How to Take Your Etsy Hobby to a Full Blown Business

03 Nov, 2016 / Comments: Comments Off on How to Take Your Etsy Hobby to a Full Blown Business / By

Running your own company is extremely difficult and doing so on Etsy is no exception. However, the good news is that setting up your Etsy shop is quite simple, there are over 1 million people that use the platform and the fees for selling your homemade goods on Etsy are relatively low—20 cents for a listing and 3.5 percent of the profits. Although you may just be small time now, if you put the work in, you can make your Etsy hobby a full blown business. All it takes is commitment and the right strategy. Let’s take a look at some tips to turn your Etsy hobby into a successful business.

 

Create a Business Plan

Even if you only want to dip your toes into creating a full business out of your Etsy hobby, it’s pertinent that you come up with a business plan that details the amount you can afford to spend on materials and other costs of running your shop, as well as your short term and long term goals for how much you want to make. If you want to make your Etsy shop a legitimate business, then you have to take it seriously from the start. Often, people start selling their products without any real intention to see if it can make a profit. However, you’ll have to do much better if you want to go into a real business venture.

 

Use Your Time Wisely

Not everyone is able to just quit their job in order to see if their Etsy hobby can make them a living. If you still have a full time job, but want to test the waters for getting your Etsy business off the ground, then you must be prepared to put in early mornings and late nights. In order to put enough time in, you may have to do so before work, after work and on the weekends. It’s also important that you prioritize what’s important to you. If you’re finding it hard to put enough time into working on your Etsy shop, then something will have to give, whether it’s your social life or sleep. That being said, don’t forget to have time for yourself so you don’t burn out.

 

Know That Your Effort Will Go a Long Way

People often get impatient when trying to start an Etsy business and want to see huge success right away when the reality is that just doesn’t happen. If you want to make your Etsy hobby a full blown business, then it is possible, but you have to put the effort in. Although running an Etsy shop on the side can be difficult with managing your time properly, remember that when you fully work for yourself, you’ll be able to manage your own schedule.

 

Work to Create a Variety

If you only sell three or four things, then your Etsy shop just isn’t going to get very far. People want choice and variety and if your Etsy shop has a wide range of goods to choose from, they are more likely to look through everything. Keep in mind that the more time people spend browsing your shop, the more they’ll feel connected to your products and brand. When shops only have a few things for sale, the average customer will only spend a few moments looking through it. It’s recommended that you only launch your shop when you have at least ten things to sell. Also keep in mind the importance of taking good photos of your products with lots of different angles. Create a display and make all of your photos uniform with the same background and lighting.

William Mahnic
William Mahnic is a Finance Professor at Case Western University and has spent more than 20 years in the finance industry before becoming a professor. Mahnic has appeared as a commentator on both TV and radio talk shows including NPR, Crain's Cleveland Business, WKYC 3 and The Washington Post. He has been interviewed in BusinessWeek, Wall Street Journal and The Los Angeles Times.

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