How much you can earn on Etsy in 2025
Explore how to maximize your Etsy income in 2025 with tips on best practices, earnings potential, and the pros and cons of selling on the platform.
With 92 million active buyers, Etsy Marketplace is more than just a side hustle opportunity—it's a powerful platform for building a full-time income for your new or existing business.
In this guide, we’ll explore what products sell best, who Etsy sellers are, and the income potential this thriving sales channel offers.
We’ll also share essential best practices and actionable steps to help you turn your Etsy shop into a profitable venture.
Curious about how much you can make on Etsy? Let’s dive in.
How much does the average Etsy seller make?
The income of an Etsy seller varies widely depending on factors like product niche, pricing, marketing strategies, and time invested. However, here’s a general breakdown:
- Side Hustlers: Many sellers make around $100–$500 per month, treating their shop as a part-time venture.
- Full-Time Sellers: With consistent effort, some sellers earn between $1,000 and $5,000 per month or more.
- Top Performers: Successful stores in popular niches can generate $10,000+ in monthly revenue.
Earnings depend heavily on factors like unique product offerings, effective SEO, and building a loyal customer base. Success on Etsy is achievable, but it requires strategy, persistence, and adaptability.
Is selling on Etsy worth it?
Selling on Etsy can be a rewarding experience, but its value depends on your goals, products, and strategy. Let’s explore the benefits and challenges to help you decide if Etsy is the right platform for you.
Pros of Selling on Etsy:
- Massive Built-In Audience: With over 92 million active buyers, Etsy gives you immediate access to a global customer base that is actively seeking unique, handmade, vintage, or custom items.
- Ease of Use: Setting up an Etsy shop is straightforward, with tools and templates that make the process beginner-friendly. You don’t need to invest in building a website from scratch.
- Global Reach: Etsy allows you to sell internationally, opening doors to customers from around the world who value artisanal or niche products.
- Niche Market Support: If your products fall under Etsy’s main categories, such as handmade, vintage, or supplies, you’re tapping into a platform already tailored for your target audience.
Cons of Selling on Etsy:
- Fee Structure: Etsy charges various fees, including a $0.20 listing fee per item, a 6.5% transaction fee, and payment processing fees. These costs can impact your profit margins, especially for lower-priced items.
- Competitive Environment: With millions of sellers on the platform, standing out requires effort, investment in product photos, and strategic marketing.
- Limited Branding Options: While Etsy provides shop customization tools, the platform's layout and design elements are standardized, meaning your store may not have the unique identity of a standalone eCommerce website.
- Algorithm Dependency: Etsy’s search algorithm plays a major role in how customers discover your products. If you don’t optimize your listings or pay for ads, visibility can be challenging.
Who is Etsy Best Suited For?
Etsy is ideal for creators of handmade products, vintage sellers, or artisans looking to test the market with minimal upfront investment. It’s also great for those who want to build a side hustle or small business without committing to a full-scale eCommerce platform.
Things to sell to start a successful Etsy shop
Choosing the right products is key to standing out and succeeding on Etsy. The platform thrives on unique, creative, and niche items that cater to specific buyer interests. Here are some ideas for what you can sell to kickstart a profitable Etsy shop:
Custom Clothing
Customized apparel is a growing trend on Etsy. Whether it’s embroidered hoodies, screen-printed T-shirts, or personalized baby onesies, clothing with unique designs or personal touches attracts buyers who want to express their individuality. Add options for custom names, dates, or graphics to make your offerings stand out.
About more
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Handmade Jewelry
Jewelry is one of the most popular categories on Etsy. From personalized name necklaces to bohemian-style earrings, there’s always demand for handcrafted, one-of-a-kind pieces. Focus on unique designs or customizable options to attract buyers.
Art Prints and Wall Decor
If you’re an artist or graphic designer, selling digital or physical art prints is a great choice. Abstract designs, motivational quotes, and trendy themes (like minimalism or boho) are popular among Etsy shoppers.
Check out our guide on How to Sell Printables on Etsyfor inspiration and valuable insights.
Vintage Items
Etsy is a hub for vintage enthusiasts. If you have access to rare or retro items that are at least 20 years old, such as clothing, accessories, or collectibles, this could be your niche.
Wellness Products
Natural skincare products, aromatherapy candles, and herbal teas are popular as buyers seek unique, handmade wellness options. Just ensure you follow Etsy’s guidelines for selling items like cosmetics or ingestibles.
Who are Etsy sellers?
According to a 2022 survey of Etsy sellers worldwide, 97% of respondents run their shops from home, and 82% manage their businesses solo. Additionally, 80% of Etsy sellers identify as women, showcasing how Etsy empowers individuals, particularly women, to start and grow their own ventures without needing a physical storefront.
This data highlights Etsy's accessibility and appeal, making it an excellent platform for independent creators and entrepreneurs. It also emphasizes the importance of flexibility and independence in building a successful business.
Etsy selling tips from top Etsy shops
To build a thriving Etsy business, learning from successful sellers can give you an edge. Here are some key tips from top-performing Etsy shops:
Optimize your store and product listings
Use relevant keywords and write detailed product descriptions with bullet points for easy reading. Highlight the unique features of your products to attract customers.
Improve your shop profile
Tell your story in the shop owner profile and add links to your social media. Ensure your shop has an engaging banner and clear work hours to build trust with buyers.
Focus on customer service
Respond quickly to customer inquiries and handle issues professionally. Positive reviews and repeat customers are key to growing your Etsy business.
Promote your shop
Utilize social media and email marketing to reach a wider audience. Share behind-the-scenes content to build a connection with your customers.
Price strategically
Research competitors and calculate your costs to set competitive yet profitable prices for your products. Adjust as needed based on market trends.
Mistakes to avoid with your Etsy store
Overpricing or Underpricing Products
Setting the right price is key. Avoid pricing your products too high or too low. Research competitor pricing and factor in your costs, including materials, shipping, and time spent. Pricing too low can hurt profitability, while pricing too high can drive away potential buyers.
Lack of Consistency in Branding
Ensure your store has a cohesive and professional look. This includes your shop banner, logo, and product photography. Inconsistent branding can confuse customers and make your shop appear untrustworthy. Aim for a consistent theme that reflects your unique style and products.
Failing to Update Listings
Neglecting to refresh your product listings can lead to stagnant sales. Keep your product descriptions up to date, especially if there are changes in materials or design. Regularly update your inventory to show that your shop is active and engaging.
Ignoring Shipping Costs and Times
Be transparent about shipping costs and times to avoid misunderstandings. Unexpected shipping costs can lead to abandoned carts, while long shipping times can result in unhappy customers. Offer accurate estimates and consider offering free shipping if possible to improve your shop's appeal.
Understanding Etsy fees
Listing Fees
Each time you list a product on Etsy, there is a $0.20 USD listing fee. This fee is charged per item and is non-refundable, even if the item doesn't sell.
Transaction Fees
Etsy charges a 5% transaction fee on the sale price, including shipping. This fee is applied when the buyer completes a purchase.
Payment Processing Fees
In addition to listing and transaction fees, Etsy charges a payment processing fee, which varies by country. It typically ranges from 3% to 4% of the total sale amount, plus a fixed fee. This fee covers the cost of handling payments securely through Etsy’s platform.
Advertising Fees
If you choose to promote your products through Etsy Ads, you'll incur additional advertising fees. The cost varies depending on the budget you set for your ads.
What should the profit margin be for your Etsy products?
When setting a profit margin for your Etsy products, it’s important to consider factors like production costs, shipping, Etsy fees, and your desired income.
A typical profit margin for handmade or custom items on Etsy ranges between 20% and 50%. However, this can vary based on the uniqueness of your product, the market demand, and your competition. To ensure profitability, start by calculating all your costs—material, labor, shipping, and Etsy fees—then add a margin that reflects the value you provide to your customers. Striking the right balance will help you remain competitive while covering expenses and making a profit.
How to make money on Etsy with Print on Demand?
Making money on Etsy with Print on Demand (POD) involves creating custom-designed products that are printed and shipped directly to your customers without holding inventory.
Set up your Etsy shop
To start selling on Etsy, sign up and create your shop by clicking "Get started." Add your first product listing manually to officially launch your shop.
Complete your payment and billing information by linking your bank account and providing the required details. Once your shop is live, customize it to showcase your brand’s personality and style.
Choose a print-on-demand provider
Find a reliable print-on-demand partner like Tapstitch. Sign up with your chosen provider and connect it to your Etsy shop to streamline production and shipping processes.
Select products like T-shirts, hoodies, or sportswear, and start adding your unique designs to create a personalized product catalog.
Create optimized listings
Upload professional product images and detailed descriptions that include relevant keywords. Highlight key features, benefits, and customization options to attract potential buyers.
Use strong titles and tags to make your listings SEO-friendly and ensure they appear in Etsy search results for your target audience.
Explore our blog on Etsy SEO for more tips and tricks on how to effectively optimize and market your store.
Promote your shop and products
Use Etsy ads to boost visibility and run social media campaigns to drive traffic to your store. Collaborate with influencers or post user-generated content to build trust and expand your reach.
Regularly engage with your audience to maintain interest and encourage repeat purchases while continuously updating your shop with new designs.
Final thoughts on starting an online business with Etsy
Launching an Etsy shop is a fantastic opportunity to turn your creativity into income, but success requires thoughtful planning and consistent effort.
How much can you earn on Etsy? That largely depends on your product selection, target audience, and the time and energy you commit to growing your store. With the right approach, it can become a profitable endeavor.
Simplify your business operations and scale effortlessly by partnering with Tapstitch for order fulfillment. Ready to take the next step? Explore our resources and start building your Etsy success story today!
