Etsy’s Post

I think that the ETSY ecosystem is not only made up of buyers, but also sellers, and your success can be increased by trying to improve the whole ecosystem. Keep in mind that explaining the reason for the accounts you suspend will make existing sellers feel safer on ETSY and these sellers will improve ETSY. Close all accounts that do not follow your rules. Do not give opportunity to scammers. But explain the reasons for these suspensions transparently so that everyone can say "ETSY is right". Even scammers say "My account was suspended unfairly" and show your standard e-mail. How can both buyers and sellers trust the ETSY ecosystem under these conditions? I love ETSY and I want it to thrive... I hope ETSY becomes the biggest marketplace in the world...

Etsy's second quarter financial results were around what was expected (sales down a bit), but sellers might be surprised by some revelations during the earnings call ▶️ they're testing showing more diversity in search results (less "clumping", as it used to be called) and giving smaller shops more exposure ▶️ the number of sellers on Etsy keeps dropping ▶️ most changes are focussed on keeping existing buyers happy and visiting more often, instead of attracting new buyers and more! #EtsySellerNews #ecommerce https://lnkd.in/gCNasywP

On Wednesday, Etsy held its earnings call, discussing the company's fourth quarter and full-year 2023 financials. Frankly, Wall Street wasn't too impressed. Yet, the company is profitable and in solid financial health. However, it's also clear they are facing challenges to move to regain the growth in General Merchandise Sales (GMS) they lost since the height of the pandemic. We took a look at this earning call and really dove deep into many topics discussed. Some sellers have complained about lackluster sales, and that might be attributable to a completely different problem than most believe. Overall, the marketplace is at a critical stage in its evolution as they are right-sizing operations while also investing back into the business for future growth. Some of these initiatives may not please every seller, and that may not be a bad thing, as we explain. We'd love to hear your thoughts on our analysis. Do you agree? #Ecommerce #EtsySeller #OnlineBusiness

This evening Etsy reported our fourth quarter results, with a solid finish to the year for the core Etsy marketplace, as well as at our subsidiaries. For the full year, consolidated GMS was $13.2 billion, roughly flat with 2022; and revenue was a record $2.7 billion, up about 7%. Etsy's ability to deliver healthy revenue growth and strong levels of profit and cash flow gives us great confidence in the power of our special financial model and our ability to invest in long-term sustainable growth. Here is a snippet of what our CEO Josh Silverman had to say on our earnings call. To watch the full video, see investors.etsy.com.

🇺🇸 Etsy stock fall more than 35% in the last 12 months 🛍️ Market Struggles: Facing seller revolts and counterfeit goods. 💸 Financial Downturn: Stock prices falling and profitability issues. 🔍 Identity Crisis: Losing its unique market position. 🌐 Headwinds ahead: Eroding trust, delayed payments for sellers and increased competition Do you think Etsy can reclaim is old glory? #Etsy #OnlineMarketplace #Crafts 👇 subscribe free for more insights at marketmaze.me/subscribe

Facing fierce competition and a slump in sales, Etsy CEO Josh Silverman is making a bold move: returning the platform to its handcrafted heart. Gone are the days of wading through seas of generic products. Etsy is rolling out a major policy overhaul, demanding a "human touch" from sellers. New labels will show how each item is created, ensuring customers know exactly what they're getting 🤝🏻 Why the shift? Silverman sees a growing desire for authentic goods and a connection with the artisans behind them. He calls it a "race to the bottom" out there, with other e-commerce giants prioritizing speed and price over unique, handcrafted items. Read more with the link below ⬇️ https://cnb.cx/4bRa8Tv #ecommercenews #ecommercebusiness #onlinebusiness

Etsy is set to report highly-anticipated earnings today. It's stock is trading at a 3-year low of $69 per share, down -75% from its high in 2021. Why is the stock down so much? Here's a summary of the 7 major events that sparked the e-commerce stock's decline: 🤝 July 2021 → working to expand its portfolio, Etsy shells out nearly $2B to acquire competitors Depop and Elo7, a strategic move to cater more towards Gen-Z (Depop) and international (Elo7) markets 😷 October 2021 → then at the height of its market value, Etsy reported a major earnings miss in Q3 2021, leading investors to begin worrying about slowing growth in the e-comm space after the COVID pandemic 🧶 February 2022 → discretionary spending on Etsy's platform continues to decline, owing to rising inflation and changing consumer spending habits. One headline reads "Consumers Are Spending Less on Hand-Crafted Good", another signal of broader economic concerns affecting e-commerce 📦 August 2022 → Amazon steps in and announces plans to expand their handmade and unique goods offering, putting major competitive pressure on Etsy. Etsy begins strategic price cuts and promotions to try and retain market share 👔 November 2022 → squeezed by falling margins, Etsy announces major layoffs throughout the company as part of a broader restructuring plan aimed at 'streamlining operations' in response to slower growth 🏛 May 2023 → noticing e-commerce margins aren't what they used to be, Morgan Stanley downgrades their rating on Etsy, sending the stock down another -10% below $100 a share 📉 December 2023 → Etsy ends 2023 with a disappointing earnings report and soft guidance for the upcoming quarters. Ongoing concerns about consumer spending patterns push Etsy's stock down further towards $70 per share In short → Etsy probably overspent its budget in 2021 → then rising inflation, shifting shopping habits, and competitive pressure from Amazon crunched their margins → leading to layoffs and stock downgrades → and bringing $ETSY stock down with it Today's earnings will reveal how Etsy is responding to these pressures. Will they be able to transition their margins and find enough competitive advantage to revive profits?

Etsy's 2023 4th quarter report is out: https://lnkd.in/edKv6dM8 some quick highlights: 🔶sales on the Etsy marketplace were down 1.4% year over year to $3.6 billion 🔶active sellers on Etsy at 7 million, up 300K from 3rd Q 2023 🔶the company's net income for the quarter was $83.3 million, down 24% due mostly to the layoff costs from December 2023 🔶Etsy sales in 1st Q 2024 are "...currently estimated to decline in the low-single-digit range on a year-over-year basis" As always, I will write up a full report of info relevant to sellers after the transcript of the investor call is available. For the moment, note that earnings per share were lower than expected, but revenue was higher: https://lnkd.in/ehi5_ss3 #EtsySellerNews #ecommerce $Etsy

In my Etsy article from Nov 2023, I wrote, "In my best-case scenario where Etsy hits all the growth estimates, the fair value would come to $63.53, which is still lower than the current stock price... My take is the decline (in sales) will be worse than before, and the weakness will be sustained until the macro-economic situation improves." It has been a 64% drop from December 2023 to Q1 2024. When will ETSY recover? Will Etsy recover? What do you think? Etsy: Outlook As The Holiday Season Approaches https://lnkd.in/gsZTHKFn

“Despite Etsy ramping up spending over the past quarters on promotions and advertising, it struggled to keep up with larger retailers in attracting bargain-hungry customers.” “It is also facing increasing competition from low-cost e-commerce platforms such as Temu.” “Persistent inflationary pressures have put off customers from spending on big-ticket non-essentials product categories including vintage handicrafts, jewelry and home decor.” “"Our first quarter performance ...was pressured by the challenging environment for consumer discretionary products, which continues to be a headwind to Etsy marketplace growth," said CEO Josh Silverman.” "”While considerably larger than it was pre-pandemic, Etsy is struggling to find ways to expand beyond its niche and attract buyers as Amazon and Walmart eat up a larger share of ecommerce spending," Eachel Wolff, analyst with eMarketer said.” - Anuja Mistry