Sewing Business Blog

5 Tips to Selling Successfully on Etsy

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Thousands and thousands of users from all around the world have been very successful at selling their handmade items on Etsy, and you can be one of them. Whether you’re selling jewelry, paper products or even furniture, here are some tips you may want to keep in mind:

1) Build your brand.

One way for you to get noticed on Etsy is by properly and effectively building your brand, including putting plenty of thought into your shop name, banner and avatar. Put time and effort into fixing up store and your image, and people will stop to pay attention.

2) Prioritize product photography.

Taking photos of your products may seem like an easy task, but you may want to put a little more thought and effort into your product photography. Online shoppers aren’t able to actually hold your items, so your photos need to be the best possible representations of your products. Take clear, detailed photos of your items—and from various angles. If you aren’t too handy with the camera, then ask a photographer friend to take your photos for you or give you some pointers.

3) Don’t forget the descriptions.

Once you have great photos ready, it’s time to write your product descriptions. Make it a point to be as specific as possible. List the product’s dimensions, color and size options, and even all materials an item is made of.

4) Price properly.

There are a lot of factors involved when it comes to pricing your products, so be sure you understand everything from how much it costs to create a single item up to how much shipping charges, Etsy fees and even PayPal fees will cost you. You also need to take into consideration the amount of time it takes you to create each item. Shop around for similar products so you can gauge an amount that is competitive, realistic and profitable.

5) Remember the customer service.

Customer service is a very important factor when it comes to selling products. Answer inquiries promptly and politely—no matter how many times you’ve been asked questions that are clearly stated in your shop listings or policies. Also, don’t stop communicating with a customer once the payment has been made. Let a customer know when you’ve shipped the item and follow up to ensure that the package has been received.

It also helps if you make your packaging a little more special. Add a nice thank you sticker or note, or add freebies for large orders and repeat customers.

7 Overhead Costs to Consider When Pricing Your Products

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Overhead cost is a term referring to an operating cost of a business that isn’t directly related to the materials or labor needed to create an item. Overhead costs are generally seen as fixed expenses, and these costs will still exist, whether or not an item is created or sold. Unfortunately, overhead costs are something many sellers neglect to include when pricing their products. When you forget to take your overhead costs into consideration, then you may just find them eating up your profits later on. Here are some of the more easily identifiable overhead costs you should pay attention to:

1) Rent

You may feel that your business is rent-free if you are working from home, but that shouldn’t always be the case. You are using a specific portion of your living space, and so your business should pay for a specific percentage of your monthly rent.

2) Utilities

Lights, heat, air conditioning, and water are some of the utilities you have to think about. If you are involved in a craft that uses up a lot of electricity, then you need to take this into consideration when figuring out your overhead costs.

3) Equipment

The various equipment and tools you use for your business are considered an investment. Maintenance, repair and even replacement of these items should also be considered.

4) Phone bill

Do you have a separate phone line for your business? If the answer is no, then you need to estimate the number of incoming and outgoing business calls you make. If you make or take long distance calls, be sure to add this into your total.

5) Office supplies

All office supplies used to run your business are also considered overhead expenses. This includes letterhead stationery, envelopes, pens, business cards, printer cartridges, computer paper and even software.

6) Packaging and shipping materials

The little things you use for packaging and shipping your items also need to be added into the equation. This includes your packing tape, boxes, bags, labels, bubble wrap, tissues and stamps.

7) Transportation

If you use a car or van to deliver your products or even pick up your supplies, then your gas is another overhead expense to compute.

Overhead costs are usually measured over a specific period of time, such as a year. If you’ve been selling for quite some time, you can easily estimate such costs based on your expenses from previous years. If you are just getting started, however, you will need to make an educated guess.  It may seem a tedious task to keep track of your overhead expenses, especially if you are managing a home business. However, if you truly want to be profitable, then you must make more than what you spend.

Photo Credit: iClipart

How to Determine Prices for Your Crafts

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Are you just about ready to venture into selling your crafts for the very first time? Creating stocks of items to sell is one thing—but pricing them is a completely different story.

Pricing products can be a very tricky matter. Set the price too low and you might not even be able to cover your expenses. Set the price too high and you could turn off your potential customers.  Here are some tips on how to determine the right prices for your crafts:

1) Get to know your market.

One thing you should do in order to avoid underpricing and overpricing your products is to get to know your market. Visit crafts fairs and keep an eye out for prices of similar products, or visit online marketplaces where similar crafts might be available. Get to know the market, and get to know your competition.

2) Don’t downplay the cost of your labor.

Many artists and craftspeople make the critical mistake of undervaluing their labor.   Pricing your products so low could compromise the quality of your work due to the number of orders you have to fill. Another option would be to find ways that you could streamline production in order to make the entire process less painstaking and more efficient.

3) Include the cost of hidden expenses.

Most artists who are early in their careers tend to undervalue and underprice their work, not wanting to appear greedy. Don’t be afraid to ask for what you need. Calculate how much you average on materials per project, plus how much time it takes to create it. If you’re joining a crafts fair, you should also factor in the costs of your travel expenses, registration fees, meals and such.

4) Determine how original your items are.

Are you selling a product that many other vendors are selling? If, for example, you are selling at a crafts fair and you know that there are going to be similar products at neighboring tables, then you might want to keep your prices lower in order to be competitive. If, however, you are selling something that is new and unique, you might be able to afford raising your prices just a little higher.

Pricing your products may be difficult—but keep in mind that if you really want to survive and succeed in the business, you will also need to think like a business person.

Photo Credit: iClipart