StickerYou Blog

Profitability

The Etsy e-commerce marketplace is booming, reporting revenue of $594.5 million in the third quarter of 2022. This is more than the company expected to make in that time period. Among its top-selling categories are personalized stickers, which makes sense considering that the global die-cut sticker market size is forecasted to value $191.1 million by 2028.

Plenty of sticker businesses are making large profits from selling personalized stickers on Etsy. In fact, one of the star sellers, AcornandCrowStudio, reports that it secures 40,400 monthly purchases from Etsy buyers.

These numbers only go to show how profitable a sticker business can be on Etsy. The market is vast, the audience is large, and the fees are fair, making Etsy a good starting point for your sticker business.

Etsy Fees

Aside from its focus on personalized, handmade merchandise, plenty of sellers also choose Etsy for their sticker business because of its relatively low fees.

Unlike other platforms that charge sellers before they can make their listings, Etsty allows you to get started for free. From there, you can opt to join a subscription plan to access more of the platform’s features, such as the Plus Plan, which costs $10/month.

Although Etsy charges transaction fees, they are relatively low compared to other e-commerce platforms. Its listing fees are $0.20 for each item, while its transaction fees cost 6.5% of the price of the product. Etsy also charges payment fees of 3% plus $0.25 per transaction.

Worth noting is the shipping transaction fee, where Etsy charges 6.5% of the total cost of shipping. However, it does offer discounted shipping prices for USPS shipping, which helps you save and optimize your operating expenses.

Add the Etsy Fees to Your Final Price

Etsy charges fees for the transactions you perform on its site. These include the listing fee ($0.20), transaction fees (6.5%), payment processing fees (3% + $0.25), currency conversion fee (2.5%), VAT and sales tax, and regulatory operating fee (in specific countries only).

Especially since you’re a small business selling small products that don’t cost much, these fees can easily add up and put a strain on your income. That’s why it’s important to consider Etsy fees when pricing your products. Add the accompanying fees to your final price to maximize your profit.

Optimize Your Listing

Your listing needs to be attractive and engaging so your products appeal to your customers. To optimize your Etsy listings, pay attention to the following:

• Using high-quality photos: You need to show off your sticker designs with high-quality images. Take clear and crisp photos of your stickers and their details and add a couple of shots showcasing how your designs can be used and applied.
• Writing detailed descriptions: Include complete and accurate information about your stickers, such as their size, materials, and design. This will help buyers make informed decisions and avoid them having to request further details.
• Highlighting your product’s unique features: In your listing, make sure to highlight any unique or distinguishing qualities your stickers have. It can be anything from the texture or finish to the design or durability.
• Using keywords: Using keywords in your listings will help increase your visibility. Help your audience find your products by optimizing your titles and tags with the right terms that describe your stickers.
• Offering multiple variations and combinations: Instead of using one listing slot for a single sticker design, you can maximize the listing fee by adding variations. Sell your stickers in packs, bundles, or sheets — this also gives your buyers more options.

Etsy SEO

Etsy SEO is a strategy to improve your store’s visibility on the platform. In Layman’s terms, it helps customers find your products and, ultimately, generates more profit for your sticker business. There are a couple of things you need to do to optimize your Etsy store:

• Conduct keyword research. This might seem like a daunting first step, but it’s actually pretty easy. You can start with Etsy’s search bar. Type in a few letters and you’ll get search suggestions — these are searches that people have made and are currently trending on the platform.

To take your keyword research a step further, you can utilize tools like Keyword Tool Dominator, Alura, and eRank, which are all made for Etsy merchants. 

• Use keywords in your listing. Once you’ve learned the keywords people are searching for to find products on Etsy, use them in your listing. Particularly, place the most relevant keywords at the beginning of your title and descriptions.
• Renew your listings. The older your listings are, the less visible they become on the platform. Renew your listings regularly to boost your search rankings. We recommend doing this during peak hours when most buyers are actively browsing.
• Optimize your store name. This isn’t mandatory, but it’s worth saying that having a competitive keyword in your store name can help boost your visibility on Etsy.

Social Media Marketing

Social media is a great place to convert your followers into your Etsy business customers. It also gives your business more visibility and reach.

Consider signing up with your business name on popular social media platforms like Facebook and Instagram. Optimize your profile, pool followers, and regularly post and showcase your stickers in your accounts. You can also use the platform to make announcements, initiate conversations, offer deals and giveaways, and conduct other gimmicks to attract buyers.

Don’t forget to direct your audience to your Etsy store so they know where they can avail of your stickers! Have a clickable link in your bio and relevant posts.

Etsy Ads

Etsy also has its very own feature you can use to promote your sticker business. Called Etsy Ads, this is a paid ads function run inside the e-commerce platform. When you avail of this, you can place your listings in visible spots on the Etsy site and app, including the search results, categories, and market pages.

You can set up Etsy Ads in your seller’s account by going to “Shop Manager” > “Marketing” > “Etsy Ads.” From here, set your daily ad budget, which you can change at any time. When you’re happy to get started, click “Start Advertising”.

Etsy Ads also allows you to choose which countries buyers can see your ads in, as well as which listings you want to advertise. By default, however, all your listings will be promoted when you start an Etsy Ads campaign.

Print-On-Demand (POD) Services

Print-on-demand (POD) services allow you to sell stickers on Etsy right away. You don’t need to invest in materials and equipment to get started — all you have to do is engage a supplier who will print and ship your stickers for you on a made-to-order basis, reducing any further investment on your part.

A lot of sticker businesses on Etsy go the POD service route because of its benefits, which include:

• Low startup costs: You don’t need to invest in any materials, tools, or equipment to start a sticker business.
• No inventory management: Because the provider prints and ships the stickers for you, you won’t be handling any complex inventory management tasks. 
• High level of customization: POD services operate on a made-to-order basis, which allows your customers to personalize their orders.
• Less effort is required to manage the sticker business: The POD service essentially handles the bulk of your operations. All that’s left for you to do is create new designs, promote your business, and deal with customer service.

However, before deciding on engaging a POD service, you should be aware of its cons. POD services may have the following disadvantages:

• Small profit margin: POD services are more expensive than making stickers on your own. You should only choose this route if you’re willing to make a profit trade-off for less hassle and effort operating your sticker business.
• Long shipping times: Because POD services only print the stickers upon purchase, the time it takes them to process orders and ship them out can be relatively longer.

Use a Printing Partner

Alternatively, you can use a sticker printing partner for your Etsy business. These companies, like StickerYou, can offer you features to create your stickers on their platforms, set specifications, and place your order to be delivered to your home or warehouse.

For example, our Sticker Maker makes it easy for you to customize a design and add your sticker orders to your cart. Here’s how to use this handy tool:

• Step 1: Log in or create an account. For quick and secure checkout, create an account with StickerYou. If you already have one, make sure you’re logged in before using the Sticker Maker.
• Step 2: Upload an image, photo, or PDF document. You can also browse our gallery and choose art for your custom stickers. At this point, you can edit the image to add text, change the background color, or make a border.
• Step 3: Select a shape. You can choose between popular shapes, such as image die-cut, circle/oval, square/ rectangular, or rounded corners. Or you can browse the range of templates for a more unique cut.
• Step 4: Select the size of your sticker. Set your desired sticker width and height either in inches or cm. Then click “Apply” to make the changes.
• Step 5: Configure the settings. Review the details of your sticker order and make changes where needed. Select the quantity of your order and if any, provide your print instructions. For future use, you can name your project for easy access.
• Step 6: Place your order. When you’re done, click “Save to Cart” and place your order.

The main benefit of working with a printing partner is it allows you to maximize your profit margin. They can help you produce stickers in bulk, lowering the price of each order. However, most printing providers only accept orders in bulk, which means that you’ll have to store some stickers in your inventory. If not sold, this can lead to overstock.

Make Your Own Stickers

If you don’t want to work with third-party suppliers, you can always opt to make your own stickers to sell on Etsy. This gives you more control over your business, including the production process. Among its advantages include:

• Higher profit margins: Because you control the production of your stickers, you can reduce costs where needed and optimize your pricing for higher revenue.
• Creative freedom: You are also able to experiment with the sticker-making process as you please, whether that’s trying new materials, textures, finishes, or printing techniques.
• Better branding opportunities: Handling the production process means you can insert your branding into every aspect of your business, such as by adding promo cards or choosing your packaging designs.
• Better marketing campaigns: With your stickers on hand, you can take more pictures of your products that you can use for marketing and promotional campaigns.

Be aware, however, that making your own stickers can also come with its own set of challenges. Some things to consider are:

• Higher startup costs: Before you can start building your business, you will need to shell out money upfront for your materials, tools, and equipment.
• Limited scalability: When your business grows, it will demand more of your time and resources. A one-person team might not be enough to meet your increasing orders.
• More responsibilities: Making your own stickers takes a lot of work. Couple that with your other responsibilities, such as managing your Etsy store, answering customer inquiries, and marketing your brand.