Posted 05/20/2015 at 8:52 AM
Posted 2 years ago
Etsy’s current polished outlook has just encountered a bit of tarnish.
Based on a recent account from a former seller who left the e-commerce artisan website and analyst reports, Etsy is experiencing a serious downward spiral thanks to posting a loss last quarter and the larger issue of counterfeit goods being offered through the site which is turning off longtime artisans and causing them to leave.
This has bolstered the ranks of competitors like Shopify.
As former seller Grace Dobush states, “In practical terms, scaling the handmade economy is an impossibility. So while Etsy maintains a hipster façade, they lost their indie cred years ago.”
The website gained prominence as a haven for budding artisans but as it got bigger, it is evident that upscaling has presented its challenges.
Etsy is reported to have pulled in $47 million in seller fees yearly, and is fifth in terms of most-visited web retailers after Amazon, eBay, Best Buy and Wal-Mart.
Another example of Etsy’s lack of action regarding counterfeit goods lies in the rise of their biggest seller, Alicia Shaffer who reportedly earns $1 million from her store on the site.
But her items are all made overseas and imported wholesale.
So far, Etsy has refused to make any comment on any and all remarks on counterfeit goods sold in their marketplace.