#76: 10 DIY Tips To Help You Successfully Start Selling On Etsy with Anna Davidson

Show Notes

From custom hand-crafts to vintage products to wellness items, and more, Etsy attracts buyers and sellers. If fact, as of 2021 Etsy has connected 7.5 million active sellers to more than 96 million active buyers. And of those buyers, 40% are repeat buyers. 

In this episode co-hosts Nola Boea and Lori Vajda talk to Etsy expert, Anna Davidson, about her do’s and don’ts for setting up a profitable shop. She’s here to de-mystify and de-stress the process so you can quickly launch your Etsy shop.​

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In This Episode You’ll Learn 

• How Etsy can help you generate multiple income streams.
• Why now is the ideal time to be selling on Etsy.
• What makes Etsy the 6th largest online marketplace in the world.
• Tips for successfully setting up your online store. 

Key points Lori and Nola are sharing in this episode:
(07:47:24) The three criteria you need to know in order to be Etsy seller.
(09:01:17) Three questions you need to answer before you even open up shop or start posting your first listing.
(12:09.23) How to use the 30-20-50 pricing rule so you figure out how to competitively price your Etsy products. 
(14:26.30) One major difference between Amazon and Etsy is the number of shops you can set up on each platform. 
(16:33:50) 7 Tips for developing an Etsy marketing strategy that works.

Resources 

You can subscribe to Lori and Nola's show, (we love you and want to make it easy) on Apple Podcasts, Spotify, Audible, Google Podcasts, Stitcher, or wherever you listen to podcasts.

Connect with Anna Davidson: theannadavidson.com  
Esty Queen Program: website link
Free ebook: Make Money Working From Home
Facebook: Connect on Facebook
Instagram: Connect on Instagram
LinkedIn: Connect on LinkedIn
YouTube: https://www.youtube.com/user/AnnaDavidsonThawe 
Twitter: https://twitter.com/theannadavidson  

ConvertKit: Our #1 Favorite Email Marketing Platform 
(This is an affiliate link)

Transcript

[00:00:00] Lori: Have you ever shopped on Etsy and thought to yourself, I could make that well you're right. You could. Even better the Etsy marketplace isn't just for entrepreneurial creatives. In fact, the site lets you sell a variety of different types of merchandise, including vintage items, as well as craft supplies. And with a global audience looking to support artists, hobbyists, and suppliers, you can have a thriving, small business on the platform. Stay tuned friends, because in this episode we're helping de-mystify and de-stress the process of starting your Etsy shop, with our special guest and Etsy expert. Anna Davidson.

[00:00:38] Announcer: You're listening to the sticky brand lab podcast, where time strapped professionals, like you learn how to create a business you love in as little as three hours a week.

[00:00:49] Nola: So Lori, have you ever shopped on Etsy?

[00:00:52] Lori: Yes. I've shopped for a lot of things on Etsy. Actually, when we launched our podcast, one of our special guests boxes came from an Etsy seller. What about you?

[00:01:02] Nola: I remember that. That was so cool. My favorite product from Etsy was this handmade backpack because my laptop is kind of big and I needed something that I could use to travel so I could carry it like a briefcase, but also carry it on my back. Anyway, I found it on Etsy and it's very well-made. So I've had a great experience. And the thing is, while Etsy may be this online global marketplace where side business entrepreneurs can sell their supplies and their inventory, it's not exactly like eBay or Amazon or any other e-commerce site. Think of Etsy as a marketplace for shoppers to find craft goods as well as, you know, unique, custom and vintage merchandise. In fact, Etsy sellers contributed $13 billion to the U S economy in 2020, which was 142% increase from the 5.7 billion in 2018. And according to Etsy's 2020 seller census, 83% of those selling on Etsy are solo entrepreneurs. And while selling on Etsy may be a great way to diversify your career portfolio as an entrepreneur, or give you a way to create a passive income stream, it can also feel a bit overwhelming to get started, which is why we wanted to talk to a subject matter expert. Meet Anna Davidson.

[00:02:30] Lori: Yeah, Anna is a genius when it comes to e-commerce and digital branding. She's the author of the book, She Made it happen, and she's been featured in Forbes and is the host of her own podcast, Your Freedom Podcast, as well as the founder of Etsy Queen Accelerator and Amazon 101 Academy where she helps students throughout the U.S., Europe, Australia, and around the globe build products and brands. With more than 15 years of experience in online marketing and her own success as an Etsy and Amazon seller since 2013, Anna is passionate about empowering women to launch their profitable and wildly successful Etsy businesses. She's here today to share her experience, tips, insights, and marketing know-how, so you can create and launch your Etsy store. Welcome Anna.

[00:03:22] Anna: Hey. Right. It's great to being here. I love it. I love it.

[00:03:27] Lori: Well, it's quite obvious from your accent that you're not from the United States. So can you tell our audience where you're located?

[00:03:35] Anna: I'm, uh, originally from the UK and based in the UK.

[00:03:38] Nola: Before we get into, what it takes to be successful on Etsy, can you tell us and our listening friends a little about your background and how you got started on Etsy?

[00:03:50] Anna: Yeah. I worked in the corporate world for many years, and I kind of like probably a lot of people, just got a little bit fed up with this whole rat race I was on, you know, I had a company car, flashy bonuses and all this sort of carrot on the string of moving up the corporate ladder. And I was brought up with a father who was a financial advisor, always running his own business and now looking back, I think I always had that entrepreneurial spark from him. But my wake-up call was when I had my first son. I remember when I was actually pregnant, I was like, I'm going to go on maternity leave. I'm going to have like a year off. and I was going to go back to work. My son was going to get in childcare. It was all planned and it wasn't going to affect my career, cause I just got to like first line manager, you know? And then while I was on maternity leave, I was like, um, actually, you know, it's, it's weird, you don't prepare yourself for this sort of bond that you're going to have, and also it was my wake-up call to sort of time versus money.

[00:04:48] While I was on maternity leave, I went straight to the internet weirdly, and that was sort of back 2010. I was looking at the typical thing of how to make money online, you know? And just looking at lots of different things and researching different things. I did actually go back, and did put my son in nursery spending lots of money, doing that and dropping him off first thing in the morning and picking him up in the evening and feeling like a rubbish mom, you know. Um, not to dis anybody that does that but if for me, it was just like, I was finding like I've called him spending all this money and not seen him.

[00:05:20] And there was lots of different redundancies back then in the pharmaceutical industry and our sort of kind of half, hoping that I would get made redundant. And it wasn't until the third round of redundancies that I was offered it. Everybody else, around me was not feeling really down. I actually felt secretly happy that because I was nervous about just leaving the industry with the income.

[00:05:45] And I thought, this is my opportunity to take my foot off the end of that cliff, but still have a lump sum of money to fall back on and do that. So I grabbed it with two hands and, it didn't really look back, you know?

[00:05:57] So I had sales and marketing experience and working for Pfizer actually I had a lot of experience around blue-chip company and large brands, which really helped me, coming into this space of e-commerce. Initially I spent some of that redundancy that had in educating myself more on digital marketing. I remember at the time a lot of my friends thought I was absolutely crazy doing this online thing. Which I reminded them the last couple of years, when they're all working their jobs from home, that actually I was not the crazy one back then. Um, so it, yeah, so it's been a real journey. I invested a lot in online marketing, and learned a lot around Facebook marketing at the time. And actually did some consultancy work where I taught offline businesses like personal trainers, restaurant owners, how to get more customers from Facebook. And then I actually stumbled across Amazon the following year. So it was seeing the Amazon opportunity and thinking, wow, they have their own fulfillment centers. We can send our products to Amazon and they will take care of the rest. That really gave me that light bulb moment of wow. You know, I could actually sell physical products.

[00:07:05] Lori: You point out that Amazon has fulfillment. Etsy is quite different. So in general, I think if you were to ask people, what comes to mind when they think of Etsy, they would probably answer, it's where crafty type people sell their products. Would you consider yourself a Craftsy artisan person? Is that how you got started there?

[00:07:28] Anna: No, I'm not at all. And this is the thing, because I did exactly the same. I've been selling on Amazon for a while and I actually just completely ignored Etsy. And it wasn't until I met someone who was absolutely killing it and crushing it on Etsy. And I really did pick their brains about how they did it, what they were selling. And I realized actually Etsy changed the rules quite a few years ago, but it always had to be handcraft products that have to be on the platform. But they've now got three criteria. One is handmade products. Two is vintage products and the other is unique. Now unique, obviously it's quite a wide general description. And so it's really opened up the platform for you to be able to sell anything really. But I you've got to be a little bit quirky with the types of products sell on there to do well on, on there. You've got to kind of fit into that organic kind of cool trendy, modern. And you've got a come to it from a creative angle, you know?

[00:08:24] Nola: Good point. So would we be correct in saying that people on Etsy set up their own stores on Etsy?

[00:08:32] Okay.

[00:08:33] Anna: So it comes from that. It starts from that. Whereas Amazon, you create a listing and then once you've developed a brand, you can open a store. Etsy starts off with your shop.

[00:08:43] Nola: Okay, so what would you say are the basics to getting started? Or even backing up before that, what should an aspiring Etsy entrepreneur ask themselves, like before they open up shop or start posting their first listing?

[00:09:01] Anna: The main thing is, firstly, you've got to think which category are you going to be in? Are you going to be Handmade? Vintage or Unique? Which angle are you going to come from? And everything is about how the brand, how the creativity looks. So you've gotta be thinking straight off the bat. How am I going to be a little bit different? Am I going to go down the sustainable route and the vegan and organic route? Or, what does make me laugh is there's some products I see on there and I think , wow, Amazon wouldn't even accept this product. You know, seeing people make handmade brownies.

[00:09:31] Nola: Whoa.

[00:09:34] Anna: There's a lot of spiritual products on there. You know, like angel cards and crystals and things like that. There's somebody selling a spell. Um, including a crystal. So you can literally go crazy on Etsy. So that's what I love about it, you can just be as creative as you want and the quirkier the better. So you've got to start with that mindset of your brand. How are you going to stand out and be quirky, be creative, and look beautiful and creative as well.

[00:10:01] Lori: That's really interesting. I actually had no idea. Do you need a tax ID number, do you need a business license to sell on it?

[00:10:09] Anna: Anybody that starting an online business should be doing the tax foundations and things. But of course, sometimes we dabble a little bit to see if we can get things going. I don't think most great about Etsy is, Amazon has a lot of barriers to entry and again, I'll get our, we'll probably reference Amazon a little bit and that's just because I came from the Amazon world so I see it as a comparison. And it's probably easier for our listeners to sort of understand the differences. But you know, Amazon, you go through this really rigorous, opening your account process that you have to get through. A lots of barriers to entry. Whereas Etsy, you can literally set up a shop in an hour, hardly give any information around any kind of like tax or even barcodes and things like that. You look at the terms and regulations, there's hardly anything on there. The main requirements is that you can't sell any guns or, pornography and, the kind of obvious things that people probably an unlikely to do. So, it's real flexible site. That's why it really helps people if they're just starting out, that they can actually have a little bit of a dabble before they get going before they get serious. Because I know that sometimes stops people get there and doesn't it that with all the kind of, I'm going to set up an account, then I've got to get the tax, all that kind of thing. And then once you start getting all the money going, then you could do that.

[00:11:19] Lori: So Etsy has really taken off and if you go searching for, for example, flower girl bouquets, you would see a lot of listings. How should people think about their audience, their pricing,

[00:11:37] Anna: Yeah. There's certain categories like weddings is a really big one. Anything that's for wellbeing. Beauty products. Gifts are really, really good one. And also something that I've recently heavily got into is digital downloads. Which I absolutely love because for people who may not have a budget initially to invest in stock, then you can actually go on Canva or if you're an artist already, you can create things that are literally digital downloads, which is a semi-passive income.

[00:12:07] Lori: Because of the competition, how do you even figure out pricing for your products?

[00:12:12] Anna: Yeah. The way I do prices, for Etsy, I have a formula of 30, 20 50. And I'll explain what this means. I'll work backward so, if I were someone new I would start by going to search on products that you have an interest in. It doesn't have to be like a massive hobby of yours. It just might be products that you buy a lot of. Go and have a little bit of search, different niches and different products.

[00:12:34] If you find products and think, oh, I could create my own version of that product, then look at the competition that's already in the market and start thinking, alright, what are they averagely retailing for? So, for example, if something's retailing for $30, then this 30, 20 50 formula that I have is 30% of that $30 is going to be the cost for you to send it to that customer, it's the unit price of that product. Then the 20% is the Etsy fees, 'cause Etsy only charges 5%, but you may do a bit of advertising, it costs 20 cents to list a product, and also you're going to be shipping it to the customer, the fulfillment cost. And then, so you've got 50% profit. You always want to be working on like a 50% profit margin. So automatically you can think, right. That product there, $30. I remember what Anna said on the podcast. 30% of that is roughly $10. I need to find the item or my version of that item, and I can't spend more than $10 to make this product work.

[00:13:38] Nola: That's really good advice.

[00:13:39] Lori: Yeah, that's very helpful. And you know, it made me think that the one question we didn't ask is what was the first thing you sold on Etsy and what do you sell on Etsy now?

[00:13:50] Anna: So I have a brand that's bamboo products basically bamboo items were the first products I sold on Etsy because I could see straight away it would fit perfectly with the fact that there's a lot of vegan customers and organic sustainable items on there. It is quite competitive though. So with that brand, I'm looking for products now that have not been done in bamboo. Because there's all these different products that are obviously bamboo. But there is an opportunity with products that have not yet been done in bamboo. And that's my strategy really.

[00:14:20] Nola: Unique in bamboo. Unique.

[00:14:24] Anna: Exactly. Unique. Unique. But what is also great is you can have multiple shops, whereas with Amazon, again, you have to apply to Amazon and request their permission before you can actually create another Amazon account. Whereas with Etsy, as long as you got to use a different email address, you're good to go. So I now have four different shops.

[00:14:43] Nola: Are they in four different categories, then?

[00:14:46] Anna: Yeah. Different categories and different niches. And it's interesting because there's a lot of e-commerce gurus or experts and coaches that will say, don't follow your interests. And I go against that. I always go against and I'll explain why, and especially as women, because I do tend to focus on my Amazon Queens and my Etsy Queens, and I'm all for female empowerment. As women, we want to create something that's meaningful and purposeful, and that we've really proud of as a brand. And I think if you are interested and you've got, you know, a bit of knowledge in that particular niche, then it helps you understand the customer's point of view. So you can either tweak it or make your own version of it and you can really provide value.

[00:15:27] But on top of that, yes, of course. I understand what these other guys are saying that. The reason they're saying it is you've got to focus on the numbers. And that's why it's important as well to focus on the numbers. But the reason I love my bamboo niche is I love bamboo products. so I think you've got to kind of have a love for that. And also like any business it's going to have its ups and downs and challenges and roadblocks that you're going to get over. So if you're doing something like an Insect repellent plugin, you can't really get that excited about all that. So focus on niches that you love and that you want to be proud to sell and that you can deliver value to customers. So I think you can kind of have it all as regards to focusing on brands that you're interested in and also focusing on the money, you know?

[00:16:13] Lori: Yeah, that's a good point because I actually love my bamboo pillows. So when you're talking about focus on things that you love, it's much easier to talk about, even write about something that you're excited about, especially if you get the benefits of it. Right. That makes a whole lot of sense. Well, how do you develop your marketing strategy for your products?

[00:16:36] Anna: It's a really good question though, because a lot of people think, you know, you, you love some products, you just lists them, you create your shop and that's it, you're done. And within my Etsy Queen Accelerator Program, I focus heavily on this, that there is a strategy behind that. Isn't just about grabbing products and listing it. We have to understand like any marketing who is our ideal customer, because if you're selling a yoga brand or a yoga mat to a younger lady versus maybe a more mature lady, we're attracted to different colors, textures, themes, aren't we? Or if you're selling a children's yoga mat, so you gotta be prepared. Who is that customer avatar? And also making sure that your images and all of that kind of stuff fits within your whole brand, it's not just about using pretty colors and just listing it.

[00:17:23] But what is great with Etsy is Pinterest. Pinterest really links really nicely with Etsy. And there is also Etsy advertising. And also once you hit $10,000 in a12-month period, you get to be able to do what's linked with SEO, Google, within the Etsy platform, they help you do outside ads and link it altogether. And it's a really lovely community as well, Etsy. It's a social platform as well. You can follow your customers, they can follow you back. There are a couple of tools as well, because Etsy's full of, uh, focus on tags. And these are the SEO keywords that we've got to research. There's a few tools out there that you can use that will tell you the best keywords to use. So for example, if, put in yoga mat it will tell you that maybe yoga mat for women with bag is a really good keyword that's got a lot of demand on the marketplace. You've got to make sure you do the research for all of these, the correct keywords for your particular niche.

[00:18:18] Nola: Funny, you should mention that because that was going to be my next question. Because if somebody would type in yoga mat, I imagined thousands of options would probably come up. And if I wanted to, create, I don't know, a bamboo woven yoga mat, I'm just pulling that out of a hat. Um, what would I do to scope out the competition? Cause you mentioned keywords and SEO and if somebody is not familiar or not used to thinking that way, what would you tell them?

[00:18:50] Anna: So if you think of like an offline store and we we've all seen these, you know, you've got a guy stood with the Domino's sign saying, Hey, this way, the Domino's. This is how I think is so keywords is really is to help people who are beginners in this is that that is giving you the traffic. And getting people into that offline store, isn't it? And any kind of advertising or billboard advertising that we see helps us discover that brand. Online, it's the keywords, getting the right phrases. So we have things like yoga mat is obviously huge. And we want to look for the more narrower type specific keywords, like niche within a niche. Like, eco-friendly yoga mat with bag for women longer tail phrase or keyword phrase, and that will help us really niche down into the specifics. And that's why it's important to understand who we're focusing on as well.

[00:19:45] Nola: So if I were to type in, bamboo woven yoga mat with, bag for women and 50,000 options come up, is that something I should ignore? Or is that something that I should, make my own version of? How can I tell when the competition is just too stiff?

[00:20:05] Anna: So, we're looking at the demands. ideally, we want a high demand, like the 55,000, but we also want low competition. So a lot of these tools, there's a couple there's Marmalead there's eRank, I particularly prefer eRank. It helps me actually work out which products I'm going to sell in the first place. Because I'm looking for keywords in there that have great demand but is not massive competition. Because that's where a lot of people will go wrong. Because they think, Yeah. you know, I can create my own version of this, but there's just so much competition for you to stand out it's too saturated. So you want to be looking for the right keywords and see if there's an opportunity and then go on Etsy and put that keyword in and see what are the results. What is the competition? So you then can work out, right, I could maybe do it a different color, or I could bundle this item with it to have more value. How am I going to stand out from the competition? So there is a lot that goes into that keyword part of it, finding whether there's an opportunity to sell this product. I look at it, the demands on the competition. And then how are you going to convert people? And that's with your images and your reviews and the price. When people actually find you people find you from the keywords, but then you want to convert that into a sale.

[00:21:18] Lori: I'm kind of blown away by the topic just in general of getting started. And clearly, you're quite knowledgeable, which is why you're a genius. And we wanted to have you on as a guest, but the big thing that stands out is the difference in things that I've read about starting on Etsy versus having a conversation with you and getting some real information. What do you teach in your course?

[00:21:46] Anna: The biggest thing that you need at the beginning is making sure that you've got that plan of what you're going to do. So, in my Etsy Queen Accelerator, it's an eight-week program and we focus on creating $10K in those eight-weeks. That's the goal. So the first week is all about the plan. And the numbers. How many products do we need in our shop able to achieve that? What kind of products are we going to have? Have we done all the research and the keywords to discover those products? And I share exactly the step-by-step for people who know nothing but have maybe an idea of having a beauty store or something. Then the following week, we dig deeper into what we're saying about the demands and the competition, and really digging deep into the research. And then step by step, I take you right up to launching that shop with all the images, all the kind of branding and just all the step-by-step of how you actually launched the product, how you're going to get sales, how you're going to be discovered, how you're going to do all your marketing, to achieve that goal. And we referenced back and check in what was our individual goal at the beginning? And it's not just a fluffy goal, cause I'm a bit like, come on. We all want to leave our job in 30 days, but let's do it specifically, and let's reverse engineer that if we're going to hit this $10K how many products do we need? How much, do we need to invest in stock? How much is it going to cost us to ship and fulfill it? And so we really know the numbers, so we know that on a daily and weekly basis, how many sales you've got, so you can achieve it. So it's not just listing the product and hoping for the best. We've got to make it happen, you know? So yeah. I'll take you, step-by-step through the whole process so that you can create a shop that you love, but the numbers work, and you're able to get it profitable and winning, really.

[00:23:25] Nola: That's quite a value , just having somebody take your hand and say, this is how it's done. And, you do it now, now let's see how you did. Make a little pivot. I like that.

[00:23:37] Anna: Yeah, I still have clients that come to me individually. I'm focusing a lot on my Etsy Queen program. my Amazon Queen program, but I have this fire in my belly as I call it I'm really trying to, even up the amount of female, Amazon and Etsy sellers that are, you know, like you were saying at the beginning 83% on Etsy that are solopreneurs. But of course we need that help and guidance. How are we going to do it as a structured way. And to break it down simply. So yeah, I've got that real fire in my belly to really help women entrepreneurs do the do as I've been that whole through that journey myself. And I understand that fear that stops us in that uncertainty, to really get our goals and ambitions and our lifestyles in place. So

[00:24:20] Nola: So you alluded to it a little bit, but

[00:24:24] Lori: that fire in your belly kind of thing

[00:24:26] Nola: Yes. And we want to hear a little bit more about you and about that. So can you explain, why are you so passionate about helping women be successful on Etsy?

[00:24:40] Anna: Yeah when I look back, when I was made redundant, I had my foot on the edge of the cliff, it was fear that was stopping me. and I love this quote. It has helped me through my journey, my personal journey: Fear stands for "forget everything and run" or "face everything and rise."

[00:24:56] Nola: Ooh. Okay.

[00:24:58] Anna: you see it is a quirky little quote but there was a moment where, I went through a really difficult time. I'm very open about my story for two reasons. One, it helps me heal from the journey by talking about it. And two, also, it helps people that have been through something similar. There were moments where I did forget everything and run. You know, I remember dropping off the boys at school and just coming back and just being spaced out and just being in this anxiety, depression, really. It's difficult to leave an abusive relationship and everybody always think why, you know, and it is really difficult because it's the fear of what could happen that could be even more serious by leaving. But actually my fear was that he would not leave me alone and I had four years of harassment after it. So my fear came true and then once it was coming true, I thought, well, actually, I haven't got a fear anymore. Um, and, and, you know, I had lots of legal battles, all these kinds of things, but actually it's made me such a more enriched person. It sounds strange that I feel grateful for this journey because I feel I'm a better mother, daughter, sister, friend from it, cause it's really helped me reflect on gratitude and what is important.

[00:26:06] And for me, I want to help. That's why I really have that fire in my belly as a referred to, to really help because I think as women, we can empower each other. So that's why I can really help people and help women specifically, create these online businesses, but it's from a heart-based focus, you know. It's not just about selling physical products is about creating that lifestyle that you dream of really, and helping them achieve that.

[00:26:33] Nola: That's inspiring.

[00:26:35] Lori: It sure is. Yeah. Yes. Thank you, Anna, for being our guest. We've learned so much from you today, not only about your personal journey, but about your passion for helping women be successful. If someone wants to learn more about you, your courses, services and groups, where can listeners go to connect with you?

[00:26:56] Anna: Great. Yeah, it's been great being on the show. My website is The AnnaDavidson.com. I hang out mainly on Instagram and I'm also on Facebook. I regularly do free sessions, so have a look on my Instagram. There's lots of free master classes and I've got a free guide to the best products to sell on Etsy. So yeah, come and join me in the Instagram world, or jump on my website. I'll be happy to help you.

[00:27:21] Lori: Well listeners, you'll be able to find links to Anna to connect with her on our website, also in our show notes. Thank you so much for listening to this episode. We hope it makes all the difference in you getting started on your business so you can create your best and most exciting life. If you found the information shared here today, helpful, let us know by posting here where you're listening or join us on our Facebook group.

[00:27:47] Nola: Not sure how to turn your idea into a profitable side business? Contact us at stickybrandlab.com/contact. We'd be happy to help you.
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[00:27:55] Lori: Be sure to come back next Tuesday and every Tuesday for another informative, inspiring and motivating episode. And remember, actions create results. So tap into your desire to create a business and brand you love by taking 1% action every day. Small steps, big effects.
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[OUT-TAKE]

[00:28:17] Lori: Stay tuned friends because in this episode, we're helping de-mystify and de stress the process of starting your Etsy shop with our special guest and expert at sea. Uh, it was so close. It was this close. ​