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Shopify vs Etsy: Which Is Better? (2026)

·shopifyetsy

Who this is for

Sellers choosing between Shopify and Etsy—or considering both. Whether you make handmade products, sell vintage items, or run a product business, the platform you choose affects your costs, traffic, branding, and growth potential.

Compare fees across marketplaces

See which platform gives you the best profit: Etsy, Amazon, or eBay.

The goal

Understand the key differences between Shopify and Etsy so you can choose the right platform for your current situation and goals. By the end, you'll know which costs less at your revenue level, which gives you more control, and when it makes sense to use both.

Quick comparison: Shopify vs Etsy

Factor Shopify Etsy
Monthly cost $29–399/month + processing No subscription
Transaction fees 0% (with Shopify Payments) 6.5% + $0.20/listing
Payment processing 2.5–2.9% + $0.30 3% + $0.25
Built-in traffic None — drive your own 450M monthly visitors
Active buyers Your audience 86.6M active buyers
Brand control Full (custom domain, design) Limited (Etsy shop template)
Customer data You own it completely Restricted access
Best for Brand builders, scaling sellers Beginners, handmade, vintage

The core tradeoff: Etsy gives you traffic but takes a bigger cut and limits your brand. Shopify gives you full control but requires you to build your own audience.

Fee comparison: Shopify vs Etsy

Etsy fee structure

Fee Amount
Listing fee $0.20 per item (renews every 4 months)
Transaction fee 6.5% of total (including shipping)
Payment processing 3% + $0.25 per transaction
Offsite Ads (if triggered) 12–15% of attributed sale
Typical total 10–12% (up to 25% with Offsite Ads)

Offsite Ads are mandatory for shops earning over $10,000/year. If an Etsy ad drives a sale, you pay an additional 12% (or 15% for shops under $10,000/year that opted in).

For a full breakdown, see our Etsy fees explained guide.

Shopify fee structure (Basic plan)

Fee Amount
Monthly subscription $29 (annual) or $39 (monthly)
Transaction fee 0% with Shopify Payments
Payment processing 2.9% + $0.30 per transaction
Third-party gateway surcharge 2% if not using Shopify Payments
Typical total $29/month + ~3.2%

Shopify's percentage-based fees are much lower, but the fixed monthly cost means you're paying $29+ whether you sell anything or not.

For a full breakdown, see our Shopify pricing plans guide.

Side-by-side cost comparison

Assuming $50 average order value, Shopify Basic (annual billing), and Shopify Payments:

Monthly Revenue Etsy Total Fees Shopify Total Cost Cheaper Platform
$500 (10 orders) ~$52 ~$46 Shopify
$1,000 (20 orders) ~$104 ~$63 Shopify saves $41
$5,000 (100 orders) ~$520 ~$199 Shopify saves $321
$10,000 (200 orders) ~$1,040+ ~$415 Shopify saves $625+

The break-even point

Shopify becomes cheaper than Etsy at approximately $500–$800/month in revenue. Below that, Etsy's pay-per-sale model is more cost-effective because you're not paying when you're not selling.

At $10,000/month, Etsy fees can exceed $1,000 while Shopify costs around $415. The gap widens with every dollar in additional revenue. Use our Shopify Profit Calculator to see your exact take-home on any sale.

Compare fees across marketplaces

See which platform gives you the best profit: Etsy, Amazon, or eBay.

Traffic: Built-in vs build-your-own

Etsy's built-in marketplace

Etsy attracts 450 million monthly visitors and has 86.6 million active buyers. When you list a product on Etsy, it's immediately searchable by millions of people already in buying mode.

Etsy's algorithm handles discovery. Your job is to optimize titles, tags, and photos for Etsy search. You don't need to run ads or build an email list to get your first sale.

By Q3 2025, 46% of Etsy marketplace sales came through the Etsy mobile app, showing how deeply integrated shopping behavior is within the platform.

Shopify: You drive the traffic

Shopify gives you a storefront, but zero built-in traffic. Every visitor must come from:

  • Google organic search (SEO)
  • Paid advertising (Google Ads, Facebook/Instagram Ads, TikTok Ads)
  • Social media (organic posts, influencer marketing)
  • Email marketing (your email list)
  • Content marketing (blog posts, guides)
  • Affiliate marketing (40% of US merchants cite this as their top channel)

This is the biggest difference between the platforms. Traffic acquisition is a significant ongoing cost in both time and money that doesn't appear in fee comparisons.

SEO differences

  • Etsy SEO: Optimize for Etsy's search engine using titles, tags, categories, and attributes. Two-phase process: query matching then quality-based ranking.
  • Shopify SEO: Optimize for Google using title tags, meta descriptions, URLs, structured data, and content marketing. Broader but more competitive. Our Shopify product page SEO guide covers every element.

Etsy SEO gets you in front of Etsy buyers. Shopify SEO gets you in front of Google searchers. Both require skill, but Etsy search is more predictable.

Branding and control

What Shopify gives you

  • Custom domain (yourbrand.com)
  • Full design control with customizable themes — professional product photography and descriptions are essential
  • Complete brand experience from landing page to checkout
  • No competitor products on your pages
  • Your own blog for content marketing
  • Full customer data ownership — email, address, purchase history
  • Custom email marketing — Build and own your email list
  • Multi-channel selling — Sell through your site, social media, in-person, and marketplaces

What Etsy limits

  • etsy.com/shop/yourname — Not your own domain
  • Fixed shop template — Limited customization within Etsy's framework
  • Competitor suggestions — Etsy shows "similar items" from other sellers on your listings
  • Restricted customer data — You can't automatically add buyers to email lists
  • No blog or content pages — Limited to listings and shop announcements
  • Etsy controls the buyer relationship — They email your customers with other recommendations

Why this matters

On Etsy, you're building Etsy's brand. Every sale strengthens Etsy's platform. On Shopify, every sale strengthens your brand. Repeat customers come back to your domain, subscribe to your emails, and become part of your business asset.

Seller tools comparison

Etsy tools

  • Etsy Search Analytics: Shows search terms driving impressions and clicks
  • Shop Stats: Basic traffic and conversion data
  • Star Seller program: Performance badge for meeting quality thresholds
  • Etsy Ads: Internal advertising (pay-per-click within Etsy)
  • Coupons and sales: Basic discount functionality
  • Pattern (retired): Etsy previously offered standalone sites, now discontinued

Shopify tools

  • Shopify Analytics: Detailed sales, traffic, and customer reports
  • Shopify Flow: Automation builder for workflows
  • Shopify Email: Built-in email marketing (10,000 free/month)
  • Shopify Inbox: Live chat with customers
  • Discount engine: Automatic discounts, buy X get Y, free shipping thresholds
  • App Store: 8,000+ apps for reviews, SEO, upselling, fulfillment, and more
  • Shopify POS: In-person selling with inventory sync
  • Multi-channel: Sell on Amazon, eBay, Facebook, Instagram, TikTok, and Google from one dashboard

Shopify's tool ecosystem is significantly deeper. If you need specific functionality, there's probably an app for it.

When to choose Etsy

Choose Etsy when:

  • You're just starting out — Zero upfront investment, instant access to buyers
  • Revenue is under $500/month — Etsy's pay-per-sale model is cheaper at low volumes
  • You sell handmade, vintage, or craft supplies — Etsy's audience specifically searches for these
  • You want to validate demand — Test if people will buy your product before investing in a full store
  • You don't want to handle marketing — Etsy's built-in traffic means you can focus on product
  • You sell one-of-a-kind items — Etsy buyers expect and seek unique, handmade goods

When to choose Shopify

Choose Shopify when:

  • Revenue exceeds $1,000/month — Lower effective fees as volume increases
  • Brand identity matters — Custom domain, design, and customer experience
  • You want customer data — Build an email list, retarget buyers, create repeat customers
  • You sell manufactured or branded products — Etsy's handmade requirement doesn't apply
  • You plan to scale — Multi-channel selling, team accounts, fulfillment integration
  • You want full control — No competitor suggestions, no algorithm changes affecting your sales overnight

Using both platforms together

The most common successful strategy: start on Etsy, expand to Shopify.

How it works

  1. Launch on Etsy — Validate your product with Etsy's built-in audience
  2. Build a customer base — Collect email addresses (with consent) through inserts and post-purchase communication
  3. Open a Shopify store — Direct returning customers to your own site
  4. Cross-list products — Use tools like Shopify's Etsy integration or LitCommerce to sync inventory
  5. Gradually shift traffic — As your brand grows, organic and paid traffic drives more Shopify sales

Etsy as a Shopify sales channel

Shopify has a native Etsy integration that lets you:

  • Manage Etsy listings from your Shopify dashboard
  • Sync inventory across both platforms
  • Fulfill Etsy orders through Shopify

This eliminates the need to manage two separate inventory systems.

What to keep on each platform

On Etsy On Shopify
Products that match Etsy buyer intent Your full catalog
Best-sellers that attract new customers Exclusive products for your brand
Lower-margin items (use as advertising) Higher-margin items with full brand experience

FAQ

Is Shopify or Etsy cheaper?

Below ~$800/month in revenue, Etsy is cheaper because you only pay when you sell. Above $800/month, Shopify's lower percentage fees make it cheaper despite the subscription cost. At $10,000/month, Shopify saves over $600 compared to Etsy.

Can I sell on both Shopify and Etsy?

Yes. Shopify has a native Etsy integration for inventory sync and order management. Many sellers use Etsy for discovery and Shopify for brand-building and repeat customers.

Do I need to drive my own traffic to Shopify?

Yes. Shopify provides no built-in marketplace traffic. You need SEO, paid ads, social media, email marketing, or other channels to drive visitors to your store. This is the biggest operational difference from Etsy.

Is Etsy better for handmade products?

For handmade products, Etsy has a purpose-built audience of buyers specifically searching for handmade goods. Shopify can sell handmade products too, but you'll need to build awareness that your store exists. Many handmade sellers start on Etsy and expand to Shopify as they grow.

Can I move from Etsy to Shopify?

Yes. You can export your Etsy listings and import them into Shopify. Products, images, and basic details transfer, though you'll need to customize descriptions and SEO settings for your new store.

Does Etsy or Shopify have better SEO?

Different kinds. Etsy optimizes for its internal search—strong for buyers already on Etsy. Shopify optimizes for Google—broader reach but more competitive. For overall discoverability, having both an Etsy presence and a Shopify store gives you the widest coverage.

What about Offsite Ads on Etsy?

Once your Etsy shop earns $10,000+/year, Offsite Ads become mandatory. If an Etsy-placed ad leads to a sale, you pay an additional 12% fee on that sale. This can push total Etsy fees to 22–25% on ad-attributed sales—making Shopify significantly cheaper for those transactions.

Next steps

  1. Calculate your Shopify profit with our Shopify Profit Calculator — see your take-home after payment fees.
  2. Understand Shopify costs with our Shopify pricing plans guide.
  3. Understand Etsy costs with our Etsy fees explained guide.
  4. Compare all platforms using our Platform Comparison Calculator.

Compare fees across marketplaces

See which platform gives you the best profit: Etsy, Amazon, or eBay.

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