Etsy, Inc. is an American e-commerce company focused on handmade or vintage items and craft supplies. These items fall under a wide range of categories including jewelry, bags, clothing, home decor and furniture, toys, art, as well as craft supplies and tools. All vintage items must be at least 20 years old. The site follows the tradition of open craft fairs, giving vendors individual storefronts where they list their goods for a fee of US$0.20 per item.
As of December 31, 2018, Etsy had over 60 million items in its marketplace, and the handmade and vintage goods online marketplace added 2.1 million sellers with 39.4 million buyers. At the end of 2018, Etsy had 874 employees. In 2018, Etsy had total sales, or gross merchandise sales (GMS), of US$3.93 billion on the platform. In 2018, Etsy generated revenue of US$603.7 million and reported a net income of US$41.25 million.
The platform generates revenue primarily from three streams: its Marketplace revenue comprises a fee of 5% of the final sale price, which an Etsy seller pays for each completed transaction, of 20 cents per item. on top of the listing fee; Etsy’s fastest-growing revenue stream seller services include fees for services such as “promoted listings”, payment processing, and the purchase of shipping labels through the platform; Whereas other revenue includes fees received from third-party payment processors.
|Founded||June 18, 2005|
|Founders||Robert Kalin |
|Headquarters||Brooklyn, New York, U.S.|
|Revenue||US$1.725 Billion (Fiscal Year Ended 31 December 2020)|
|US$424.009 Million (Fiscal Year Ended 31 December 2020)|
|US$349.246 Million (Fiscal Year Ended 31 December 2020)|
|Total assets||US$2.404 Billion (Fiscal Year Ended 31 December 2020)|
|Total equity||US$742.424 Million (Fiscal Year Ended 31 December 2020)|
Number of employees
Creating a shop on Etsy is free; However, each listing posted in the shop costs $0.20. Each listing will remain on the shop page for a maximum of 4 months or until an individual purchase the product. The prices of the products are set by the shop owner, but Etsy claims 5% of the final sale price of each listing. Shop owners are sent a bill at the end of each month detailing the fees Etsy will charge them, and they have until the 15th of the following month to pay the fees. Sellers can choose which payment options are offered to buyers, including credit card, debit card, and PayPal, among others.
On the Etsy homepage, potential buyers can type “product description” into the search bar, or, alternatively, they can “browse” through the list of options on the left side of the homepage, including Art, Home and Living, Jewellery, Women, Men, Kids, Vintage, Weddings, Craft Supplies, Trending Items, Gift Ideas, Mobile Accessories, and more. In addition, shoppers can choose from a list of categories by clicking the “Categories” link under “More ways to shop”. This will bring the user to a page of over 30 categories, each with subcategories.
When a buyer views a product, they may choose to see each seller’s positive percentage response to determine the store’s credibility. Once a buyer finds a product they want to buy, they click “Add to Cart”, and that product is added to their virtual “Shopping Cart”. The buyer can then either continue shopping or purchase the selected item. To purchase items, buyers do not have to have an account with Etsy and can register with a Facebook or Google account instead.
Also Read: HBO Max
Etsy is popular as a side-business, as well as a place to buy recycled and made from recycled materials, with less expensive or more unusual versions of mass-produced items. The unique nature of many items for sale is part of their appeal to some buyers. Product photos on Etsy tend to be editorial or artistic rather than commercial catalog style. Sellers can add up to 13 tags to their products to help find buyers, and buyers can choose to search for locally available items. ETC employees publish a list of featured items.
The majority of vendors are women, who are college-educated and in their twenties and thirties. Individual ETC sellers decide which payment options are offered to buyers; These options can include credit cards, checks, money orders, PayPal, bank transfers, and Etsy gift cards.
Etsy’s sellers range from hobbyists to professional artists who use the site to make a living. Especially during the holiday shopping season.
Etsy’s head office is in Dumbo, Brooklyn, and has hosted open crafting classes at “Etsy Labs.” The site’s technology, customer support, marketing, PR, business, and communications teams work out of this office. . Etsy Labs has a workspace that provides equipment and donated materials, where members gather to create items, take and teach workshops, and participate in special events.
Etsy also has an office in Berlin. In April 2012, Etsy announced that it was taking steps to hire more female engineers to improve the gender balance of its team, a website As in which the majority are female users but few are female engineers. As of 2019, 30 percent of Etsy engineers identified as “female or non-binary,” and more than 30 percent were people of color.
Etsy was one of the core members of the Handmade Consortium, a 2007 effort to encourage the purchase of handmade holiday gifts. Etsy has partnered with retail chain West Elm to sell some Etsy products in its stores. In December 2012, Etsy opened a temporary holiday storefront in Soho, New York City. In 2019, the UK’s first Etsy store was opened in Didcot, Oxfordshire. The storehouses more than 50 local manufacturers and small businesses and an eco refill station, which sells packaging-free groceries, including dry foods, toiletries, and cleaning products.
In an interview in August 2013, CEO Chad Dickerson emphasized the importance of human interaction and meaning from creativity in relation to his outlook on Etsy. Dickerson described the website as “a platform that provides people with meaning, and an opportunity to validate their art, their craft”, and after spending time with Etsy users, Dickerson learned That “all commerce is about real human interaction”. Dickerson also provided a summary of Etsy that is another reflection of the company’s relationship- and meaning-based ethos: “At the end of every transaction, you get something real from a real person. There’s an existential satisfaction to that.”
As of March 2016, Etsy’s top three competitors according to Hoover Online are Amazon Handmade, Craigslist, and eBay. Etsy has been compared to “a clever cross between Amazon and eBay”, and “your grandmother’s basement”. Etsy also has several direct competitors. Dwanda, Germany-based, closed in August 2018, Druza is a global competitor, Bonanza (formerly Bonanzale and 1000 Markets) based in the United States and focused on clothing and fashion, Zibet and Made It Is. are based in Australia, iCraft is based in Canada, Artfire is based in the United States, and Hello Pretty is an online craft marketplace targeted at South Africans.
Tindy is based in Portland, Oregon, and focuses on technology and electronics.ArtYah, based in California, United States, brought together sellers and consumers of handmade goods, vintage, and certain craft supplies before closing in December 2019.
When asked about competitors, Etsy’s European CEO said, As far as I’m concerned, the more people who support micro-producers and highlight the value of buying handmade and vintage directly from them, the better.
Also Read: Tom Brady Net Worth