How to Sell on Etsy Australia? [2022]

how to sell on etsy australia

Most Etsy shops are a result of passion pursuing or craft sharing, with each of them having a unique story. However, if you’re looking into becoming a part of it, you will also need to know about less fun stuff–legal structures, intellectual property, and tax law in Australia.

Without further ado, let’s dive into the basics of how to sell on Etsy Australia.

How to set up an Etsy store?

If you’re wondering if it’s a good idea to give a chance to online shopping in Australia, we’d say a definite yes, considering that 9.1 million Australian households shop online and over 20% of Aussies looked for a local business online in 2021.

And what is a better place to start than Etsy itself? It’s one of the best online marketplaces in Australia!

For setting up an online Etsy store in Australia, you will need to follow these steps:

  • Create an Etsy account–Registering on Etsy requires you to be over 18, provide accurate information, and hold responsibility for your content and activity. 
  • Set your Etsy shop preferences–Choose your location and currency.
  • Name your shop–If your online shop name is different from your own, you’ll need to register it, which requires you to have an ABN.
  • What can you sell–This online marketplace is designed for selling handmade goods, vintage items or craft supplies.
  • Set payment processors–These include visa and debit cards, PayPal, Google Wallet, Apple Pay, and Etsy Gift Cards. PayPal is one of the more popular payment gateways in Australia.
  • Seller protection–Program for resolving issues regarding transaction disputes with customers.

Note: You don’t need to have a credit or debit card for opening an Etsy shop. You can also register via PayPal.

Using Etsy in Australia

  • Choosing the right legal structure

Etsy shop owners from Australia can choose between three options. The simplest two are sole traders and partnerships, where the main difference is in the number of owners. They’re also inexpensive and easy maintenance and are forms of unincorporated entity. However, the third option is the most common, where owners register their companies with the Australian Securities and Investments Commission (ASIC).

  • Understand your obligations

This one mainly refers to your tax obligations. The most important ones that will apply to you are income tax and Goods and Services Tax (GST). In some cases, VAT may also apply to you, so make sure to check that in advance on the Australian Taxation Office (ATO) website.

  • Protecting your brand

Since you will most probably be selling original goods, you’ll want to protect your intellectual property. The three most common forms of it are trademarks, copyrights and patents. Look into it more deeply on the Australian Copyright Council and IP Australia website.

There are four types of Etsy fees in Australia:

  • Listing fee–Each time you list an item, you pay AU$0.28. These are active for four months or until they get sold.
  • Transaction fee–5% of the total price, including shipping.
  • Payment fee–If you use Etsy payment processors, there’s a 3-4% + AU$0.25 fee.
  • Advertising fee–If you use Etsy ads, you pay 15% each time an item is sold through that ad.

I opened an Etsy shop, what now?

After opening and growing your Etsy shop, you’ll most probably want to upgrade from Standard to Etsy Plus shop to enjoy an expanded set of tools. That will give you access to the following:

Etsy PlusAU$14.20/month
Etsy ads with 15 listing creditAU$7.10/month

For any online business, sales success is significantly more efficient if you take advantage of online ads targeting potential shoppers precisely.

With Etsy, you can enjoy the benefits of the .store domain for free or get a 50% off on a custom .com address. You can also invest in building a professional business website and connect it to your Etsy store.

Tips for a successful Etsy Australia store

Starting an online business in Australia is a huge deal, and you’ve probably put a lot of thought into it over the years. The good news is–Etsy made the whole process a lot easier with its optimized registering and selling process.

There are, however, a few tips that proved to be useful to novice store owners:

  • Have a plan–Marketing strategy is a must, no matter what size your business is. Having a plan will make a massive difference in the success of your online shop.
  • Make photos pop–This is your most important asset. Prioritize high-quality photos and rest assured your online business will thrive.
  • Think about the season
  • Be memorable–Your shop’s name is as important as book covers; like it or not, but most people will judge by it, so make sure it’s a memorable one.
  • Shipping–Don’t hesitate to experiment with shipping models and prices; you have to try different options to find the one that suits you the most.

If you are into online shopping but are still unsure whether Etsy is the right place for you, maybe you can consider dropshipping, which turned out to be popular in Oz.

Etsy Help Center

If you find yourself struggling with anything mentioned, reach out for help before you give up:

  • Call or send an email to Etsy support staff;
  • Read Etsy newsletter regularly to stay inspired and find useful tips;
  • Find out about industry best practices with Etsy Seller Handbook;
  • Etsy’s forums and Teams host a peer community for giving advice.

Bottom line

And that’s everything you need to know about opening an Etsy shop in Australia. Our advice is to learn about owner obligations; the sooner, the better, and afterwards, you can experiment with shipping and pricing to find the model that suits you the best. Good luck!

FAQs:

1. Can you sell on Etsy from Australia?

Yes, you can create an Etsy account and list products for selling from Australia.

2. Do you need an ABN to sell on Etsy Australia?

If you plan on running an online business on Etsy rather than a hobby, you will most probably need to have an ABN sooner or later.

3. How much does it cost to sell on Etsy?

For each item listed, you need to pay AU$0.28. There are also transaction and payment fees for sold products.

4. Do you have to pay tax on Etsy sales in Australia?

Yes, income tax and GST apply to all store owners, whereas some undergo VAT as well. In this guide on how to sell on Etsy Australia, we explained taxes in detail.

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