Amazon Handmade vs Etsy: The Comparison (2024)

Amazon Handmade vs Etsy: The Comparison (2024)

Amazon Handmade vs. Etsy – which is the best online marketplace for handmade and vintage goods?

Both are leading platforms, and deciding among them can be challenging for new entrepreneurs.

Bear with us while we analyze the registration process, storefront setup and product listing, fees, marketplace density, and integration with other platforms in both marketplaces.

Amazon Handmade vs Etsy - What’s the Best Choice?

Amazon Handmade vs Etsy - What’s the Best Choice

Let’s compare essential features of both marketplaces, like the registration process, product categories allowed, storefront setup, and fees.

About Amazon Handmade and Etsy

Amazon Handmade is a specialized space created by Amazon for artisans and creators to promote and sell their handmade items. The platform shares the Amazon ecosystem and features, benefiting from its leading position in eCommerce. Still, it faces competition from dedicated marketplaces with a consolidated position. 

Amazon Handmad - Pros
  • Extensive online customer base worldwide from Amazon
  • A general ecosystem shared with Amazon
  • Excellent customer support
Etsy - Pros
  • Easy setup
  • No monthly subscription fee
  • Easier to develop a niche customer base
Amazon Handmad - Cons
  • Demanding application process
  • Restricted product categories
  • The platform is less popular in specialized niches than Etsy
Etsy - Cons
  • Other fees add to the total sale price and diminish the profit margins
  • Sluggish customer support
  • Heavy competition depending on the target market

Etsy is a marketplace created for selling handmade products, crafts supplies, and vintage items. Although the platform is the leading marketplace for its target market, Etsy transcended its original purpose and currently attracts a large share of the eCommerce business, selling commercial products and print-on-demand merchandise. 

Both Amazon Handmade and Etsy compete for the same target market. Although Amazon Handmade benefits from its parent company, most consumers try Etsy first when looking for vintage and handmade items, associating Amazon as a place for anything else.

1. What Can You Sell?

What Can You Sell on Amazon Handmade?

Amazon Handmade sellers can currently trade products fitting into general categories like Gifts, Jewelry, Home & Kitchen, Clothing, Shoes & Accessories, or Wedding. 

Under these main categories are 14 sub-categories:

  • Artwork
  • Baby
  • Beauty & Personal Care
  • Clothing
  • Shoes & Handbags
  • Home
  • Outdoor & Home Care
  • Jewelry & Watches
  • Kitchen & Dining
  • Pet Supplies
  • Sporting Goods
  • Stationery & Party Supplies
  • Toys & Games. 

Although it looks like a lot, these categories aren’t as broad as Etsy’s and lack some essential products. Craft supplies, for instance, should be looked for at Amazon or other places, including Etsy.

Many Amazon Handmade listings are not genuinely handmade products. Many are commercial products and can be sourced easily with dropshipping and POD.

What Can You Sell on Etsy?

Etsy sellers can offer products in around 140 categories, from handmade and vintage items to apparel. 

Besides handcrafted items, customers can find craft supplies and other hard-to-find items. The marketplace allows sellers to offer commercial and custom POD products.

2. How to Sell

Selling on Amazon Handmade

The more challenging part of starting a storefront on Amazon Handmade is passing the application process. Applying is relatively easy, requiring filling out a form, describing the business, and informing which categories products belong. 

Once submitted, the request will be reviewed over weeks or even months, and there is no guarantee of acceptance. 

It is a lengthy process to ensure that only handmade products are offered in the marketplace. 

Once the store is accepted, sign up for seller central and add listings. 

Finally, Amazon sellers must promote products within and outside of Amazon Handmade and implement a marketing strategy to gain visibility.

Selling on Etsy

Selling on Etsy is straightforward, requiring only a few steps:

  • Sign up and create a shop. Adjust preferences like language, location, and currency. 
  • Name the Etsy shop and add product listings. 
  • Adjust payment options and billing information. 
  • Customize the shop, edit and add banners and pictures, and launch and promote it.  

Check our ultimate guide on how to start an Etsy shop for a detailed description.

Make It Happen Today!

3. Amazon Handmade Features

Registration process

The Amazon Handmade registration process can be challenging due to factors out of the seller’s control. After filling out a form describing their business and submitting an application, vendors must wait weeks to months before receiving an answer. 

Being approved is not automatic, and in the case of rejection, there is no detailed explanation on how to get a new application accepted. In the end, getting an Amazon Seller Central account approved may drag on for months.

Store setup

Amazon Handmade doesn’t have a dedicated dashboard, but vendors can add products without significant issues. Managing a store is not entirely user-friendly, and has a steep learning curve. 

Much of the configuration and information is done through the registration process. 

Payment processing may take some time. Funds from sales can take up to 24 days to arrive in the seller’s bank account. 

Amazon Handmade vendors get an Artisan Profile, which can be personalized with the seller’s photo, a banner, and featured products linked to it.

Product listing

Amazon Handmade doesn’t charge listing fees, and listings do not expire after a few months, as in Etsy. Some product categories are restricted or forbidden, affecting the initial store approval. Still, listings don’t need to be periodically renewed if there are no stock issues.  

Products should fit inside one of 14 categories, that may seem limited and restrictive, depending on the seller. Important categories for a handmade marketplace, such as craft supplies or tools, are missing.

Fees

Amazon Handmade requires an Amazon Professional account, which costs a monthly fee of $39.99. However, this fee is waived one month after the seller’s account is approved if it didn’t sell more than 40 products within other categories – i.e., not handmade products.

The marketplace doesn’t charge selling fees but a 15% commission per sale. 

Expenses are deducted from the seller’s payment account or will be charged to the registered credit card if there’s no balance in the account.

Marketplace density (competition)

The advantage of selling at Amazon Handmade is its position as part of the largest online marketplace in the world. 

Even though Amazon Handmade by itself is not as popular as Etsy, most people will search on Amazon at some point – even those looking for niche products.  

Listings from Amazon Handmade will appear in Amazon results when the listings are adequately optimized. 

The competition will be high – even higher than on Etsy. Customers on Amazon can be very demanding, as many products on Amazon are more affordable than on other marketplaces and the platform takes pride in fast shipping.

These factors may not harmonize with stores selling curated handmade products with an aggregated value which may take time to produce, adding pressure on merchants trying to be competitive.

Integrations with other platforms

As with other features, Amazon Handmade shares the general Amazon ecosystem and benefits from the large number of platforms that integrate with the marketplace. 

In some cases, the integration is not seamless, requiring third-party solutions such as Order Desk. On the technical side, the marketplace is well-connected, and it’s possible to both import products for selling on Amazon Handmade, and export products from Amazon to other platforms.

Customer Support

Amazon handmade vendors benefit from quick and efficient Amazon support, available 24/7 in various channels, from phone to email. 

Amazon Handmade sellers  do not contact customers directly, nor are approached by them, as Amazon’s support intermediates most of the queries. Sellers agree with the Amazon Terms & Conditions when registering a Seller Central account, even with demanding points and return policies. Any customers’ requests are evaluated according to Amazon’s rules. 

There is little room for direct negotiation with customers, although sellers must answer complaints and reviews.

Start your Etsy print on demand business today!

4. Etsy Features

Registration process

Creating an Etsy account is pretty straightforward. There are no requirements other than creating a customer account. Afterward, anyone can apply as an individual or business seller and list products without filling out long forms.

However, it is relatively common for Etsy accounts to be suspended due to violations. To unblock their accounts, these sellers must contact customer support, which may take days to answer the query.

Store setup

Etsy is famous for its easy setup and accessibility – anyone can create an Etsy account in minutes. The marketplace system is well-designed to look appealing to target markets. 

Still, there are very few customization possibilities besides inserting banners and pictures. Further personalization requires subscribing to Etsy Pattern and creating your own website. 

Adding banners, pictures, and even videos in the right places should be taken seriously. These are the only ways to personalize and increase the Etsy shop’s visibility inside the marketplace without subscriptions.

Setting up payment methods is user-friendly. Etsy sellers must enter a bank account during the registration process, while debit and credit cards may be verified via micro-transactions. 

Etsy Payments is the marketplace’s proprietary system and lets customers pay with many cards and payment gateways, including PayPal, Google Pay, and Apple Pay. 

Payments are processed quickly and sent to the seller’s bank accounts on the same day.

Product listing

Etsy offers up to 160 product categories with options to edit descriptions, production partners, or product characteristics. It can take some time to fill in every field. It’s worth it, as populating the descriptions with the appropriate keywords increases the listings’ visibility and conversion rates.

Etsy charges a $0.20 listing fee. The listings should be renewed regularly, but Etsy will charge the fees again.

Fees

Etsy fees are a complex topic. 

In addition to the mentioned listing fees, Etsy sellers should account for the following fees per product sale: 

  • Transaction fees (up to 6.5%)
  • A payment processing fee (3%4.5% + $0.25)
  • Localized fees such as currency conversion (2.5%)
  • Regulatory operating fees (varies according to country)

Besides these selling fees, an Etsy shop owner may have other possible costs, like subscriptions to Pattern ($15 monthly), Etsy Plus ($10 monthly), and Etsy ads fees.

Check out a detailed guide on Etsy fees on our blog. 

Marketplace density (competition)

Etsy is the first stop for customers looking for vintage and handmade items, making the platform a must for sellers in those target markets. 

At the same time, there is massive competition on Etsy for the same products and niches. Getting noticed inside the marketplace requires designing a well-thought marketing strategy and creating on and off-site Etsy ads.

Integrations with other platforms

As the most popular marketplace for selling vintage and handmade goods, Etsy benefits from many consolidated integrations with several platforms. 

Even restrictive website builders like Squarespace offer a dedicated and seamless integration with Etsy, which makes the platform a flexible option for sellers working with different eCommerce systems.

Customer Support

Etsy offers a Help Center in addition to email support. To send a support request, sellers should first look for the issue at the Help Center and, after some searching, submit the request by a form. Answers can sometimes take days. 

Communication between Etsy sellers and customers is encouraged and a part of what makes Etsy successful. Customers can message the sellers, asking questions regarding the products, and the sellers’ response time is among the factors influencing shop ratings and rankings on the Etsy platform.

5. Pros & Cons

Pros Cons
Amazon Handmade
  • Extensive online customer base worldwide from Amazon
  • A general ecosystem shared with Amazon
  • Excellent customer support
  • Demanding application process
  • Restricted product categories
  • The platform is less popular in specialized niches than Etsy
Etsy
  • Easy setup
  • No monthly subscription fee
  • Easier to develop a niche customer base
  • Other fees add to the total sale price and diminish the profit margins
  • Sluggish customer support
  • Heavy competition depending on the target market
Amazon Handmad - Pros
  • Extensive online customer base worldwide from Amazon
  • A general ecosystem shared with Amazon
  • Excellent customer support
Etsy - Pros
  • Easy setup
  • No monthly subscription fee
  • Easier to develop a niche customer base
Amazon Handmad - Cons
  • Demanding application process
  • Restricted product categories
  • The platform is less popular in specialized niches than Etsy
Etsy - Cons
  • Other fees add to the total sale price and diminish the profit margins
  • Sluggish customer support
  • Heavy competition depending on the target market

Etsy vs Amazon Handmade: What Is the Better Marketplace?

Etsy and Amazon Handmade are each the best in some aspects, but neither is the absolute winner. Let’s compare data: 

Winner
Registration process Etsy
Store setup Etsy
Product listinge Draw
Fees Amazon Handmade
Marketplace density (competition) Etsy
Integrations with other platforms Etsy
Customer Support Amazon Handmade

Overall, Etsy still is the better option for most merchants who sell genuinely handmade products or whose online shops are side hustles. 

Being approved for and maintaining an Amazon Handmade storefront is demanding, and Amazon’s customer base may not fit well within the handmade category.

Most people looking for stores that sell handmade items will initially search Etsy and are used to the specifics of trading handmade arts and crafts, such as aggregate value and time of production.

Customers buying in Amazon Handmade may come mainly from the general Amazon marketplace and expect affordable prices and fast shipping. 

Merchants who decide to go full-time with their online businesses in the handmade market should consider investing in diversifying product options and selling on Amazon Handmade, as they may benefit from the more prominent worldwide online retailer.

If you decided not to sell on Amazon Handmade but think Etsy still isn’t the best alternative, look at our article Etsy Alternatives and find the best marketplace for your handmade art. 

To Wrap Up

Both Etsy and Amazon Handmade are leading platforms for selling handcrafted goods and vintage products. 

The Etsy marketplace is still the most suitable for those with a part-time online store. It has a customer base that understands and agrees with the handmade goods market specifics, including prices and shipping fees. 

Amazon Handmade has demanding application and maintenance processes but better suits people engaged full-time with eCommerce and able to produce their goods in scale, quickly, and at affordable prices.  

Weigh your business plans carefully and stick with the platform that makes them a reality. Whether you sell on Amazon Handmade or Etsy, count on Printify to populate your eCommerce stores with profitable, custom products.

Sell Print-On-Demand Products With Printify

Sign up at Printify and get access to a vast catalog of more than 800 products to sell in online marketplaces. It's free, user-friendly, and profitable.

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