A new Etsy shop needs to release new products regularly to keep the shop fresh. This can also increase your exposure on Etsy and reach more potential customers.
Here are a few ways to come up with new product ideas:
They are your best selling products, or the products that have a high conversion rate.
Try thinking of ways to add new variations to these products. That can be in terms of different sizes, new colours, material, etc.
Proactively analyse your reviews and messages from your customers and shoppers. Look for requests, questions, or comments that come up multiple times about product features. These could be great ideas for refining current offerings or inspiring improved new products.
Having products of different price points is a good way to reach a new group of customers. For example, if you are selling crystal jewelry for around $30, consider adding some rarer crystals and sell them for $80. Or if you sell tote bags, using a more expensive material or making a more intricate design would warrant a higher price.
It can also go the other way of hitting a lower price point. That usually involves simplifying your production process. For example, if you are selling custom illustrations, consider making some of your pieces in printed form instead of made-to-order each one.
The successful sellers in your niche have been in the market for longer and have a wider product selection. Look through their shop and see which products are popular (in many people’s cart or regularly reviewed) and consider adding them to your shop.
Another method is to look at their review section and pay attention to reviews that are 2-4 stars. Usually customers include reasons why the product is not perfect. It’s a great opportunity if you can create new products to address those issues.
People who favourite or buy your products have a good chance of being your target customers. Looking at their favourite list can help you uncover what else they are interested in.
After the previous step, you should have started your marketing effort on some external channels, like Instagram, Pinterest, forums, or even your own blog. I'd recommend analysing the effectiveness of these channels after about 2-6 months. You'll generally see results quicker for social media platforms compared to your own blog.
Go to your shop stat on Etsy. You should see that there are some that are bringing you more traffic than the others.
Some other people may tell you to adding even more marketing channels, but in my experience, that’s a recipe of feeling burned out quickly.
I would recommend choosing the best performer to focus on. Double down your effort in terms of creating content, engaging with users, incorporating your email list, etc. In case there isn’t a clear winner, choose the 2 that brings you the majority of external traffic.