Etsy is an e-commerce site in business for over 10 years and has dedicated their marketplace to consumers looking for handmade and vintage products. They have done extensive research on this market to be able to successfully fill a vacant niche. Etsy says in a statement that it has spent a decade learning how to support artisans and sellers in a way that “no other marketplace can” (Shahani, 2015). They have been able to further develop this artisan market throughout the years. Amazon, on the other hand has been moved to penetrate this market.
Amazon is also an ecommerce site that has recently launched Handmade at Amazon, a new marketplace for handmade goods to counter Etsy. According to Peter Faricy, Vice President of Amazon Marketplace, Amazon had thousands of searches every day from customers looking for handmade or handcrafted items (Anderson, 2015). This prompted Amazon to add Handmade to their already massive marketplace in hopes of adding thousands of consumers to their customer base.
Although, Etsy and Amazon are now competitors and share the same target market, they differ in customer base size and their listing fees are considerably dissimilar. Amazon has a vast customer base; 285 million shoppers and counting. In contrast, New York-based Etsy has 21.7 million buyers as of June 30, 2015 (Anderson, 2015). With Amazon becoming a …show more content…
According to the Huffington Post, Amazon takes a 12 percent fee from overall sales and allows listing to be posted at no additional cost. Etsy, on the other hand, has a lower percentage rate at 3.5 percent fee on overall sales; however, it charges a 20 cent listing fee per item listed (Anderson, 2015). To say that one is less cost-effective than the other would be a lie. As deciding on the most inexpensive option is dependent on the listing itself. In order for either marketplace to be more attractive to sellers over the other, they have to lower percentage and/or listing
Amazon is also an ecommerce site that has recently launched Handmade at Amazon, a new marketplace for handmade goods to counter Etsy. According to Peter Faricy, Vice President of Amazon Marketplace, Amazon had thousands of searches every day from customers looking for handmade or handcrafted items (Anderson, 2015). This prompted Amazon to add Handmade to their already massive marketplace in hopes of adding thousands of consumers to their customer base.
Although, Etsy and Amazon are now competitors and share the same target market, they differ in customer base size and their listing fees are considerably dissimilar. Amazon has a vast customer base; 285 million shoppers and counting. In contrast, New York-based Etsy has 21.7 million buyers as of June 30, 2015 (Anderson, 2015). With Amazon becoming a …show more content…
According to the Huffington Post, Amazon takes a 12 percent fee from overall sales and allows listing to be posted at no additional cost. Etsy, on the other hand, has a lower percentage rate at 3.5 percent fee on overall sales; however, it charges a 20 cent listing fee per item listed (Anderson, 2015). To say that one is less cost-effective than the other would be a lie. As deciding on the most inexpensive option is dependent on the listing itself. In order for either marketplace to be more attractive to sellers over the other, they have to lower percentage and/or listing