As a dynamic platform for artisans, crafters, and vintage sellers, Etsy provides two distinct types of advertising to help propel your shop to the forefront: Etsy Ads and Offsite Ads. In this comprehensive guide, we will walk you through how to manage these ad campaigns effectively and efficiently.

Managing Etsy Ads

Etsy ad campaigns offer flexibility in terms of what items you choose to advertise. You can either discontinue promoting specific listings or turn off the entire campaign. By discontinuing certain listings, you can channel more resources towards ads that are performing well in your shop.

How to Edit Advertised Listings on Etsy

By default, all current listings are promoted when you launch an Etsy Ads campaign. However, you have the liberty to modify which listings should be advertised.

To edit your advertised listing:

1. Navigate to Etsy Ads, then select Manage advertised listings.
2. Locate the listing that you wish to edit - start or stop advertising it.
3. Click on the button under Ad on/off  include or exclude a listing from your campaign.
4. To add or remove multiple items at once from your campaign, check/uncheck the box next to them.
5. Confirm changes by selecting Update.

Remember that any changes can be made at any time but ensure that they align with Etsy’s Advertising & Marketing Policy.

How to Pause Etsy Ads

If you wish to stop your Etsy Ads campaign, follow the steps below:

1. Visit Etsy.com, and go to Shop Manager.
2. Select Marketing.
3. Go to Etsy Ads.
4. Click on Show more orders, then select Pause your ads.
5. Confirm by selecting Turn off ads.

Remember that any product you advertise must comply with Etsy’s Advertising & Marketing Policy.

Understanding Offsite Ads

Offsite Ads are a universal feature for all sellers, though some can choose whether or not they want to participate after April 10, 2020. Your eligibility for opting out of Offsite Ads depends on your shop’s sales in the past year:

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• If your shop has made over $10,000 USD, offsite advertising is mandatory since it would be beneficial for you due to a discounted advertising fee.
• If your earnings are less than $10,000 USD, participation in Offsite Ads is optional but advantageous as fees only apply when a sale occurs through them.

Your sales will be monitored monthly and once they exceed $10,000 USD within a year, participation in Offsite Ads becomes compulsory.

How To Calculate Your Offsite Ad Fees

Etsy purchases offsite ads from various partner networks. If a buyer clicks on an ad featuring your listing and makes any purchases from your shop within 30 days of that click (Attributed Orders), you will incur an advertising fee.

Offsite Ads fees are calculated as a percentage of the total order amount, which includes listing price plus shipping and gift wrapping and certain taxes where applicable. The fee will not exceed $100 USD per Attributed Order.

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The fee charged depends on your shop’s sales over the past year:

• The standard fee is 15% on Attributed Orders unless you qualify for the reduced rate of 12%.
• If your shop has made less than $10,000 USD in sales over the prior year (as calculated at the beginning of each month), you’ll pay a fee of 15% on Attributed Orders until you reach this threshold. You have the option to opt out during this period.
• Once you’ve made sales of $10,000 USD or more over the prior year (as calculated at the start of each month), you’ll pay a reduced fee of 12% on Attributed Orders. This applies even if your future earnings fall below this threshold.

Take Note: To assess how much you’ve earned in the past year on Etsy, visit your Stats page and set a custom date range under Shop Manager. For additional details regarding Offsite Ad fees and the calculation of the $10,000 threshold, refer to Etsy’s Fees & Payments Policy.

Calculating Your Sales Funds

To determine if your shop has reached the $10,000 USD threshold for mandatory participation in Offsite Ads, Etsy calculates your sales over the prior 365 days. This calculation includes only the item price multiplied by the quantity (minus discounts or canceled orders) and excludes Pattern orders, In-Person Payment orders, Etsy fees or separately charged shipping, taxes or gift wrap.

For non-USD sellers, currency exchange rates used during sale processing apply. This calculation happens on the first day of each month to assess if you’ve crossed the $10,000 USD threshold.

How to Opt-Out of Etsy’s Offsite Ads

If you prefer not to use Etsy’s Offsite Ads, you can choose to opt-out with the following steps:

1. Log on to Etsy.com and select Shop Manager.
2. Navigate to Settings.
3. Click on Offsite Ads.
4. Click on the option that says “Stop promoting my products.”
5. You will be asked for confirmation - again, select “Stop promoting my products.”

Once these steps are completed, your products will no longer be promoted through Offsite Ads. Please note that if you wish to re-enroll in Offsite Ads at any point in the future, simply visit the same “Offsite Ads” page and choose “Restart Offsite Ads”.

Strategies for Deciding Which Listings to Promote

Deciding which listings to promote can significantly impact your Etsy Ads performance. Here are three key strategies to help you identify the best candidates for promotion based on your performance data, budget, and goals.

Start by Promoting Your Entire Inventory

When initiating an Etsy Ads campaign, it’s recommended to promote all of your active listings. This allows the responsive Ads algorithm to gather comprehensive data on shopper engagement with your shop. Over time, this will optimize when and where your ads show up, maximizing visits and potentially boosting sales. Remember that for this approach to work effectively, both the budget and length of your campaign are crucial. Running a campaign for at least 30 days gives enough time for the Etsy Ads tool to collect data and optimize ad placement performance accordingly.

If you have a large inventory, you might need a higher initial advertising budget to ensure exposure across all listings. However, as you’re only charged when shoppers click on an advertised listing, a higher budget means more opportunities to gather performance data across various products. If you’re working with a limited advertising budget or just starting out with Etsy Ads, promoting only your top-selling items or specific categories can be an effective strategy too.

Focus on Top Performers To Increase Revenue

After running an Etsy Ads campaign for around one month, use gathered insights to refine which listings should be promoted based on their performance. One common method is looking at listings driving the highest Return On Advertising Spend (ROAS), which calculates how many dollars in revenue are generated per $1 spent on advertising:

Revenue/Budget spent = ROAS

For listings with high views but low clicks or revenue consider optimization tips from Creating Listings That Convert. If these optimized listings still don’t convert, it might be better to stop advertising them and refocus your budget on listings driving strong ROAS.

Advertise New Inventory For Head Start

Promoting new inventory can improve their organic search placement on Etsy since views and orders affect your search relevancy. Advertising also allows for quicker identification of which items appeal most to shoppers and have the best conversion rates, as compared to relying solely on organic traffic.

Top Tips for Effective Etsy Advertising

To make the most out of your Etsy Ads and Offsite Ads campaigns, consider these five expert tips:

1. Prioritize High-Performing Listings: Focus on promoting items that have a history of good sales or high engagement. These are likely to perform well in ads, attracting more customers to your shop.

2. Optimize Your Listings: Make sure your listings are SEO-friendly with relevant keywords in the title, tags, and description. This increases their visibility not just in ads but also in organic search results.

3. Monitor Your Budget: Keep a close eye on your advertising budget and adjust it based on the performance of your ad campaigns. If certain ads are performing exceptionally well, consider increasing their budget for maximum reach.

4. Analyze Campaign Results Regularly: Use Etsy’s analytics tools to regularly check how your ad campaigns are performing. Look at which ads generate the most traffic and sales, then refine your strategy accordingly.

5. Experiment and Adjust: Don’t be afraid to experiment with different types of products and budgets for advertising. The more you test and adjust, the better you’ll understand what works best for your shop.

By following these tips, you can optimize both Etsy Ads and Offsite Ads to effectively drive traffic and boost sales in your shop.

Conclusion:

Navigating the world of Etsy advertising may seem daunting but with a clear understanding of how Etsy Ads and Offsite Ads work, you can effectively optimize your campaigns to drive traffic and sales. Whether it’s managing your listings on Etsy Ads or calculating fees for Offsite Ads, the control is in your hands.

Remember that advertising is an investment in your shop’s future. By correctly utilizing these comprehensive tools provided by Etsy, you can reach new customers and grow your business significantly. Always keep track of what works best for your shop and adjust accordingly to maximize benefits.

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