Exploring which categories of items are the most profitable on Etsy and could make you money faster, as well as the fees you will be charged on sales.
Are you looking into selling products on the Etsy platform, but are not quite sure what you can sell to make money? You might want to look into the types of products that are considered to be the most profitable on the site, to take advantage of making the most money out of what you will have to offer.
What items are the most profitable on Etsy?
Craft and supplies are rated as the number one top-selling category on Etsy, and include crochet patterns, knitting patterns and yarn. Planner Kate1 sold a total of 1 734 084 products, which is the highest in this category. Handmade items are ranked at number two on the list and include items such as wooden boxes, hand-crafted invitations, and appealing essentials. Planner Kate 1, again, sold a total of 1 743 084 products in this category and happens to be the same seller to have succeeded in the craft and supplies category.
Jewellery is ranked as the third top-selling category on Etsy, and includes items such as rings, anklets, hair vines, necklaces and others. The top-seller, GLDNX Layered and Long sold 521 711 items in this category. The wedding category falls under the number four spot, consisting of products such as wedding bouquets, corsages, veils, hats and velvet purses. ModParty sold the most number of wedding products at 1 045 957. The accessory category is ranked in the fifth spot for top-selling items on Etsy. This category includes items such as scarves, hats and hair accessories. The highest amount of products sold was 633 783.
Party supplies ranks at number six with the sale of custom-made cards, paper straws posters and more. PlumPaper sold the most products in this category at 253 009 in total. The clothing category ranked in the seventh spot for top-selling items on Etsy including the sales of T-shirts, trousers, hobos and swimwear. Zoey static sold a total of 310 086 products. The vintage category ranked in the eighth spot with the sale of vintage rugs, fossils, jeans and cutlery. The Whoknows What store sold 232 230 products in this category.
Home and living fell in the ninth spot comprising of the sales of wall decor, candles and furniture. The Ilovelotus shop sold the most products in this category at 584 996 products sold, followed by SEEDVILLEUSA with 522 327 products sold. Art and collectibles took the tenth spot of the top-selling items on the Etsy website, with the sales of paintings, prints and figurines. LouMarks Photo sold 392 005 products in total.
What percentage does Etsy take from you as the seller?
Etsy will not charge you any fees to sell on the site but will charge you individual fees which are only collected each time you make a sale. Of these fees, a transaction fee is charged. Etsy will take five percent of the total item cost in your listing currency. The site will also charge you a shipping transaction fee for all the items that need to be delivered to customers. This will be a five percent transaction fee.
A new listing fee will also be charged by Etsy for the first item you publish. This will be a $0.20 listing fee, that goes towards your item remaining on Etsy for four months maximum. If you need the item to remain for longer than that, you will need to pay another $0.20 fee per item in your shop. An auto renewal listing fee of $0.20 will be taken by Etsy for each time that you sell an item. Etsy will also charge for PayPal fees. Should a customer opt to pay with PayPal, this will be three percent plus $0.25 payment processing fees for every sale.
Will you have to pay taxes for sales on Etsy?
The answer to this is yes, Etsy sellers are required to pay income taxes on their sales. This means that you will need to inform the national government that you are earning a living from being a seller on Etsy. The amount of tax you will have to pay will depend solely on the laws of the country. Etsy clearly states in its seller handbook that you are considered as self-employed.
So, if you are looking to make money form Etsy, consider which items are the most profitable and take advantage of that as it could make you money at a more rapid pace. Also, you should take into consideration that Etsy will be charging you individual fees.