsy got their act together when it comes to search, there might be more sales. They fill the search results with irrelevant items when I am searching for something specific, which is very frustrating. I always search as a guest so that Etsy doesn’t have any pre conceived ideas about what items may be relevant to my keywords.

@TheBestWill Год назад

Great tip - I do the same thing - search as a guest to see what Etsy shows in results. Maybe even clear your browser cache first to remove any cookie that might be there, in case it impacts search results, because it's possible (although I'm not sure) that Etsy puts a cookie on your computer and still recognizes you even though you're a guest.

@itsjojo7360 Год назад

It probably doesn’t help that sellers are using irrelevant keywords hoping to trick an algorithm. But they can’t trick the buyers. If I’m searching for a cat beanie, I don’t need a cat themed spoon to show up in my results. But some sellers don’t understand customers at all

@judywall576 Год назад

If you have a second email account you can search using that one.

@RyanGalloway Год назад

Etsy News... What a great idea! Your channel is going to go viral!! There's so much great data that you share with the Etsy seller community. Thanks for providing all that you do!

@TheBestWill Год назад

Thanks, Ryan! I appreciate your support.

@JenniferP-Art Год назад

I’m a contemporary artist who opened my first shop on Etsy about a year ago. Etsy is flooded with fake, cheap art from China thanks to dropshipping, and the shop owners lie about the art being “homemade”. Etsy allows this to happen because all they care about is profit. I cannot compete with this and have decided to start my own website. I don’t see this approach working for Etsy in the long run.

@kaima8002 4 месяца назад

did you make the website, if so how is it going?

@JenniferP-Art 4 месяца назад

@@kaima8002 I forgot to mention that I am selling more than when I was on Etsy. A little more work to find buyers but it's building slowly.

@rochellepizza5802 Год назад

I’ve binge watched your RU-vid channel today. I love the information that you are providing. Great job and Thank You

@TheBestWill Год назад

Awesome! Thank you!

@Back_To_Basics Год назад

After being on Etsy for almost a year now, I’m glad that it was just a creative side hustle that I’ve always wanted to try. Yes, some sellers do seem to make a lot of money selling on Etsy, but most end up paying more money in fees and ads in return for meagre sales. Also, there is a lot of work and time involved on working on your product listings as well as customer service. It’s definitely not a passive income side hustle that most RU-vid gurus tell you.

@TheBestWill Год назад

I've been hearing that from a lot of people. Yes, some manage to do well, but so many others put in a lot of time but don't sell much. Thanks for your comment!

@YogaBlissDance Год назад

Talent is important- like anything, the object has to be good, PLUS YOU NEED marketing skills. The guru's ALWAYS leave out actual talent esp if it's art or design. Those do take skills.

@TheBestWill Год назад

@@YogaBlissDance So true! Thanks for highlighting those points!

@FallenAngelBrass 10 месяцев назад

Most people vastly underestimate just how much time, education and work a successful Etsy shop requires.

@moniregb5682 Год назад

Excellent video. I am part of an Etsy buyers and sellers group on Facebook and lots of sellers are all saying the same thing, that sales are down to the point where they can no longer survive and will and are closing their shops and are going back Into the world of the workplace. With half a million new sellers, it's not surprising. I can't see things Improving either.

@TheBestWill Год назад

Wow, sorry to hear that. Thanks for the insight!

@FallenAngelBrass 10 месяцев назад

I'm a long time Etsy seller (from 2008) and so appreciate this new series. Many thanks. Subscribed!

@HeatherValentineMsFoodie Год назад

When Etsy stopped with handmade, they then became a company who was competing more with Amazon…😢 Etsy lost that magic sauce it had. I’m still grateful for all my Etsy stock I got when they went public ❤

@JayBenedictBrown Год назад

Best analytic videos about Etsy on YT. I think I’ve made this comment before, but I sell sculptures I create on Etsy. Been doing it for almost 4 years. If One searches for abstract sculptures and looks at the top 64 results, it appears well over 50 of those are mass-produced, probably in China. I don’t know how you would ever find the data, but I really wonder if Etsy is nothing more than a Chinese distribution channel at this point. And the more discerning buyers, that is, more upscale buyers, have figured that out.

@TheBestWill Год назад

Thanks, Jay, appreciate the compliment! I remember you making that comment earlier, and I've been thinking about it. You may be right, but I have no basis for that other than conjecture. I checked out the Etsy API a few days ago, and it appears developers can use the API in software tools to manage their stores in bulk. Theoretically, that would allow a clever person to use software to easily bulk-load huge numbers of listings into Etsy. If you're a Chinese (or any other low-cost) manufacturer, load up Etsy with listings, and ship from your factory.

@VoidToForm Год назад

Gosh, I should've got in earlier, I resisted until now... I would think my work would do well considering my jewelry is made from scratch entirely in my studio, unlike so much on etsy, but so far I have paid etsy more than the one sale I got being on one and a half months. So far my conclusion is that Etsy is more concerned making money off us, than with us.

@1bullneck1 Год назад

Don't give up. The largest portion of new Etsy sellers are selling AI stuff. Jewelry niche should still be healthy.

@mariecreativity9065 Год назад

@@1bullneck1I hope. I sell mostly bracelets, and opened March 26. I have a handful of sales but was hoping for a faster start.

@Qwijebo Год назад

You can bet that your items will be copy/pasted by Chinese accounts, they will buy your product and actually have you ship it to a domestic address, this is done time and time again

@Jeniveve Год назад

You’d expect to see growth with sellers, however, there are plenty of “active” stores that are “inactive” and dead stores, so yes, the competition grows every year, but the numbers aren’t totally accurate with the players that don’t totally leave, but are obsolete.

@jingojimsjungle Год назад

Good day to you Mr Lee. I too am at the mercy of ETSY and their opaque practices. I had my store items de-listed in the name of protecting marginalised groups from 'hate"! Me, a P.O.C just trying to eek out a small sum from selling custom tees.

@MartinSchmidt-wn4zv Месяц назад

Hi William, your video is super helpful! I was looking to start selling art and crafts by various artists on Etsy. Your professional, in-depth, and transparent information has definitely moved me in a positive way from uninformed optimism to informed pessimism. I'm hoping to push through the valley of despair and reach informed optimism and success soon :) Thanks for sharing your knowledge - it's exactly the kind of info I was looking for.

@alexandra6188 Год назад

Yeahhhhhh, I’ve already jumped ship on Etsy and am currently in the process of opening my own Shopify store. I discovered that their customer service was nonexistent when no one decided to answer my emails or calls 2 weeks in a row. For a place that’s “famous” for encouraging individual artists and the like to start up their own business, they sure couldn’t give less of a shit about those individuals. My realistic advice for newbies or even seasoned veterans is that if you’re not making much from your shop (or anything at all), you may consider just avoiding this company and seek out other alternatives. 🤷🏼‍♀️

@jingojimsjungle Год назад

Hi, had the same negative experience with their non existent customer service! But which alternatives?

@alexandra6188 Год назад

@Jingo Jim's Jungle Honestly, I'm trying Shopify's $1 for 3 months trial to see what all they have to offer, and without paying for any ads or anything, I already have more views on my store than I did on Etsy when I first started out. I haven't even posted on social media or anything yet about my store, which is the next step I'll be taking before paying for ads. :3 If you ask me, that's probably the best alternative out there yet. You'll be more profitable in the long run I'm sure, because this way you can truly develop a brand without a bigger name being over your company's. I already bought my domain through Shopify, and it only costs $15/yr.

@goilo888 Год назад

@@alexandra6188 Problem is Shopify’s fees are more than I’m currently making on Etsy and I know for sure I’d make even less on Shopify. Personally, I’m looking into Zazzle and signed up (for the second time) a few months ago.

@jingojimsjungle Год назад

@@alexandra6188 Hi. Thats very helpful info. Thank U

@jingojimsjungle Год назад

@@goilo888 Zazzle? I'll look into it. Thank U

@Qwijebo Год назад

I used to make a fair income on ETSY but lately in the past couple of years a lot of crap and copy/paste items have been showing up and I did some research and learned that 75% of these new shops are based in China that use American or Canadian addresses to sign up. The market for everything is heavily over-saturated. Redbubble is dead because this (Chinese owned) platform has upped their fee structure. Ebay used to be good but it has also gone down hill. Etsy was the one good place for crafters but not anymore. It's a shame that ecommerce has been taken over by grifters, scammers and drop-shipping firms.

@TheBestWill Год назад

Thanks, John. I've been hearing that from long-time sellers - it's a lot tougher now than it used to be.

@solarpunk_ Год назад

Thanks for this. This is really valuable analysis from somebody who clearly knows this stuff. I really hope that people understand the value provided to them today and what it actually means for them if they’re considering selling on Etsy. Thanks again and keep going!

@TheBestWill Год назад

Thanks, Tim! Very kind of you to say so.

@sirbunk 7 месяцев назад

Thanks for the updates! Many of those active sellers are drop shipping and get their accounts blocked. They stay as an active seller incase of product returns or any issues a buyer might have. Their payment account must stay active as Etsy will put a hold on deposits to make sure any customers that want a refund, can get one.

@jennatsedensodnom7526 Год назад

I love your analysis. Thank you so much for the info!

@TheBestWill Год назад

Thank you!

@ShannonMcDowell71 Год назад

Thank you for sharing this information, it helps to put things in perspective.

@stepbystep_art Год назад

Thank you so much for the insight! This is really good to know as I am planning to open an Etsy shop soon, and there's so many 'biased' views about Etsy (esp. because the videos are made by Etsy coaches). I will be definitely following you and your content :)

@nikihunter6469 Год назад

Thank YOU so much. I subscribed. ❤

@TheBestWill Год назад

Thanks, Niki!

@bazstoryvibes Год назад

Thank you very much

@whiteshoshanim Год назад

Always appreciate your insight and analysis. 😊

@TheBestWill Год назад

Thanks! Glad to do it.

@Solelements Год назад

Hey thanks again for another video filled with great info man. Keep on keeping on.

@TheBestWill Год назад

Thanks!

@ravenswood118 11 месяцев назад

It is so refreshing to see someone with real business experience actually breaking Etsy down this way. Most Etsy videos on RU-vid are just young people who haven't had that kind of success themselves, telling you you can make $1 million selling mugs, hoping you'll click on their affiliate link. So far, my Etsy success has been very modest (I made $15k but it took a couple of years, and the amount of time I spent designing was insane). I'm ready to work hard, so I'm looking for more videos about how to actually be successful on Etsy, in realistic ways. Keep making them and I'll keep watching!

@kaanmutafoglu4470 Год назад

Great knowledge about Etsy. Thank you for the hard work put into this video.

@TheBestWill Год назад

Thanks!

@shagures Год назад

Love your style of analytics! One comment on your findings maybe is that you assume every seller is getting some sales and that the sales have dropped slightly for everyone, the truth is that only a handful of sellers are getting sales, and the sales have dropped dramatically for them.... The reason for the decrease in overall sales value may be explained by the fact that a lot of influencers are recommending digital goods for " lazy and broke" :D so as these new sellers join with the digital goods that normally are much cheaper, the average value per sale goes down. I'm also surprised that people still advertise on Etsy. Since they changed the setup and you are no longer able to set CPC the ads have become useless - they don't perform and I have tried many recommendations. Plus now they make you pay for the ads that bring traffic from outside of Etsy as well, so it is quite clear where the income from ads comes...

@TheBestWill Год назад

Thanks - some great input to the discussion! Much appreciated.

@randomstuffman01 10 месяцев назад

Good video. Thanks. toronto canada. I casually look at Etsy, but this commentary from you is interesting.

@imagecollections6665 Год назад

Etsy are so dodgy. My sales dropped to a 10th of previous sales in Feb 22 & never recovered but we get around the same sales total every month since no matter how far ahead we get at any point in the month. I sell prints and the market is so flooded now i focus more on ebay.

@bellblue5527 Год назад

Selling on Etsy is more expensive, profits are less and sales in our shop are significantly down, almost half what we earned in the previous year. The fees are out of control. We even have to pay fees on postage 6.5% to be exact? The buyer pays the postage but the seller has to pay a fee meaning you either take the cut or charge customers extra which in my book does not seem fair to the buyer and I choose not to increase the postage fee. You have... Listing fees Transaction fees Processing fees Regulatory Operating fee VAT on seller fees and...Marketing fees due to previous years earnings was locked into marketing fees. So how it someone clicks on an ad for Etsy then buys something from our shop we pay a marketing fee by force. If we were under a certain threshold of annual earnings we could have opted out. We are below that threshold now but are still locked in. Etsy used to feel like a community not anymore. We are paying more yet selling less year on year. I'm not at all surprised by your findings. The place is supposed to be for creators and vintage sellers get is flooded with people reselling items you can buy on shien, Amazon etc. I love in hope it will revert to the previous years but that hope is dwindling if I'm honest. Search popcorn brooch on Etsy and see how many are reselling new cheap brooches as vintage which are clearly not. Etsy doesn't care that they are violating sellers policies, all they care about is money!

@bellblue5527 Год назад

*live in hope 🤓

@TheBestWill Год назад

Sorry to hear that, but that's my observation, too. I appreciate your comment, so others can get a glimpse of what's going on.

@TheBestWill Год назад

@JustAGirl You're right. Selling in a marketplace (like Etsy or others) is kind of like Walmart letting you put your goods up for sale on a shelf inside one of their stores. Yes, there is a lot of traffic through there and you might sell things - maybe a lot - but the customers belong to Walmart, not you.

@FallenAngelBrass 10 месяцев назад

The postage sellers charge is considered income by Etsy (and the IRS) so that's why 6.5% is charged on the postage collected from the customer. Most marketplaces charge a fee on the transaction total, which includes the postage paid by the buyer. Normal.

@DevonaRavenhold Год назад

Etsy has become such a modge podge of things that are no longer focused on only handmade items. There are now plenty of items that are mass produced included now. Personally I would like to see them break out into multiple different website factions that each have their own tab like handmade would have its own tab and the other products would have their own groupings so that way people who do want to focus on items that are handmade will have that opportunity to do so

@TheBestWill Год назад

That's a really good suggestion! It would really help the truly handmade artisans that sell on Etsy, which is what it's roots were as a platform.

@neerajhshharrma6824 Год назад

Thank you.

@mokgatlha Год назад

this is very helpful, in many ways ...

@TheBestWill Год назад

Thanks! Glad to help.

@cunrah Год назад

Great video Will! Love your stuff. Keep it coming :-)

@TheBestWill Год назад

Thanks, Dan! Appreciate your support!

@cunrah Год назад

@@TheBestWill Not a problem, I found you via Ryan. He's also one of the greats in this space. Your business mindset (like me) works for how I attack my businesses, I've seen a real downturn on my Etsy stores and this is evident from the data you've shown, 500k more sellers is a mental statistic! If you're able to, an update on ETSY's accounts every quarter would be a great video to see every few months (for me at least!) - Liked + comments for your algo, I hope this pushes to more viewers, your quality content need more eyes. :-) Take care! Dan.

@TheBestWill Год назад

@@cunrah I agree, Ryan is really good!

@melodeelucido1446 Год назад

Thank you for this info William. It's not good news but it's good to know. I am a new seller on Etsy so anything I can learn helps. I look forward to your next Etsy video 🙂

@TheBestWill Год назад

Thank you so much!

@pricklypear7934 Год назад

Unless you have extra $ for their forced ads and fees, already established customer base, and a product that is in trend or not already oversaturated, then you are better off with an alternative site. If this is a hobby, really research before going all in on Etsy. If you have an original design then get a trademark/copyright to protect yourself. I know several big name designers in a class action suit against Etsy due to copyright infringements. If it's your design, you deserve to get paid. I had a store in the very beginning. When they went nationwide. I closed all of my stores with them in 2013 due to their forced, backstabbing ways. I went from making $3/month to $1200/month so it was good hobby income. But it was full time work. Really invest in learning about your product, your products' projected timeline(google search or even an AI can help you find this), future trends, and your goals. Write out your long term & short term goals, a business plan(Google search can help you get ideas), and rest a day after all the info gathering. Breathe, then make your decision to stay with them or find another venue. Social media like FB, Insta, Tiktok and Pinterest are your best advertisement platforms for e-commerce.

@christinehoffman1825 Год назад

Thank you 😊😊😊

@TheBestWill Год назад

Thank you!

@CinthiaSingletonbycinbyhand Год назад

I've been with Etsy since beta... I could tell you stories but, all in all, no more putting all my eggs in one basket. ; )

@rolandhawbibata8029 Год назад

I’m willing to quit Etsy. I was starting to sell on Etsy and all of a sudden no sales since February 😢

@tsabath05 Год назад

I just found your channel yesterday and love the information. I was just recently considering starting an Etsy store myself. Have to say though, grow back the beard. It looked great on you.

@TheBestWill Год назад

The beard is my "winter coat"! I'll bring it back in the Fall! Thanks re. the channel!

@cameralance Год назад

This is the kind of real information we really need!

@TheBestWill Год назад

Thanks, Lance!

@MibaCallabus Год назад

I'm glad I saw your videos before getting into Etsy selling. I know I don't have the energy, and don't produce the quantity of goods needed to really make it on Etsy currently.

@TheBestWill Год назад

Etsy is tough, although some people do make it work. The important thing is to understand it BEFORE deciding to jump in.

@jeffb5858 Год назад

I'd be interested to know how many of those 500,000 new sellers are print-on-demand or otherwise digital download shops. The fact that overall sales are down YoY isn't at all surprising to me based on inflation and other economic factors over the last year. I sell woodworking stuff in my shop, and recently started selling much larger and more expensive items ($1,000+). I've been more than a little shocked at the number of them I've sold. I have a lot more to work on to get more sales - primarily developing and building other products (only like 8 listings in my store). That's where my growth potential exists, I think.

@TheBestWill Год назад

That's fantastic (your success selling expensive, woodworking stuff)! I'm not surprised, though. It sounds like yours are differentiated products, so few/no copycats. Re. the 500,000 new sellers, I'm inclined to agree that probably many/most of them are POD or digital downloads.

@YogaBlissDance Год назад

AWesome! It's not all doom and gloom

@artist3515 Год назад

Thank you, this video is telling me that selling on Etsy is too competitive and the only ones making money is Etsy. I am looking at where else should I go to begin my online store. Can you make videos on selling on eBay and Shopify etc….

@TheBestWill Год назад

Good suggestion. I've been thinking about that, so maybe...!

@SaveThatMoney411 Год назад

City on fire!

@roxcastaneda Год назад

The truth is always welcome.

@sparkongifts Год назад

Great video! Have you been able to find any demographic data at all for Etsy buyers? I find it so odd not to know anything about the buyers (age/income level/locations) - I’m curious to know how much the average Etsy buyer profile has changed over the years and whether or not Etsy’s lack of content control (allowing counterfeiters / trademark infringers, and resellers which seem to be in much higher numbers than before) has created an environment that is attracting a completely different buyer.

@TheBestWill Год назад

Great questions! I've not come across that, but I haven't specifically looked for it. I'll add that to the list for a possible future video. Thanks for the questions/suggestions!

@martyparsons9419 Год назад

@@TheBestWill That would indeed be a great video! Like you and @Julie Damon, I cannot find any Etsy buyer demographic data online yet. What I did find was, the mention from B2B "buyers of Etsy customer demographic data" that Etsy had increased the prices that they must pay for API plugins form Etsy. Hmmm... This connotes to me that Etsy is hiding this customer/buyer detail from us intentionally, so that they can sell customer demographic data to software vendors. These vendors in turn sell us their Etsy analysis software. Thanks for pointing this out, @Julie Damon!

@TheBestWill Год назад

@@martyparsons9419 Thanks, Marty. Will keep this in mind.

@ritagreenwood9397 Год назад

I closed my Etsy shop that I sold my physical, hobby related, products on as Etsy put a hold on my earnings for seemingly 'selling too quickly'. I can understand if they want to weed out possible fraudulent activities, but as a very small solo crafter, this was hugely insulting. Reading up on the Etsy community forum, many sellers are experiencing this and are not happy at all. Many have cited plans to leave and sell their work elsewhere and who can blame them. You don't punish a seller for doing well! If they increase fees again, it could signal the beginning of the end! lol

@TheBestWill Год назад

Thank you for sharing your experiences!

@lachlanmcneill Год назад

Great video. Refreshingly factual and concise. We all of course want to know.. which store strategies are winning the Etsy game....?

@TheBestWill Год назад

Thank you! I agree, that's the golden nugget... identifying what will sell BEFORE it gets flooded by too many sellers!

@ahsan6722 Год назад

@@TheBestWill because of two many sellers on a particular product, I spend time and money to improve my product as well as lower the prices than all my competition. Finally after 2 years I have practically made that product and It solves a lot of problems than my compititors are doing. I have also applied for a patent.

@moonlake-relaxationambienc7848 Год назад

I get plenty of views and some "favorites" but nobody buys. I got an email today that I had not paid my May bill although they have two credit cards of mine on file for autopay. I will stick it out a couple more months. The fees are ridiculous and I have had my shops closed down twice for several weeks, one I gave up on the other they sent me an apology email that they had "made a mistake." I see Printify has launched their own direct seller's platform. I think I will check it out.

@gailm1743 Год назад

Same here regarding credit cards. I have also gotten messages from Etsy saying my credit card could not be charged, although I use both cards all the time elsewhere without a problem. They must have some kind of glitch in their system.

@ClaudyaRG Год назад

Thanks for the video! Very informative. Can you make something as alternative to Etsy? :)

@TheBestWill Год назад

Thanks! I've been thinking about that, so maybe....!

@michaelgravelle5989 Год назад

How long you are on easy and how much sales that you get till now

@P-Funk69 Год назад

Hi long term Etsy seller here again rant and questions ;) , - id be curious to see an evaluation of Etsy over the last 4-5 years bc the pandemic made Etsy sales jump like crazy (from personal selling experience 10 plus years o Etsy). For me sales went up about 50% just from more traffic, not any more effort on my part. When Etsy asked all sellers to make masks to fill the void from Amazon, sales went crazy, then new buyers became aware of Etsy, and Etsy built alot of trust with them. its hard to compare 2022 to 2023 bc 2022 was still semi pandemic sales. im obvi not in finance so would love your input on how competitive etc Etsy is now compared to "pre pandemic times." I can say though that fo sho from my vantage point it seems much more competitive, that doesnt mean you cant "make it" but you have to do various things to stand out. Selling supplies vs handmade / or POD is so different, and also FYI one of the reason Kaitlin Minimalist does so well is bc of all their personalization... I use Erank for research on Etsy sales, and I dont even make all that much in my opinion (I have 3 stores, but each store makes much less than a living on it) Yet Erank says my stores are in the top 1% of sellers which is nuts. That means that most sellers are literally making nothing.

@TheBestWill Год назад

Interesting comment about your stores being in the top 1% in eRank. I've not done the analysis to see what Etsy looked like pre-pandemic. I did notice, though, that when Etsy is talking about their business to financial analysts, they compare themselves to pre-pandemic because they're concerned that the business could slide backward if that huge boost they got should revert back to what it was before. So far, at least, it's holding up pretty well.

@peterdykesclairvoyant1038 Год назад

Etsy just put a reserve on my fund , I send digital videos to customers inbox , so no posting 6000 sales 1500 5 star reviews they do this. Told release my funds or I’m gone

@EpochBattles Год назад

After covid war and economic problems numbers seems good to me.

@MrKennykyle1 Год назад

This feels like amazon in a way. Im not sure how hard it is for new sellers to pop off, but it's not going to be easy.

@sheylarives9601 10 месяцев назад

What about Ebay? We all want to know why Ebay is struggling so much Sellers claim it’s turned off or crashing Thank you

@seabass21 4 месяца назад

You mention a +7.3% increase in the number of active sellers as of Q1 one year apart. In another video you mention that active sellers aren't necessarily sellers who are making sales. Do you think the increase might be in part due to the rising popularity of becoming an Etsy seller, for example through the rise of RU-vid videos glorifying this side hustle? And this 7.3% may not accurately reflect the actual rise in more "serious" long-term sellers?

@itsjojo7360 Год назад

I think some of the lower average sale but more actual transactions is because folks are selling digital files on the cheap. And I blame that on RU-vidrs convincing people that they can get rich selling files and not actually working for a living. Those files better be unique! Or maybe folks should consider making unique hand made products that haven’t been done yet.

@TheBestWill Год назад

I agree, selling the same thing as everyone else is not a recipe for success. Find something unique.

@RevsAhead Год назад

Can you do similar videos relating to eBay and Amazon seller marketplaces?

@TheBestWill Год назад

Good suggestion, Frank. Unfortunately, Amazon almost certainly doesn't release this detail.... they're just too big. Not sure about eBay.

@budi_hartono Год назад

Etsy currently holds seller deposit funds in their cash reserve in order to reduce losses due to bad sellers. I was skeptical of that reasoning, and saw Etsy seem to be struggling with their cash flow following the SVB bankruptcy.

@TheBestWill Год назад

Hmmm, interesting insight. Makes sense, if bad sellers are causing a lot of returns and requests for refunds, but that definitely makes it harder on the legit folks who need the cashflow.

@budi_hartono Год назад

@@TheBestWill yes, pretty hard. Initially this only applied to sellers who is selling physical products, but later it also applied to sellers who is selling digital downloads. Gossip in some groups says Etsy uses seller deposits to earn interest.

@AthenaKeatingThomas Год назад

You compared the sales in and outside of the US. I would have been interested to see how many customers and how many sellers were in and outside of the US as well, to compare the information. I expect that the flat sales is due to inflation, the bear stock market, and disposable income being at a low for many people. Here's hoping that the bull market will bring a much needed influx of sales for us all!

@TheBestWill Год назад

Etsy doesn't provide the information necessary to calculate the # of sellers and buyers inside the U.S. vs. outside the U.S. I'd love to know that, too! Thanks for your comment - great suggestion!

@darleecar Год назад

Wow, it seems like I am on a sinking boat.

@WLVFX Год назад

Some great information, but I'm still left wondering if Esty is still worth it then, to open a new store? Yes, the sales are lower but is it enough sales to generate an income and sales for a new shop? What I want to know is if I start an Esty store today, will it just get no sales at all or something like just 10 bucks a month? Which in either case makes opening a new store not worth it.

@TheBestWill Год назад

Keep in mind that the average seller makes only around $2,000 per year (roughly) in sales, and a lot less in profit. Because that is the "average" seller, that means that maybe half of all sellers - which is millions of sellers - make LESS THAN $2,000 in sales. It's up to each person to decide if that is worth it to them. What we don't know is whether the average seller is doing a good or bad job with their shop, only that they don't sell much.

@WLVFX Год назад

@@TheBestWill Thank you very much, it's really helpful. I'd like to ask another question, I know this can be subjective, but are we or have you seen new Esty businesses(1 year or less old), especially POD stores make around $1000 or more per month? Or has that ship already sailed, because there are countless RU-vid videos stating such numbers but the examples are businesses that have been on Esty for many years. Or were figures not realistic to begin with? I'm asking, because I just want to have some perspective and context, as making high amounts might have been possible in the past but it's not possible anymore? Or are there still actual ways to achieve these figures even now with POD?

@TheBestWill Год назад

@@WLVFX I don't have personal knowledge of other people's stores, so can't answer directly. That said, I'd bet that many do. IF a seller treats Etsy as an ecommerce platform on which to set up a store and does NOT rely on the marketplace to give you buyers, then it's the right mindset. Use the Etsy tech platform, but then supply your own potential customers by marketing on other platforms and driving traffic to Etsy. I'd think that would greatly increase your odds of success.

@BlueNinjakoopa553 Год назад

Hello William! I have a few questions. I was watching a video by a RU-vidr who started selling AI art on Etsy for passive income. I was actually about to get started on this, even considering how much Etsy takes out in fees. However, I've heard mixed and inconclusive feedback from Etsy sellers and I wanted to get ideas from someone who knows the marketplace a little more. Is it still worth it to open an AI art store (only selling digital prints, so there's no shipping), or is it too saturated now? Is there another place to sell AI art, and if so, where?

@TheBestWill Год назад

The problem is that pretty much everything everywhere has a lot of competition, but many people still get sales. The trick, therefore, is to pick a place and figure out how to make good product listings priced at a fair but competitive price and drive traffic to it.

@FallenAngelBrass 10 месяцев назад

The lower the barrier to entry, the more competitors you have. AI art sold in digital form has almost zero barrier to entry, so everyone and her dog will be getting into the game. My advice is to choose a business that you're actually passionate about and one that requires special skills and investment. Many fewer people (competitors) will be drawn to that kind of business. I've been successful on Etsy since 2008 because very few others do what I do.

@judywall576 Год назад

I think sellers need to know the Etsy buyers profile. In my opinion and experience the US economy is tanking. Inflation is gobbling up your income. Lower income people simply can't afford to buy those extra "happy" items. It's just the basic necessities anymore. Higher income buyers can probably still afford the extras, but will they?

@TheBestWill Год назад

I think you're probably right about that.

@lawannawilliams1488 Год назад

What about these youtubers that say make all this money on etsy? I bet they don't about this. Thanks for the info

@TheBestWill Год назад

Thank you!

@jnjhawaii5879 Год назад

Do you have information about selling on Pinterest?

@TheBestWill Год назад

Hi, Janice - Not yet, but I may cover that in a future video.

@PixPete Год назад

I don't think this sales slump is exclusive to Etsy. I have several eCommerce stores that I've been running for 5-10 years and most of them are down in sales by 20-30% this year. It's a problem with the global economy, cost of living crisis etc. People are tightening their belts when it comes to spending and preparing for a possible financial crash.

@oscarreyes4511 Год назад

We need to increase our revenue by taking all the seller's revenue! freaking greedy mfs! Its like red bubble now! red bubble is charging an extra fee depending on how much revenue you are making! so red bubble can easily take 90% of the entire value if the item you put on sale! ridiculous!

@sinfuldavy0 Год назад

Would you be a buyer of ETSY stock when macroeconomic conditions improve. With the new addition of a wedding registry should spice things up, don’t you think?

@TheBestWill Год назад

Hard to say. Timing when is good to buy a stock depends on multiple factors, not just a change in macro conditions. I generally recommend people invest in a index fund instead of an individual stock because usually -over time - the fund will beat individual stock picks unless you're the exceedingly rare person who can consistently pick stocks that outperform.

@blondefoxcreations Год назад

This is easily explained as how the US economy is impacting everything. Etsy sellers sell "luxury" items... meaning the items sold there are not necessities such as food, gas, shelter, bills, et cetera so in a "down" economy it makes perfect sense that sales on Etsy would also be negatively impacted. This isn't rocket science and has very little to do with the internal workings of Etsy as a public company. This is simply common sense.

@TheBestWill Год назад

Thanks for your feedback!

@hannahstenstrom4028 Год назад

I think eventually some of these shoppers will drop off.

@igotbit9454 11 месяцев назад

Video doesn’t start till 2:06

@TheBestWill 11 месяцев назад

Video starts at 0:00!

@blackjackdoggy7413 Год назад

I don’t think this report reflects us Etsy..: it’s inflation overall and the economy…. You should have mentioned that…

@TheBestWill Год назад

I agree, it's a lot of things. Partly Etsy, partly RU-vid influencers convincing a lot of people to sell on Etsy, and definitely the economy. I talked about those things in the prior video about Etsy, which I mentioned in this one, but you're right... I probably should have said it again in this one. I'll keep that in mind for future videos. Thanks for your comment!

@WolvesandWhatnot Год назад

OK so one of the things that I will be honest and say I don’t understand would be number fluctuations at this level of a company. You say things like they lost 1 billion whatever or they’re down so much XYZ, but in the broad scheme of how large businesses like this are actually run, is that normal every day expectations or are you blowing this out of proportion because small folks who don’t understand corporations think these are huge variations? Like I think I would believe these videos to be a little bit more believable if you compare them to a similar site rather than just throwing numbers around.

@WolvesandWhatnot Год назад

And yes, for all the keyboard warriors out there I do understand that was one large run on sentence. However, I was voice texting. 😅

@cassieburns5483 Год назад

Well, think about it in terms of your own business. If you compared your sales this year to last, same time of year and the sales were lower....would you be asking why? If it was just one quarter of the year (3 months), but the rest of the year increased revenue, you would still ask the question what happened in that one quarter. Even at the scale of dollars, you actually question any flat or decrease of revenue more in depth. You always want to see an increase, year over year in revenue. Sometimes a local or global event happened which explains any deviation. A small variation with higher revenue is actually more concerning than that of a large variation with smaller revenue because the value is higher overall. I was actually shocked to find the average sales per store is so low for such a large platform. The data tells me that Etsy may have run it's course already being that they backed away from handcrafted and allowed in mass produced products also tells me that they made that change in order to show profit. Without opening up to more sellers (the only way Etsy makes profit) this company may have had a crisis long ago. We saw this a number of years ago with Ebay, but they turned the ship around and it's going strong still today. If you're going to start a new shop on Etsy today, just know that you are only a revenue generator for the platform, I can see no benefit to the seller on this platform as the fee's are incredibly high. With so many influencers pushing hard for new sellers to join Etsy, I can see the marketing campaign is to gain an influx of new revenue as quantity is extremely important to the company now. Their main goal is to keep the stock price inflated, even though it may not actually represent the true financial health of the company overall.

@pricklypear7934 Год назад

ETSY deserves to fail as they sold out and stabbed "homemade" in the back.

@Bob-The-Guy Год назад

I spent 3 years trying to build an Amazon store but have thrown in the towel as there are simply WAY too many hoops to jump through as well as the very high cost to play on Amazon. It is no longer the place it was ten years ago where demand exceeded supply. I've been looking at etsy recently but after these evaluations I suspect it will end up just like Amazon where you are spending tons of time and money and in the end discover you'll never really be able to build a sustainable growing store. These on line market places are kind of like playing the lottery. They tease you with their potential and ease of signing on but then dangle a carrot on a stick to keep you on the hamster wheel.

@TheBestWill Год назад

Thanks, Bob. Appreciate your input on Amazon.