Since its stock launch, Etsy’s shares have plummeted, and an additional eight percent drop followed the Amazon announcement. Amazon will offer more than 80,000 items from 60 countries. The Seattle-based retailer says the site, which will carry everything from $30 walnut cufflinks from Australia to $325 handmade quilts from Wisconsin, sprang from customer feedback and site searches for crafty items.
Advertisement
“We have designed a custom shopping experience for customers looking for handmade items by bringing together numerous best artisans in the world, and they’re adding thousands of items daily”, said Peter Faricy, VP for Amazon Marketplace. The site was launched this week, in what many see as a direct attack on Etsy, which went public earlier this year. But they’re a bit different in size and scope.
Online retail colossus Amazon on Thursday opened a shop showcasing handmade goods sold directly by artisans. Amazon retains 12% fee from overall sales made by Handmade at Amazon sellers with no listing fee. There’s no listing fee or monthly fee to start.
They also differ in terms of manufacturing policy. Commenting on the initiative, Dani Marie, chief executive of Handmade Seller magazine, said: “Amazon has all the capabilities they need to make their program a big success”.
New York-based Etsy, on the other hand, started letting a few merchants apply to use manufacturers for a few products in 2013. In addition to its large customer base, Amazon is offering logistical support for vendors, allowing them to ship their products to one of the company’s many fulfilment centres around the country.
Advertisement
Etsy, which was founded in 2005 and could feel the strain from Amazon’s latest move most acutely, describes itself as a marketplace where people worldwide can connect through the Internet or in-person to make, sell and buy unique goods.
