If you're a craftsperson looking to sell your handmade items online, you're likely considering two of the biggest platforms. These are Amazon Handmade and Etsy.
But, which one should you choose to sell your handmade products on?
In this guide, we'll compare Amazon Handmade vs. Etsy on a variety of factors. Such points include fees, features, number of active users, and many more.
Better still, our comparison is based on the opinions of sellers who have sold on both platforms. By the end of this article, you should have a better idea about which platform is right for you.
Whether you're an experienced seller or a newbie, read on to make a well-informed decision!
Amazon Handmade vs. Etsy: A Brief Overview
Amazon Handmade and Etsy are online marketplaces where people can sell handmade and vintage items.
Amazon Handmade is a newer platform that had its launch in 2015. It's a hand-selected marketplace. In other words, all products on it are purely handmade and they all meet certain quality standards.
Amazon Handmade also offers plenty of features that are incredibly helpful for sellers. Some seller favorites include listing optimization and marketing tools.
Etsy, on the other hand, is an older platform that went live in 2005. Unlike Amazon Handmade, it's a more open marketplace. In other words, sellers can sell a wider variety of products that don’t all have to stick to strict policies.
Etsy has its fair share of tools that make your life as a seller easier. These options include shipping labels, simple-to-use marketing tools, and many more we’ll tell you about later!
An In-Depth Comparison of Amazon Handmade vs. Etsy
Now, let’s get to the nitty-gritty of how Amazon Handmade and Etsy may be similar or different. We’ll compare these two platforms in terms of how easy their interfaces are to navigate, their features, and more!
1. User Interface
The user interface of both platforms is pretty straightforward for buyers and sellers. Still, that doesn't mean that some differences aren't worth mentioning!
The Amazon Handmade user interface is designed to be simple and easy to use. The home page features a fine selection of products, and you can easily navigate it by product category or trending products.
Notably, the Amazon Handmade user interface is uncluttered. Sadly, this isn’t exactly the case for Etsy, especially for newcomers.
While it isn’t a maze, you’ll notice that the Etsy homepage is more cluttered and less user-friendly than Amazon Handmade. It showcases a mix of handmade items and vintage goods, but it can be tricky to find specific products.
However, the Etsy user interface is more visually appealing than Amazon Handmade. Another plus point is that your seller dashboard lets you track the buyers that find their way to your store.
Unfortunately, you won’t find this data on the Amazon handmade dashboard.
2. Sign-Up Process
The good news is that the sign-up process for both e-Commerce platforms is a breeze because it takes five minutes or less to complete!
Sellers on Amazon Handmade and Etsy just need to provide their name, email address, and a brief description of their products or stores. They should include their banking information, too.
3. When You Can Start Selling
Did you know that these two platforms vary in how soon you can start selling your items after sign-up?
The approval process for Amazon Handmade can take several weeks. That’s because you must first create an Amazon Seller Central account and then apply for Amazon Handmade.
Once you receive approval for your application, you should be able to start listing your products on the website.
On the contrary, the approval process for Etsy is much quicker.
You can create an Etsy account and begin listing your products immediately! The reason is that there is no separate application process for Etsy.
4. Product Listing and Selling Fees
Both sites have seller fees, but the details of those fees can highly differ.
Amazon Handmade sellers don't have to pay any listing fees. But they pay a hefty 15% selling fee on all sales. This fee is taken out of the final sale price before you, as the seller, receive your payment.
This means that Amazon Handmade sellers don't have to pay anything to get started but may pay more in fees overall than sellers on other platforms.
Etsy sellers pay a listing fee of $0.20 per item they also are responsible for a variety of other fees, depending on the product.
The listing fee on Etsy is relatively low, but the selling fee is higher than on Amazon Handmade.
Outside of the listing fees, all other fees are typically deducted from the final sale price before you get paid.
If you'd like to see a full breakdown of all of the fees, you can find that here.
5. How Sellers Are Paid (Payment Options)
Amazon Handmade and Etsy offer you convenient and automated direct deposit as a payment option. Better, sellers can receive payments in their local currency.
However, there are some key differences in how sellers get their money on each platform.
If you use Amazon Handmade, you get paid once every two weeks via direct deposit into your bank account.
Sadly, Amazon Handmade doesn’t allow payment via PayPal or other payment methods.
One of the coolest things, if you’re an Etsy seller, is that you can choose your favorite payment method. You may pick from direct deposit, PayPal, or check.
Better still, you’re allowed to set your own payment schedule. Your options include daily, weekly, monthly, or bimonthly payments.
6. Number of Active Users
Knowing how many people use Amazon Handmade and Etsy is essential to understand the expanse of your audience!
Amazon Handmade doesn’t release the number of active users on its platform. However, experts state that buyers on this platform are much fewer than those on Etsy.
At the same time, marketers estimate that there are around one million active sellers on Amazon Handmade.
More interestingly, the platform announced that more than 100 sellers have raised $1 in annual sales in 2020. If that isn’t a positive insight, we don’t know what is!
Delightfully, Etsy has over 80 million active buyers. This makes it one of the most popular online marketplaces for selling handcrafted items.
As you can see, the number of active users on Etsy is much larger than on Amazon Handmade. In other words, sellers on Etsy have a greater potential to reach a wider audience.
7. Promotional Features
Amazon Handmade and Etsy offer a few promotional features to help sellers promote their products. Join us while we take a closer look at the options in more detail below!
- Amazon Marketing Services (AMS): AMS allows sellers to run paid advertising campaigns on Amazon. You can use AMS campaigns to target specific keywords and interests to reach your target audience.
- Amazon Handmade Featured Products: A selection of products that appear on the home page and in other high-traffic areas of the site. This can help sellers get their products seen by more shoppers.
- Etsy Ads: This tool lets sellers create ads for their product listings on Etsy. Etsy Ads campaigns can also be directed toward keywords that you get to choose yourself.
- Etsy Shop Announcements: This feature allows you to send out emails to your customers about new products and sales. It can help you keep your potential customers engaged and informed.
8. Other Unique Features
Our final point of comparison is whether or not Amazon Handmade and Etsy have special features that make them stand out!
- Fulfillment by Amazon (FBA): FBA allows you to have Amazon handle the fulfillment of your orders, including shipping and returns. This can be a great way to save time and money if you have a busy schedule.
- Amazon Handmade Seller Central: A platform that gives sellers tools to manage their businesses. Seller Central includes features such as order management, inventory tracking, and customer support.
- Etsy Teams: Etsy Teams are groups of sellers who can collaborate on projects, share ideas, and promote each other's businesses.
- Pattern: Etsy Pattern is a platform that helps you convert your Etsy shop to a standalone website so that you can get more traffic.
- Etsy Plus: Etsy Plus is a subscription service that offers Etsy sellers countless benefits. These perks include higher chances of appearing in search results, early access to new features, and more.
Selling on Amazon Handmade: Quick Pros and Cons
In this section, we’ll be exploring the best things people like about selling on Amazon Handmade and the not-so-great aspects of doing so!
- Impressive reach: Amazon is a global giant with over 300 million active customers. This means you have the potential to reach a huge audience by selling on Amazon Handmade.
- No listing fees: Amazon doesn't charge listing fees, so you only pay if you sell one of your products. This means you can list your crafts on Amazon without worrying about upfront costs.
- Free professional plan: Amazon Handmade sellers get the pro plan perks for free. Such advantages include shipping discounts and access to Amazon's advertising platform.
- Higher selling fees: Amazon Handmade's selling fees are higher than on some other platforms. This means you'll need to keep your margins high to make a profit.
- Not people's number one destination for handmade goods: To this day, Etsy is still the go-to platform for many handmade sellers. What this means is that you'll have to work harder to get your products noticed on Amazon Handmade.
- Still relatively new: Launched in 2015, it may not have as many features or as large of a community as Etsy.
- Has strict product requirements: Your products may not be eligible to sell on Amazon Handmade if they don’t meet the site’s standards.
Selling on Etsy: Quick Pros and Cons
Similar to Amazon Handmade, Etsy has a few plus points and negative factors that you need to be aware of before you set up an Etsy store.
- Tight-knit community: Etsy is known for its vibrant community of sellers and buyers. As a seller, you can get support from others, and you may connect with buyers interested in your products.
- Focus on handmade and vintage goods: All products are reviewed by Etsy before they appear as listings. This approach helps ensure that buyers are getting high-quality, unique products.
- Flexible marketplace: Etsy gives you the freedom to price your products competitively. It also allows you to offer shipping options that meet the needs of your buyers.
- High competition: Etsy is a popular marketplace, so there is a lot of competition. This can make it difficult to set your store apart from the crowd.
- Fees can add up over time: Etsy charges a listing fee of $0.20 per item and a transaction fee of 5%. These fees recur every four months, which can add up, especially if you sell a lot of items.
- No fulfillment services: You’ll need to print shipping labels, pack your orders, and ship them yourself. This process can be time-consuming and labor-intensive.
The Final Verdict: Amazon Handmade vs. Etsy
Amazon Handmade and Etsy are both great platforms for selling handmade goods. Still, they have different strengths and weaknesses.
Amazon Handmade has a large potential reach and offers a variety of promotional tools. Yet, it has higher fees, and it isn’t as well-known for handmade goods as Etsy.
On the other hand, Etsy has a tight-knit community and a focus on handmade and vintage items. At the same time, Etsy sellers face much more competition than Amazon Handmade makers.
The best way to decide which platform is right for your online business is to try both and see which one meets your demands and needs. Once you choose the e-Commerce site that suits you better, you’ll be one step closer to making some profit from your passion for the crafts!