How to Increase Your Etsy Conversion Rate and Boost Sales: A Comprehensive Guide

If you are an Etsy business owner and want to know how to increase the conversion rate to generate more sales? You are in the right place!

I have been in a similar situation, getting frustrated with the sales after spending hours creating the craft and thinking is it worth it?

But once I understand ways to maximise the Etsy conversion rate, I am more confident to make money out of my store.

Let’s dive right in

Table of Contents

What is Etsy conversion rate?

First thing first, you might wonder, what is Etsy conversion rate?

It is a simple matrix to measure the percentage of successful purchases made by buyers who view your shop

Similar to a physical store, if you have plenty of customers browsing your item but only a few purchase the item, means the conversion rate is low

How to calculate the Etsy conversion rate?

If you want to start your Etsy store, I have 40 free listings, equivalent to $8 that you can use to kickstart your business! Click here to claim your free listings and I will get mine as well. So thank you!

To calculate your Etsy store conversion rate, just simply divide the number of purchases by the number of visitors and times by 100 to get the percentage

For example, you might have 1 purchase out of 1000 visits to your store. So the conversion rate is 1/1000×100= 0.1%

So, does it mean that I have to manually calculate the conversion rate each time?

Well, you don’t have to! You can access it on the Etsy Shop Manager

Where is your shop conversion rate on Etsy?

Sign in to your Etsy business account
Click on Shop manager
On the right side, you will find the ‘Stats’ at the sidebar
Stas will give you all valuable information which includes how many views and visit you get, the orders and the revenue.
This is where you can find the Etsy conversion rate

What is a good Etsy conversion rate?

A good Etsy conversion rate can vary depending on various factors such as the nature of your products, your target audience, the competitiveness of your niche, and the effectiveness of your marketing efforts. However, as a general guideline, a conversion rate between 2% and 5% is considered good for an Etsy shop.

The higher the number, the better.

But due to high competition between the seller, the average is between 1-3%

However, this all depends on many factors which include

1. What are you selling?

High-competition niches like jewellery and fast fashion might require more effort to increase the conversion rate

2. The price of your item

If you sell cheaper than your competitor you might have a better conversion rate but does it translate to better profit?

3. The monthly revenue goal

It’s important to note that conversion rates can fluctuate over time and may be influenced by various factors, including the quality of your product listings, pricing, customer reviews, and the overall shopping experience you provide. It’s a good idea to continuously monitor and optimize your shop’s performance to improve your conversion rate.

Why is it important to boost my Etsy conversion rate?

1. The higher the conversion rate, the better it impacts your revenue

Better revenue, more money!

Let us compare 2 shop

Etsy conversion rate

Shop A: 0.1%
Shop B: 2%

If both shops sell a similar item with a price of USD 100 with 1000 visitors, this will be the outcome

Shop A: 1 sale, with USD 100 revenue

Shop B: 20 sales with USD 2000 revenue!

2. Get a Better ranking

The better the conversion rate, the higher exposure of your listing

So when people search for the item, your listing will be among the top pages. Hence attract more traffic to your shop

How to increase the Etsy conversion rate?

1. Improve the quality of the listing photo

Whether we like it or not, many people browse the Etsy listing based on the image. The better the image, the more chances the listing will get a click

No matter how beneficial your product is, if people don’t find it pretty or interesting, they won’t click on your listing. It will be such a waste, don’t you think?

And most people will browse using their phones. So rather than reading the product description, they view the product.

So having good high-quality photos is important

Tips on photography to increase Etsy conversion rate

High-quality
visually appealing product photos
Use good lighting
multiple angles
clear images to showcase your products effectively.
Use natural light: Clear, more quality
Good contrast between your product and the background. Use lighter background if your product is darker in colour
Show your product being used. You can hold the item to show the scale of the object. The customer couldn’t imagine the size and giving the correct picture will help to estimate the dimension of your item
Give supplement images with different angles and packaging
Stated the FAQ on the image listing as well. All the information in the picture
Use the video option to improve the conversion rate. Take short 2-5 minutes video of your product to help the customer view the product closely. This will boost your listing to another level.
Use all 10 options of the photo list: This can Improve the Etsy algorithm

The picture you are providing should give your customer confidence in what they are getting from you

If you want to learn more, check out this Etsy handbook for sellers on how to take good photos for your Etsy listing

2. Insert the Optimize SEO Keyword in your Etsy listing title

Use relevant keywords in your product titles, descriptions, and tags to improve your shop’s visibility in search results. Conduct keyword research to identify popular search terms related to your products.

The title should be SEO-optimised. The keyword should be stated well in the title so it will pop up higher in the listing
Use the phrases used by the customer

Find the user search intent by using the Etsy search bar. You probably notice it will be autofill with words that are based on the previous search done by the customer

By using this technique, you can optimise your listing title according to the key phrases used by the customer

Make it specific by using the long tail keyword

Don’t just use the basic keyword, the competition will be very high

For example, if you are selling a planner, in your listing title make it specific like a planner for the busy mom or a planner for ADHD

So you are targeting a specific group of people rather than shooting arrows everywhere

Use keyword research tool

To make the earlier 2 points easier, use any keyword research tool. You can study the keyword phrases with low competition and high volume and make them super specific by using long-tail keyword

This extra step will help your conversion rate better.

Here are some of the Etsy keyword tools you can use:

Sale Samurai
KeySearch
Everbee
Marmalead

3. Well-written product description

The description of the product shouldn’t just limit to the product dimension and the physical features of the product only

You should go further on how your product is going to solve the problem they are facing

Shine your product and give the full picture of what the customer can expect in your description

Just imagine you have the customer in front of you, how you would entice them to purchase your product? That’s how you should write the description

Answer all of the potential questions that you might get asked by the customer to the point that they don’t have other options other than buying your product

Tips on writing compelling product descriptions to boost Etsy conversion rate

Include other listings of your product in the product description. This will create an internal link to the product in your shop. So it will increase the chances of people buying your item
Craft compelling and detailed descriptions that highlight the features, benefits, and unique qualities of your products.
Use persuasive language and storytelling to engage potential buyers.

4. Enhance Product Variations to increase the Etsy conversion rate

Provide a variety of options such as different colours, sizes, or customizations for your products. This allows customers to find exactly what they’re looking for and increases the chances of a purchase.

5. Improve Customer Reviews and Ratings

Encourage satisfied customers to leave positive reviews for your products. Positive social proof can build trust and encourage others to make a purchase.

People buy stuff based on recommendations, so having a good review will improve the overall Etsy conversion rate.

Make sure you keep in touch with your customer after they purchase and ask them whether the product is okay and if they need any help using the product. Good customer service will end up with good reviews, so don’t sleep on it

For a new Etsy shop owner, you probably can give a discount to the early customer in return for reviews

Or maybe the usual, ask for friends and family to support and give good reviews to your shop

6. Offer Competitive Pricing

Based on the quality of the product, you need to justify the price of the product accordingly

Browse around to your competitor’s site and really see how they name their price

LOW IS NOT ALWAYS BETTER

Yes, we want to increase the conversion rate but if you keep lowering your price, people will question if your product actually has the quality if the price is low.

Instead, price it appropriately according to the value you can offer with the product

Highlight your unique selling point that makes it stand out compared to the rest

For example, if you are selling a menstrual cup, but the one you sell is made out of organic product with natural anti-microbial activity, it’s only fair that the selling price is higher compared to those selling the typical plastic or silicone one

This way, customers can view the worth of the product

Research your competitors’ pricing and ensure your prices are competitive within your niche. Consider offering special promotions or discounts to attract customers.

7. Offer Free Shipping or Discounts

Consider offering free shipping or discounts on orders above a certain value. Such incentives can motivate customers to complete their purchases.

High shipping cost is one of the reasons customers abandon the item in the cart

It’s all in psychology. You know sometimes, despite having 100 USD worth in the shopping cart but once you see the high delivery fee, suddenly you feel like it’s not worth it.

So having a low to free shipping is among the key factor in maximizing the conversion rate

Users will likely go for free shipping

Absorb the cost to include the shipping cost in the item and provide the “free shipping”

8. Optimize Shop Policies

Clearly communicate your shop policies regarding shipping, returns, and exchanges. Transparent policies instil confidence in potential buyers and reduce barriers to purchase.

What is your return policy? If anything happens before the customers receive the product what is the promise so that the customer can trust you?

The clear return or refund policy should be stated in your shop so that the customer won’t feel ‘scammed’ by it

Other than trust, a clear policy helps clear the doubt and might encourage them to purchase

9. Enhance Customer Service

Provide excellent customer service by promptly responding to inquiries, addressing concerns, and resolving issues. Positive interactions can increase customer satisfaction and loyalty.

With thousands of Etsy shops, go a long way and assist them anywhere possible

You shouldn’t just stop once the transaction is done, the follow-up is equally important

Often when I read good reviews from any Etsy shop, one of the things that make the customer happier is the after-purchase service

But remember, we are there to assist them so don’t be too pushy for a reply.

Tips to improve customer service to increase Etsy conversion rate

Ask them if the item has safely arrived
Answer all their question as fast as possible
Ask them if they need any help with the products
Go the extra mile by provide a discount, giving them small gifts, or anything that can make them appreciate your store even more

11. Social media to increase conversion rate on Etsy

If your product is in a very saturated market, you need to go a long way and promote your product on your social media.

Use Pinterest, Instagram or even join the Facebook group that might want your product as the solution to your problem.

It is not a necessary step, but it can increase the conversion rate

12. Utilize Etsy Promoted Listings

Invest in Etsy’s Promoted Listings feature to increase the visibility of your products. This can boost traffic and potentially lead to higher conversion rates.

Remember, increasing your conversion rate may take time and experimentation. Monitor your shop’s analytics, test different strategies, and make adjustments based on the results to optimize your shop’s performance.

FAQ on Conversion Rate on Etsy

Q1. How long does it take to see improvements in Etsy conversion rates?

A1. The time it takes to see improvements in Etsy conversion rates can vary. It depends on factors such as the competitiveness of your niche, the effectiveness of your optimization strategies, and the overall market conditions. It’s important to be patient and consistently monitor your shop’s performance, making adjustments as needed.

Q2. Can I optimize my existing listings or should I create new ones?

A2. You can optimize both your existing listings and create new ones. For existing listings, review and update the titles, descriptions, tags, and images to make them more appealing and keyword-rich. For new listings, ensure they are optimized from the start by incorporating relevant keywords and engaging descriptions.

Q3. What tools can I use to conduct keyword research?

A3. There are several tools available to conduct keyword research, such as Google Keyword Planner, SEMrush, and Moz Keyword Explorer. These tools provide insights into search volume, competition, and related keywords, helping you identify relevant and popular search terms for your Etsy listings.

Q4. How can I encourage customers to leave positive reviews?

A4. Encouraging customers to leave positive reviews can be achieved through excellent customer service and follow-up. Provide a great buying experience, promptly address any concerns, and send personalized follow-up messages expressing your gratitude and asking for feedback. You can also include a gentle reminder to leave a review on their purchase.

Q5. Is it better to offer free shipping or discounts for increasing conversions on Etsy?

A5. The effectiveness of offering free shipping versus discounts depends on your target market and product margins. Free shipping can be an attractive incentive for customers, reducing the perceived cost of their purchase. Discounts, on the other hand, can create a sense of urgency and encourage immediate action. Consider testing both strategies and analyzing their impact on your conversion rates and profitability.

Q6. How often should I evaluate and adjust my shop’s performance?

A6. It is recommended to regularly evaluate your shop’s performance and make adjustments accordingly. Set aside time to review your analytics, track conversion rates, monitor customer feedback, and stay updated on market trends. Aim to evaluate your shop’s performance at least once a month or whenever you notice significant changes in your conversion rates or sales.

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