Are you excited to start your own Etsy shop, but not sure where to begin?
Opening an Etsy shop is quicker and easier than you might think. In this guide, I'll walk you through everything: the one thing to figure out before you open, how to set up your shop step by step, and the tips that will help you get your first sales.
Want to keep track as you go? Download the free Etsy shop checklist (PDF).
How Easy Or Difficult To Set Up An Etsy Shop
Starting your own Etsy shop might seem intimidating, but I can assure you that the process is pretty easy and straightforward. It should only takes you about an hour, at most an afternoon, to have your very own shop open.
It's also cheap to get started. There's no monthly fee on Etsy's standard plan. In many countries, Etsy charges a one-time setup fee when you open your shop, and each listing costs $0.20 to publish. When you make a sale, Etsy takes a 6.5% transaction fee plus a payment processing fee. You'll need a credit or debit card to set up billing.
You can see exactly what you'd pay on a sale with the Etsy fee calculator.
The best time to start is today.
But if you need some convincing, feel free to check out this article on whether it's worth it to sell on Etsy.
Before You Open: Find What Makes You Different
Before you set anything up, the most useful thing you can do is decide what will make your products stand out. This is your unique selling proposition (USP).
If you sell something similar to your competitors, shoppers will usually buy from the shop with more reviews and sales. A USP gives them a reason to choose you instead.
You don't need to reinvent your product. Often, one small difference is enough, especially if it benefits your customers. That could be an unexpected material, a personalisation option, or a feature that solves a problem.
A great way to find your USP is to read your competitors' reviews. Look for comments like "I wish it had…" or "This would be even better if…", and build that improvement into your own product.
Your product should also solve a problem or give a clear benefit. Sometimes it's practical, like a soap for sensitive skin. Sometimes it's emotional, like a keychain that says "I love you" or a funny mug that starts a conversation. Both kinds sell.
Don't wait until everything is perfect. Most successful sellers start with one sale a week, then improve their photos, titles and products as they learn. Focus on getting your first sale, not on building a six-figure business from day one.
How To Set Up Your Etsy Shop In 8 Simple Steps
01 - Create Your Etsy Seller Account
Click this link and follow the instructions to get 40 free listings when you open your Etsy shop.
First, go to Etsy.com, sign in to Etsy or create an account.
Once you’ve signed into Etsy, simple click your profile on the top right and then “Sell On Etsy”.
After you arrived to this new page, click “Get Started”.
You will then see a few pages that gives you more information of how to sell on Etsy:
02 - Set your shop preferences
You can set up your shop country, language and currency in this page.
03 - Choose Your Etsy Shop Name
Having a memorable name for your Etsy shop is important. Spend a little bit of time to come up with one that fits these suggestions:
- Make it memorable and easy to spell: Choose a name that is catchy and easy for potential customers to remember and spell. Be mindful when using difficult words or words that have different spelling in different countries.
- Keep it relevant to your product/niche: A name that reflects the products or services you offer will help customers understand what they can expect to find in your shop.
Keep in mind that you can change your shop name up to 5 times before having to contact Etsy support. So don’t worry if your shop name is not perfect. There are plenty of successful Etsy shops with average names.
Generate Catchy Etsy Shop Name
I'd recommend using tools like ChatGPT or Namelix to generate Etsy shop name quickly:
How To Check Etsy Shop Name Availability
The most reliable way to check the availability of the name you want to choose is to click “Check Availability” in the shop creation process.
Online checking tools may not be reliable because Etsy shops (active or inactive) or usernames are all unique. Checking on Etsy for "shop name containing ..." is also not the best method as inactive shops or usernames won't show up.
You’ll see this screen if the shop name is not available. Etsy will give you some suggestions of how to modify the name in order to fit the criteria.
And if your name is available, you will see this screen:
04 - Add Listings To Your Shop
You need at least one listing to open your Etsy shop, but the listing doesn’t need to be your final product.
For the purpose of the quick set up guide, lets’ put a fake placeholder listing so you can open your Etsy shop first. Here’s what you need to include before you can publish the listing:
- Include one photo - Download a photo from open-source image websites like Unsplash
- Title
- About this listing
- Category
- Description
- Price
- Shipping
Your first listing goes live as soon as your shop opens, so it's best to use a real product. If you're not ready yet, you can create a simple placeholder listing just to open your shop, but deactivate it or replace it with a real listing straight away, so no one can buy it.
At the bottom, you can choose “Get started with simple policy” for now. You can change it after you open the shop.
After your shop is opened, you can add fill it with actual listings. So when you see this screen, you can click “Do this later”:
05 - Set Up Etsy Payment & Billing
Now it’s time to set up how you’ll get paid and how you’ll pay Etsy.
In this section, Etsy needs to know your card details, bank details, shop address, tax filing status, etc. It’s a mandatory step and cannot be skipped.
For any new Etsy shop, you are required to use Etsy Payments when opening your shop. Etsy Payments is Etsy’s own payment processing system that accepts most payment options from customers like credit cards, debit cards, PayPal, and instalment payments from companies like Klarna.
If Etsy Payment is not supported in your country, unfortunately it’s not possible to open an Etsy shop at the moment. Click here to see the list of supported countries. Etsy says that they are expanding the countries that support Etsy Payments.
06 - Open Your Etsy Shop (Congrats!)
Congratulations! You have now opened your Etsy shop! Your new Etsy shop can be reached with these two url formats:
- https://etsy.com/shop/yourshopname
- https://yourshopname.etsy.com
07 - Customise Your Shop
Now that your Etsy shop is opened, you should spend some time to set up the essential parts of your shop so that customers will have a good experience. Here are some of the main sections you should complete:
- Review your shop policies: set clear shipping and return policies. Every listing needs a return policy, even if you don't accept returns.
- Set up accurate shipping profiles: make sure customers know when their order will ship and arrive. For US buyers, keeping domestic shipping at $6 or less can help your listings rank.
- Add your shop icon and banner: a simple, clean design is enough to start. My branding templates can help.
- Write your About section: share the story and process behind your products.
- Add a shop announcement: a short, friendly welcome that tells shoppers what's important right now.
- Write your order confirmation message: thank customers in the message they receive with their Etsy receipt.
- Set up saved replies: save answers to common questions so you can reply faster.
08 - Fill Your Etsy Shop With Optimised Listings
The final step of this guide - and probably the most important step - is to fill your shop with high quality optimised product listings. Use the duplicate listing and quick edit functions to speed up the process.
For each listing:
- Put your most descriptive long-tail keyword at the start of your title.
- Use all 13 tags, with phrases your customers actually search for.
- Write a description that explains the benefits, not just the features.
- Use your listing photos to show your product's best details, size and use.
Be sure to review our free guides to improve your Etsy SEO and conversion rate.
How Many Items Should You Have To Start Your Etsy Shop
I would recommend having at least 20 products when starting your Etsy shop, and plan to add more consistently to target specific customers. Many new Etsy sellers fall into the trap of starting with only 1-2 products which can really hurt the reach of their Etsy store.
If you are struggling to add new products, think about variations in style, color, size, etc to increase your product listings. Putting a few products in a bundle is another good option to add more listings.
Having more listings can help you broaden the reach of your shop. Each listing is an opportunity for you to target more long-tail keywords. It also gives you opportunity to satisfy the specific needs of your target customers.
12 Tips For Your First 90 Days On Etsy
- Keep adding listings. Start with at least 20 products and add new ones every week. Each listing is another chance to be found. Keep your products related, though, so shoppers see you as the expert in one area.
- Learn from bestsellers, but don't copy them. Study top shops in your category, especially their bestseller-badged listings, and look at their photos, packaging and reviews for ideas.
- Reply to messages quickly. Turn on notifications in the Etsy Seller app and aim to reply within a few hours. Shoppers often mention fast replies in their reviews.
- Take photos in natural light. You don't need an expensive camera. A table by a window, soft morning or afternoon light, and a plain background will make your products stand out. Get photo inspiration here.
- Build a consistent brand. Your brand is more than your logo. It's the feeling shoppers get from your photos, packaging, messages and social media posts. Decide what that feeling is and keep it consistent.
- Start an email list early. Etsy doesn't allow you to add customers to your email list without their permission, so invite them to sign up instead, for example with a coupon code. Here's how to get started with email marketing.
- Set up automatic coupons. Etsy can automatically send coupons to shoppers who favourite your items or leave them in their cart, and to past customers. A 10–20% discount is usually enough to bring them back.
- Test Etsy Ads with a small budget. Ads can help a new shop get its first views. Also know that if a sale comes from an Offsite Ad, Etsy charges an extra 12–15% fee. Read my guide to Etsy Ads.
- Price for profit. Include your materials, your time, your overheads and Etsy's fees. The Etsy pricing calculator does the maths for you.
- Add a personal touch to your packaging. A handwritten thank-you card or a small extra gift can be what turns a happy customer into a 5-star review.
- Pick one or two social media platforms. Share behind-the-scenes content and helpful posts rather than only promoting your products.
- Track your numbers every month. A simple spreadsheet of your revenue, costs and profit shows you what's working and whether your shop is profitable.
Free Printable Etsy Shop Checklist
Want to make sure you haven't missed anything? This free checklist takes you through every stage of starting and growing your Etsy shop: market research, branding, your products, opening your shop, optimising your listings, setting up your shop, and getting traffic and sales.
Click here to download the Etsy shop checklist (PDF)
Starting An Etsy Shop: FAQs
How Much Does It Cost To Open An Etsy Shop?
In many countries, Etsy charges a one-time setup fee, and each listing costs $0.20 to publish. After that, you only pay fees when you make a sale. There's no monthly fee unless you choose Etsy Plus. Use the Etsy fee calculator to see what you'd pay per sale.
How Long Does It Take To Set Up An Etsy Shop?
About an hour, or an afternoon at most. Creating great listings takes longer, so plan a few days to add your first products.
Do I Need A Business Licence To Sell On Etsy?
Etsy doesn't ask for one to open a shop. However, depending on where you live, you may need to register a business or pay tax once you're selling regularly. Check with your local government or an accountant.
