How To Sell Handmade Items

Creating and setting up a handmade goods business can be extremely rewarding but also a challenge to get off the ground. Even after you’ve decided what to sell and created your product, that’s just the beginning. Finding one of the best point of sale systems and best eCommerce platforms is crucial.

Our Guide To Starting A Handmade Goods Store

When you think about the best place to sell handmade items online, you might automatically think of Etsy, the largest marketplace for independent artists in the world. Etsy is a good choice, but small business owners selling handmade items do have more options than you might realize. For the most product exposure and sales, we highly recommend selling on more than one marketplace, on social media platforms, and from your own online store, if possible.

We think Square is one of the easiest ways to get started, and it won’t cost you anything to set up a shop and play in the dashboard.

Keep reading for our walk-through on how to set up a successful business for handmade items:

1. Choose Your Product

The first step in selling handmade goods is figuring out what you want to create and sell.  Handmade goods span a broad range of categories, including jewelry, clothing, art, home decor, and beauty products. You’ll want to consider your audience and the time and cost that will be spent creating your product.

To identify your niche, ask yourself the following questions:

• What materials or techniques do I use that set my products apart?
• Who would be most likely to purchase my items?
• What problems do my products solve?

2. Figure Out Your Costs

One of the most challenging aspects of selling handmade goods is determining the right price. While you may feel your products are worth a premium, It’s important to find a balance between profitability and affordability. Here are some factors to consider when pricing your items:

• Cost of Materials: Calculate how much you spend on raw materials for each item and factor this into your pricing. Be sure to include shipping costs if applicable.
• Labor Costs: You must also consider the time it takes to create each product. This is especially important because handmade goods often involve more intricate work than mass-produced items. Be sure to calculate an hourly wage for yourself and factor that into your price.
• Market Research: Look at how other artisans price similar products on the platform you are selling on. This will give you a sense of what the market can bear and whether your pricing is competitive.
• Profit Margin: Consider how much you’d like to make from each sale and ensure that your pricing reflects that.

3. Set Up Your eCommerce Store

While there are many platforms out there to sell your art, some are more suited for established sellers, artistic service providers, or larger businesses. Other platforms are not specifically geared towards handmade arts and crafts, which could put you in front of a lot of competition from mass production businesses. The following eCommerce platforms fall into one (or both) of these categories:

eBay: While eBay is a good marketplace to sell on in general, it’s not specifically geared toward selling handmade items. So, you’re left with shops that manufacture items that can set their prices way lower than you can. Also, eBay’s seller fees have increased dramatically over the past few years, and sellers have started to feel like selling on eBay isn’t worth it. Specifically, artists and crafters have noted that eBay’s fees are higher than Etsy’s.

Squarespace: Squarespace is a web builder that’s perfectly suited for artists and service providers. Squarespace’s beautiful web design templates help artists show off their portfolio of work, while appointment booking and reservation add-ons give individuals such as restaurant owners and photographers an easy way for customers to book their own appointments online.

However, Squarespace’s eCommerce suite of features is a paid add-on, and it’s not enough to warrant the extra money every month.

Duda: Duda is a web builder that’s suited for small to medium-sized businesses and web design agencies who want to build and sell websites to clients. Their eCommerce feature set is a paid add-on. Because their regular monthly plans are a little expensive, the price is probably not worth it for crafters who are just starting out.

Zibbet: Zibbet offers two things to artists and crafters: an online marketplace to sell on and a centralized inventory management system. You can link up a Facebook, Instagram, Etsy, Stitch, and/or AC Moore shop. Whenever you add a new item to your store, the item is published across all sales channels. When someone makes a purchase, this is reflected in your inventory across all shops.

Since the Zibbet marketplace isn’t as large as competitors like Etsy, and the shop syncing app is best suited for those who are already selling in several places online, it’s not a great option for sellers who are just starting out.

Bonanza: Bonanza is also a marketplace where artists and crafters set up a “booth” online and sell from there. The real draw of Bonanza, though, is the fact that you can advertise on places like Google Shopping (for a fee). Plus, you can sync up Etsy, Shopify, and Amazon shops.

Since Bonanza advertising is a little complicated and costly, and you may not have established yourself on any other selling channels, Bonanza is probably not a great place for you to sell handmade goods online.

You may also want to check out some of the best POS systems that integrate with eCommerce sites.

4. Create A Marketing Plan

No matter how great your products are, they won’t sell if no one knows about them. Marketing is key to generating traffic to your online store and making sales, and POS companies like Square have great marketing tools.

Here are some strategies that can help:

• Social Media Marketing: Platforms like Instagram, Facebook, and Pinterest are ideal for showcasing your handmade goods. These social media platforms are highly visual and provide an excellent opportunity to share your process, highlight the craftsmanship behind your products, and engage with potential customers.
• Content Marketing: Creating content related to your niche can help attract customers who are interested in the types of products you make. For example, if you make handmade candles, you could write blog posts about candle care tips, or if you make jewelry, you might create a guide on how to choose the right accessories for different outfits.
• Connect With Influencers: Another way to get the word out about your products is through collaborations with influencers who align with your brand. Find influencers in your niche and offer to send them your products in exchange for a review or a shout-out on their social media accounts.

5. Choose A Shipping Provider

To ensure a smooth shopping experience for your customers, make sure your shipping and fulfillment processes are efficient. Choose reliable shipping partners, offer multiple shipping options, and clearly communicate shipping costs and delivery times.

Some online platforms like Etsy and Shopify offer integrated shipping solutions that make it easier to print labels, track packages, and manage orders.