Episode Transcript
Available transcripts are automatically generated. Complete accuracy is not guaranteed.
Jenna Webb (00:00):
Today, we're diving
into the pros, cons and costs of
(00:04):
Etsy.
To find out, is it worth therisk for artist?
Etsy has had some extremeproblems that I want to shed
some light on today.
Like sudden shop shutdowns.
An overcrowded marketplace, andartists' fighting against mass
produced items, and horrorstories that come with the risk
(00:24):
at running your business on athird-party platform that you do
not own.
On the flip side, I also want tohighlight the pros for artists
using Etsy.
So you can decide for yourself
Welcome to the Empowered ArtistPodcast, where you'll get all
the strategy to sell your artonline.
I'm Jenna Webb.
(00:45):
I've helped thousands of artistsrealize and achieve their dream.
I'm an artist, marketing coach,founder of Artpreneur Academy,
chronic illness warrior, andyour new art business.
When I retired from corporate tolive my dream life as an artist,
there was no example for me tofollow.
But as I started to grow a sixfigure art business, I was able
(01:05):
to map out a complete step bystep blueprint for successfully
creating and marketing onlineart businesses.
If I can learn how to be anartist in my thirties, I can
teach you how to run a business.
Now, as the how to girl, I'llgive you all the tips.
and tricks that will actuallygrow your art business.
So tune in each week as wesimplify art marketing, make
(01:26):
selling your work fun, andelevate your artpreneur mindset
so that you can feel like thebadass that you are, even on the
tough days.
I am on a mission to transformthe mindset and income of
artists everywhere.
So if you're ready to live yourdream life as a full time
artist, let's do the damn thing.
(01:47):
welcome back
empowered artists.
I am so excited to come backafter our amazing three-part
January jumpstart series.
I hope you are feeling just asfired up as I am about having a
deeply meaningful and impactfulyear.
That's what our last threeepisodes were all about.
If you want to go back and takea listen or bookmark them and
(02:10):
relisten.
Our goal has been 88 applepodcast reviews.
And you guys, we are just inchesaway.
So when I.
See that 88 3 view.
I will be giving an Amazon giftcard out to one of the last
eight reviews.
I'm so excited to do that.
Thank you so much for yoursupport.
(02:30):
I can't wait to bring youtoday's show.
Today, we're diving into thepros, cons and costs of Etsy.
To find out, is it worth therisk for artist?
This is definitely an episodeyou'll want to share on social
media because other artists needto hear it.
And together you can help mespread the mission of the
(02:51):
empowered artist.
Etsy has had some extremeproblems that I want to shed
some light on today.
Like sudden shop shutdowns.
An overcrowded marketplace, andartists' fighting against mass
produced items, and horrorstories that come with the risk
at running your business on athird-party platform that you do
(03:13):
not own.
On the flip side, I also want tohighlight the pros for artists
using Etsy.
So you can decide for yourselfand we'll open up a
conversation.
Personally, I never signed upfor Etsy because I value living
as a completely independentfull-time artist.
If you feel the same, Irecommend signing up for the
(03:35):
Artpreneur academy through myfree masterclass secrets of a
six-figure Artpreneur.
Before wasting your time onthird party websites like Etsy,
where you have no control.
Click the link in the shownotes, or go to Jenna Webb
art.com and click freemasterclass now.
Artpreneur academy teaches youhow to be completely independent
(03:56):
with your own website andteaches you how to build your
own customer list.
Thanks for being here with metoday and following the show,
let's dive in.
So we start today with aquestion because Etsy is such a
big topic.
I want to know what has yourexperience with Etsy, been?
(04:17):
Good or bad?
You can answer and the episodecomments on Spotify or drop a
comment in YouTube.
There are three major drawbacksto find artists using Etsy.
The first drawback being.
Force promotions on a handmademarketplace platform.
Etsy is actually forcing you todiscount your products.
(04:39):
And as a fine artist, our priceis our price.
Etsy is only promoting sellerswho offer regular and large
sales.
And what's happening with thisis artists are forced into
impossible profit margins thatyou can't sustain.
We're going to go into detailabout how this profit margin
(05:03):
breaks down and I'll do the mathon a specific example.
Because this is huge.
And if you're like me with yourart.
My price is my price.
And a for sale on a platformlike Etsy is ridiculous because
that either forces you to chargeway more for your artwork.
And those high numbers can deteran art buyer.
(05:25):
Because sometimes Etsy's forcepromotions are up to 60% sales.
That's impossible.
So more about that in just aminute.
The second drawback of an artistusing a platform like Etsy is
the overcrowded market and massproduction.
So Etsy is known for being abeautiful place where you can
(05:47):
get handcrafted goods from realartists, but that's not what it
actually is.
A huge issue that arose a longtime ago.
Are people going onto sites likeAllie express and Teemu, I think
it's pronounced.
Um, and these are where you canbuy mass made goods.
(06:08):
And they're not coming fromartists who are actually
hand-making the items.
These are just resellers.
And they're buying these itemsand reselling them at
ridiculously low prices.
These sellers are crowding themarket.
And they're pushing out the truemakers.
And as an average buyer on theplatform, there's no way to
(06:28):
really know who is an actualhand maker and artists and who's
not.
And so the market is justovercrowded and flooded with
this bullshit.
There's no way an artist who'smaking original.
Artwork.
Original sculptures, originalpaintings, whatever type of
craft that you're putting yourvision and your time into,
(06:51):
there's no way you are massproducing that.
And at the click of a button,someone just going on to
AliExpress and just reselling iton Etsy.
And this mass production is justtaking over.
The whole concept really makesit impossible for the true
artist.
And it's diluting the truepurpose of the.
(07:13):
Artisan and craft platform.
The third drawback of an artistusing Etsy is simply risk.
It's not a platform that youown.
And this is where I want to talkabout sudden shutdowns.
I have heard artists horrorstories from Etsy.
This is the stuff nightmares aremade of.
(07:35):
I have heard of artists who hadlong standing Etsy shops
suddenly shut down withoutwarning.
Without any word from Etsy.
Their shops were shut downovernight and their funds were
held.
And that is simply the risk ofrunning your business on a
platform that you do not own.
Etsy can close your shop withoutwarning and hold it ransom.
(08:00):
And they have.
There are many stories likethis.
And today I'm going to share oneof those stories with you of a
woman who got sued for using theword smiley on one of her
products.
And she had to do a lot of workfor an entire month when her
shop was suddenly shut down.
Which was her entire livelihood.
(08:22):
She had to do a lot of work justto get it up and running again
because her funds were heldransom.
So when you run your entirelivelihood, On a platform that
you don't own.
You're signing away yourbusiness to the unknown.
And that's a lot of risk.
I know that Michael's has amarketplace similar to Etsy now.
Artists have approached me withconcerns.
(08:44):
Of how much of your business areyou going to be signing away to
this kind of market space?
And that worries me too.
Bottom line is if you don't ownit, you don't control it.
Let's talk about how much profityou actually make when Etsy
forces you to discount yourproducts.
Because Etsy is only promotingsellers who offer regular and
(09:07):
large sales.
Etsy is forcing artists toaccept 60% sales on their
handmade items.
That's insane.
And let me tell you just howinsane that is.
Let's use a$20 item, just for anexample.
Now I know your artwork isn'tnormally$20, but let's say it's
one of your entry level items,or you can use this example and
(09:32):
multiply it for one of yourlarger original pieces of
artwork.
Here's the breakdown on how youwould profit on Etsy after all
of their fees.
Regularly.
You would make$17 and 65 centsoff of your$20 item.
But when Etsy is forcing you topromote your item at 60% off,
(09:55):
you are only making$6 and 80cents.
Unbelievable.
So you're probably wondering howall the fees breakdown.
Etsy has a 6.5% fee.
And then there's an additional3% fee.
And they processing fee.
On your$20 item.
Regularly.
(10:16):
Etsy's total fees are$2 35cents.
So in total on a$20 item, Etsyis going to take$2 and 35 cents.
So the total earnings for you asan artist on that$20 item.
Is$17 and 65 cents.
(10:37):
Let's see what happens when Etsyis forcing you to promote.
Etsy has this super saturatedMass production market.
And they're only going topromote sellers who are offering
regular and large sales.
So if you are being forced tosell your product at a 60%
(11:01):
discount.
Your list price on your$20 itemis$8.
On this item.
At T's total fees are$1 21cents.
You are only making$6 and 80cents.
Unbelievable.
So the real problem with Etsyforce promotions is that this is
(11:22):
encouraging.
Resellers to come onto theplatform.
So that's resellers who aregrabbing mass produced items
from websites like Ali express.
Versus actual artists who arehand-making items.
And the real artists can'tafford these tiny profit margins
(11:44):
for their work.
It's truly impossible guys.
Etsy is only promoting your shopif you're having a sale above
25% off.
Let's talk about how full-timeEtsy sellers are having their
shops suddenly shut down andfunds held.
I almost can't believe it when Isay it out loud that Etsy can
actually shut down your shop andhold your funds and hold your
(12:08):
business at ransom.
This happened to a seller whoseentire business was run on the
Etsy platform.
And here is the story, as Iunderstand it.
This hardworking artisan had thesmiley company shut down her
store for having the wordsmiley.
On one of her product listingsfor a pin.
(12:30):
Even though her product was nota smiley face.
At Etsy held her funds for overfive days and she couldn't get
ahold of them.
In the meantime, she had to keepshipping out her orders because
of course she's a responsiblebusiness owner and she's going
to do that for her customers.
She's got a reputation touphold.
(12:51):
And finally she was contacted bythe smiley company and she was
sued for using the word smileyfor two and a half grand.
And she couldn't have her Etsyshop back and tell she paid.
Now, according to the seller,she said that she taught herself
law in under a week by using theCornell law website.
(13:14):
What gumption.
And she refuted every singlepoint that she was being charged
on, which took a lot of time.
Ultimately, they dismissed thecharges and she was able to
continue selling.
But she did lose an entire monthof sales and.
Can you imagine?
How traumatizing this was forthe seller whose entire
(13:36):
livelihood was being held atransom.
And she didn't know the outcome.
She had to go through this.
So the sales weren't the onlycost.
It was a lot of time and a lotof stress, very traumatizing.
Now, of course not everyone'sexperience with Etsy or similar
sites is going to be the same.
(13:58):
So let's highlight 4 pros forartists using Etsy.
Number one.
It's a quick start.
You can jump on Etsy and haveyour shop set up and running and
very little time.
One of my students.
Jessie said that it was reallyhandy to get her started because
she didn't have a platform atthe time.
And she said that she made saleson knitting patterns and some
(14:21):
digital items, items that didn'trequire her to ship anything.
Number two.
Etsy can be really great if youhave a super niche product or if
you're.
Product is really good for thelocal area you're in.
Or if you're in a tourist townand people are going to search
you for that city or for thatniche product.
(14:43):
And you're going to be able toreally stand out on Etsy.
So let's say you're at a beachtown, or you're just in this
tourist area that people reallywant certain handmade goods from
that area.
Then I would say having thatniche product on Etsy could
really serve you well.
That probably comes in reallyhandy when people are looking
(15:06):
for gifts that are personalized.
My student Jessie said that shegot a notice that her buyer had
searched for her city and theybought a sticker.
Number three.
You can get started on Etsywithout a website.
If your goal is to get productsto market as fast as possible.
With Etsy.
(15:26):
There's not a lot ofpersonalization.
You can do.
But absolutely Etsy is going tohelp you with speed to market.
If that's one of your goals.
Overall.
In business and in life, thereare no shortcuts.
And it's really important thatyou can stand on your own two
feet.
If you are going to be on Etsy,you still are going to need a
(15:48):
website.
So even if you do want to havean Etsy presence, you're still
going to need a website to havea business that will sustain you
in the longterm and make youprofits that can sustain your
livelihood.
So just keep that in mind.
Number four.
If you sell craft items.
Etsy is a great place to be.
(16:10):
When I think of Etsy, I think ofcrafts.
But that's just me.
Many artists I know are similarto my student, Jessie who says.
I like having my craft items onEtsy, because I don't want to
list my craft items alongside mypaintings on my website.
It just feels too separate forme.
(16:31):
One caveat to having an Etsyshop is not having that Etsy
shop alone.
You don't want your entirebusiness on a single platform
where someone else is making therules and can hold your
livelihood at ransom.
Plus you need a website for yourbusiness anyway.
(16:53):
I'm going to ask you a questionbefore we go today.
Today we covered how Etsy can bea quick start for artists who.
Want to get their products outthere right away.
How the platform is known forcrafts and niche and local items
rather than fine art.
Forced promotions on se can leadto unsustainable profit margins
(17:14):
for artists.
The Etsy marketplace isovercrowded, making it really
difficult for true handmadeartists to stand out among
resellers.
And there is a risk to suddenshop shutdowns on Etsy, which
can have a devastating impact onthe artist's livelihood.
I never signed up for Etsybecause I value complete freedom
(17:38):
and living independently as afull-time artist where I can
keep all of my profits and be infull control.
If you feel the same, you shouldjoin me in Artpreneur academy
through my free masterclasssecrets of a six figure
Artpreneur.
Click the link in the show notesor sign up@ jennawebbart.com.
(17:58):
Click free masterclass.
You'll be so glad you checkedout Artpreneur academy before
you waste your time and bet thewhole farm on a third party like
Etsy.
It's for artists who want toearn a full-time living, doing
what they absolutely love.
And it's the only program youneed to be a confident,
independent business owner andnever rely on a third party.
(18:21):
You'll be handed the provenstep-by-step plan that you need
to grow a predictable businessincome from scratch.
Just like the thousand plusstudents who have done the same.
You'll be offered a free monthof coaching with me and much
more.
If you want to learn more aboutArtpreneur academy, come to the
free master class (18:38):
secrets of a
six-figure Artpreneur.
And this class you'll walk awaywith sales, social media, and
branding strategy to convertsales right now.
And at the end of the class,you'll get details about the
Artpreneur academy program.
The class is only 75 minutes.
It's 100% free to attend, butseating is limited.
(18:59):
To save your seat, click thelink in the show notes or go to
Jenna web art.com.
And click free masterclass tosave your seat.
You will love it.
And I will see you there.
I hope you love today's episodeon Etsy.
And my question for you is whatelse would you like me to cover
(19:21):
on the show about Etsy?
I'm really curious to know whatyour experience has been with
Etsy.
Good or bad.
You can let me know in theepisode comments.
If this episode fell on yourheart or got you fired up, I
would love it.
If you shared it with a friend,they need to hear it too.
Thank you for listening,following and dropping a
(19:41):
five-star written review.
I'll see you right here nextweek.