Etsy Fees 2024: The Complete Guide to Etsy Seller Fees – Opening a shop on Etsy is free. The marketplace offers very high visibility to sellers, but it comes at a cost: they have to pay fees and commissions. Even if they are clearly stated on the platform, it is sometimes difficult for a beginner seller to navigate through the various Etsy prices. Especially since some fees are unavoidable while others are optional, depending on the features activated in each store.
If you want to know how much it costs to sell on Etsy, you’ve come to the right place, we’ll go over the main selling costs in this article!
Note: The fees on Etsy may vary depending on the country of the seller.
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Why is it important to understand the fees charged by Etsy?
Identifying what will be charged by Etsy will first allow you to know if the platform is the right choice to open your online store.
Indeed, depending on the products you sell, their prices and the clientele you are targeting, it may sometimes be more interesting to use other sales channels.
Also, to calculate your craft prices and determine your profit margin, you’ll need to know exactly what Etsy will charge you on each sale.
Anticipating and controlling the various costs of the marketplace will help you manage your cash flow well and thus keep your online store running smoothly.
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Etsy Seller Fees: Basic Fees
There are 3 basic types of fees on Etsy:
- selling costs
- transaction fees
- payment processing fees ( Etsy Payments )
Etsy being an American marketplace, the fees are initially calculated in dollars. Secondly, they are converted into euros.
Note: Depending on the evolution of the exchange rate at the time the fees are charged, the fees may therefore vary a little bit from one transaction to another. It is therefore not surprising to sometimes find slight differences in your Etsy Payment Account .
Listing costs (unavoidable costs)
This fee is charged for any product listing on Etsy or listing renewal.
0.20 USD or approximately 0.18 € excl. VAT + 20% VAT
a listing is active for 4 months or until it is sold.
if the sheet is not sold after 4 months and you want to put it back on sale, you will have to pay 0.18 € excluding tax again.
Items sold in multiple quantities
If you have several copies of the same product in stock, you can create a single product sheet.
0.18 € excl. VAT + 20% VAT for each additional copy sold in the same transaction
card expires after 4 months
Example: you have 10 copies of the same bag in stock.
Private product sheet
A private product sheet can be created for a specific order, from a message left by a customer in your shop. It can group several creations or vintage items, which simplifies the ordering process for the customer who only has one sheet to buy.
put online: 0.18 € excl. VAT + 20% VAT
no matter how many different products the product sheet contains
Transaction fees (unavoidable fees)
These are the commissions you pay to Etsy to sell your handmade creations or your vintage products on the marketplace.
5% excl. VAT + 20% VAT
invoiced on the amount of the sale + shipping costs (yes, you pay costs on costs…) + gift wrapping (optional) + any additional customizations that you charge to your customers
IMPORTANT
As of 04/11/2022, transaction fees will increase to 6.5% excluding tax.
Payment processing fees (Etsy Payments, unavoidable fees)
For each transaction, Etsy charges a percentage of the total sale price and a flat fee.
Etsy Payments allows a seller to offer a variety of payment methods to their customers: Visa, Mastercard, PayPal, Etsy Gift Cards, Google Pay, Apple Pay, etc. Membership of this feature is mandatory in France.
4% excl. VAT + €0.30 excl. VAT + 20% VAT
Currency conversion fees (optional fees)
If you sell your designs in a currency other than your bank account, Etsy will convert the funds in your payment account to your bank’s currency (example: you’re selling in US dollars when your bank account is in euros.).
2.5% excl. tax
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Regulatory operating costs (unavoidable costs)
Beginning July 1, 2021, Etsy will levy regulatory operating fees on sales made by certain European sellers.
These charges will be applied in response to the “Gafa tax” implemented by some EU countries.
0.40% excl. VAT + 20% VAT
charged on the amount of the sale + shipping costs + gift wrapping (optional) + any additional customizations that you charge your customers
Advertising costs (optional or unavoidable costs)
Etsy offers 2 marketing campaign tools:
- advertising on Etsy ( Etsy Ads )
- external advertising ( Etsy Offsite Ads ).
Etsy Ads (optional fee)
This is an option you can turn on to advertise directly on Etsy.
price: varies according to the maximum daily budget you define + 20% VAT (minimum: 1 USD)
billing method: each time a user clicks on one of your ads (CPC payment, cost per click).
Etsy Offsite Ads (optional or unavoidable fees)
When enabled, ads are served by Etsy outside of the site: on Google Shopping and the Google Display Network, Bing, on social media (Facebook, Instagram, Pinterest), and on Etsy partner sites (Martha Stewart, BuzzFeed, etc.).
Depending on your shop’s annual revenue, using the Etsy Offsite Ads tool is optional or required:
- if annual turnover on Etsy < $10,000: optional fees, you can deactivate the option, 15% of the amount of the sale + 20% VAT
- if annual turnover on Etsy > $10,000: mandatory fees, option cannot be deactivated, 12% of the amount of the sale + 20% VAT
prices: vary, percentage of the total amount of the order
Billing Method: Fees are charged by Etsy each time a user clicks on an ad AND purchases a product from your store. If no item is sold, you will not be charged anything.
Note: the advertising commission will be charged on any order placed by a user up to 30 days after the click on an ad.
Pattern (optional fee)
The Pattern option allows you to create a personalized online store by associating a domain name with it. The Pattern Shop is synced with your shop on Etsy.
price: $15/month, or approximately €12.60 excl. VAT + 20% VAT (free 30-day trial period)
Listing fees: free, no expiration date (on Etsy a listing expires after 4 months)
transaction fees: no
Etsy Payments fees: 4% excl. VAT +€0.30 excl. VAT
domain name (optional): billed additionally
The Etsy Plus plan (optional fees)
Etsy Plus is a monthly subscription service that offers sellers additional features and partner discounts.
price: 10 USD/month, i.e. approximately 8.41 € excl. VAT + 20% VAT
Included in the package:
$3.00 in listing credits, equal to 15 listings per month
$5.00 in Etsy Ads credits
Shop customization options: featured item, multiple shop banner options, etc.
discounts at Etsy partners (currently only 2)
e-commerce taxes
In some countries, a tax on internet sales has been introduced. This is the case of certain American states, Australia, New Zealand, etc.
As a marketplace, Etsy has an obligation to calculate, collect, and remit these taxes to each applicable state, municipality, or county. They are charged to customers on each transaction. Etsy fees are not calculated on these taxes.
The amount of sales tax paid by the customer appears on the order summary.
On the Payment Account side , the tax is deducted from the total amount of the sale and the sum does not appear in the detail of the accounting operations.
These fees are therefore only for buyers, they are not paid by Etsy sellers.
Conclusion: Is it profitable to sell on Etsy?
If you know how to calculate your prices well to generate a sufficient profit margin, the answer is yes!
Etsy Seller Fees: the benefits
- access to a large international clientele
- ease of store management
Etsy Seller Fees: The Cons
- significant competition
- many fees for sellers
- Difficulties understanding how Etsy search works
At first, it took me a while to figure out how all these fees work on Etsy. And you, do you find it rather easy to decipher in the Payment Account or are you having trouble finding your way around?