eBay Vs Etsy 2025: Which Platform Is Best For Your Online Selling?

Many eCommerce store owners might be curious: eBay vs. Etsy, which should I choose? It is not as complicated as it seems. eBay is for almost anything, whereas Etsy is for handmade items.

With over a decade of sourcing experience, we have been helping our clients to choose the suitable eCommerce platform. You’ll discover the right platform to sell your products and boost your profits. 

This article will also discuss these platforms from different aspects so you can better decide. Let’s get rolling!

Background information on eBay

Starting as an auction website, eBay is now a multinational eCommerce company based in America. eBay features consumer-to-consumer or business-to-consumer sales through its own website. This online marketplace is excellent for buyers and sellers from anywhere to trade almost anything.

The eBay marketplace allows its sellers to sell brand new or secondhand products in their eBay store. eBay buyers also get to bid for their desired items if they want to. Due to 2022 June 30, eBay has made a revenue of $10.019 billion.

Suggested reading: 10 Top-Rated eBay Alternatives for Best Online Selling

Background information on Etsy

Founded in 2005, Etsy is an eCommerce company that provides an online marketplace for enthusiastic professional sellers to sell. Etsy sellers are focused on selling handmade, vintage, and craft supplies. Currently, 4.36 million Etsy sellers are operating their eCommerce stores on Etsy.

Etsy is an online marketplace that emphasizes handmade items. Its unique position in this industry sets it apart from other eCommerce platforms. Etsy sellers will either sell handmade or artistic crafts on their online store.

Suggested reading: Shopify Vs Etsy: Which Is Best For You To Sell Online?

eBay vs. Etsy: Pros & Cons

eBay Pros

· Easy listing

eBay has a straightforward listing method. eBay sellers can easily duplicate their product listing and edit it afterward. 

· High demand

As of April 2021, eBay has 187 million active users. It gives eBay sellers high exposure to their products and access to countless potential customers.

· Worldwide expansion

eBay is a multinational company with shipping coverage in over 210 countries. You can expand your online business internationally with ease.

eBay Cons

· High seller fees

eBay sellers need to pay three different kinds of fees on eBay. These are insertion fees, final value fees, and optional listing upgrades.

· Unreliable buyers

eBay buyers don’t need to pay their price even though they have made an order. It will be irritating to sellers if this situation often happens.

· Sellers have less priority

There have been complaints that eBay favors buyers more than sellers. Sellers are more likely to be responsible at the end of any dispute over items.

Etsy Pros

· Large audience

You might think handmade items are for minorities; think again yet. Etsy has more than 81.9 million active users, all your potential customers.

· Built-in analytics

Etsy offers sellers built-in analytics in their seller accounts. They can access different data to make decisions if needed.

· Great help service

Etsy community forums is a page that assists Etsy sellers with their problems. You can also find solutions regarding brand set-up, payments, and shipping labels. 

Etsy Cons

· High processing fees

Etsy charges lots of processing fees that add up and become expensive. For example, listing fees, transaction fees, and shipping fees.

· Specific product requirement

You can only sell handmade goods or vintage items on Etsy. Any products that are not self-designed or self-made are prohibited. 

· Copycat

Other sellers might copy your products’ designs or information uploaded to your store.

eBay vs. Etsy: Comparison of Main Differences

1. Product selection

eBay

eBay offers a wide assortment of products for its sellers and buyers. It has 15 main categories, each with numerous sub-categories, leading to nearly 10,000 types of things. Thus, eBay sellers can list electronics, media, antiques, and wholesale items.

It fits just right if you want to sell goods. It allows its sellers to create as many as three hundred customized Store categories. In addition, you can define each item with three levels of sub-categories. But eBay charges fees for each second-time product editing.

Etsy

As stated above, Etsy is known for its handicrafts and vintage goods. It has seven main categories: jewelry accessories, clothing, and wedding items. Sellers not only can sell their customers finished products, but they can also provide craft supplies and tools too.

Customers continuously seek out one-of-a-kind items that suit their preferences on the Etsy store. Those who want to buy legit antiques or vintage items will be satisfied using Etsy. It is because Etsy has strict measurements on its items. Only items at least 20 years old can be classified as vintage goods.

Winner: eBay

eBay surpasses Etsy in both varieties and amount of product selection. Etsy narrowed its market to selling only handmade products, but eBay chose to sell more. Undoubtedly, eBay has more product selection than Etsy. 

2. Ease of use

eBay

Like any other online marketplace, you can start quickly by signing up for seller accounts. Every eBay seller uses eBay Seller Hub to generate their business account. It gives you step-by-step guidance and some selling tips to promote your products.

An eBay seller can choose from two types of accounts to sell on this eCommerce platform:

• An Individual account, also known as a Personal account 

OR

• An Accountant in Business, also known as a Business account.

One of the most significant features of eBay is that you can duplicate others’ success easily. eBay lets its sellers find similar listings and copy them for their use. It helps eBay sellers save time filling out product information while you have a wide range of listings.

Etsy

Signing up for an account on Etsy is straightforward as well. Sellers only need to prepare their Etsy store name and upload a few products to start selling online. Here’s some news to calm your nerves, Etsy allows you to change your shop name five times max. So feel free to come up with any idea to embrace yourself and your brand’s exclusivity.

After you generate your account, Etsy will walk you through the process. First, you will set up your listings and payment account. Through this, you can provide your customers with invoicing and payment options.

Besides, Etsy encourages sellers to interact with each other to foster an excellent selling community. The Etsy Community Forums are where sellers can communicate and help each other. In addition, you may receive a Seller Handbook as a guide with helpful instructions for newcomers.

Winner: Etsy

Etsy won this round. It is a simple setup process and provides a strong interactive community to help every seller. It is something that eBay lacks.

3. Plan costs

eBay

As per eBay, depending on your business model, you don’t need an eBay store to sell on this platform. For those who are just casual sellers, you don’t need to pay any eBay store subscription fee. However, you will be charged an insertion fee for your listing pricing.

For business owners, you have five plans to choose from:

• Starter store package
  – $4.95 monthly

– Offers 250 free fixed-price or auction-style listings.

• Basic store package
  – $21.95 monthly or $27.95 annually

– Offers 1000 free fixed-price listings and 250 free auction-style listings. 

• Premium store package
  – $59.95 monthly or $74.95 annually

– Offers 10,000 free fixed-price listings and 500 free auction-style listings.

• Anchor store package
  – $299.95 monthly or $349.95 annually

– Offers 25,000 fixed-price listings, 1000 free auction-style listings, and specialized customer support.

• Enterprise store package
  – $2999.95 monthly

– Offers 100,000 free fixed-price listings, 2500 free auction-style listings, and specialized customer support. 

Aside from the plan cost above, there will be final value fees. eBay will charge a percentage of the item’s total sale price for each product you sell.

Etsy

Let’s break down Etsy’s plans real quick. Etsy offers three plan types:

• Etsy Standard
  – Free

– Etsy will not charge fees for every newcomer unless they’ve decided to upgrade their plan.

• Etsy Plus
  – $10 monthly

– Provide sellers with advanced seller tools to boost their sales.

• Etsy Pattern
  – 30 days free trial, then $15 monthly onwards

– Enhanced seller tools with more customization available.

Etsy Plus is the most cost-effective choice compared to other plans. With just $10 monthly, you’ll get monthly credits for listings and Etsy Ads. You can also get advanced shop customization options. Besides, you’ll have a discount on your custom shop link, packaging, and promotional material.

Apart from that, sellers still need to pay other selling fees. It includes the listing fee, transaction fee (also known as referral fee), and payment processing fees.

Winner: Etsy

Etsy has a lower plan cost than eBay. You can get more tools and features at a reasonable price.

4. Shipping options

eBay

If you are selling on eBay, here is some advice:

• Set up your shipping options
  It includes choosing your weighting method, pick-up option, and the delivery carriers you want to use. eBay also partners with FedEx, DHL eCommerce, and other carriers.

• Set your shipping rates
  71% of eBay sales are tagged with free shipping, and you need to do the same to compete with others. But, they will need to bear the shipping cost to do so. Therefore, you should include your shipping fee in the listing pricing and let eBay customers know.

• Estimate delivery timeframes
  Calculate the miles, estimate the time, and let your customer knows when the package arrives.

• Delivery worldwide
  If you are selling internationally, ensure to follow eBay’s shipping policy.

In 2022, eBay launched its fulfillment service named Managed Delivery. It helps sellers to fulfill their orders better and deal with relevant issues. Hence, sellers can use it as their shipping calculator, handle customer service and generate shipping labels.

Etsy

Etsy’s shipping method is quite similar to eBay’s. It offers helpful tools and a cheaper shipping fee to sellers. Etsy also offers sellers discounted shipping labels for carriers like USPS, Canada Post, and FedEx.

Etsy developed its system for its shipping method, named calculated postage. It helps sellers to have better monitoring of their fulfillment process. These tools and features allow sellers to build, update, and bulk edit delivery profiles through their dashboards.

In 2019, Etsy forced sellers to include shipping costs in their selling prices. This decision aims to satisfy customers’ demand for free shipping. Unfortunately, it has received negative feedback and has not solved this problem.

Winner: Tie

Both Etsy and eBay have shipping options that meet basic requirements. However, their support is still limited and not advanced like Amazon. Therefore, it’s a tie.

5. Payment processing

eBay

Getting paid on eBay is quite simple. You can link your bank account to your eBay account and make it your payment account. Once the buyer’s order is made and shipped, eBay will first deduct several fees. It includes the insertion or transaction fees, final value, and shipping fees. 

The amount deducted will then payout to your linked payment account. You can change your payout schedule to receive your money weekly. But eBay will charge the payment processing fees and listing fees before you receive your net profits.

eBay is unique as it offers financial support to sellers. For example, you can view your fund status and generate a transaction report if needed. Besides, it gives buyers many types of payment methods to choose from.

Etsy

Etsy has its unique way when it comes to the payment process. When using Etsy, sellers and buyers are only allowed to use Etsy Payments. Etsy Payments is a built-in payment method to simplify payments for sellers and buyers.

Etsy has partnered with companies and allows many payment methods to choose from. For Example, Credit / Debit cards, PayPal, Apple Pay, and more. Sellers with Etsy Payments are not required to have any above services to receive money from buyers. Your sales fund will be available in your Etsy account once the transaction is made successfully.

Sellers that don’t enroll in Etsy Payments will not be eligible to participate in any form of selling.

Winner: Tie

You can monitor your payment fund anytime when using eBay. On the other hand, Etsy offers fewer hassles with payment. 

They both provide a unique feature, so you should choose which is better based on your needs.

6. Customer base

eBay

As of April 2022, eBay has 187 million buyers and over 20 million sellers. These large amount of customers are regularly looking for general products. In addition, they like to buy at a reasonable and affordable price compared to other marketplaces.

Knowing the consumer behavior of the customer base is crucial for a successful business. A statistic report shows that the Electronics and Accessories category was the top seller in 2019. 

If we dive deeper, electronic items with Bluetooth functions are best sellers in this category. The report shows that 5 of eBay’s 12 top-selling electronics are Bluetooth enabled. Clothing and Accessories is the second top-selling category on eBay.

Sellers should observe customer behavior on eBay. That way, you will be more likely to choose the correct item to sell and earn more. 

Etsy

Although Etsy has started for years, it still has a smaller customer base than eBay. Etsy was founded in 2005, and it has had over 39.4 million active sellers throughout these years. Apart from that, they attracted 45.7 million buyers in 2019. 

Most buyers on Etsy are looking for something extraordinary that they can not find on other sites. They are seeking items for their use or adding to their collection. If you want someone that can appreciate your high-quality work, Etsy suits you well.

Besides, if customer loyalty is vital to your business, you should consider Etsy. According to former Etsy CEO Chad Dickerson, 81% of Etsy’s sales in 2015 were repeated purchases by previous buyers.

Winner: eBay

It is clearly shown that eBay has a more extensive customer base. 

7. Advertising features

eBay

When using eBay, sellers can monitor and decide how they want to promote their products. There are some eBay advertising options to choose from:

• Promote from within Seller Hub
  Sellers can quickly promote one or more items.
• Promote using the simple listing selection
  First, you select your preferred listings to promote. Then, you set your eBay ad rate and launch your campaign afterward.
• Promote using the bulk listing selection
  This method suits those with large stocks and low turnover rates. 
• Promote using automated campaigns
  This method comes with more customization. Your future listings will automatically apply the same modification when advertised.

eBay only charges advertising fees whenever the promoted listings make a sale. Sellers only get charged when a customer clicks on a promoted listing and buys it within 30 days.

eBay also provides several selling tools for sellers to boost their sales. For instance, there are Seller’s Hub, Selling Manager Tool, and eBay App. They not only feature advertising uses but also helps with inventory management and business and management optimization.

Etsy

Etsy ads run in a charged-when-click principle. Sellers can set a minimum ad rate of $1 for their products. Then, the system will advertise the listings according to the given budget. Finally, the seller pays when Etsy users click on it. Once your budget is used up, the system will stop showing the ads. 

Etsy doesn’t have any tool to help an Etsy seller improves his sales. Luckily, Etsy is simple to use. Selling on an Etsy shop doesn’t require any professional knowledge of eCommerce. You can be successful, too, by learning and mastering Etsy SEO to overcome other search engines.

Winner: eBay

Overall, eBay, compared to Etsy, is a better choice. eBay is more reliable and provides lists of advertising features.

eBay vs. Etsy: Which is better for you?

Who should sell on eBay?

eBay’s greatest aspect is its flexibility provided to sellers. A seller can take almost whole control over his store and brand. Whether the design of product listings, shipping charges, or return policies. It all falls into the hands of the seller. 

People on eBay mainly sell large-scale new or secondhand items. Therefore, it’ll be suitable for professional sellers, retailers, and secondhand sellers to sell on eBay.

Who should sell on Etsy?

If you are a creative person with tons of ideas and an interest in eCommerce, you’re the one. Etsy has a niche customer base that values unique stuff with high quality. So, it does not require any depth knowledge of the eCommerce industry. But, it does need a seller to have a passion for artistic and handmade products.

Etsy is suitable for content creators, handmade makers, crafters, and artists.

Yet to decide?

If you are still nowhere from making a decision, here are some questions you can think of:

• What do you want to sell?
• Who are your customers?
• Whom do you want to approach?
• How will you get or make your products?
• How will you sell your products?
• How fast do you want to make a profit from your items?

Answer these questions carefully as you will develop a business plan of your own!

FAQs about eBay vs Etsy

What’s Next

eBay and Etsy’s fast-growing shows two types of markets that can be involved. Etsy focuses on exquisite items, and eBay provides a wide range of products. You can use the information above as a start-up guide to choosing the platform that best fits you.

Handmade or not, we have it all! Leeline Sourcing is a sourcing company with over ten years of sourcing experience. Don’t hesitate to leave a message and solve your sourcing needs.