How To Make Money on Etsy In 2023

Selling products on ETSY is one way of making money online. Etsy is a website that gives you a platform for selling things like craft supplies and handmade items.

ETSY was created for independent sellers making it ideal for anyone who wants to start selling to do so as soon as they want.

Selling on ETSY is relatively simple, but you may need help starting your journey. That’s where this guide will come in and help you by providing you with the easy steps you should take and provide tips you can use to improve your earnings.

Before I start…

If you’re tired of scams and want a real solution for making money online check out my no.1 recommendation.

It’s helped me earn over $300,000 in the last 12 months alone:

Go here to see my no.1 recommendation for making money online

(This is a 100% free training)

How To Make Money on Etsy In 2023 7

4 Steps To Make Money on Etsy

RECOMMENDED: Go here to see my no.1 recommendation for making money online

Can You Make Money on Etsy?

Etsy is a massive online marketplace that has over 7.5 million sellers. That makes Etsy a great way to make money online selling handmade, vintage, or craft items.

How to make money on etsy

Besides, it’s easy to create your own Etsy shop and start making a profit. Here are the steps you can follow when getting started on Etsy:

Find a Profitable Product Niche

You can sell anything you want on Etsy to make money as long as it is in line with the Etsy policy.

Just as you do with Amazon FBA, dropshipping, or any ecommerce store, the first step is finding a profitable niche for your online store. With the right niche, you will have an easier time running and later growing your Etsy shop.

Here are some tips for generating ideas of products you can sell:

  • Consider something you are interested in: You should find something you’re passionate about or good at because when you start out, your business may not be an instant hit. If you like what you sell, it will be easier to stay motivated during the tough times. Besides, if you are interested in something, you can get good at creating it. You should draw ideas from personal experiences, goals, and interests.
  • Find Customer Pain Points: What product do customers want that is not being sold on the market? And if you have found one, is it likely to sell among potential customers? For this step, you should research the trends, keywords, existing solutions in the market, and what customers are saying on the appropriate forums. Google Trends, Quora, and other similar tools will help you with this.
  • Find ideas from the best-selling product categories on Etsy: If doing raw research online is not your cup of tea, you can rely on a trusted list of items that typically do well on the platform. We will take a look at some of them later.

If you can afford it, you can always come up with new products and test them for the first time to see whether there is a market for them. If they do well, you keep them and if they don’t you move on.

RECOMMENDED: Go here to see my no.1 recommendation for making money online

Research the Competition

Once you have found your niche and realize that there are other sellers you will compete with, you should find out how they go about it.

Remember, if a product is being sold by successful shops, it is a good sign because it means that there is a market for it.

how to make money on Etsy

Visit those competitor shop pages and find out how they do their product listings, descriptions, pricing, and other details to see whether you can do it better or different from them.

Then the question becomes: what can you do different from other Etsy sellers that will make buyers choose your products? Remember, the more people you can get to buy your product, the more money you make.

Set up Your Store and prepare your Products

Now, it’s time to build your Etsy shop and create listings to start selling your wares. This step is crucial because it determines whether you succeed or fail.

The first thing you’ll do is create a shop on Etsy if you haven’t already. Create an Etsy account and fill in your profile information. Create a store page that customers can navigate easily.

As you set up your shop, upload attractive product photos and include detailed descriptions of them so that customers are aware of exactly what they’re buying. A great description will also make it easier for them to find it when they search within Etsy or when they perform a search on a search engine like Google.

To entice customers, you can add promotions like discounts or free shipping once you have set up your shop and it is ready for business.

RECOMMENDED: Go here to see my no.1 recommendation for making money online

Market Your Etsy Shop

Having set up your store, there are a few things you can do to ensure your shop and listings show up high on search results. That involves doing a bit of Etsy advertising.

If you know your target customers it will be easy to create a marketing strategy.

Define your target audience and have their personas in mind when crafting your products and listings. Know their income, age, interests, and other characteristics that will help you predict their shopping habits.

There are a number of marketing channels you can try out to put your Etsy store in front of more eyeballs:

  • Use Etsy Ads: You can pay for Etsy’s in-platform advertising (promoted listings) to boost your store’s visibility. Etsy charges a price per click and all you need to do to set it up is specify the budget and price.
  • Content Marketing. If you have a blog, YouTube channel, or any other content creation platform, you can leverage that to bring in more traffic. You can create posts and videos that share the latest updates and news concerning your products. You can also alert your audience to deals and discount offers.
  • Social Media Marketing. Social media channels like Facebook, Instagram, and TikTok are useful channels for finding out about current trends and using that information to create relevant posts and videos. You can create hashtags that make it easier for people to find your shop.
  • Influencer Marketing. If you have the resources, you can use other pages and profiles to spread the word about your brand. Find influencers who are conversant with your niche for the best results.
  • Email Marketing. An email marketing campaign can enable you to attract new customers and introduce your existing ones to new products. You can use mailing list and spread the word on new promotions, upcoming sales, new products, and new deals.
  • Search Engine Optimization (SEO). You can optimize your listings and product descriptions for your target keywords. If you rank high on search engines, people have an easier time finding your store and products when they search for them.

The marketing channel you choose depends on how well you know how to use it.

Meanwhile, some of them, such as Etsy ads and paid traffic, come down to how much you are willing to spend. That includes hiring someone to do the social media marketing for you.

Although Etsy provides you with traffic, you have to market your listings and brand to get more traffic and store visibility.

RECOMMENDED: Go here to see my no.1 recommendation for making money online

Frequently Asked Questions about Selling on Etsy

How much can you make selling on ETSY?

As expected, the amount of money you make selling on Etsy depends on your efforts, the size of your store, and how efficient your marketing strategy is. You can make up to $10,000 a month.

This figure is not set in stone because you can surpass it. You can make more money on Etsy by utilizing a couple of simple tips and tricks.

What are the Best-Selling Product Categories on Etsy?

There are products that do better on Etsy than others.

If you are looking to make money through Etsy, it’s important to understand which product categories are more likely to get you the most sales. With this information, you can create successful products and stay ahead of trends in the marketplace.

Here is a list of some bestsellers on the platform:

  • Vintage Items: Vintage products usually make up the top-selling products on Etsy. You can sell vintage clothing, furniture, carpets, postcards, art, or anything else that passes as a vintage item.

Vintage items

  • Digital Products: Digital products are increasingly popular on Etsy. There are categories that are getting a lot of attention like printables for interior design projects. Digital products like ebooks, templates, graphics, and audio files that can be easily downloaded by customers directly into their device are popular.
  • Jewelry: Jewelry does well on Etsy search so you have to come up with client-friendly prices, creative designs and other incentives to stand out. You can sell handmade jewelry or design jewelry too.
  • Art and Collectibles: You can make money on Etsy selling things like paintings, digital downloads, posters, and other items.

Craft supplies

  • Home Decor: People usually shop Etsy for handmade items and home accessories like candles, wall art, and more. Every product sells well on Etsy if it ranks high among other creative entrepreneurs.
  • Clothing: Selling clothes is one of the most profitable ways to make money on Etsy. Clothing is an evergreen niche that is always in demand and ranks high on the Etsy marketplace. This includes things like t-shirts, caps, socks, hoodies, and other accessories.
  • Crafts and Supplies: You can sell handmade goods on Etsy because they are one of the highest-ranking categories of products. People request personalized gifts and gift wrapping a lot. You will always find a market for craft supplies like gems, beads, and stones, just to mention a few.

handmade goods

  • Kitchen Supplies: You can sell customized kitchen supplies as they make up the top-selling products on Etsy. People like buying custom items like glassware, aprons, wall decor, and other kitchen items on Etsy.
  • Wedding and Party Supplies: You can sell wedding supplies like decorations, invitation cards, and other accessories. These are some of the top-selling items on Etsy because customers get them for a reasonable price.
  • Journals and Notebooks: Many Etsy sellers sell notebooks or journals with unique designs and customized messages as their Etsy products because they are quite popular on the platform. People buy them as gifts too.
  • Baby Items: You can become an Etsy seller that specializes in baby items like blankets, clothes, and furniture. These items tend to have a high demand and people have been making money off of them for years.
  • Toys and Entertainment: Products in the toys and entertainment category are regularly sold by shop pages on Etsy. You can create an Etsy store that thrives on them.
  • Electronics and Accessories: Your Etsy store can focus on selling electronics and accessories. This includes products like phone chargers, mouse pads, and other accessories. You can launch your own website to boost sales.
  • Pet Supplies: On Etsy, you will find a market for custom products made for pets because people look for items for their pets on the platform. This includes things like beds, bowls, wearables, and the likes.
  • Shoes: There is a market for shoes on Etsy. It is one of the evergreen products because there are different styles of shoes and the market for them never runs dry. If your products are well-liked, you can gain customer loyalty.

By understanding which products attract higher sales volumes on Etsy, you can focus your efforts on creating them because they will attract customers’ attention and you will make more sales overall.

RECOMMENDED: Go here to see my no.1 recommendation for making money online

How much does it cost to sell on Etsy?

As you prepare to start a shop on the platform, you should calculate the expenses you will incur to get started. Let’s look at some of Etsy’s fees (these figures are as at writing this, constantly check the website for the up-to-date rates)

Etsy charges you a $0.20 listing fee for every item you list. They charge this fee when you publish an item in the marketplace or want to renew it after it has been out of stock for more than three months.

Each listing stays active for four months or until it’s sold. You have to pay the fee again if you want to list the same item again after selling it.

Etsy charges a 5% transaction fee on all orders. It applies when you sell an item but not when the order is cancelled or refunded. You will be the one to pay the transaction fee unless otherwise specified by your payment processor.

If you processes payments through Etsy Payments, you will be charged a fee depending on your location and the mode of payment (credit/debit card). You could be charged 3% plus $0.25 USD (Australia) and 4% plus €0.25 EUR (Europe). To be up to date with the rates, check out Etsy’s website for further information.

Lastly, as you price your products, include shipping costs within product listings so that customers know what they will be paying to avoid unpleasant surprises at checkout.

What types of products can you sell on Etsy?

You can sell any product that is allowed on the platform per the guidelines. Having said that, it is better to concentrate on products that will move faster.

RECOMMENDED: Go here to see my no.1 recommendation for making money online

Tips for selling on Etsy

Connect with Customers

If you want to do well on Etsy, build relationships with customers.

You can do this by interacting with potential buyers by answering questions in the comments section or through direct message conversations so they have all the information they need before purchasing from you.

Besides, you can engage customers after they’ve purchased something from you by sending them a thank you note or providing helpful advice related to their purchase if needed. This will encourage them to come back again.

Optimize Your Store

As your Etsy store starts to grow, you need to track its performance to take note of what is working and what isn’t. Then you can adjust your strategy depending on your observations.


Some of the metrics you need to look out for include:

  1. Conversion rate: This refers to how often the people who visit your page actually buy something. If you have a low conversion rate, people are finding your product but they are not buying. This means that you should improve your listings. If the conversion rate is high, people like your products and you may improve your sales numbers if you invest in ads to get more traffic to your shop.
  2. Views and visits: This is the raw number of customers that view each of your product listings. If you are not getting enough traffic to your listings, you should consider revamping your marketing strategy. But first, you can get rid of low-performing ads or improve them.
  3. Traffic sources: By this, I mean, where are your buyers or people viewing your products coming from? This will inform you how buyers are finding out about you and you will know where to devote your resources.

The key to creating a successful Etsy shop is to constantly optimize it.

RECOMMENDED: Go here to see my no.1 recommendation for making money online

Outstanding Customer Support

Offer good customer support so that you can develop a loyal clientele. If people feel like you are looking after their interests, they are more likely to come back for more. The biggest mistake Etsy shop owners make is not creating a mechanism of handling customer complaints.

Post clear and attractive images of your items

If your images are not clear, you will lose some prospective customers because they will not understand what you are selling. Clear images also give the impression that you are a serious store owner and that credibility will improve your sales.


Making money on Etsy is a great way for creative individuals to start an online business, make extra cash, or earn their livelihood. However, you need some upfront investment and have a good plan on how you will get started.

In this guide, we have focused on the steps to take to become a successful Etsy business owner from finding a niche, setting up your own Etsy store, marketing, and other things you need to do to improve your odds of success.

Knowing which product categories yield high sales can help you focus your efforts on products that will attract buyers’ attention. Promoting your store to get more buyers and constantly optimizing your shop to reach more buyers are also crucial to becoming a successful Etsy seller.

Ultimately, making money on Etsy requires an understanding of the costs associated with setting up an online shop as well as researching the products that are likely to generate more sales. With careful planning and a bit of luck, it can be a lucrative opportunity for you.

Before you leave

If you’re tired of scams and want a real solution for making money online check out my no.1 recommendation.

It’s helped me earn over $300,000 in the last 12 months alone:

Go here to see my no.1 recommendation for making money online

(This is a 100% free training)

How To Make Money on Etsy In 2023 7

David Fortune has been the editor since 2019. He is an expert at writing content on stock advisory services, side hustles, reviewing online business opportunities and many more topics. You can learn more about David on our about us page.

Go here to see the best business to start in 2024