What is the fee to sell on etsy
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Etsy charges several fees when selling on their platform:
- Listing Fee: $0.20 per listing, charged when creating a new listing or auto-renewing after 4 months
- Transaction Fee: 6.5% of the total sale amount (item price + shipping + taxes)
- Payment Processing Fee: 3% + $0.25 per transaction (varies by country)
- Currency Conversion Fee: 2.5% if your shop currency differs from your payment account currency
- Regulatory Operating Fee: 0.25% - 1.10% of order total for sellers in certain countries
Etsy also offers optional paid services:
| Service | Fee |
|---|---|
| Etsy Ads | Cost-per-click model, set your own daily budget |
| Offsite Ads | 12-15% of sale amount, capped at $100 per sale |
| Etsy Plus Subscription | $10/month for additional shop tools and features |
| Pattern Subscription | $15/month for website builder tool |
To reduce fees:
- Offer free shipping by including shipping costs in the item price
- Bundle similar items into a single listing
- Optimize pricing to cover Etsy fees
- Use bulk listing and renewing features
- Consider an Etsy Plus subscription for higher-volume sellers
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Listing fees on Etsy
Etsy charges a flat fee of $0.20 USD for each new listing you create or renew in your shop. This fee applies whether the item sells or not.
Standard listing fee
When you publish a new listing, you are charged $0.20. This fee covers the listing for four months. If your item does not sell within that period, the listing will expire. You will need to renew it for another $0.20 or create a new listing.
Fees for auto-renewed listings
Etsy offers an auto-renewal option. If you enable this and part of your listing quantity sells, the remaining quantity will automatically renew after four months. You'll be charged the $0.20 fee for this auto-renewal.
Fees for multi-quantity listings
If you list multiple quantities of the same item (e.g., 10 shirts in one listing), you'll only pay the initial $0.20 fee upfront. However, when you sell additional quantities beyond the first item, Etsy will charge you $0.20 for each additional item sold.
For example, if you sell 3 shirts from a listing of 10, you'll pay:
| Item Sold | Fee |
|---|---|
| Initial listing | $0.20 |
| 2 additional shirts | $0.40 (2 x $0.20) |
Fees for private listings
Etsy allows you to create private listings visible only to specific buyers. For these custom listings, you'll be charged the $0.20 fee when the buyer purchases the item. There is no upfront fee for creating a private listing.
Transaction fees on Etsy
When you sell an item on Etsy, you pay a transaction fee. This fee is a percentage of the total order amount, which includes the item price, shipping, and gift wrapping costs.
Transaction fee rate
Etsy charges a transaction fee of 6.5% of the total order amount in the listing currency. For example, if you sell an item for $20 with $5 shipping, the transaction fee would be 6.5% of $25, which is $1.63.
Example calculation
Here's an example to show how the transaction fee is applied:
| Item Price | Shipping | Total Order Amount | Transaction Fee |
|---|---|---|---|
| $20 | $5 | $25 | $1.63 (6.5% of $25) |
In this example, you would receive $23.37 ($25 - $1.63) after the transaction fee is deducted.
Payment processing fees
Payment processing fees are charges Etsy applies for handling transactions between buyers and sellers. These fees depend on the seller's location and currency.
Standard processing fee
In the United States, Etsy charges 3% of the total sale price plus $0.25 per transaction. For example, if you sell an item for $50, the fee would be $1.50 (3% of $50) plus $0.25, totaling $1.75.
Fees in other countries
Processing fees vary by country. Here are some examples:
| Country | Percentage Fee | Fixed Fee |
|---|---|---|
| Australia | 3% | 0.25 AUD |
| Canada | 3% | 0.25 CAD |
| UK | 4% | 0.20 GBP |
Extra fees in some regions
In some regions, like India, there may be additional fees for domestic sales. These are usually a percentage of the total sale price and are deducted from the seller's earnings.
Advertising fees (Optional)
Advertising fees on Etsy are optional but can help increase your shop's visibility. Etsy offers two types of advertising services: Etsy Ads and Offsite Ads.
Etsy Ads fees
Etsy Ads use a cost-per-click (CPC) model. You set a daily budget, and you're charged only when someone clicks on your ad. The cost per click varies but usually ranges from $0.20 to $0.50. You can set a daily budget as low as $1, and you'll only be charged for the clicks you receive up to that amount.
Offsite Ads fees
Offsite Ads appear on external websites like Google, Facebook, and Instagram. The fee for Offsite Ads is a percentage of the sale price and depends on your sales volume:
| Sales in the past 365 days | Fee Percentage | Fee Cap |
|---|---|---|
| Less than $10,000 | 15% | $100 per sale |
| $10,000 or more | 12% | $100 per sale |
The Offsite Ads fee is capped at $100 per sale, so you'll never pay more than that, regardless of the sale price.
Subscription fees (Optional)
Etsy offers an optional subscription service called Etsy Plus, which provides extra features for sellers. This service aims to help sellers grow their businesses and increase sales.
Etsy Plus subscription
Etsy Plus costs $10 per month and includes:
- 15 listing credits per month
- $5 credit for Etsy Ads
- Advanced shop customization options
- Restock requests for sold-out items
- Custom web address (domain)
- Discounts on custom packaging and promotional materials
These features can help you manage your shop better, increase visibility, and improve customer experience. While Etsy Plus is not required to sell on Etsy, it can be a good investment for sellers looking to expand their business.
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Shipping and delivery fees
Shipping fees are a key part of selling on Etsy, as they affect your profit margins. When you buy shipping labels through Etsy, you'll be charged based on the package's weight, size, and destination.
Etsy shipping labels
Etsy offers discounted shipping rates for sellers who buy shipping labels through their platform. The cost varies depending on the package details. You can use Etsy's shipping calculator to estimate the shipping fee.
Shipping fee percentage
Etsy charges a 5% fee on the shipping cost to prevent inflated shipping charges. This fee is calculated as a percentage of the total shipping cost, including any extra services like insurance or tracking.
For example, if the shipping cost is $10, Etsy will charge an additional $0.50 (5% of $10) as a shipping fee. This fee is deducted from your sale proceeds, so factor it into your pricing to avoid losing money on shipping.
| Shipping Cost | Etsy Fee (5%) | Total Fee |
|---|---|---|
| $10 | $0.50 | $10.50 |
Other potential fees
When selling on Etsy, there are other fees you should be aware of to accurately calculate your profit margins.
Currency conversion fees
If your shop currency is different from your Payment account currency, Etsy charges a 2.5% currency conversion fee on the sale amount. This fee is subtracted before the funds are reflected in your Payment account.
| Sale Amount | Conversion Fee (2.5%) | Amount After Fee |
|---|---|---|
| $100 | $2.50 | $97.50 |
Regulatory fees
Sellers in certain countries, like the UK, France, Italy, Spain, and Turkey, are subject to a regulatory operating fee. This fee is charged on the order total, including the item price and shipping costs.
| Country | Regulatory Fee Percentage |
|---|---|
| UK | 0.25% |
| France | 0.40% |
| Italy | 0.40% |
| Spain | 0.40% |
| Turkey | 1.10% |
Fees for specific tools
Etsy offers various tools and services to help sellers manage their shops and increase sales. Some of these tools come with fees.
| Tool/Service | Monthly Fee |
|---|---|
| Pattern (web-building software) | $15 |
Some sellers may also use third-party tools and services that have their own fees. Be sure to factor these costs into your pricing strategy to avoid losing money.
Fee comparison table
| Fee Type | Rate/Charge | Calculation Method | When Applicable |
|---|---|---|---|
| Listing Fee | $0.20 per listing | Flat fee | When creating a new listing, auto-renewing after 4 months, or when an item sells |
| Transaction Fee | 6.5% | Percentage of total sale amount (item price + shipping + taxes) | When an item is sold |
| Payment Processing Fee | 3% + $0.25 (US) Varies in other countries |
Percentage of total sale amount + fixed fee per transaction | When a buyer pays using Etsy Payments or PayPal |
| Currency Conversion Fee | 2.5% | Percentage of sale amount | If your Payment account currency differs from your shop currency |
| Regulatory Operating Fee | 0.25% - 1.10% | Percentage of order total (item price + shipping) | For sellers in certain countries like UK, France, Italy, Spain, Turkey |
| Offsite Ads Fee | 12% (revenue ≥ $10k) 15% (revenue < $10k) |
Percentage of sale amount | If an order results from Etsy's Offsite Ads |
| Etsy Plus Subscription | $10 per month | Fixed monthly fee | Optional subscription for additional shop tools and features |
| Pattern Subscription | $15 per month | Fixed monthly fee | Optional website builder tool for custom online store |
This table shows the different fees Etsy charges, how they are calculated, and when they apply. It helps sellers understand the costs involved in selling on Etsy and plan their pricing strategies accordingly.
Tips to reduce fees
To minimize Etsy fees, consider the following strategies:
Offer free shipping
Include shipping costs in your item price. This reduces the transaction fee, which is based on the sale price. This can save you money, especially with many sales.
Bundle listings
Combine similar items into a single listing. This reduces both listing and transaction fees.
Optimize your pricing strategy
Adjust your prices to cover Etsy fees. Consider using cheaper materials or streamlining your production process to save costs.
Use Etsy's bulk listing and renewing feature
Etsy offers discounts on listing fees for multiple items listed at once. Use this feature to save on listing fees.
Consider an Etsy Plus subscription
Etsy Plus costs $10 per month and offers features like waived transaction fees on sales over $35. If you make regular sales above this amount, it could be a cost-effective option.
Summary
Etsy fees can impact your profits. Understanding these fees helps you set prices, manage your shop, and optimize your selling strategy. This article covered various Etsy fees, including:
- Listing fees
- Transaction fees
- Payment processing fees
- Advertising fees
- Subscription fees
To reduce the impact of these fees, stay updated on any changes and continuously optimize your selling strategies. By understanding how Etsy fees work and implementing ways to reduce them, you can increase your profit margins and build a successful Etsy business.
FAQs
How much does Etsy charge as a seller?
Etsy charges a transaction fee of 6.5% of the total order amount in your listing currency. This includes the item price, shipping, and gift wrap (if applicable). These charges are itemized separately on your Payment account.
Is there a monthly fee to sell on Etsy?
There is no mandatory monthly fee to have an Etsy shop, aside from the product listing fees. However, you can opt for an Etsy Plus subscription, which costs $10 per month (plus tax) and includes benefits like listing credits and Etsy Ads credits.
How much does Etsy take from a $100 sale?
For a $100 sale, Etsy takes a 6.5% transaction fee. This means Etsy would take $6.50 as the transaction fee.
What is the transaction processing fee for Etsy?
Etsy charges a transaction fee of 6.5% of the price you display for each listing, plus the amount you charge for shipping and gift wrapping.