Etsy primarily uses a transaction-based fee model rather than standard subscriptions, charging a minimal $0.20 Listing Fee per item. Sellers incur variable transaction and payment processing fees only when an item is successfully sold.
Etsy costs primarily involve fees when you list items or make a sale, with no mandatory additional monthly fees. The minimum fixed fee is $0.20 per listing, and transaction fees start at 6.5% plus a payment processing fee.
To understand how selling on Etsy works, we break down the necessary fees you should expect when setting up your shop and selling products.
Listing Fee
Price: $0.20 per listing
Websites Supported: Not explicitly stated
Best For: All sellers who want to publish items on the platform
Refund Policy: Not explicitly stated
Other Features:
- Listings are active for four months
- Fee applies until the item sells
This is the cost for getting your product visible to millions of shoppers. You pay this small fee upfront to activate your listing for four months, or until it sells. This helps keep the marketplace active and current.
Transaction and Payment Processing Fee
Price: 6.5% Transaction fee + (3% + $0.25 Payment Processing fee) when sold
Websites Supported: Not explicitly stated
Best For: Sellers who make a sale and use Etsy Payments
Refund Policy: Not explicitly stated
Other Features:
- Only paid once an item sells
- Transaction fee calculated on sale price, including shipping
- Standard payment processing included with Etsy Payments
You only pay these percentages and fees when you successfully make a sale. The 6.5% percentage is Etsy's commission for providing the selling platform. The processing fee covers secure handling of the payment, ensuring you get paid quickly.
Offsite Ads Fee
Price: 15% of the sale price
Websites Supported: Not explicitly stated
Best For: Sellers looking to advertise their products across the web and boost visibility
Refund Policy: Not explicitly stated
Other Features:
- Only charged if an ad leads directly to a sale
- Etsy advertises items on sites like Google, Facebook, and Instagram
- Optional for most sellers, mandatory for high volume sellers
This fee covers external advertising costs that Etsy manages on your behalf. It is performance-based, meaning you only pay the 15% fee if the ad generates a sale for you. For most new shops, participation in Offsite Ads is entirely optional, giving you control over this expense.
Etsy does not charge additional monthly fees for having a shop, offering a simple fee structure based mostly on performance. You only pay when you list an item or make a sale, which is great for new businesses. There may be a one-time shop set-up fee when you first open, but you will see the exact amount before you finalize registration. 🎉
