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Small business owners are boycotting Etsy today in response to a transaction fee increase that will impact sellers’ bottom lines.
Craft makers, artists, and vintage sellers are effectively shutting up shop from 11 to 18 April by turning their profile to ‘holiday mode’.
Etsy announced in February that they’d be increasing transaction fees for the first time since 2018. So from today, 11 April, fees on sales go from 5 per cent to 6.5 per cent.
The transaction fee applies to the price of each listing, as well as the postage price, and any gift wrapping fees.
Etsy seller Kristi Cassidy created the campaign in a bid to get Etsy to cancel this transaction fee increase.
The petition has already reached 45,000 signatures as buyers and sellers pledge to stop using the platform temporarily this week.
By signing the petition, sellers are urging Etsy to:
Cassidy commented: “As individual crafters, makers and small businesspeople, we may be easy for a giant corporation like Etsy to take advantage of. But as an organised front of people, determined to use our diverse skills and boundless creativity to win ourselves a fairer deal, Etsy won’t have such an easy time shoving us around.”
These higher fees are going to hit small business owners who are already struggling with rising costs and the impact of coronavirus.
“Etsy is bleeding its sellers dry and forcing price increases after making record sales during the pandemic. That's not right,” said Alex M who signed the petition.
Speaking about the proposed fee increases in Etsy’s end of year report, CEO Josh Silverman said: “Etsy enables anyone with a creative idea to start a business and reach a built-in audience of more than 90 million shoppers. We have demonstrated our ability to make improvements that directly translate into more sales for our sellers, as evidenced by record sales per seller in 2021.
“Our new transaction fee will enable us to invest in key areas like marketing and support to further extend our strong momentum.”
These fees are on top of existing fees like listing fees, Etsy ads fees, and offsite ads fees.
If you’re looking for an alternative to Etsy, read our guide to setting up an online shop.
Are you an Etsy seller? Let us know how you feel about this story in the comments section below.
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Catriona Smith is a content and marketing professional with 12 years’ experience across the financial services, higher education, and insurance sectors. She’s also a trained NCTJ Gold Standard journalist. As a Senior Copywriter at Simply Business, Catriona has in-depth knowledge of small business concerns and specialises in tax, marketing, and business operations. Catriona lives in the seaside city of Brighton where she’s also a freelance yoga teacher.
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