How to set up a shop on Etsy? Here are 10 factors to consider

Etsy, an American e-commerce company, stands out as a unique global marketplace focused on the art of handmade, vintage, and craft supplies. Etsy provides aspiring entrepreneurs with a platform to showcase their creativity and turn their passion into a thriving business. Etsy welcomes sellers, their creative ideas, and unique products on the platform.

Whether sellers are dedicated to only selling on Etsy or incorporating it into a broader business plan, it is a great platform for online businesses, connecting them with countless eager shoppers without needing a website or local sales. Selling on Etsy helps you easily connect with many buyers from different countries. New business owners are at a very low risk and have the potential to reach a large buyer base.

Figuring out how to sell products on the platform is crucial for Etsy sellers. Although selling on Etsy is a great way to earn money and expand their business, standing out among millions of sellers and their products can take time and effort.

The path to success on Etsy requires a systematic approach and a deep understanding of the platform. If you're wondering how to maximize your success on the Etsy platform, this guide is for you. Proper planning and focus on the points highlighted here can lead to success on the Etsy platform. 

Let's discuss them one by one.

  1. Research and Product offerings

A key part of making money on Etsy is understanding customer demand. In this digital marketplace where buyers often make decisions with just a few clicks, Etsy sellers must know about the products that might catch their attention. Success on the Etsy platform depends on knowing the target audience's preferences and getting those products in front of them. It is crucial to understand the target market and what the existing customers think of their shop. Analyzing popular products on the Etsy platform and tracking the current trends of products seen on social media can give some ideas.

It is important to pick a specific niche and develop products that fulfill customer needs. Developing an inventory with a range of products at different price points is a good option and helps to set up the customer base. 

  1. Setting up an Etsy shop.

After drafting out the kinds of products you'd like to sell and your target audience's preferences, it's time to set up an online shop. The shop's About Us page should highlight the owner's company and what differentiates it from other Etsy sellers. Jotting your shop's policies and filling up all the required details is important. On the About Us page, background, interests, and points, like what inspired you to start selling on Etsy and the unique qualities that make your shop special, can be shared. Uploading images of studio space where you prepare orders for customers or nicely wrapped product packages ready to be shipped can attract customers.

Using creative elements to show buyers what makes your shop unique can attract customer attention. Adding icons and banners, arranging the items strategically in the shop, and featuring the best-sellers will help. The profile photo added on the public shop homepage and in conversation threads should be a good one, and it should be like a close-up or a headshot. The blurry or overexposed image makes a bad photo, affecting sales adversely. Using bright or natural lighting to avoid blurry or low-quality images while clicking the photo must be followed. Building a brand appearance using images and videos will help you stand out from other small businesses on Etsy. 

  1. Product Images

The product images must be high-quality, as it will be the first point to catch customers' eyes. It must be bright, clear, and taken from multiple angles. It must also provide detailed and transparent information about the material used, dimensions, and customization options. In addition to adding professional-looking photos, posting a product video to your listing will further boost engagement. 

After selecting the products you want to sell, it is time to work on the steps to fulfill the orders. When selling handmade items, you always need to prioritize product quality. Having complete control over your products' quality and uniqueness attracts buyers looking for something special. They'll be more likely to return to the shop for future purchases and share your shop with their acquaintances, helping promote it.

By prioritizing product quality, it will likely earn more positive customer reviews, which will help further down the line.

  1. Keywords & Descriptions

Etsy's search algorithm relies heavily on keywords; hence, keyword research tools can be used to understand the demand for your product. The main aim is to focus on what potential customers are searching for and incorporate these keywords naturally into your product titles, product descriptions, and tags. It is always better to add longer description keywords, which are more specific and target those people who already know what they are looking for and are ready to purchase. 

Descriptions should include the story behind the product and how it relates to the brand's values. The description should also include the product's unique features and benefits and why a customer should choose the product over another company's. The item description should be a clear, concise, and accurate one. All relevant information must be in the description, like the product's size, color, quantity, and material. In the case of pricier products, adding details of packaging and shipping is a must.

  1. Pricing Strategy & Performance Analysis

Correctly pricing your products on Etsy is important for your business's success, even though it could be challenging. The right price point helps attract customers and ensures the seller makes a profit. 

Whether the seller is targeting a high-end or more budget-conscious market will determine the pricing strategy the seller needs to implement. Checking the prices for similar products on Etsy can give a good idea of the same. Searching the competitors on the platform and understanding what the market is paying for their products is important to understand what the market will pay for your products.

Calculating the cost factor of the product should include the cost of raw materials, effort you gave, and overhead expenses. Also, consider factors like Etsy's fees, profit margin, and shipping costs to ensure your pricing is profitable and appealing to potential buyers at the same time. Offering rewards like promotions, free shipping, or discounts for bulk purchases can attract and retain customers, helping establish a long-term relationship.

You can also track your performance on the platform to get instant insights. Etsy helps sellers track their shop performance by providing lots of data, which can be accessed through the shop manager page. It includes shop stats like revenue, views, clicks, orders, and conversion rates. These details can help sellers analyze, track performance, make informed decisions, and optimize their Etsy shop.

  1. Reviews and feedback 

To build a successful business on the Etsy platform, you'll need to engage with the audience and get their feedback on the types of products they're interested in purchasing. Listening to the audience's preferences will help to create a base of customers who will be loyal and will buy your products, and return to buy more. Conversing with followers on social media or asking people to vote on a new product design is a good idea to get customer feedback. Shoppers, before buying, often look at seller reviews to see what other buyers have to say. 

Always update the shop's best-selling items by adding more photos, adjusting pricing, or making little changes to the description. By renewing these items frequently, customers feel sellers care about their experience. It also shows that sellers are committed to providing quality products. Etsy gives a small visibility boost on the search for updated listings.

Earning a Start Seller badge is another way to enhance the reputation on the platform, thereby making more sales. It will improve the shop's visibility and credibility, making customers more likely to prefer buying from you over other sellers. 

  1. Effective Product Packaging

Product packaging plays an important role in the growth of any company and its marketing strategy. It is one way in which start-ups, entrepreneurs, and people running home businesses can stand out from the crowd of sellers. Creating a variety of high-quality products with unique but unified packaging designs will help you differentiate yourself from the competition. Consumers usually prefer products that have proper, attractive packaging. Packaging not only tells customers about the product but also about the brand they're buying. Efficient packaging provides a layer to protect and transport the product from one place to another. 

The packaging must be designed to be consistent with the brand's personality. A well-packaged item will impress the target buyers, turning visitors into loyal customers and resulting in them coming back. Efficient packaging can surprise or entertain customers when they receive the product. Packaging products as per customers' tastes may encourage them to share a photo on their social channels, which indirectly helps promote the product. 

  1. Customer Support Service

Customer satisfaction is key to success in running an Etsy shop. It can go a long way in building customer trust and loyalty.

Responding to customer queries and messages makes customers trust the brand more. Also, fast responses to queries can stop the issues from escalating into a negative review. So, it is important to keep checking messages regularly. It makes customers happy, as they feel their needs are being cared for and can get support whenever needed. 

For giving customers a positive experience, answering queries related to materials, sizing, shipping times, or any product-related questions is important. It helps them to make informed decisions and helps to develop a positive bond with the brand. 

On the other hand, failing to answer their questions may lead to customers going to other Etsy sellers. So, Etsy sellers should give themselves time to familiarize themselves with their products in detail and be ready to answer any questions from customers that come their way. 

Every aspect of business can affect branding. Proper customer service activities like answering follow-up emails, shipping, and issuing timely refunds can help branding. Business owners have a great opportunity to build their brand during customer service activities where they have the full attention of their customers. Each customer interaction is a scope that can either make or break the customer's relationship with the brand.

  1. Establishing Brand Identity

A seller's most valued asset is a strong, relatable, well-known brand. Developing a consistent brand image will make the target customers invest emotionally in the business and relate to your brand. Here are some aspects that help establish your brand identity. 

  • Brand Colors & Fonts
  • The brand colors and fonts make the brand unique visually. You need to choose fonts and colors that evoke an emotion that your brand promotes. A consistent color theme or a brand palette creates a visual identity that leaves a long-lasting impression on potential buyers. It helps establish a long-lasting connection with your target audience and builds trust and recognition. 

  • Brand Logo & Voice
  • Customers may check social media channels related to the company to learn more about the brand. Item descriptions must be in a voice that reflects the brand's personality. The stamp, sticker, or label is an opportunity to remind customers of your brand name and shop URL. 

    It should also include a well-designed logo so users of Etsy can recognize and remember your shop. Customers will recognize them more if the logos and icons are simple and not complicated.

  • Cover Image
  • A cover image creates a unique brand identity when users of Etsy view your shop. The cover must show what your brand stands for and highlight the kinds of products you sell. It brings the largest branding opportunities for the shop. Using your photo background and props will further help convey your shop's identity to the target customers.

  • The shop icon
  • Using the brand logo as a shop icon and in the cover image gives a strong effect. The shop icon should represent the shop across Etsy and be an image that looks good in all sizes. If the shop's activity appears in a shopper's homepage feed, the shop icon should be quite small, but when it is in the shop homepage, it will be shown at its full size. A great graphic on the shop homepage might translate poorly at smaller sizes. So, previewing the shop icon in various sizes is better to ensure your final selection works well, even when small. The shop icon should be legible, even in small sizes. Too much text should not be used in shop icons as it will be difficult to read in small sizes.

    The shop icon should communicate the look and feel of the shop at a glance. A great shop icon communicates the ideas or passion behind the products. When using a graphic as the shop icon, it is important to ensure shoppers understand what it depicts and how it relates to the shop. 

    It is better to have marketing materials like business cards, banner ads, and promotional postcards designed with the brand in mind. It will build trust and credibility in the customer's mind and have a visual aesthetic supporting the image you hope to achieve for your brand. Using the same color scheme, logo placement, and fonts keeps the design consistent everywhere. 

  • Proper Labeling
  • Etsy success lies in the ability to create a distinctive identity. While the quality of products undoubtedly plays a crucial role, labels and branding play an important role, too. Labels and branding serve as visual aids and visual design plays an important part in brand identity. It improves the overall appearance and appeal of the product. 

    Labels help customers identify your products and brand. Stickers and labels provide details about the product or the company. Products must be labeled professionally and attractively to click with the users of Etsy. Customizing your labels will allow you to get creative and attract the attention of online shoppers. A common brand template is a good idea; it will help you design new labels easily per your product offerings.

    In a market where products and companies compete in every little aspect, proper packaging and labels can help set businesses apart. Labels convey what's in your product and are often the customer's first impression of your brand. It also helps the consumer decide if the product is right for them. Beast Branding provides customized labels that will give your products a professional and attractive look with the artwork of your choice. We provide labels in a variety of shapes, sizes, and quantities. 

    10. Marketing Strategy

    Knowing the best marketing tools for Etsy will help you stand out among the other sellers. Let's have a look at some.

  • Social Media
  • Integrating the brand image across all the active social media profiles is important. Nowadays, most sellers maintain social media profiles and consistently increase their customer base.

    It would help to put effort into promoting your shop to get noticed. Trying new strategies and refining approaches for marketing your brand will make customers aware of the product in the market. For example, your Twitter background image and Facebook fan page can match the shop's banner to resonate with the customers.


  • Etsy Advertisements
  • Etsy ads can be a great way to promote your Etsy store. Eye-catching images and catchy headlines in your Etsy Ads will help reach more customers. Showcasing the product and its unique features will let customers trust your product and finally buy it. It can give better results when this ad is published based on the interests of specific audiences. Also, publishing ads based on their demographics or particular search terms can be an effective marketing strategy. 

    Good knowledge of Etsy SEO and Etsy search algorithm is important to attract customers through search traffic. In the product listing's title, description, and tags, use those keywords that shoppers usually type into the search bar. It will help customers find your product, but don't use the same keywords across all your listings. 

    Etsy also offers sponsored listings, connections to Google Shopping, and other options. It can further increase traffic to your products.

  • Blogs & Forums
  • Finally, promote your product listings on various forums and blogs. Incoming links from sites with good traffic help you rank higher, so you need to post product links on blogs, forums, and social media platforms like Pinterest, Facebook, and TikTok.

    Many Facebook groups are used for buying and selling handmade goods. Pinterest is a great social media platform. New customers will show interest in your product when you showcase it on the Pinterest platform. This platform works more based on visuals, so posting high-quality images and short videos with on-brand colors makes your pins stand out. Add relevant keywords to your pin descriptions, titles, and board titles so that they come up in search results.


    Selling products and finding success on Etsy can be a fun and profitable journey. However, it requires dedication in various aspects like product development, marketing, or providing great customer service. 

    It takes planning and skill to turn basic Etsy shops into successful business ventures. Invest time finalizing your store listings and analyze the results to keep improving. Sellers on Etsy must go through trial and error, see their strengths and weaknesses, and capitalize on the strengths.

    By selling high-quality products, you can set yourself apart from the competition. It will build trust, earn positive reviews, and give you an organic promotion. 

    Beast Branding carries a range of packaging options that are suitable for many products. Plus, we provide custom labels for various products across multiple industries. We accept bulk orders and have affordable rates. Check out our entire collection today!

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