Understanding Ecommerce: A Look Into Etsy and Its Continued Success

In January, EcommerceBytes surveyed over 10,000 online sellers and asked them to rate digital marketplaces on which they preferred. Etsy took third place in the 2018 EcommerceBytes Sellers Choice Awards.

Etsy, which has been around since 2005, did remarkably well in all five categories: profitability, customer service, would you recommend, communication, and even collected an award for “Ease of Use” this year after introducing new features like Guest Checkout over the last year.

Though the Ecommerce brand came in second place last year, they actually scored even higher average scores than in year’s past. Additionally, Etsy continued its streak of winning the “Ease of Use” title for the fourth year in a row.

“I find Etsy seems to be flooded with shops, it was a lot smaller when I first signed up,” said an online seller who took part in the EcommerceBytes survey.

Though Etsy is great for hobbyists, its primary seller manages all deals for business matters. Etsy recently surveyed 5,500 of its U.S. sellers and found that wholly 97% of them worked from their homes and about 74% considered their home shops to be businesses and not just for hobby-related purposes.

According to the Nasdaq, shares of Etsy (Symbol: ETSY) have reached above the average analyst 12-month target price of $18.28. There are eight different analyst targets contributing to the average share for Etsy, but there are additional analysts with lower targets than the actual average (as low as $14.50 and as high as $26.00).

Additionally, SBNN showcased three major contributing factors to Etsy’s worldwide success:

  1. Relevant and high-quality product content — The fact that Etsy users continue to create new and original products is a great reason the company has been so successful.
  2. Staying on-top of SEO — The search engine optimization world is constantly changing and Etsy does a great job of staying up-to-date on new algorithms and passing that information down to its users.
  3. Continuing to focus on its ease of use –Everyone from tech-savvy business professionals to small creative shop runners use Etsy and they need to be able to maneuver throughout the site.

Leave A Response