Conversion rate is one of the most critical metrics for Etsy sellers to understand and optimize. It reflects how well your shop turns visitors into paying customers, serving as an important indicator of your shop’s overall performance. 

A good conversion rate highlights your shop’s appeal and helps you identify areas for improvement to boost sales. While the average Etsy conversion rate ranges from 1% to 5%, many top sellers exceed this benchmark with focused strategies. 

In this blog, we’ll explore what defines a good conversion rate on Etsy, the factors influencing it, common mistakes to avoid, and actionable tips to improve sales on Etsy.

Understanding Conversion Rate on Etsy

A conversion rate on Etsy is the percentage of visitors coming to your shop who complete a purchase. It’s calculated by dividing the number of sales by the number of visits to your shop, then multiplying by 100 to get the percentage.

Example: If 100 people visit your Etsy listing for ‘wall art’ in a given period and 1 of those 100 people buys your product, that’s a 1% conversion rate.

1/100 * 100 = 1%

This metric helps you understand the effectiveness of your listing in converting visitors into buyers.

Here’s how to find conversion rates on Etsy:

  • Log into your Etsy account > click Shop Manager > click Stats in the left-hand-side menu > click View Detailed Stats
  • Your conversion rate will be right after “visits” and “orders.”
conversion rates on etsy

Source – Valerie Freeman

If you’re new to Etsy, here’s how to set up an Etsy shop.

What is a Good Conversion Rate on Etsy?

There isn’t a fixed conversion rate that applies across Etsy shops. A good conversion rate varies depending on the category, price point, and other factors. 

However, the Etsy seller handbook says a good conversion rate is between 1% and 5%. After looking at various Etsy sellers’ conversion rates, we found sellers with a 1.5% conversion rate and above 6% too.

What does this mean?

Here are the average conversion rate ranges and what they mean:

  • The conversion rate between 1-2% is ideal for new shops or highly competitive categories.
  • The conversion rate between 3-5%: This range reflects a strong conversion rate, showing that a shop is converting visits to purchases well.
  • Conversion rate above 5%: A conversion rate above 5% suggests outstanding success in attracting the right audience and converting visits into sales.

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Factors that Contribute to Etsy Conversion Rate

If you’re wondering what factors play to make a good conversion rate on Etsy, here’s the answer:

  • SEO: Etsy SEO is the foremost contributing factor to your visibility and rankings. Thus, having SEO-optimized listings is essential to improving search visibility and conversion rates.
  • Listing Quality Score: Etsy’s Listing Quality Score (LQS) is a metric that evaluates the quality of a product listing. It considers several factors, such as title, description, images, relevance, engagement rate, and recency. Etsy grades listings on a scale of 1 to 10, with 10 being the highest. A good LQS score on Etsy can positively impact your listing’s conversion rate. 
  • Product Photos: Clear, bright, crisp photos help potential buyers understand the product better. 
  • Reviews: Positive reviews are a game changer for your products, especially if you’re a new seller. Every buyer wants to know what others think about the product they are trying for the first time. 
  • Product Pricing: This is a critical factor contributing to your conversion rate. Why? 
    • For example, if you plan to sell jewelry on Etsy, before pricing your items, you must research similar or top-selling Etsy shops to understand the average price of your items. 
    • In another case, if you had positioned your products higher than the current market value or lower than that, leading to your potential customers leaving your shop and thus resulting in lower conversion rates.  Hence always research market trends and your competition and factor in your costs before pricing your items.
Read Also:
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  • Processing Times/Delivery: On-time delivery is another factor that impacts your conversion rates. Certain items require delivery the next day. 
    • For example, if you are a gift shop owner and a particular item takes more than a month to arrive, your potential buyer will choose your competitor who offers the same item within a few days. Hence, choose a delivery partner who provides a decent delivery time.

Shipping costs, product photography, customer service, competitive pricing, product variations, your chosen niche, and category are other crucial factors you need to consider for conversion rates on Etsy.

Read Also: 20+ Best selling items on Etsy

What is the Good Conversion Rate by Category? 

Below are a few categories and their average conversion rates in the e-commerce sector.

  • Arts & Crafts: 5.00%
  • Baby & Child: 0.88%
  • Fashion, Clothing & Accessories: 1.37%
  • Food & Drink: 1.03%%
  • Health & Wellbeing: 3.02%
  • Pet Care: 2.78%
  • Sports & Recreation: 1.63%
  • Toys, Games & Collectibles: 1.85%
  • Home Accessories and Giftware: 1.55% – 2.34%
  • Kitchen and Home Appliances: 1.72% – 3.00%
  • Cars and Motorcycling: 1.35% – 0.65%
  • Electrical and Commercial Equipment: 2.49% – 1.31%

Source – Hubspot & Marmalead

Common Mistakes That Lower Etsy Conversion Rates

Here’s something we recommend you avoid to have a good conversion rate on Etsy. Along with the most common mistakes sellers make, we have highlighted solutions. Hence, read carefully to understand and implement them for your Etsy shop.

Photocard Selection

Etsy allows you to upload ten images for a listing. You can do a mix of real and AI photos. But if you’re relying only on AI photos, this could result in zero sales.

Nowadays, shoppers are vigilant and more careful not to buy from fake or untrustworthy shops. When a shopper browsing your shop finds that all ten images use AI/AI-mockup photos, it gives them a red signal. 

Main Image Selection

The main image on the list is the first image your potential buyer will see of your product. Hence, do not use blurry or collage pictures. 

Instead, select the appropriate photo that shows the entire product with all the details. Use a horizontal/square picture, naturally lit, in-focus, and cropped picture. Also, remember that many customers are on the Etsy seller app, so images are much smaller. Do your best to make your images stand out.

Mismatch in Perceived Value and Actual Value

A common mistake observed in sellers who are just starting is they are concerned about their profits. 

For example, if a potential buyer is eyeing your product and knows a t-shirt isn’t worth $20. They will buy from an established Etsy shop rather than a pretty new store with no sales and reviews. Read more about how to sell shirts on Etsy.

Hence, lower your prices initially and do not focus on profit margin. As your shop grows and you start seeing sales and reviews, you can gradually increase your prices. 

Then, you can use the following formula to price your items: Materials + Expenses + Labor + Profits = Product Price.

Replicating Items

Creating a replica of a similar item is not allowed as per Etsy policies. Sooner or later, sellers will face legal issues, or Etsy might suspend their shop. Because Etsy is a place for unique items, one should always add uniqueness and value to their product. You can draw inspiration from a bestseller and create a product independently but refrain from making a slight adjustment to an existing product.

If you’re collaborating with print-on-demand partners, choose the reliable ones and create great products that Etsy and its audience love. 

Poor Customer Service

Customer service is one of the critical factors in maximizing sales; it encourages positive reviews and increased sales. Respond to your customers’ queries on time, lower your shipping time, and represent your product correctly to make them choose you time after time.

This takes us to our next important section: increasing your conversion rates on Etsy. Let’s find out!

How to Increase Etsy Conversion Rate?

Tips to improve Etsy conversion rates:

  • Complete Listing Information: Your listing must contain all the information a buyer needs. Provide all the details, such as a size and care guide, giving access to all the information in your listing. 
  • Optimizing Listings for SEO: Optimize your Etsy listings with relevant keywords in titles, tags, and descriptions, focusing on long-tail keywords while avoiding keyword stuffing. 
    • Use Etsy keyword tools to find highly profitable keywords. Write concise, clear titles that describe your product upfront, and use visually appealing photos to showcase your items. Ensure your descriptions are accurate, detailing product features, shipping rates, and purchasing options to build trust. Utilize all 13 product tags and select specific categories and attributes to improve search visibility.
  • Competitive Pricing: Research and understand the prices in the current market. Use tools like Marmalead, Alura, etc., to check the product prices of your competitors. Ensure your prices align with them and you are not undervaluing or overvaluing your products. You can also offer tiered pricing to meet all your customers’ needs.
  • Low Competition Niche: Try to identify profitable and less competitive niches. If you already have high-competition niche products, include a niche with low competition using keywords that are easy to rank. This technique will improve your visibility and drive sales. For example, if you are selling jewelry that has high competition, you can also introduce products in birthstone or zodiac jewelry that have much lower competition and attract an audience using highly profitable keywords.
  • Target Repeat Customers: You can use your existing customers to increase your conversion rates on Etsy. If you have built a customer base outside of Etsy, maybe on social media, from your website, or other channels, you can use a lead generation tool like OptinMonster to collect emails through signup forms on your website and send emails using email marketing software like Convert Kit. In the email, share your Etsy shop link, leading them to your shop and increasing conversions.
  • Automatic Offers: Set up automatic coupons for people interested in your products. This could be a great way to convert price-sensitive customers without lowering your prices for everyone.
  • Etsy sends an email offering a discount if a shopper has an item in their basket for more than 2 hours. 
    • Here’s how to set up automatic offers: 
    • On Etsy.com, go to your Shop Manager > Marketing > Select Sales and Discounts.
    • Find Automatically send offers to interested shoppers. 
    • Choose a targeted offer and select Set up.
    • Select the options you’d like for your campaign.
    • Select Create Offer.
  • Run Sales: Promote your products on Etsy at various price points to help you discover the right price. During the sale, ensure your shop is at the top of the marketplace to increase visibility and conversions. Read more about promoting your shop on Etsy.
    • Offer promotions and Discounts:
    • Run Flash Sales: Launch short-term sales to create urgency and prompt quick purchases. Limited-time offers are great for leveraging the fear of missing out (FOMO).
    • Offer Bundle Deals: Discount product bundles to encourage larger purchases. Bundling increases the average order value (AOV) and helps clear slow-moving inventory.
    • Provide Discounts for First-Time Buyers: Offer new customers a small discount on their first purchase to ensure a positive shopping experience and encourage repeat business. 
  • Social Media Promotions: Go beyond Etsy and advertise your products on social media channels like Google, Facebook, Instagram, etc. For instance, for Google, you can create a Google Merchant Center promotional feed, and for Facebook, you can implement single image ads, video ads,  carousel ads, etc. These types of ads and promotions encourage improved visibility and conversion rates.
  • Customize Your Shop Bio: In the shop bio, convey who you are and more about your niche and customer. Play around with keywords relevant to your niche and put them in the main search bar on Etsy to see what the auto-recommendation feature gives you. This technique lets you find search terms that most Etsy sellers use and adjust your bio to put those words at the beginning, improving Etsy’s visibility.
  • Enhance Customer Experience: Start by providing clear descriptions, including dimensions, materials, and care instructions,, along with detailed, accurate listings and high-quality photos. Transparent policies for shipping, returns, and exchanges build trust, while thoughtful packaging, such as secure wrapping and thank-you notes, creates a memorable unboxing experience. 
    • Encourage reviews to build credibility, and refresh your shop regularly with new products or updates to maintain interest. 
    • Share updates, behind-the-scenes content, and customer testimonials to build a loyal following. Use social media to connect with buyers and drive traffic to your shop.
  • Run Etsy Ads: Use onsite and offsite ads to reach a wider audience. To reap maximum benefits from Etsy ads, promote high-performing listings and set a realistic budget.

Tools to Monitor Conversion Rates On Etsy

Let’s look at the tools to monitor conversion rates on Etsy.

Etsy’s Built-In Tools

  • Etsy Stats: Track key performance metrics such as views, visits, sales, and conversion rates directly in your Etsy shop dashboard. Analyze traffic sources and identify which listings perform well.
  • Shop Manager: This tool provides an overview of your shop’s performance, helping you monitor customer interactions and overall sales trends.

Along with the Etsy analytics tool, you can also use third-party tools to understand conversion rates and revenue on Etsy.

Third-Party Analytics Tools

A few tools that you can depend on to monitor Etsy conversion rates are:

Marmalead: Etsy SEO tool

  • It helps you optimize listings by analyzing keyword performance and competition.
  • Offers insights into how SEO improvements can influence conversion rates.
  • Free Trial: 14 days
  • Pricing: It offers monthly, quarterly, annual, and lifetime plans, with the lifetime plan priced at $5/month.

eRank: Etsy SEO Tool

  • Tracks Etsy keyword rankings and shows visibility, traffic, and conversion rates data.
  • Identifies high-performing listings and suggests SEO strategies for optimization.
  • Free Trial: NA
  • Pricing: Offers four plans along with a free plan. Paid plan starts at $5.99/month.

Putler: E-commerce Tool

  • Consolidates sales data and provides detailed reports on conversions, customer behavior, and revenue.
  • Tracks metrics across multiple Etsy shops, making it ideal for sellers with various stores.
  • Free Trial: 14 Days
  • Pricing: Paid plan starts at $20/month.

Conclusion 

Achieving a good conversion rate on Etsy requires a combination of strategic listing optimization, customer engagement, and continuous performance monitoring. While the average conversion rate is 1-5%, aiming higher with tailored strategies can significantly enhance your shop’s success. 

Focus on creating compelling listings, offering exceptional customer service, and leveraging tools like Etsy Stats to refine your approach. By consistently improving your shop and understanding what drives conversions, you can build a thriving Etsy business that stands out in the marketplace.

FAQs

Is a 7% conversion rate good?

Etsy says a good conversion rate is between 1% and 5%. Therefore, a 7% conversion rate is great. However, conversion rates largely depend on category, price point, competition, etc. 

How do I increase my conversion rate on Etsy?

There are so many ways to do it. First, optimize your listings with SEO, offer excellent customer service, run promotions and ads, lower your prices, and use other marketing strategies to increase conversion rates on Etsy.

Is a 1.5% conversion rate good?

Yes, a conversion rate between 1% and 5% is considered good on Etsy. However, it depends on other factors, such as pricing, competition, category, etc. 

What is Etsy’s good profit margin?

A 30% to 50% profit margin is a good one on Etsy. It also depends on product, competition, pricing, marketing strategies, and the time you invest in your shop.

What is the average conversion rate on etsy?

The average conversion rate on Etsy is 1% to 5%. New shops tend to have 1% to 2%. Shops with a conversion rate above 3% are considered to be doing great, and shops with a conversion rate above 5% are among the top-performing shops offering excellent customer service.

What is a good conversion rate on Etsy by category?

We do not have a direct answer to this question. However, according to Etsy, a good conversion rate on Etsy is 1% to 5%. A good conversion rate for jewelry is 4.56%, for home goods is 2.86%, etc. 

What is a high conversion rate on Etsy?

The above 5% conversion rate is generally considered high on Etsy. A 1–2% conversion rate is typical for new shops or those in competitive categories. A 3–5% conversion rate indicates a shop is doing well in converting visits into sales.

What is a good conversion rate on etsy jewelry?

Jewelry has high competition, and the conversion rate is expected to be around 4.56%.

Author

Shanthi has over 2 years of experience in writing and has produced content for SaaS and Healthcare industries. She focuses on writing customer-centric and in-depth blogs for Shopify Merchants. Apart from writing, she enjoys a little dance and Netflix.

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