Deciding where the best place is to sell your craft supplies online can be confusing. With many platforms out there, the choices are wide and open with the ever growing world of online business.
Your first thought for the online store platform may be Amazon Handmade – especially since it is Amazon; a huge powerhouse for sales. However, you may also want to consider Etsy as an option too. Etsy’s famous handmade product market might be just the kind of platform you need for yourself.
It is possible to sell handmade items, crafts supplies, and antique items on both sites. Amazon Handmade only allows sellers for products in a narrow category, but Etsy allows you to market your products in 160 different categories.
Each platform offers a different experience of selling handmade goods. Here are the overviews of both Amazon Handmade and Etsy.
Amazon Handmade
Amazon Handmade was initially launched in 2015 to offer people an online platform to sell their handmade and vintage items. With the mission of connecting customers directly with craftspeople, artisans, and artisan entrepreneurs all over the world, the marketplace became popular fast.
Every product sold on Amazon Handmade has a dedicated page associated with it so buyers can get detailed information about every item.
Etsy
The Etsy platform is a digital marketplace where you can buy and sell handmade, vintage, and custom goods. What began as a small online venture in Brooklyn, New York in 2005 has now become a thriving e-commerce platform that connects millions of buyers across the globe.
From its humble beginnings offering small business owners a selling platform for their art, Etsy Marketplace has quickly expanded to provide craft materials, supplies and tools, mobile services, e-commerce management software, and other innovative offerings allowing merchants to start their very own e-commerce businesses.
The two platforms offer different experiences. Here are some things you can expect from both Etsy and Amazon Handmade.
Product Selection Comparison
Etsy and Amazon Handmade have great features which set them mid-market for product selection comparison. When you take a closer look at both of these platforms, it becomes clear that their offerings differ slightly.
Both platforms offer a large selection of product categories, but they usually vary in terms of price points – so consider your budget when deciding which platform is suitable for you.
Generally speaking, Etsy pricing is more competitive than that of Amazon Handmade. However, since Etsy is not as widely known or trusted as Amazon Handmade, it may be worth spending a couple of extra bucks to shop at the latter and benefit from its great reputation.
However, this doesn’t mean that Etsy holds a less credible reputation. Etsy and Amazon Handmade both offer numerous advantages when it comes to handcrafted goods: convenience, affordability, and quality assurance.
Customer Service
Etsy and Amazon Handmade both offer buyers great customer service, the customers being the sellers and the buyers.
Etsy allows customers to quickly message the seller of their item and generally get a helpful response within 24 hours, as well as providing a weekly newsletter to keep buyers updated with what’s for sale.
On the other hand, Amazon Handmade provides an informative website full of answers to customer questions and boasts buy-in protection that ensures refunds if a buyer isn’t happy with their purchase.
Whichever platform you choose, rest assured knowing both Etsy and Amazon Handmade provide excellent customer service.
Shipping
Amazon Handmade offers a range of shipping options, including Standard Shipping, Priority Shipping, Two-Day Shipping, and One-Day Shipping. All orders are tracked with real-time updates so customers know exactly when they can expect their purchases to arrive.
Amazon Handmade also offers sellers the option of using Fulfillment by Amazon (FBA) to manage their orders and shipping. With FBA, Amazon handles all the packing, shipping, and customer service for sellers. This helps reduce fulfillment time for merchants since their items can reach customers in as little as two days!
Etsy provides a variety of shipping options, too, but the main difference is that individual vendors are responsible for their shipping policies.
However, customers can often get free shipping if they purchase multiple items from one vendor. Etsy also offers an estimated delivery date on each item to give buyers an idea of when they’ll receive the package.
FBA shipping starts from $3.22 all the way to $7.17, depending on the size and weight of the ware. Meanwhile, since sellers on Etsy have to maintain their own shipping, the cost varies, depending on the kind of shipping service used.
Amazon Handmade’s Pros and Cons
If you are one of the Amazon Handmade sellers, you may expect the following pros and cons:
Pros
Buyer protection: Amazon Handmade offers buyers the peace of mind that comes with a buy-in guarantee, which ensures refunds for unsatisfied customers.
Fulfillment by Amazon: Merchants using FBA can reduce their fulfillment time since their items are shipped in as little as two days. You may still ship and pay for the shipping fees yourself, but FBA is there to take care of delivery part.
Quality assurance: Amazon Handmade has rigorous product quality standards to ensure all sellers meet certain expectations when it comes to selling handcrafted items on the platform.
Competitive pricing structure: Generally speaking, Amazon Handmade features more competitive prices than Etsy due to its vast customer base and greater trustworthiness among shoppers.
Access to PPC (pay per click) Amazon ads: Amazon Handmade users may utilize this feature to promote their genuinely handmade products.
Cons
Higher fees compared to other online marketplaces: Amazon Handmade charges selling fees as much as 15% for each item sold. This fee is steep compared to other online marketplaces such as Etsy which have a much lower selling fees of around 5%.
Difficulty in building a brand presence: Amazon Handmade is a giant online marketplace. It can be hard to make your brand stand out from the others on Amazon Handmade because there are so competitors.
Strict rules and regulations for sellers: All return requests must be submitted within seven days of delivery, with customers being required to provide a valid reason for why they’re returning an item. The return shipping fee is also the responsibility of the customer.
Etsy’s Pros and Cons
Here are the pros and cons you can expect as one of the Etsy sellers:
Pros
Flexible shipping options: Etsy offers more flexible shipping options than Amazon Handmade, with individual vendors being responsible for their policies.
Lower fees: Etsy’s selling fee is around five percent, much lower than the fifteen percent charged by Amazon Handmade.
Less strict rules and regulations for Etsy users: There are less stringent rules and regulations when selling on Etsy compared to Amazon Handmade so that small businesses can operate within their budget.
Ability to customize product offerings: Through features like tags or gift wrapping services, customers can personalize their purchases.
Access to Etsy ads: Etsy shop owners may promote their handmade and vintage products on Etsy itself.
Cons
Here are the downsides of using Etsy store:
Flexible Etsy shipping options may not be suitable for all items or locations: Having your policy regarding shipping means that there’s a chance you’re not covering worldwide shipping for all your items. Etsy shoppers have to find out the best policy by themselves to cover the shipping for all your wares to anywhere their customer lives.
Lack of buyer protection: Etsy does not offer buyers any kind of buy-in guarantee or refund policy, so customers may not feel safe when making purchases from Etsy vendors.
Tips for Sellers on Choosing the Right Marketplace
You should carefully consider which marketplace is the best fit for you and your business when it comes to selling handmade items online. It is important to find a platform that reflects the values of your company, offers competitive prices, has good customer service, and provides an easy way to get your products shipped to buyers.
Here are some tips you can follow:
Assess Your Needs and Goals
Before deciding which online marketplace to sell your products on, you need to think about what kind of business you want to have. Think about how much money you want to make, how quickly your products should be shipped, and if customers will be satisfied with their purchases of your vintage items.
These are all important things to consider when choosing the right platform for selling handmade items.
Research Each Marketplace
Take some time to research the pros and cons of each marketplace. Look at their commission fees, shipping options, customer service, product selection, and more.
It can be helpful to read reviews from other sellers who have used each platform before to get a better understanding of what it’s like to sell on them.
Analyzing your target audience is also important when selling something online. It will help you figure out what kind of people are likely to buy your product and which platform they are most likely to use. Knowing this information can help you decide which website to use, what price point to set, and how best to advertise your product.
Listing everything down on a note and comparing them will help you out. This will make you get a clearer picture of both marketplaces and decide which platform to go for.
Utilize Online Resources
Using online resources can help you manage your online shop. Some websites offer tips and advice on how to be successful in selling products. You can also find info about different marketplaces, like Amazon Handmade and Etsy, so you can compare them to decide which one is best for your shop. Other resources let you research what kind of people might buy your product, so you know how to advertise it.
You are also free to traditionally ask the existing merchants on either platform. Their experience will come in handy for you.
Conclusion
Whether you’re creating one-of-a-kind clothing, craft supplies, or even pet supplies, setting up shop on either platform can help you reach a wider audience and maximize your sales. Amazon Handmade and Etsy offer great options for selling handmade items online. On both platforms, you can create a shop where customers can browse through your products and purchase them with ease.
Amazon Handmade offers competitive prices, a buy-in guarantee for buyers, and Fulfillment by Amazon to help reduce fulfillment time. The downside is the 15% commission fee for each item sold and the difficulty in building a brand presence.
Etsy has lower selling fees (around 5%), more flexible shipping options, and less stringent rules and regulations. However, it does not offer buyers any kind of buy-in guarantee, so customers may not feel as safe when making purchases from an Etsy shop.
Overall, both platforms have their pros and cons that should be taken into consideration before deciding which is best for your business. The best time to start selling your custom products is now!
Frequently Asked Questions
Is Etsy or Amazon better?
It depends on your individual business needs and which platform offers the features and pricing structure that can fulfill them. Etsy may be better for some businesses due to its lower fees, especially new ones. However, Amazon Handmade is a larger online marketplace and may offer more competitive prices due to its greater trustworthiness among shoppers.
Is Amazon Handmade more expensive than Etsy?
No, Amazon Handmade is not necessarily more expensive than Etsy. Amazon Handmade offers a more competitive pricing structure due to its larger customer base and greater trustworthiness among shoppers. However, Etsy usually has lower commission fees (around 5%) compared to the 15% charged by Amazon Handmade. Ultimately, it depends on the type of item you’re looking for since both platforms offer different experiences and price points.
Are there any additional fees associated with selling on amazon handmade or etsy?
Yes, there are additional fees associated with selling on amazon handmade or etsy. Amazon Handmade charges a selling fee of 15% commission fee for each item sold, whereas Etsy has a lower commission rate of around 5%. Additionally, Amazon Handmade requires sellers to have an Amazon Prime membership to use FBA (Fulfillment by Amazon), which not all merchants can afford. Selling on Etsy may also involve additional fees such as payment processing and advertising fees.
How do I locate my target audience in either option?
8-figure Amazon seller and serial online entrepreneur since 2015. Research and practice various online business models, and apply his in-depth learnings to further expand and grow his businesses as well as help others to achieve greater successes. Ex-VP of a high tech VC in Vancouver and a Management Consultant with over a decade of experience in the industry. Master's Degree from HEC Paris.
