How To Make Passive Income On Etsy?

06/01/2023 13:53:42 +0000
Most people would agree that they've dreamed of earning a passive income to supplement their primary income, especially when they're earning some good money by doing very little effort.

Etsy is one avenue where you can earn a passive income and still have plenty of time, flexibility and freedom using multiple shops. Primarily, to do this using Etsy, you earn a passive income by selling digital products and printables.

We're going to examine this further in this guide below. So, if you're ready to learn more - then read on for all the answers!

What Are Digital Downloads?
If you are someone that has used Etsy for quite some time, then you will be aware of the digital products and digital downloads on the site. These are designs that customers can download but not a physical product.

There are various examples of this, including things like birthday cards, logos, photo presets, party invitations and planners. Now, there are a variety of reasons why this model is advantageous.

Primarily, as you are making a digital product - essentially you only need to make it once and this allows for the product to be sold indefinitely.

Additionally, as you are using the Etsy platform - you do not need to worry about handling or shipping.

Benefits Of Digital Downloads
As we said, there are plenty of advantages to digital downloads. These include:
  • Only need to make the product once and you can sell it indefinitely
  • There is no need to physically handle or ship the product
  • The cost of production is incredibly low, starting at around $50
  • Refunds are quick and easy
  • You have a larger margin which allows for generous discounts
What Are Printables?
Printables are often spoken about but some people may be unaware of what they actually refer to. Printables are types of digital products that customers can print out on their own from the comfort of their own home.
This allows the customers to have the freedom to choose their favorite designs and then print them at home right away, which saves them time and money too.

It's also worth noting that printables can be edited.

These templates allow customers to add things like text, colors and change the layout which becomes their own creation. This is ideal for things like wedding invitations where you can add the couple's names, the date etc.

One of the biggest advantages to the customer here is the fact that the customizable nature allows for them to save plenty of time and money. There's no need for a designer and they can do the whole process at home.

For things like wedding invitations, it can also become an "event" where the couple can do it together and have their own say on the matter together.

Does Etsy Have Too Many Printables?
As of 2021, Etsy has 96.3 million active buyers - so while you may argue that the marketplace is relatively saturated, there's clearly room for you to find a niche and zone in on it, making money with a high demand and low competition.
To do this, you need to be savvy. One of the best ways to do it when you're conducting your research is to use long tail keywords that customers use.
In other words, instead of looking for "planner", search for things like "diet planner for busy dads".
How Do I Make Money With Printables On Etsy?
The first thing you need to do is what we have just spoken about; research. You have to look at the entire picture before you start putting your time and effort into this.
However, once you have found your niche - then it's time to create your product.

As we said, you only have to make your product once, and you will use something like Canva or Corjl to do so. These tools allow you to create your product and then you can upload your printables directly to Etsy.

Etsy is very helpful as a platform too, because once a customer has placed their order, the platform will assist you with sending the design to customers automatically - which makes the entire process as passive as possible.

Is This Easy?
This is a question that is actually much more complicated than some people may believe. Once you are up and running, then arguably yes it is easy because you don't really have to do anything else.

However, it's not an easy process to start with. You have to conduct thorough research and scour your potential market. Not only this, but you have to have the skills and knowledge required to create your digital designs.

Furthermore, after some time has passed, you need to keep an eye out for which products are doing well and which are not. As the market changes, you must change with it and create products that customers love.

Making Money On Etsy: Step By Step
We will now go through a step by step guide for how to make money on Etsy by selling printables.
Above all else, you must conduct your research on the market including which printables sell best and the printables SEO. Currently, the best selling printables include:
  • Planner
  • Home decor
  • Business cards
  • Product labels
  • Wedding printables
  • Fitness trackers
  • Party banners
  • Menu templates
  • Resume templates
When it comes to researching for SEO, you need to look out for tags and be sure you know how to conduct thorough keyword research.
Make Your Product
While there are a number of different tools to make your product, arguably the best is Canva. It's very easy to use and they even offer a free plan to start with, so you can get the hang of things first before paying out for anything.
However, if you're looking to make editable printables - then you may wish to look at Corjl or Templett, which also offer for mobile editing as well as desktop editing.

How you make your product will largely depend on the research you have conducted. Focus on what customers are looking for, but where the marketplace is lacking at the same time.

Know Your Price
The amount that you charge for your printables will depend on your product's complexity and the competition.
If you are looking for a base figure, then it's worth noting that a Thank You card on Etsy goes for between $3 and $8, but editable products are between $5 and $15.

Of course though, when you conduct your research, you will know how much the competition is selling for their products and what they offer with their costs. You may want to charge accordingly when you know these facts.

Keep And Eye, Adapt And Change
Finally, you will want to keep an eye out on your sales, your competition and other market factors. Be sure to change with the market and always adapt to the environment.
The Bottom Line
Etsy can be a really good platform to make a passive income on, but you need to put the time and effort into it. Eventually, it will become more passive!
About the Host
Sophie Howard is the founder of Aspiring Entrepreneurs, a community designed to help people develop the skills and confidence to build a business and a life that serves them. Sophie began online in 2013 with an Amazon firm, which she sold for more than $1 million in 2015.

Sophie has lectured on stages all around the world, encouraging and teaching other ambitious entrepreneurs. She has established instructional programs educating thousands of students how to sell online, in addition to releasing over 1000 products.

Sophie has also written a book titled "Aspiring Entrepreneurs: A Guide to Finding Your Best Path to Financial Freedom."
Connect with Aspiring Entrepreneurs:
web icon web icon web icon web icon
Featured Episodes
Free eBook
Find and buy profitable online businesses to gain instant cash flow, a passive portfolio of income streams and a lifestyle you love (even if you aren't tech-savvy!)

Get your copy of The Digital Asset Investor eBook free.

Get Free eBook
Copyright © 2021 Aspiring Entrepreneurs ∙ All rights reserved.
Free Resources!
Gain access to our downloadable workbooks for free! Designed to complement our eBooks they are the perfect tool to ensure you're getting the most out of your readings.
We'll also send you regular tips and updates about online business.
We respect your privacy and never share your data.
Free Download!
Freedom Navigator FREE eBook
Receive regular tips and updates about online business, starting with this free ebook today.
We respect your privacy and never share your data.