8 things to know before before starting an etsy shop

8 Things You Need To Know Before Starting An Etsy Shop


In this article, we are going to look at 8 Things You Need To Know Before Starting An Etsy Shop. If you are thinking of starting an Etsy print-on-demand business in 2022, then this article will provide you with some information and inspiration to get started. Let’s get into the article. You can create a free account at etsy.com to get started with your Etsy shop.

What Are The Requirements For Opening An Etsy Shop? You might think it’s as simple as uploading a few photos and adding some text, but there’s more to it than that. Here are 8 things you need to know before you open your Etsy shop, from printing, setting up payments, and listing your items to shipping and marketing your business online.

Can you draw or use a graphics program? Do you have access to a computer? Are there other websites where you can sell your product? If so, then don’t worry, you probably have all of the resources you need to start. With this in mind, let’s move on to the 8 things you need to know before starting an Etsy shop.

horizontal arrow1) What Kind Of Resources Do I need?

This depends largely on what kind of shop you want to run. Are you selling mostly physical goods? Do you sell photos (prints)? Do you want to add more variety through limited edition prints? Whatever it is, consider shopping around for price quotes from manufacturers before jumping in blindly, you don’t want your margins to eat up too much of your profits.

Computer for your online etsy shop
Tool For Your Online Etsy Shop

Once everything is set up and ready to go, remember there are plenty of ways to promote yourself that don’t cost a dime. Free social media sites such as Facebook, Twitter, Instagram, and Pinterest allow small businesses (especially those who sell handmade goods) an easy way to reach new customers without breaking the bank.

horizontal arrow2) Where Do You Get Your Ideas?

Every entrepreneur has to start somewhere. Some entrepreneurs (and creatives) come up with ideas while they’re sitting on their couch watching TV or listening to music, while others write every day as a creative exercise. For me, I tend to get my best business ideas when I’m driving alone in my car. While I can sometimes go for hours without thinking of anything remotely related to work or business when a great idea strikes it will make its way into my brain and won’t let go until I take action and start working on it. The only real trick is remembering your idea when you have time to act on it.

Lenware Design Etsy Shop

✔️ Tip: The most common place where successful entrepreneurs come up with their best business ideas is in their car.

horizontal arrow3) Can You Commit To Your Etsy Shop?

Be prepared to work hard when starting an Etsy shop. You’ll need to create high-quality content, promote your products and make sure you get paid on time. The more time you can spend on your shop, especially at first, will help your business grow faster. If you have a full-time job, it may be easier to find a side gig as an artist/designer on demand or just hire someone else. But if you’re willing to put in that time and effort, starting an Etsy shop is a great way to become your boss. Don’t forget about finding multiple ways to sell print-on-demand products other than just Etsy.

Etsy shop front
A full setup Etsy shop front

Selling wholesale or direct-to-consumer can offer even more profit potential (and some options are easier than others). Don’t see yourself sticking with selling only one type of product. You could also try adding a handful of new products each month to keep things fresh. Try showcasing one category every week, like all things food or highlight items based on certain colours during design shows like Pantone Colour Conference. Having variety also allows you to experiment with pricing. Different items are priced differently depending upon how much time they take to produce versus how many sales they bring in over time.

horizontal arrow4) What Type Of Products Will You Offer?

First, think about what type of products you will be selling. If you want to sell something, odds are someone else does too. But not everyone can pay $100 for a coffee mug or $25 for a phone case, and that’s where Print On Demand products come in. Since there’s no upfront cost associated with creating them (unlike custom-made items), print-on-demand products can sell at lower prices without impacting your profit margin. A good rule of thumb is that Print On Demand items should account for around 50% of your shop’s inventory.

White Glossy Ceramic Mug Sold On Etsy
White Glossy Ceramic Mug Being Sold On Etsy.

That said, don’t feel like you have to stick only to print-on-demand products. Start by filling out your shop with Print On Demand wares and then fill up space as you grow by adding high value (but low volume) items like custom-made blankets and pillows. With more time invested into an Etsy store comes more sales. How do I make sure people don’t forget about my brand? Once you’ve started making sales, keep customers coming back by offering deals on popular products and pre-ordering limited edition prints so they get first dibs when they go live. As long as they feel they’re getting special treatment, they’ll continue coming back again and again.

✔️ Let us continue with 8 Things You Need To Know Before Starting An Etsy Shop.

horizontal arrow5) What’s Your Plan For Dealing With Orders And Customers?

Having a plan in place is essential to ensuring that your business runs smoothly, especially if you’re going to be taking orders online. That’s where order management software comes in handy. It can create shipping labels, print invoices, and track packages so you know exactly what’s going on with each order. Depending on how many products you’re selling, it might make sense to use a third-party company that can handle both printing and fulfillment for you.

Etsy products listings
Etsy Products Listings Sample

It’s worth noting that most of these services have varying price points and will require fees to use them; depending on your needs, it may or may not be worth it to hire help. The benefit of using a POD service, like Printful, is that they can easily manage any taxes you’ll owe. If you’re based in the United Kingdom like me, good news. Etsy has partnered with Printful to offer its users free shipping labels plus five free custom designs when they ship using their service. 

horizontal arrow6) Pricing Your Products, Which Includes Shipping

If you’re going to be making and selling your products, it’s important to consider how much money you’ll be spending in total on each one. The goal is to make a profit, but that doesn’t mean charging as much as possible for each item. Instead, take stock of your costs for any supplies or materials involved (including shipping), and then add a small amount of profit on top. For example, let’s say you bought blank T-shirts wholesale for $1 per shirt ($10 per dozen). Shipping is $5 per order (including printing), so that brings your cost up to $15/dozen. Adding another $2 makes it a total of $17/dozen.

Etsy listing
Etsy Price listing Sample

With an average sale price of $20, you’d make about $3 profit on each shirt sold. That’s not chump change but remember, this isn’t just extra cash, it’s money you wouldn’t have made if someone hadn’t come across your product through Etsy. There are plenty of online calculators out there that can help figure out pricing and other aspects of your business model. Once you’ve settled on a strategy, remember to keep track of these numbers (both online and in writing) so that they’ll guide future decisions when things inevitably change, like when suppliers raise prices due to increased demand (which they always do).


It’s also a good idea to look at what other people are charging for similar items. The competition will only get stiffer as you grow your following, so knowing what others are doing right now will give you ideas of what might work in your space later down the road. It’s hard to go wrong with $19 plus shipping on a 3 by 5-inch photo print, but premium pillows and bags might have higher minimum orders required, anywhere from 20 units up to hundreds. Knowing up front helps lower risk when working with new product categories. Always include lots of photos of your work before anything else, including text. People want to know exactly what they’re paying for before clicking add and checking out.

horizontal arrow7) Marketing

Have you thought about how you will promote yourself? One thing many people fail to think about is how they will market themselves once they open their online shop. After all, one reason why Etsy is successful is that it has built up a marketplace of buyers and sellers who rely on each other for promotion; if your business idea doesn’t take that into account, it could fall flat at launch. Promoting your products through social media is an important part of how to start an Etsy shop, but it’s not easy.

Etsy marketing
Etsy Ads marketing Sample Screenshot

First, you need to figure out who will buy from you. Would it be moms, College students, or both? Which channel(s) will those people use to discover your products? Would it be Instagram or Facebook, or both? If you can get answers to these questions, then it’s a matter of creating posts and promoting them at just the right time for maximum exposure. Try making a list of everyone who might purchase from you. Followers of other accounts that relate to yours are good starting points. Also, learn about when they most often use their preferred social platform.

For example, if you sell wedding-themed invitations, take note of what kind of content gets posted on Facebook around engagement season. Try posting on Facebook yourself before engaging anyone else with ads or paying to boost posts. Test and see what works best. It takes some work to truly master marketing as a small business owner, but one thing is certain, there are few platforms better than Etsy at getting your goods in front of shoppers looking for exactly what you offer. 3% of all American adults have shopped on Etsy in any given month.

horizontal arrow8) Etsy Sellers Policy

Etsy Sellers Policy is very important for you to familiarise yourself with before you start your Etsy Shop. Please see a screenshot of the various policies along with a link that you can click on to learn more about these policies.

Etsy Sellers Policy
Etsy Sellers Policy

✔️ Click this link to read the Etsy Sellers Policy

Buyers Policy

As a buyer or a customer, Etsy ensures that you are protected by their buyer policy. The screenshot below will show you what you need to know as a buyer of products sold by sellers on the Etsy Marketplace. I have also provided a link that you can click on, to learn more about the buyer policy.

Buyers Policy

✔️ Click this link to learn more about buyers’ policies.

Now that we have looked at the 8 things you need to know before starting an Etsy shop, let us wrap this article up with my conclusion.



Etsy is a good platform for anyone who wants to start selling Print-on-demand products. Creating an account and setting up your Etsy shop is not difficult. You can follow the instructions provided on the Etsy website or you can watch YouTube videos that will show you exactly how to start an Etsy shop. To be successful on Etsy, you have to put the work in and be consistent with your shop.

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Make sure that you do all you can to optimize your listings for SEO purposes. Another amazing thing is that you can utilize the Etsy Advertising feature to promote some or all of your listings.

Thank you for reading this article to the end. If you find value in these 8 things you need to know before starting an Etsy shop, please do not hesitate to share them with your friends and family. Hit the share buttons below to share the article now. You can visit the LenwareDesign Shop for more inspiration on starting an Etsy shop.

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Leonard Henry
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