Is There Potential on Etsy? How Much Can I Earn?
Yes, there is significant potential on Etsy. Let me give you a quick example.
Take a look at the data for this Kamala Harris T-shirt, produced for the US presidential election. It has sold 76 units in the last 24 hours. In addition to the sale price, the seller collects a $6.99 shipping fee.
Product Sale Price: $18.99
Shipping Fee: $6.99
Total: $25.98
Using the Rexven supply platform, you can have this product manufactured for $6.60 and shipped to the customer for $5.15. This brings your total fulfillment cost to $11.75.
Profit Analysis
When you sell this product for a total of $25.98 and pay $11.75 to Rexven, your gross income is $14.23. However, this is not your net profit. Etsy applies fees based on your location:
US-Based Store: Approx. 11-12% deduction.
Turkey-Based Store: Approx. 19-20% deduction.
Scenario 1: US-Based Store
Etsy fees: $3.11
Net Profit: $11.11 (42% profit margin)
Scenario 2: Turkey-Based Store
Etsy fees: $5.19
Net Profit: $9.03 (34% profit margin)
By selling 76 units in 24 hours, this seller generated $1,974 in revenue and $844 in initial profit. Of course, they are likely running ads to achieve these numbers. Assuming an optimum ad-to-sales ratio of 10% ($197/day), their daily net profit can be estimated at $647.
Potential for New Sellers
As a new seller, you can choose to be much more competitive with your pricing. Even if you set the price at $14.99 + $4.99 shipping ($19.98 total):
Total Revenue: $19.98
Costs: $11.75
Remaining: $8.23
If your store is US-based, the fee is $2.39, leaving a net profit of $5.83 (29% profit margin). If Turkey-based, the fee is $3.99, leaving a net profit of $4.23 (21% profit margin).
Even at these highly competitive prices:
3 sales per day: Monthly net profit = $524. This is already more than the minimum wage in many regions.
10 sales per day: Monthly net profit = $1,746.
With this level of income, you would earn more than several professional public sector roles in the World.