Etsy vs Amazon Handmade: Which Is Better for Craft Sellers?
Etsy and Amazon Handmade both serve handmade and craft sellers, but with very different audiences, fees, and seller experiences. Here is a detailed comparison.
Etsy is the default marketplace for handmade sellers, but Amazon Handmade launched as a direct competitor in 2015. Both platforms specifically target artisan and craft sellers, but they differ significantly on fees, audience, and seller culture.
Etsy vs Amazon Handmade: The Definitions
Etsy is a global marketplace specifically designed for handmade, vintage, and craft supply sellers. With 90+ million active buyers, it is the largest dedicated craft marketplace and has a culture of supporting independent makers.
Formula
Etsy fees: $0.20 listing + 6.5% transaction + 3-4% payment processing (varies by country). Total effective fee rate: 18-22% for most transactions.
Example
Selling a £45 handmade item on Etsy UK: listing £0.20 + transaction £2.93 (6.5%) + payment processing £2.00 (4% + £0.20) = £5.13 fees. Net: £39.87 before materials.
Amazon Handmade is a category within Amazon.com and Amazon.co.uk for artisan sellers. Items must be genuinely handmade, hand-altered, or hand-assembled. Sellers go through an application review process.
Formula
Amazon Handmade fees: 15% referral fee on all sales (no listing fee, no monthly Professional selling plan fee waived for Handmade). FBA available for qualified products.
Example
Selling the same £45 handmade item on Amazon Handmade: referral fee £6.75 (15%) + payment processing included. Net: £38.25 before materials — slightly better than Etsy for this price point.
Key Differences
- 1Audience: Etsy buyers specifically seek handmade and unique items; Amazon Handmade reaches Amazon's broader buyer base who may not be specifically looking for handmade goods
- 2Fees: Amazon Handmade charges 15% with no listing fee; Etsy charges 6.5% transaction + listing + processing (typically 18-22% total) — Handmade is often cheaper
- 3Competition: Etsy has higher visibility for handmade searches; Amazon Handmade competes within Amazon's broader search results
- 4Fulfilment: Amazon Handmade sellers can use FBA; Etsy sellers must fulfil themselves (no FBA equivalent)
- 5Community: Etsy has a strong seller community, forums, and resources; Amazon Handmade is more transactional
When to Use Etsy vs Amazon Handmade
Most serious handmade sellers benefit from listing on both. Etsy for its dedicated handmade audience and community, Amazon Handmade for its scale and potential FBA convenience. Start with Etsy if you are new to selling — the platform is more forgiving for small-scale operations and has better tools for artisan-sized businesses.
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Common Mistakes to Avoid
Assuming Amazon Handmade's larger traffic automatically translates to more sales — handmade items often get lost in Amazon's broader search unless very well optimised
Listing mass-produced items on Amazon Handmade — Amazon enforces its handmade definition and can suspend accounts that violate it
Not taking advantage of Etsy's Offsite Ads — even though it adds cost, it can significantly increase visibility on Google and Facebook
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Frequently Asked Questions
Can the same item be listed on both Etsy and Amazon Handmade?↓
Yes. There is no exclusivity requirement for either platform. Many successful craft sellers list on both to maximise reach, managing inventory carefully to avoid overselling the same handmade item. Because handmade items are by nature limited in quantity, this requires close attention to stock levels across both platforms.
Is Amazon Handmade growing or declining?↓
Amazon Handmade has grown since launch but remains a smaller programme within Amazon's overall marketplace. It has a dedicated section at amazon.com/handmade. Etsy remains significantly larger for the handmade category overall. Amazon Handmade's main advantage is access to Prime customers who prefer Amazon for convenience.