How Etsy Became A $14 Billion Hand-Made Empire
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- čas přidán 4. 09. 2020
- When Etsy launched in 2005, it reported $1 million in gross merchandise sales. By 2019, that number had grown to $5 billion. But the company has also gone through a massive evolution as it transitioned from a private business to a publicly traded behemoth.
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How Etsy Became A $14 Billion Hand-Made Empire
By taking 5% commission off the sale price, 5% off shipping, plus $0.20 per listing. Not the mention, the sellers also have to pay the 3% + $0.30 from PayPal sales. They have failed to protect their handmade sellers, so now the site is full of products from chinese manufacturers, print-on-demand websites, and resellers.
Not to mention the fact that sellers are now forced into advertising which they can not opt out of. That's 12% plus vat in the UK, so after paying every other fee you have a forced advertising fee to pay if you're unfortunate enough to get one of those sales.
Obviously Etsy has sold out. I believe there is an opportunity for a new Etsy that's caters exclusively to handmade.
That is still pennies to have a page that can get you quickly indexed on Google, run promoted listings and keep more money that someone on Amazon. 20 cent listing fee is too much for you? smh
@@ssa12654 actually, you can opt out of the advertising if you want. For me, selling digital products, it's free money.
@@kuroibuta once you have gone over the 10k threshold you are automatically qualify for goggle advertising. You can not opt out of this.
Etsy isn't just handmade products. There are plenty of mass produced Chinese products on there.
It should not be 😕 it’s against Etsy policy
@@luzareizaga2141 yes it shouldn't be, but unfortunate it does. A quick search will bring up plenty of cheap mass produced items that are being passed as handmade.
@@luzareizaga2141 It's against their policy, until they found out that probably a significant part of their income is from these type of sellers. So, they look away.
That might end up killing their company tho.
EXACTLY in the beginning it wasn't like this...it wasn't about all the :aesthetics either it was pure and genuine
Yes, it’s not supposed to be that way. Etsy is a great platform but sadly does not enforce the rules- well, the rules that matter to the authentic sellers.
As a small business owner that sells hand made stuff, I have been constantly warned by other hand made shops to not sell on etsy due to the amount of fees they have. It wasnt always like that, but now it's hard to sell on there. Idk, as a seller it gives me bad vibes to sell. But it works for some.
O dang that sucks
The fees are expensive but no more then Ebay. Just incorporate the fees in to your price. If it sells great, if not at least you tried.
Handmade? There's SO much drop shipping on Etsy ☹️
How etsy build it’s empire on the backs of small artists and designers, only crush them in favor of Chinese resellers, manufacturers, shareholders to become their final form , an eBay amazon hybrid
😞😔😞😞😔
They forgot to mention that Etsy will take away its phone number away and we sellers have no way to call them! They didn't even mention the flawed review system or the drop shippers, the forced add system and free shipping of $35 we all had to opt into...
The review system is not flawed. So why would this newspiece mention it?
Dear Etsy, please consider a “badge” for sellers based in the US for buyers who wish to support truly locally sourced products and goods.
What if someone lives in Canada? Then it's not locally sourced is it?
You can state wt country you want to buy from
Newsflash: People from other countries can shop on Etsy.
That’s bs 🙄there are Chinese companies selling stuff on Etsy that was made with machines. Definitely NOT handmade
They allow that now. There is still room to sell your own thing, even if its not fully handmade.
@@KayDejaVu At least, you are honest.
im obsessed with etsy!! but you do have to look out for sellers who just mass order items from aliexpress etc
I've only learned about Etsy through this video and it got me really excited about it as I appreciate both handmade and vintage things. However, after browsing the website, I got disappointed because I found that it has a bunch of mass-produced Chinese products there which is really unfortunate because the only advantage that the website had is appealing to those of us who admire products made with care and have had enough of the low-quality, unoriginal PRC products which can be found literally anywhere.
I guess it's hard to resist selling mass-produced products from China due to their profitability but Etsy is making a huge mistake here by losing focus.
Yes, I still support Etsy. I have been a very satisfied customer for 3+ years. When the pandemic began, I quickly ordered good quality masks for family that's out of state. My fam, including lil nephews received their masks with 5 days. They sold affordable masks when our country needed them. Thankful for supporting real people with real small businesses. I would also say that at least 90% of those that I bought are women. I would highly encourage anyone to not shop Amazon next Christmas season & support Etsy instead. I also use the local option button, to try to support locals.
well handmade stuff from north America is overpriced. china is providing similar product for much cheaper.
@@asadb1990 It’s not the same. I
Etsy is supposed to be a platform to sell handmade or vintage items. They now allow supplies to be sold as well. The problem is a lot of mass produced items cheap items from China are being wrongfully sold. There are lots of skilled artists and craft makers and beautiful vintage items available on Etsy but sadly, the shop owners are having to compete with lower priced but inferior products that, by Etsy’s rules, are not “allowed” to be sold. In the end, it lowers the quality and image of Etsy as a platform.
Etsy to go up now it's included in the S&P500
@Que_Rico won't be surprised if Amazon acquires it
Released right after a day they were included in the S&P500
Some people really don’t know how awesome Etsy is.
Right!! 👏👏 I love supporting Etsy. Been a very satisfied customer for over 3 years
83% female sellers!!! ❤️❤️❤️
YESSS
As a man I am deeply offend by this level of sexism.
@@dopemusic6414 Shut up. You definitely don't know what sexism is!
Dope Music how is this sexism?
Tiara Tanka I know right? 🤷🏻♀️ why would anyone be triggered by that comment?
Loved this content! Super satisfying to watch it. 👍
How is this any different than eBay ? eBay really did a number on their sellers, making it more difficult to sell, problems with payments...
Lots of people jumping from eBay to Etsy - looking to skip the hassles and just sell sell sell $$$
I love buying from Etsy, but I always make sure to buy from a local seller.
Weel done!
Does anyone know which seller makes the mask at timestamp 10:50 ?
I love the extra cash i make from etsy
It's not anymore a handmade, unique product market. It's becoming more like Amazon and eBay. It's losing its core values and got polluted because it loosened up its seller policy. pretty much any Chinese or Indian factory product can be sold there. They even upsell the same product you can find on eBay. Trash quality products.
I SEEN ETSY BOOMING IN THE STOCK MARKET. I NEVER KNEW THERE MAIN BUISNESS WAS SELLING HAND MADE ITEMS
Sounds exactly like ebay lol.. hey maybe because the Ceo is from there. Just one question what difference will this company make compared to the other selling platforms?
I frikking love Etsy
Cool analysis , thank you for your efforts ! 😀✌
I have never used this before. I hope they crush Amazon.
I love that you have to opt out of their ads system. I once sold a $500 vintage sewing machine, just to have Etsy take nearly all my profit because I didn't know that there was this ads system. I wonder how many people lost their profits before they realized you have to go find this and opt out. It is a low trick to gain a buck by Etsy.
Etsy isn't near as good to the sellers as it used to be. It's just another massive billion dollar company now that lies to draw buyers in.
This is actually really cool
Magnificent!
So much fees, fake review and reliability issue on Amazon and Etsy. Both will be bankrupt if Shopee enter USA. Shopee only charges 2.5% on seller from the total payment. No transaction fee, no annual fees sort of. Have Free Shipping and Cashback program also. That why Shopee can grow so fast in Southeast Asia..
Yes shopee is run by a singaporean billionaire and it’s gaining popularity...)
Shoppee is very much bleeding year after year.
Well, investor dont care. Growth is more important they say.
LMAO shopee might be able to compete with Amazon in few years until it become forgotten when they try to get a profit from it. Take a note shopee isn't profitable yet and they're burning money like crazy
Do you think Shopee is a charity or philanthropy organization or what? This kind of growth at any cost and race to zero profit margin business model cannot go on for long.
and I actually thought no one used Etsy 😂 🤦🏾♀️
Sameee I have never bought there
@@Mingota100 me too! meanwhile they're pulling in billions of dollars 😂
Good story contain a lots of good things
CNBC Make It, please make a video about how hellofresh became a $... empire, thanks very much!
Etsy is a prime example that companies can both do the right thing by being inclusive and also be a monetary success.
They didn't disclose their profit margins. You know revenue does not mean you're making money right?
Dope Music yes I was wondering if they’re profitable. Just like Airbnb, Uber and Lyft aren’t.
They sold out a long time ago.
@@dopemusic6414 So true...
I don’t believe in being able to force founders out, its their idea and their company that THEY started and investors made the choice to gamble that they could succeed when they invested in them. So, whatever the founder decides to do with their company, and however they decide to behave, is a part of that gamble that the investor made and has to live with. If they get forced out they should have the right to take their IP with them.
Great story
So at its core it’s eBay 2.0?
Yes, with a hipster feminine spin. I love Esty!
*This is just amazing! Cool video!*
#AcCollection
I ordered some things from there I didn’t receive it kmt
Really informative !
Etsy is a virgo star seeds dream favorite bussiness
Ppl also make new stuff too not all old stuff
Very interested story📖
2019 gross margin $547 million, not 5 billion. 1:16
This guy can't stop smiling. Man's out there like 😬
HAHAHA
Salam, Sounds like selling on Etsy and advertising on Tiktok is the way to go for creative minds.
I love etsy they have the best lotions,hair products and homeopathic medicines without all the chemicals of mainstream
Does anyone know how many paid board members are BIPOC and/or women ?
Who cares
Lord have mercy you sound fun. Smh
Good question
No but I’m sure u can def contact them
Why is everything more expensive on Etsy.. and the fees, why are there so many.
They just told you its hand made lol
Etsy is a great platform but the fees are ridiculous. Etsy practically forced its sellers to offer US customers free shipping, but sellers were told to incorporate the postage into the product price. The latest update is that sellers are now forced into advertising if they make over $10,000 annually. The fees for advertising makes it almost pointless to sell the product.
Etsy is run by scammers for scammers. First-hand experience right here.
I have an Etsy store. I am not a scammer, nor have I been scammed.
I want to buy some Etsy stock
This is wear I bought my face mask.
Pfp a W
Where*^
USE TO BE HAND MADE EVERYTHING,, BUT NOW U GUYS TAKE ANY THING
Overvalued
What will help me to earn money
Sorry to complain, but this video is too speeded-up and the music is super-distracting. It's annoying.
Love the company, but apparently too progressive. Unisex bathrooms?! C'mon man!
Etsy is garbage now - they treat their sellers like dirt. I would never buy on there again.
4th
No one cares who is first or first 10 Billionth watch.
Really? Yup!
First
No one cares who is first or first 10 Billionth watch.
Really? Yup!
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The average command parenthetically list because message worryingly smoke failing a public teacher. wicked, needy lung
Why do you have a black woman as a thumbnail> OH I know because everyone is profiting off of us in 2021. Etsy never showcased black businesses b4 the Black Lives Matter Movement.
Dude stop complaining
You mean pandering to, not profiting off of.
Etsy is garbage
Wouldn't have guessed Etsy was started by a white guy.
OUR SUGGESTION,SIR. ! ALL U.S.A CITIZENS HAVE TO BE SOLDIER. BECOUSE, NO RESPECT EACH OTHER, RECIPROCALLY. WW1,WW2.. MAN AND WOMAN KNEW THIS.
Martial arts PLAYERS KNOW THIS. POPAI KNOW THIS. SOLDIER KNOW THIS. ・ NOW, U.S.A NEED vertically‐structured society. ・THIS WILL BRING U.S.A CITIZEN TO FIRST-RATE.