The Dark Side of Etsy: Nightmare Stories and Hidden Dangers for Full Time Artists
Episode 40 Show Transcript - Empowered Artist Podcast
Today we're diving deep into the world of Etsy. Is it a dream or a nightmare for professional artists?
We'll explore the pros, cons, and the costs involved. But before we get started, I have an exciting announcement!
Announcements
If you're looking to level up your art business and learn the secrets of becoming a 6-figure "Artpreneur," don't miss our upcoming Artpreneur Academy Webinar.
It's a free masterclass that will change the way you approach your art business. More on that at the end of the show.
Now, let's get into the nitty-gritty of Etsy for artists below…
Why I Never Signed Up for Etsy
Artpreneur Academy Teaches You to Be Independent
I've often been asked why I never signed up for Etsy. The main reason is that I believe in independence.
I encourage artists to build their own websites and cultivate their own customer lists.
Relying solely on a platform like Etsy can be risky in the long run.
Build Your Own Website
Building your own website not only gives you more control over your brand but also allows you to keep all your profits.
Plus, it offers a more professional and personalized experience for your customers.
Overcrowded Market and Mass Production
One major drawback of Etsy is the overcrowded market. There are sellers who don't hand-make their items and simply resell mass-produced products from other sources. This makes it harder for true makers to stand out and attract customers.
Risk of Sudden Shutdowns
Perhaps the worst nightmare for artists on Etsy is the risk of sudden shop shutdowns without warning. Your entire livelihood could be held hostage, and it can take a lot of time and effort to resolve the issues and get your shop running again.
How Much Profit You Make When Etsy Forces You to Discount Your Products
Etsy is Forcing Artists to Accept 60% Sales Off Their Handmade Items
Etsy's promotion strategy can be a double-edged sword. They force artists to accept steep discounts on their handmade items, often as high as 60%. Let's break down the numbers to understand the impact:
For a $20 item normally:
Etsy takes $2.35 in fees, leaving the artist with $17.65.
When Etsy forces a 60% sale on the same $20 item:
Etsy takes $1.21 in fees, leaving the artist with only $6.80.
This not only eats into your profits but also encourages resellers to flood the platform with cheap items from other sources.
Full-Time Etsy Sellers are Having Their Shops Shut Down and Funds Held
Another alarming issue is the risk of having your shop shut down and your funds held.
In some cases, sellers have been sued for seemingly innocent reasons, like using a common word in their product listings.
This can be a traumatizing experience and cause significant stress.
The Pros of Artists Using Etsy
It's not all doom and gloom when it comes to Etsy. There are some pros that artists should consider:
Quick Start: If you're just starting and don't have an audience, Etsy can direct people to your shop, helping you make those initial sales.
Niche Products or Local Items/Tourist Attractions: You can still find success on Etsy if you offer location-specific or niche products. It's a great platform for reaching tourists or those looking for unique items related to a specific place.
No Website Required: If you're in the early stages of your art business, Etsy allows you to skip the whole "build a website" step and get your products out there quickly.
Craft Items: Etsy is known for handmade and craft items. If you have a mix of craft and fine art, Etsy might be a suitable platform for your craft items while maintaining a separate website for your fine art.
However, remember that it's crucial not to rely solely on Etsy for your entire business.
Listener Q&A
Before we wrap up, I'd love to hear from you. What has been your experience with Etsy? Do you have any questions or concerns? Feel free to answer the Q&A on Spotify or leave a comment on my YouTube or Instagram.
Join me for the Free Masterclass: Secrets of a 6-Figure Artpreneur
If you're ready to take your art business to the next level and become a confident, independent art business owner, check out Artpreneur Academy.
It's the only program you need to grow a predictable art business income from scratch.
In just 75 minutes, you'll gain valuable insights into sales, social media, and branding strategies.
Seats are limited, so don't miss out.
CLICK HERE to get a FREE month of coaching and much more!
That's all for today's episode. Remember, whether you choose Etsy or decide to build your own path, your art business journey is in your hands. Thanks for tuning in, and I'll see you in the next episode!
Love and Positive Vibes,
Jenna
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