As you may have heard, Etsy has implemented a fee hike for sellers. The TL;DR version is this: Etsy increased its per-transaction fee on all sales from 3.5 percent to five percent and will use that revenue to expand its marketing. It is also applying this fee to shipping costs, allegedly to discourage sellers from engaging in shady pricing tactics, i.e., under-pricing their goods to reduce the fee and over-charging on postage to make up the difference.
The hike went into effect on July 16, which is also when our new prices went into effect — a decision we did not come to lightly. We’ve not raised our prices once in our seven-plus years on Etsy, even though the cost of materials and shipping had gone up quite a bit during that time period, so honestly, it was past due and this seemed like as good a time as any to address the issue.
For all catalog items in the $7 to $10 range, the increase is 50 cents and for items in the $11 to $15 range, the increase is 75 cents, and this covers the majority of our products.
We plan to keep the cost of First Class postage as-is. Our base price still covers the cost to us in postage, as well as the envelopes, baggies, and business cards we use when filling orders, so there’s no need to bump that up, even with the fee hike. Priority Shipping, however, will be increased a little to offset the fee.
Thank you for your understanding, and we hope to continue doing business with you for many years to come.