How To Start Etsy Dropshipping In 2024? + Tips [Ultimate Guide]

Looking to dive into Etsy dropshipping on a unique ecommerce platform but unsure where to start? This ultimate guide covers everything you need to know to thrive in this unique marketplace.

Discover how Etsy’s distinct rules shape dropshipping and the strategies that work best for handmade, vintage, and custom products.

From choosing the right suppliers to customizing your store, this guide has the essential steps and insider tips to launch a successful Etsy dropshipping venture.

Ready to transform your business? Let’s get started!

Quick Etsy Dropshipping Overview

The best

• Huge customer base
• Uniqueness
• Conscious and patient customers

The worst

• Intense guidelines for the dropshipping business model
• Different types of fees

Starting from

• Standard Plan – $0/month (FREE); Plus Plan – $10/month; Pattern Plan – $15/month; Listing Fees: $0.20; Transaction Fees: 5% of the sale total; Payment Processing Fees- 2.9% + $0.30 per transaction..

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What Is Etsy?

Etsy is a global marketplace, where you can buy and sell unique handmade and vintage items and craft supplies.

In addition, the products found on Etsy fall under many different categories like jewelry, arts, toys, clothing, bags, furniture and home décor, craft supplies, etc.

In a nutshell, the marketplace is home to a wide range of special, extraordinary products, from vintage treasures to unique handcrafted pieces. Unlike AliExpress, Amazon, or other Wholesale Marketplaces, everything on Etsy is made, curated, and sold by its sellers.

👉 Here’s the complete overview of selling on Amazon Handmade vs Etsy marketplace.

How Does Etsy Dropshipping Work?

Since Etsy’s platform makes dropshipping incredibly challenging, the majority of dropshippers get scared off and leave.

In fact, it will be difficult to discover any communications on its website that specifically forbid dropshipping. But, even though dropshipping is not specifically included in Etsy’s seller policies, it is one of the ways to offer products on the website.

👉**Check out the 25 Most Successful Etsy Shops in 2024 + How To Sell Guide.

However, let me explain why and how can you dropship on Etsy. *How Etsy works?*👇

First of all, Etsy drop shipping sells only handmade products, and since dropshipping is a business model where you as a dropshipper have no previous contact with the products you sell, it is impossible for those products to be hand-made.

So, for instance, if you want to sell a t-shirt, you must create a graphic or quotation that will be printed on it. You can’t just market pre-made t-shirts. This would be seen as reselling, which is prohibited.

Now you may use a third-party website to produce and fulfill your custom T-shirt orders.

👉 Check out the 11 Best Clothing Dropshipping Suppliers In the USA & Europe.

Thankfully, to manage your orders, Etsy lets you link your dropshipping store with these third-party on-demand fulfillment businesses. And, this is something that reminds us of print-on-demand. And YES, it is accepted by Etsy! However, you must still manage order fulfillment, though.

Now, there are two ways to dropship on Etsy:

1. To sell items on your own online store, purchase them from Etsy. This technique involves sourcing goods from Etsy dropshipping vendors and reselling them in your own dropshipping store. Having your own online store provides greater control over your business, the ability to market unique products, and access to benefits that may not exist on marketplace platforms. However, since you won’t have Etsy’s built-in customer base, having your own storefront requires you to promote and drive traffic to it on your own.
2. Open an Etsy shop and outsource the manufacturing of your products. This outsources manufacturing, just like dropshipping, so you don’t have to worry about production. However, you must still manage order fulfillment, though.

Etsy Dropshipping: Key Features

Now, I will list the key features that are important to get familiar with before dropshipping with Etsy.

🔸 Etsy Handmade Products

Etsy offers a wide variety of custom products across more than 10 categories. You can sell items like home goods, art, crafts, jewelry, digital prints across more than 10 categories, including:

• Jewelry
• Accessories
• Clothing & Shoes
• Home & Living
• Wedding & Party
• Toys & Entertainment
• Art & Collectibles
• Craft Suppliers & Tool
• Digital Downloads
• Holiday Shop

Each of these categories further splits into hundreds of sub-categories, giving you numerous options to display your handmade products. Etsy is particularly strong in this area.

🔸 Etsy Store Customization

Customizing your Etsy store helps it stand out and provides a cohesive brand identity for your customers. Here are some ways to make your Etsy shop unique:

• Shop Banner and Logo: Upload a distinctive shop banner and logo to showcase your brand’s identity. For example, if your brand focuses on eco-friendly products, use a green color scheme and nature-inspired designs.
• About Section: Use the “About” section to share your story. Include details about your brand, the people behind it, and what makes your products unique. You can also link to your website, social media profiles, or an email sign-up form.
• Shop Sections: Organize your products into specific sections. For example, if you sell jewelry, create separate sections for necklaces, rings, and earrings. This organization makes it easier for customers to find what they’re looking for.
• Listings: Craft detailed listings with high-quality photos and thorough descriptions. Use relevant keywords to improve searchability and focus on the SEO (Search Engine Optimization) aspects of your listing titles and tags.
• Policies: Set clear shop policies for shipping, returns, exchanges, and custom orders. This transparency helps build trust with your customers.

🔸 Etsy Pattern

Etsy Pattern is a service that allows sellers to create their own custom website separate from the Etsy marketplace. Here’s what it offers:

• Custom Domain: With Pattern, you can use a custom domain name to promote a distinct brand identity outside of Etsy’s platform.
• Design Options: Choose from various website themes that are customizable to better match your brand’s look and feel.
• Integrated Shopping Cart: Pattern websites come with an integrated shopping cart, making it easy for customers to purchase multiple items at once.
• Inventory Sync: Any changes you make to your inventory on Etsy will automatically update on your Pattern site, and vice versa, ensuring your stock levels are always accurate.
• Analytics: Pattern provides analytics tools to help you understand your customer base, track visits, and sales, and optimize accordingly.

Etsy Pattern is designed for sellers who want to expand their online presence and have more control over their branding and customer experience, while still enjoying the ease of managing their Etsy inventory and orders.

🔸 Etsy Shipping & Fulfillment

As an Etsy seller, you handle shipping and fulfillment on your own. However, Etsy partners with domestic and international postal services like FedEx to help streamline your shipping process.

They also offer a 30% discount on postage if you create labels through their platform. If you have many orders, considering a fulfillment service might be beneficial.

🔸 Branded Packaging

Etsy allows the inclusion of personal touches in your packaging. You can add:

• Customized stickers or labels with your shop logo
• Thank you cards or notes
• Branded tissue or wrapping paper
• Customized packaging tape
• Packaging inserts like discount codes or promotional materials

These personalized additions help strengthen your relationship with customers and enhance the overall customer experience.

🔸 Currency & Languages

Etsy supports over 10 languages and 30 currencies, making it accessible to international customers. However, sellers in the EU should note that the default currency is EUR, which might confuse some customers.

How To Dropship On Etsy? – Option 1

After weighing the pros and cons of dropshipping Etsy, you can approach your decision objectively, without letting your “gut feeling” affect your choice. So, now let’s see how to dropship on Etsy.

And once you have decided to start your dropshipping business on Etsy, remember that the marketplace does not support the standard dropshipping business model.

To start dropshipping with Etsy, you have a few options. So, let’s explore those options.

1. Find a Manufacturing Partner To Work With

If you have an idea for a product, but don’t have the tools or know-how to make it, you can find a company to help you. So, here I can tell you some popular companies that work with Etsy, like Printful, Printify, Gooten, and Art of Where.

However, I always search for reliable dropshipping suppliers on supplier directories like Dropshipping.com. I can sort my results based on supplier location, category, costs, etc.

In fact, here I collect all necessary information about the supplier like product costs, shipping costs, location MOQ requirements, average order processing time, and even more.

Before reaching out to one of these partners, it’s important to have a solid plan for your product and make sure your designs are ready.

You also need to think about how much it will cost to make the product and if you can still make money after those costs.

Finally, it would be best if you made sure the company can actually make your product. This is a way to sell products on Etsy without having to keep the products yourself. In other words, Etsy dropshipping!

💡 PRODUCT IDEA: Dropshipping Coffee Products With Suppliers

2. Create or Choose Your Dropshipping Products

If you want to create your own dropshipping product and then post it on Etsy, I advise you to do good research and see what’s actually in demand.

For example, you can check on Etsy’s popular categories and see what customers mostly buy. Also, what I personally do is use Etsy filters, like best-sellers, or best customer reviews, and see which products sell the most.

Plus, Google Trends can give you insights about product demand as well. So, I advise you to type in the product keyword and check its demand over time.

Plus, I personally use product research tools like Minea to check on product costs, profit margins, competitors, customer engagement, etc.

Moreover, if you want to sell your own designs you can try print-on-demand services. In fact, many POD companies like Printful integrate with Etsy with ease.

Also, at Printful, each item gives you several ways to personalize it. You can decide on the placement of the print, choose its size, and pick from many colors.

You also have the option to create your own product templates, which makes it simpler to use them anytime.

Additionally, the platform provides plenty of branding options and delivers its products in 3-7 business days.

Also, every product at Printful comes with different customization choices like where to place the print, the print’s size, and various color options. This gives you the ability to design your own templates, making it easier to use them as needed.

Now, you can turn your idea into a marketable product.

3. Build And Customize Your Store On Etsy

Building a storefront on Etsy is an easy breeze. So, here’s what you need to do.

1. Sign Up for an Etsy Seller Account

To begin, visit Etsy.com/sell and click the Get Started button.

Choose the language, currency, and country that aligns with your target market and area. After entering these details, click Save and Continue

Congratulations, you’re now signed up for Etsy Handmade! Now, you’ll need to set up your store, listings, payment methods, etc.

2. Establish Your Etsy Storefront

Once you created your Etsy seller account, you can access the Etsy dashboard. So, from here you can follow their step-by-step process, and build and customize your store.

3. List Your Products

Furthermore, you can start adding your handmade products in the “Stock your store” section.

Ensure you include clear photos, detailed descriptions, and the correct categories to help customers find your items effortlessly.

4. Select a Payment Method

Moreover, choose the payment options you wish to offer, such as credit/debit cards, PayPal, and Etsy Gift Cards.

Additionally, you’ll need to provide your billing details, like your credit/debit card information and billing address.

5. Personalize Your Storefront

Also, personalize the appearance of your shop by customizing the storefront design, header, logo, and shop policies to enhance your brand’s identity and offer a better understanding of your business to customers.

While Etsy’s design is clean and attractive, providing a great user experience, it limits your ability to differentiate your store from others significantly. In fact, you can customize:

• Store Name & Brand Logo
• Product Images & Descriptions

Etsy also offers you options to upload a custom shop banner and include links to your website, email list opt-in, and social media in the “About” section of your store. Plus, with Etsy Pattern, you can use a custom domain name to promote a distinct brand identity outside of Etsy’s platform.

This customization capacity not only allows you to distinguish your store from others but also enables you to provide more comprehensive information about your brand.

By doing so, you create a more interactive and engaging shopping experience for your customers.

4. Promote Your Etsy Dropshipping Store

Start promoting your shop on social media, online forums, and other platforms to reach a wider audience.

Actually, you have the option to participate in Offsite Ads, which means you can display your items on Etsy’s own marketing and promotional channels.

What’s more, you may have your items appear on Etsy’s Facebook, Google, and display advertisements.

However, I recommend you use your own marketing tactics and do better!

👉 Therefore, check out How To Increase Organic Traffic To Your Dropshipping Store.

5. Start Dropshipping on Etsy

Finally, once your shop is set up, start selling your products and fulfilling orders. Fingers crossed! 🤞

How To Dropship Products from Etsy To Shopify? – Option 2

Many sellers on Etsy are multi-channel retailers. That’s to say, they sell their products on multiple platforms or marketplaces.

So, if you already have a storefront on Etsy but also want to build your own brand identity outside of the Etsy world, you can sell your Etsy products on Shopify (or any other platform).

Before discussing Etsy dropshipping on Shopify, it is important to tell the difference between Etsy and Shopify.

1. As I have already said, Etsy is an online marketplace for unique and creative items. With about 97.3 million active buyers and a small entry fee for sellers (US$0.20 to list a product), Etsy is a good choice for first-time online sellers.
2. Shopify is a very popular e-commerce platform offering a lot of control in terms of features and flexibility. Many dropshipping apps are available on the site. Therefore, Shopify is unquestionably one of the best options to create a dropshipping store.

Here’s how to dropship from Etsy To Shopify.

Before starting the integration, it’s essential that you have an active Etsy store with products already listed. This is a crucial first step to ensure the integration proceeds smoothly.

To begin the integration, first log into your Shopify account. Next, head over to the Shopify app store and download the Etsy Marketplace Integration app

I recommend using the “Etsy Inventory Integration” app for this purpose. Once you find it, simply click on “Install”

Once the app is installed, navigate to the app’s homepage and look for the “Connect with Etsy” section to streamline your inventory management. Here, you’ll need to enter your Etsy store name.

A new window will pop up prompting you to authenticate; click on the “Authenticate” button to proceed.

After authenticating, you will be redirected to Etsy where you must allow the integration app to access your account. To complete this part of the process, click on “Allow Access”

Finally, if you want to customize your store on Etsy, you can do so from the Etsy Store Manager. Simply click on Settings -> Info & Appearance to adjust your store’s look and settings to better reflect your brand and style.

Import your Etsy Products to Shopify

Next, you can import your listings, customer details, order history, and current orders using the Import Store app

Just click on “Import Store.” Then, head over to your Etsy dashboard, go to settings, and click on “Download Data.” Start by downloading a CSV file for your listings by clicking the link provided.

Do the same for your order items by choosing the correct CSV file option and selecting the date range you want the data from. Download these files and repeat them for your orders.

Next, switch back to Shopify. In the “Upload File” section, find the CSV files and either drag and drop them into the area or browse your computer to upload them.

Once you upload these three files, all your products, including images, descriptions, titles, and tags, will show up under the product section. You’ll also see your existing customers, orders, and analytics.

Click “Continue Import.” It might take a while, but you’ll be notified when the import for each section is finished.

At this point, if you want to keep your Shopify and Etsy stores separate, you’re all set.

But if you want to link your Shopify to your Etsy so that when you add products to Shopify, they automatically update on Etsy as well, this will save you a lot of time.

This connection means you only need to upload listings once and lets you check your Etsy sales through Shopify.

Other Options To Dropship On Etsy in 2024 – Option 3

Dropshipping From AliExpress to Etsy (NOT Allowed)

Etsy strictly maintains its marketplace for handmade, vintage, or craft supply items, which means dropshipping from AliExpress or other mass-produced sources doesn’t align with Etsy’s policies.

For instance, AliExpress might offer ready-made necklaces, but Etsy requires sellers to have a direct hand in crafting or designing the product themselves.

Dropshipping items directly from AliExpress onto an Etsy storefront can risk an account ban due to Etsy’s quality standards and customer satisfaction guidelines.

Alternative Scenario:

If you’re considering selling custom designs or handmade items listed on Etsy to AliExpress customers, it’s essential to recognize that AliExpress buyers typically prioritize budget-friendly options, with lower expectations for authenticity.

To sell your handmade products on AliExpress, you need to set up an AliExpress account and complete registration.

After registering, create a Detailed Listing that includes high-quality images, thorough product details, and specifications.

Highlight the unique features that distinguish your Etsy products from other listings on AliExpress.

Dropshipping From Amazon to Etsy (NOT Allowed)

Amazon’s product catalog includes many mass-produced goods that don’t meet Etsy’s strict criteria for handmade, vintage, or craft supply items.

For example, a wall poster from Amazon would only qualify on Etsy if it was a unique design crafted by the seller.

Directly dropshipping Amazon products onto Etsy violates Etsy’s authenticity policies and can lead to account penalties.

Alternative Scenario:

While dropshipping on Etsy from Amazon is restricted, you can sell your Etsy shop items on Amazon.

To do this, you need to apply as an Amazon Handmade seller if your product meets Amazon’s handmade criteria or list it as a regular product on Amazon.

Creating a detailed product listing with high-quality photos and customization options ensures that Etsy listings stand out on Amazon.

Dropshipping From eBay to Etsy (NOT Allowed)

eBay’s platform features a wide range of mass-produced products, which generally don’t align with Etsy’s vintage or handmade policies.

For instance, if you find leather bags on eBay, they would only be eligible on Etsy if they involve unique craftsmanship or were handmade by the seller.

Alternative Scenario:

Listing your Etsy products on eBay can open access to a larger and more diverse audience while preserving the handmade reputation of your Etsy shop.

If you sell custom artwork on Etsy, eBay can serve as a secondary platform for original pieces or print on demand products.

To get started, register on eBay, create a product listing, set your pricing, and select a reliable shipping method.

Print On Demand Dropshipping (Allowed)

And, finally, print on demand services actually allow you to deliver your unique product. So, it is allowed! Thus, I personally use the Printful app for POD. So, I will show you how I do it:

1. Sign Up for Printful Account

First, create a free account with Printful. Go to Printful’s homepage, click “Sign up,” and enter your information.

Once you’ve signed in, you’ll access the Printful dashboard, where you can find onboarding steps to integrate Printful with your Etsy shop.

Printful is a popular print-on-demand (POD) provider, ideal for selling custom products like t-shirts, mugs, and other items that align with Etsy’s unique customer preferences.

2. Connect Your Etsy Account to Printful

To get started with dropshipping on Etsy, ensure your Etsy storefront is ready by setting up your Etsy shop with essential details like billing information, Etsy listings, and store preferences.

Then, set Printful as your production partner. From the Etsy dashboard, navigate to “Settings,” then “Production partners,” and add Printful as your partner.

This integration is what allows seamless fulfillment for Etsy sellers without manually managing inventory.

Furthermore, you need to authorize Printful to access your Etsy store by selecting Etsy as your platform in Printful’s “Stores” section.

You’ll be directed to Etsy, where you’ll grant permission for Printful to connect with your Etsy account.

With this step, your Etsy ecommerce store is synchronized with Printful, streamlining your dropshipping business setup. Now, you’re ready to start selling products with Etsy-approved dropshipping suppliers who meet Etsy’s policies.

3. Select Products for Your Etsy Storefront

Choosing the right products is essential, as Etsy customers have specific tastes for vintage or handmade items.

Printful’s catalog offers customizable options like apparel, craft supplies, home decor, and even items with a vintage aesthetic.

So, some popular product ideas include wall art, accessories, and traditional handicrafts, which meet the Etsy dropshipping rules and customer demand for fair trade items.

Thus, selecting high-demand products with customization options can also enhance your Etsy listings and attract more buyers.

4. Create and Customize Your Designs

Designing for your Etsy shop is where your creativity comes into play. Using Printful’s Mockup Generator, you can experiment with different design ideas that appeal to Etsy shop members who appreciate unique, custom products.

From vintage-inspired t-shirts to custom home decor, the design process is straightforward. The generator allows you to add text, colors, or graphics, creating mockups that align with customer satisfaction and Etsy’s expectations for handmade items.

Etsy requires sellers to accurately represent product details, so take advantage of Printful’s mockup capabilities to ensure each Etsy listing looks professional and polished.

You can easily display the displayed price and manage order fulfillment, making it easier for Etsy merchants to run a successful online store.

5. Set Pricing and Profit Margins

Establishing profit margins is key to a sustainable dropshipping business. By using Printful’s pricing tools, you can determine the best pricing to match Etsy’s market while covering production and shipping costs.

This step will also help you stand out in search results for customers looking for unique Etsy products. Etsy dropshipping is a similar business model to owning your own ecommerce site, so remember to evaluate pricing to keep your Etsy listings competitive.

6. Start Selling and Manage Order Fulfillment

Once your products are live on Etsy, you’re ready to start creating an Etsy dropshipping FAQ section, optimizing for search results, and attracting Etsy customers who appreciate unique custom items.

Printful’s seamless integration with Etsy allows you to manage order fulfillment without needing to hold inventory, making it convenient for Etsy sellers to scale their business needs.

With this setup, your dropshipping business on Etsy can cater to a wide range of customers interested in vintage items, craft supplies, and commercial items.

Printful’s platform ensures that each order aligns with Etsy’s policies and is fulfilled efficiently, helping Etsy merchants maintain high customer satisfaction.

Dropshipping products on Etsy, with the help of Printful, offers Etsy sellers a flexible business model that caters to the platform’s love for unique, customizable, and vintage-inspired products.

By following these steps, you’re ready to turn your Etsy shop into a thriving dropshipping ecommerce site, reaching customers who value high-quality, custom designs.

Etsy Dropshipping: Pricing Structure

Etsy offers three different pricing plans:

Standard Plan – $0/month (FREE)

The Standard Plan is free and gives you access to a seller dashboard. This dashboard helps you track orders, talk to customers, and get alerts on important issues like listings that are about to expire.

You also get insights into how your store is doing, like how many views you get and how much money you make.

While this plan is free, it does have some limitations.

Plus Plan – $10/month

The Plus Plan builds on the Standard Plan by adding more features.

It offers 15 listing credits each month (worth $3) and a $5 credit for Etsy Ads.

You also get discounts on shipping boxes and business cards.

This plan lets you set up alerts for when items are restocked, customize your shop’s homepage with banners and featured items, and send out-of-stock notifications via email.

Pattern Plan – $15/month

With the Pattern Plan, you can create your own dropshipping store with a unique domain name, though you still use Etsy’s dashboard and list items on Etsy.

This plan focuses more on helping you set up a distinct online store separate from the Etsy marketplace.

Additional fees across all Etsy plans:

• Listing Fees: $0.20 for each new item listed. If you list multiple quantities of the same item, you only pay once.
• Transaction Fees: 5% of the sale total, including charges for product customization and gift wrapping.
• Payment Processing Fees: These vary by payment processor, like PayPal or Stripe, usually around 2.9% + $0.30 per transaction.
• In-Person Selling Fees: If you sell in person using the Square POS, there’s a fee of 2.6% + $0.10 per transaction. Etsy also takes 5% of any shipping charges you pass to your customers.
• Etsy Pattern Fees: This applies only if you’re using the Etsy Pattern platform, which costs $15/month.
• Ads Fees: Etsy charges per click for ads run on its site. For ads on other platforms like Google, fees range from 12% to 15% of each sale.
• Currency Conversion Fees: If your listing and payment currencies differ, there’s a 2.5% conversion fee.

The Pros & Cons of Etsy Dropshipping

Now that you know what Etsy is, it is time to look at the advantages and disadvantages of dropshipping with Etsy.

The Pros of Etsy Dropshipping

✅ Huge customer base

Believe it or not, more than 97.3 million active buyers in 2023. According to Statista, the marketplace generated revenues worth US$1.7 billion in the same year.

What’s more,  nearly 30% of its users are aged between 25 and 34 years, and 81% of purchases are made by returning customers.

This means that you can sell your unique, handcrafted items to millions of customers worldwide and build a loyal customer base.

Wanna try other marketplaces too? Here’s my guide for Facebook Marketplace for Dropshipping.

✅ Uniqueness

Since dropshipping is highly competitive, it is getting harder and harder for dropshippers to sell dropshipping products that stand out in a crowd.

However, this online marketplace allows you to fill your virtual shelves with one-of-a-kind items that customers cannot find anywhere else.

Plus, this can provide you with substantial differentiation, which may be enough to sustain a long-term competitive advantage.

✅ Conscious and patient customers

Although handmade items do take longer to make, Etsy customers are conscious and patient.

Moreover, they value uniqueness, craftsmanship, and quality. They know that all products sold on the marketplace are made with love and that every single creation incorporates an element of creativity. They simply value the creative spirit of Etsy dropshipping sellers.

And that’s why they are accustomed to longer manufacturing times and willing to pay more for such products.

The Cons of Etsy Dropshipping

❌ Intense guidelines for the dropshipping business model

Etsy is a special online marketplace. It lets you buy things you can’t find anywhere else. You can also sell things on Etsy, but there are rules about it.

Still, you can only sell vintage or craft supplies if you want to use dropshipping. This means you don’t actually make the things you’re selling, but instead, someone else makes them for you.

Also, if you want to sell handmade products, you have to make or design them yourself. But, if you have a good idea for a product but can’t make it yourself, you can work with a partner who can make it for you.

Just remember, if you work with a manufacturing partner, you have to tell your customers about it.

❌ Different types of fees

As with other online marketplaces, you are subject to some fees when selling on Etsy.

To set up an Etsy dropshipping store, you may need to pay a few types of fees. The most common types of fees include listing fees, transaction fees, shipping fees, subscription fees, advertising & promotional fees, etc. 

For further information about Etsy dropshipping fees, check out this policy.

👉 Check out Etsy Alternatives: The 12 Best Platforms for Unique Sellers.

Is dropshipping from AliExpress to Etsy allowed?

Again, everything sold on Etsy dropshipping has to be handmade, vintage, or a craft supply. Thus, dropshipping from AliExpress to Etsy is not allowed. Simply put, you cannot buy a product from AliExpress and resell it on Etsy.

Needless to say, you cannot also dropship from Wish, eBay, Amazon, etc. to Etsy. Otherwise, you will be breaking the rules, and you may be likely to lose access to your Etsy account.

👉 Check out Wish Dropshipping: Everything You Need To Know As A Beginner.

4 Pro Tips on How To Sell More With Etsy

You should do more than just set up your store in order to become a successful Etsy seller. And here is what you need to do.

Being part of an excellent community of sellers is what makes this marketplace such an exceptional place to run your business.

You can join the Etsy community to discuss ideas, share knowledge, find inspiration, keep up with the latest Etsy news, and build relationships.

The community consists of Teams, Forums, and the Seller Handbook. By joining it, you can grow your creative Etsy dropshipping business.

2. Take high-quality product photos or put your trust in a professional photographer

Customers are visual – they like to see, touch, and feel products before they buy them. So, as an Etsy dropshipping store owner, you need to post quality product images.

There is one thing to keep in mind when taking your product photos. Make sure your product photography includes lifestyle and hero shots.

To clarify, hero shots are product images that are enriched with props, lighting, and background to impart brand spirit, infuse mood, and provide context to the photographed product.

Lifestyle shots are images of people using the product.

For instance, if you are selling handmade rings, you or your photographer may want to take a photo of a smiling woman wearing your ring while holding a glass of wine at a restaurant.

3. Market Your Etsy Dropshipping Business

Marketing is an essential component of running a successful Etsy business.

Let’s say you have just made an earth-shatteringly brilliant product. But, even if that is the case, no one will buy your product without a good dropshipping marketing strategy.

So, do not overlook the two important marketing tactics such as Instagram marketing and influencer marketing for dropshipping.

4. Make your products even more desirable with creative packaging

Once upon a time, packaging was durable and served its purpose. But, nowadays, online stores are becoming increasingly aware that the more beautiful the packaging, the better.

Just think of the influx of people sharing ‘unboxing’ or ‘package opening’ moments across social media sites, especially Instagram.

You should not be judgemental of those who have taken the time and effort to make package displays and take photos of them. Some of those people might be your customers.

And this can be a powerful marketing technique that may take your Etsy business to the next level. That’s why creative and stunning packaging should be high on your marketing priorities.

Best Product Categories to Dropship on Etsy

1. Craft & Supplies

The most popular category on Etsy is dropshipping craft supplies. The options include beads, jewelry-making supplies, miniatures, craft supplies, and much more.

What’s more, stickers, vintage charms, hooks, claws, and beads are among the best-selling goods in this category on Etsy.

In addition, the top Etsy sellers in this category are clbeads (with over 1,830,000 total sales), Beadboat1 (with over 1,966,003 sales), and Yadanabeads ( with over 696,742 sales).

Also, the products in this category range from $.0.05-134, and most of the sellers offer free delivery.

2. Vintage Products

Etsy allows dropshipping of vintage products. Thus, this category is huge on this marketplace, ranging products from home and living to jewelry and collectibles!

Of course, the product price range is huge from $1-600, since there are different types of products.

Also, the best Etsy-approved manufacturers in this category are:

• SunshineButtercup
• WhoKnowsWhat
• ReductionNation

3. Jewelry

The majority of jewelry selections on Etsy are both bespoke and self-designed.

In reality, Etsy is a creative place. People naturally look for and purchase jewelry-making kits and supplies. As a result, dropshippers make sales on Etsy very fast.

So, Jewelry products on Etsy are very affordable with prices varying from $0.05-281. Also, the top Etsy-approved manufacturers of stunning jewelry are MignonandMignon (773,967 sales), CaitlynMinimalist (2,925,770 sales), and GLDNxLayeredAndLong (576,407 sales).

👉 Check out the Top 12 Print on Demand Jewelry Companies.

4. Party Supplies

Party decorations are one of the top-selling items on Etsy as well. So, Etsy party supplies include dropshipping wedding decorations, birthday decorations, Christmas, etc. And, the best part is all of them sell very well!

These products’ prices vary from $0.08-40. Also, the best stores here are PlumPaperDesignsDeisgnMyPartyStudio, etc.

5. Clothing & Shoes

These items sell like crazy everywhere. But, Etsy offers uniqueness, since the designs on these products are hand-made. Thus, customers know that and are more attracted to buy from here.

There are clothes shoes for women, men, and kids, and the product prices vary from $7-148.

What’s more, the best clothing collections are available at Up2ournecksinfabric (over 524,383 sales), Zoeysattic (over 395,915 sales), and BabySquishyCheeks (331,255 Sales).

Is Etsy Dropshipping Worth It?

Etsy Dropshipping can be worth it if done correctly, as it offers a platform to reach a large audience and sell unique products.

Based on statistics, in 2023, Etsy generated a revenue of $2.748 billion and welcomed around 500 million visitors each month. These figures showcase a vast market with substantial traffic that sellers can tap into.

A notable aspect of Etsy’s demographic is that nearly 30% of its users are aged between 25 and 34 years. This age group typically has spending power and a preference for unique, handmade, or custom products, which are prominent on Etsy.

With 95.1 million active buyers in 2024, the platform has a large customer base. What’s more, another critical factor in evaluating Etsy’s worth for dropshipping is the high rate of repeat buyers, with 81% of purchases made by returning customers.

Also, there are 9.04 million active Etsy sellers.

However, dropshipping on Etsy might not be the best choice for you if you’re hoping to earn quick money.

But, it may be a lucrative platform if you have the time and money to establish a solid dropshipping business. It has a sizable consumer base, affordable costs, and a variety of goods.

Selling handmade goods is available on Etsy dropshipping, which is not possible on other dropshipping marketplaces.

Also, Etsy is worth it if you are a small dropshipping business. But, if you want to grow big, this might not be the smartest option for you.

Etsy Alternatives: The 12 Best Platforms for Unique Sellers.

Must-Know Rules To Dropship On Etsy

If you’re thinking about dropshipping on Etsy, let’s get clear on the rules.

Etsy doesn’t support classic dropshipping, but there are ways to sell that fit within their guidelines. Here’s what you need to know to keep your Etsy store compliant.

➡ What’s Allowed to Sell on Etsy?

Etsy is all about handmade items, vintage items, and craft supplies. To follow Etsy’s policies, any vintage products need to be at least 20 years old, and handmade items must be either crafted or designed by you. This isn’t the place for reselling random products, so your shop should reflect creativity and originality.

➡ Handmade Items Are Really Handmade

To sell under the handmade category, Etsy requires that products are genuinely crafted or designed by you.

While you can work with production partners to create items based on your designs, reselling factory-made items or commercial goods isn’t allowed.

Etsy expects sellers to be involved in the design, ensuring that each piece is genuinely unique.

➡ Working with Production Partners? Disclose It

If you’re collaborating with a production partner to bring your designs to life, Etsy wants transparency. So, you must list any partners you work with right in the product listings.

However, these partners can’t be other Etsy shop members or just suppliers of ready-made goods. Etsy’s goal here is to maintain authenticity and traceability in every sale.

➡ Sourcing Craft Supplies? Here’s What Works

Etsy allows the sale of craft supplies, which can come from third-party sources. You’re free to list commercial, vintage, or handmade craft supplies, as long as they’re meant to be used in creating other products.

This is a great option if your Etsy dropshipping store leans more toward supplying materials than selling finished products.

➡ Each Listing Must Represent a Real Product

On Etsy, every listing should be for an actual item—either physical or digital. No placeholder ads or referral codes here.

Each Etsy listing needs to clearly display a product for sale, and things like print on demand items are fine, as long as they follow the site’s standards.

➡ Say No to AliExpress and Commercial Resale

Classic AliExpress dropshipping and similar approaches don’t fit with Etsy’s style. Etsy’s marketplace is centered around unique, thoughtful products, not commercial reselling.

For this reason, avoid listing products you haven’t designed, especially if they’re generic or mass-produced items.

Should You Start Dropshipping on Etsy?

While Etsy isn’t designed for traditional dropshipping, a dropshipping business on Etsy can work if it’s in line with Etsy’s rules.

The focus should be on quality, authenticity, and customer satisfaction. So, if you’re willing to adapt and create truly original or handcrafted products, Etsy could be a rewarding platform for your online store.

Etsy Dropshipping FAQs

1. Does Etsy allow dropshipping?

Yes, dropshipping on Etsy is allowed, but Etsy requires sellers to follow its policies, especially around vintage or handmade items and craft supplies. Your Etsy dropshipping business must comply with their rules.

2. Can I sell on Etsy and ship from Amazon?

Yes, you can sell on Etsy and fulfill orders from Amazon as a third-party seller. However, ensure transparency with Etsy customers regarding order fulfillment and displayed prices to meet Etsy’s policies.

3. Which site is best for dropshipping?

Popular sites for dropshipping business models include Shopify, AliExpress, and eBay. Each offers different benefits, like seamless integration, various product listings, and sync inventory options for a smoother ordering process.

4. Can I dropship from Etsy to Shopify?

Yes, you can source Etsy products to sell on a Shopify store by partnering with Etsy suppliers. However, confirm with each supplier if they allow the rebranding of commercial items on other platforms.

5. Does Amazon allow dropshipping?

Yes, Amazon allows dropshipping under certain rules. As a third-party seller, you must manage order fulfillment and ensure all product details and branding align with Amazon’s policies.

6. Is dropshipping legal?

Yes, dropshipping is legal in most places and operates as a business model where third-party sellers list and sell products without managing inventory. Ensure you comply with platform rules and legal requirements.

7. Who pays for shipping with Etsy?

On Etsy, either the Etsy shop owner or the Etsy customers can pay for shipping. Many Etsy merchants offer free shipping to attract more customers to their Etsy storefront.

8. Is dropshipping profitable?

Yes, dropshipping can be profitable if done correctly. Profitability often depends on the demand for products, effective marketing, and profit margins.

A successful Etsy dropshipping store requires a good selection of product ideas and customer satisfaction.

9. Is it legal to sell digital products on Etsy?

Yes, selling digital products like design ideas and print on demand files is allowed on Etsy. This category is popular among Etsy sellers for profit margins and scalability.

10. Is Etsy dropshipping easy?

Dropshipping on Etsy can be straightforward if you find reliable Etsy suppliers and understand Etsy dropshipping rules.

However, it requires time to manage order fulfillment and maintain a consistent Etsy listing.

The bottom line

Etsy dropshipping offers an exciting way to reach an engaged audience that values unique, handmade products.

However, before diving in, it’s essential to understand Etsy’s strict rules around originality—everything must be handmade, vintage, or a craft supply.

Choose suppliers carefully and prioritize custom designs to keep your business compliant and attractive to Etsy’s audience.

My advice? Focus on creative branding, reliable production partners, and invest time in quality product images and descriptions. If you’re ready to bring authentic, curated items to a market that appreciates them, Etsy dropshipping could be a rewarding choice.