Etsy Shop Setup Guide

Learn how to start a successful Etsy shop with our comprehensive guide, covering everything from setting up your account and listings to marketing and growing your business.

If you’re keen on selling on Etsy, you’ve come to the right place! To get started with opening your Etsy shop, head over to Etsy.com/sell. This guide will walk you through the initial steps of setting up your shop, provide tips for a strong beginning, and offer resources for further guidance throughout your journey.

What Can You Sell on Etsy?

Etsy is a distinctive marketplace focused on handmade items, vintage goods, and craft supplies. Before starting an Etsy shop, ensure that:

Get Started to Selling on Etsy

What’s a Handmade Item?

Handmade items include products designed or created by you – from pottery to knitted scarves or even enamel pins manufactured by a production partner based on your design. However, reselling purchased items (even if they were handmade by someone else) isn’t allowed – only those created or designed by you can be sold.

What’s a Vintage Items?

For an item to qualify as vintage, it must be at least 20 years old - this can range from clothing and electronics to housewares. Note that if an item is less than 20 years old, it cannot be sold as vintage on Etsy.

What are Craft Supplies?

Craft supplies are tools, ingredients, or materials primarily used to create items or organize special occasions. They can be handmade, commercial or vintage in nature and may include party supplies.

What are Prohibited Products on Etsy?

Certain categories of products are prohibited on Etsy even if they’re handmade, vintage, or craft supplies. It is crucial to review and understand the platform’s policies before listing items. Prohibited items include tobacco, drugs/drug paraphernalia, weapons, hazardous materials, and others that infringe on someone else’s intellectual property, even if you designed or created the item. Additionally, adhere to local laws governing sales and shipping in your area.

What If Etsy Payments Aren’t Available in My Country?

Currently, you can only open an Etsy shop in a country where Etsy Payments is available. The platform is working towards supporting additional countries soon; stay updated through the Site Updates section of the Seller Handbook.

Setting Up Your Etsy Shop

Before jumping into creating your shop, ensure you have signed in or created an Etsy account. You’ll use this account to manage your shop and make purchases from other sellers on Etsy. After setting up your account, add a profile picture and bio to introduce yourself to the Etsy community.

Note: The first step of opening your shop must be done using a desktop web browser. Once your shop is open, you can then manage it using the Etsy Seller app.

Setting up Your Etsy Shop

How To Create Your Etsy Shop?

To create your shop:

  1. Visit Etsy.com/sell and click Get Started.
  2. Answer questions about your residence, business experience, and whether you’d like additional selling resources.
  3. Choose your shop language, country, and currency before clicking Save and continue.
  4. Pick a unique name for your shop, then select Save and continue.
Etsy Shop Preferences

Do I need a business license to sell on Etsy?

While Etsy doesn’t require sellers to have a business license, you must follow any laws applicable to online small businesses when selling on their platform. If unsure which laws apply to you, consult with a qualified professional.

Set Your Shop Preferences

Select the language, country, currency, and time commitment for your store:

  • Shop language: This is the default language used to describe items in your store; pick one that reflects how comfortably you can communicate with buyers. You can add translations in other languages later.
  • Shop country: Ensure you select the correct country for your store.
  • Shop currency: Choose the currency that you will use to price your items. Keep in mind that currency conversion fees may apply if your bank’s currency differs from your shop currency.

Choosing Your Shop Name

Choose Your Etsy Shop Name

Your shop name should be memorable and reflective of your style. It must meet these requirements:

  • 4-20 characters long
  • No spaces or special characters
  • No profanity
  • Not already in use by another Etsy member
  • Doesn’t infringe on someone else’s trademark

If a name is already taken, Etsy will suggest alternative names that are available. Once your shop is open, you can change its name under the Shop Name tab in Info & Appearance. Check out these tips for choosing a shop name.

Stocking Your Shop

Add product listings to your store. Don’t worry about having every item listed immediately—you can continue adding products once your shop is up and running!

Create Your Etsy Listing

Setting Up Payment and Billing Details

To receive payments on Etsy, you’ll need to connect your bank account to your Etsy shop. Additionally, add a debit or credit card to your account for paying Etsy bills.

How to Connect Your Bank Account:

  1. From the How you’ll get paid page, fill out your personal information.
  2. At the bottom of the page, select the country where your bank is located under Where is your bank located?

The steps to set up payments can vary depending on your location.

Sellers with US Bank Accounts:

US sellers can add bank details using Plaid’s third-party service. Plaid allows you to verify your bank details with them, ensuring seamless deposits. Learn about Plaid’s security measures.

Under Your bank information, choose Connect your bank with Plaid and follow the steps to add and verify your bank details. Learn more about updating your bank details. By using Plaid, you agree to Plaid’s terms and privacy policy.

Sellers in Australia:

Australian sellers must have a residential address on file with their Australian banks; PO boxes are not accepted as residential addresses. You can update your address in Shop Manager.

Sellers in Argentina, Chile, Japan, Peru, Thailand, or Ukraine:

You can sign up for Etsy Payments with a Payoneer Payment Account:

  1. Select Connect with Payoneer—you’ll be prompted either to sign in or create a Payoneer Payment Account if you don’t have one.
  2. Choose Save and continue.

Learn more about using Payoneer with Etsy.

Other Sellers Outside the US:

  1. Under Your bank information, enter your bank account details.
  2. Select Save and continue.
  3. Add a credit or debit card (shops based in Germany, Austria, or the Netherlands do not need to add a card).

Verify your bank details to ensure smooth and secure funds transfers from sales. Learn how to verify your bank details.

You can add a prepaid card to your account from the billing setup page if you already added a credit or debit card to your account; however, a non-reloadable prepaid card cannot be used as your only or primary payment card. You can pay bills manually with a non-reloadable prepaid card.

If you’re trying to add a reloadable prepaid card but it’s not working, consider adding another card instead.

Enabling Two-Factor Authentication

As a security measure, Etsy requires sellers to set up two-factor authentication. When you sign in from an unrecognized browser or device, Etsy will send you a verification code to enter before accessing your account. You can receive this verification code through:

  • An authenticator app on your Android or iOS device (Recommended)
  • An SMS
  • A phone call

If you encounter issues inputting your phone number for two-factor authentication, consider using an authenticator app instead. Once completed, click Open your shop. Congratulations! You’re now ready to start setting up your storefront. Learn more about two-factor authentication.

Setting Up Your Storefront

After signing up to sell on Etsy, complete your shop setup and prepare to start selling items by considering production time, policies, and shipping plans.

Etsy’s Guide to Customizing Your StoreFront

Customize Your Shop’s Appearance

Learn more about customizing the look of your shop.

Share Your Shop’s Story

  • About section: Upload videos or photos that share the story behind your products, how your business started, and what you envision for your brand. Learn how to craft a great About section.
  • Shop members: Introduce any other team members or collaborators.

Inform Your Customers

  • Shop policies: Outline all your policies for shipping, returns, exchanges, payments, custom items, and any other guidelines shoppers should know before purchasing.
  • Shipping profiles: Decide on your shipping charges—whether you’ll offer free shipping—and set up shipping profiles to inform shoppers of shipping costs.

For US sellers completing their shop setup, consider purchasing USPS Shipping Labels on Etsy to save up to 30% compared to USPS retail rates at the post office or elsewhere online. Read more about purchasing USPS Shipping Labels on Etsy.

Adding More Listings to Your Shop

After completing all shop sections, you’re ready to start adding products to your Etsy shop. Products added to your shop are called listings. Learn how to list an item.

Best Practices for Listing Items

When creating listings, consider these best practices:

Marketing, Branding, and Promotion

A successful Etsy shop relies on an effective marketing strategy. Marketing attracts new customers, keeps existing ones informed about updates and can lead to increased sales.

How to Promote Your Shop on Etsy

Getting Started with Marketing

  • Ensure your shop is optimized for Etsy search; include a location for better local search results.
  • Link your shop to social media accounts for easy sharing of business posts.
  • Learn how investing in advertising can help build your brand and reach more buyers.
  • Use sales and coupons to offer discounts and incentivize shoppers.
  • Explore local craft fairs or markets for selling opportunities.
  • Join the Etsy community and teams to network with sellers and shoppers.

Explore these in-depth topics for more information:

By following these marketing, branding, and promotion strategies, you can effectively reach your target audience and increase sales on your Etsy shop.

Starting to Sell on Etsy

Etsy takes pride in its sellers providing buyers with exceptional experiences. Read tips for offering great customer service. By consistently delivering excellent customer service, you may become a Star Seller.

Tips for Managing Your Shop

Growing Your Business on Etsy

To elevate your shop, review these essential guides:

Additional resources for learning about selling on Etsy include:

  1. Explore the Seller Handbook for comprehensive guides on running a successful business.
  2. Listen to the Etsy Success podcast.
  3. Watch videos on YouTube.
  4. Connect with knowledgeable and talented sellers in the Etsy Community.
  5. Enroll in an Etsy U class to learn from experienced sellers.

Crafting Etsy Shop Descriptions with Alura’s AI Templates

An essential aspect of setting up a successful Etsy shop is creating an engaging and informative shop description. A well-crafted description not only captures the interest of potential customers but also helps optimize your shop for search visibility. Alura’s AI templates are designed to help you create compelling descriptions that resonate with your target audience while saving time and effort. These templates use advanced artificial intelligence to generate customized content tailored to your specific needs. By using AI templates, you can benefit from:

1. Professionally crafted descriptions: The AI-generated content is based on industry best practices, ensuring high-quality results that enhance your shop’s appeal.

2. Time-saving convenience: With these templates, you no longer need to spend hours writing and rewriting descriptions; the AI does the work for you quickly and efficiently.

3. SEO optimization: The generated content takes into account keywords and phrases relevant to your products, improving search visibility on both Etsy and external search engines.

4. Personalization: The templates are customizable according to your preferences, allowing you to maintain a consistent brand identity across all your listings. Access Alura’s AI Templates, start generating amazing descriptions for your Etsy shop.

Wrapping Up:

In conclusion, opening and managing a successful Etsy shop requires thoughtful planning, attention to detail, and effective marketing strategies. By following the comprehensive steps outlined in this guide, you’ll be well-equipped to create an engaging storefront that attracts potential buyers and showcases your unique offerings. Remember to optimize your listings for search visibility, provide excellent customer service, and leverage innovative tools like Alura’s AI templates for crafting compelling descriptions. As you continue to grow your business on Etsy, stay informed of best practices and adapt to the ever-evolving online marketplace.

FAQ

How to Start an Etsy Shop: The Complete Step-by-Step Guide
How do I set up an Etsy shop for the first time?
To set up an Etsy shop, start by creating a seller account. Then, complete your shop preferences by selecting language, country, and currency. Set up your billing details and connect your bank account to receive payments. Customize your storefront with a banner, logo and announcement message. Add listings to showcase your products and develop policies regarding shipping, returns, and exchanges. Finally, optimize your listings for search visibility and implement marketing strategies to promote your shop.
What are some best practices for listing items on Etsy?
To create effective listings on Etsy, optimize titles and tags for search visibility, take high-quality photos of your products, add attributes to help shoppers find items easily, write engaging descriptions that capture interest from potential buyers, set accurate processing times for deliveries and determine appropriate shipping costs or offer free shipping options.
How can I promote my Etsy shop effectively?
Promote your Etsy shop by optimizing it for search visibility on the platform itself (including local search), linking it to social media accounts for easy sharing of business posts; investing in advertising to reach more buyers; offering discounts through sales events or coupons; participating in local craft fairs or markets; and joining the Etsy community/teams to network with fellow sellers.
How can I provide excellent customer service as an Etsy seller?
To provide top-notch customer service on Etsy: follow customer service best practices; respond promptly to messages or inquiries from customers; ensure clear communication during transactions (especially regarding custom orders); package items securely before shipping them out; handle returns/exchanges efficiently based on pre-established policies; request feedback from satisfied customers in order to build a positive reputation through reviews.
What resources are available to help me grow my business on Etsy?
Numerous resources are available to Etsy sellers, including the Seller Handbook with in-depth guides; the Etsy Success podcast; YouTube videos on various topics related to selling on the platform; networking within the Etsy Community and Teams; and enrolling in an Etsy U class to learn from experienced sellers. Utilize these resources to refine and scale your business for long-term success.