Etsy has a program called “Etsy offsite ads,” promoting sellers’ items on other websites. If someone sees the ad and then buys from the seller’s Etsy shop, Etsy takes a part of that sale as a fee. The fee amount depends on how much the seller made before.
The tricky thing is that these ads are automatically set up for all sellers. So many sellers who just started selling on Etsy may not know about this hidden fee that Etsy charges them monthly. That’s why we write this article to help you understand this hidden marketing program. We will go through:
- What are Etsy offsite ads?
- How do they work?
- How much do they cost?
- How to turn off Etsy offsite ads?
- Etsy ads vs Etsy offsite ads: Which are better?
- Best practices for Etsy offsite ads
Let’s get started!
What Are Etsy Offsite Ads?
Etsy offsite ads promote your listings on third-party platforms like Google Shopping, driving traffic to your shop. You’re automatically enrolled if you earn over $10,000 in a year and incur a fee only when a sale occurs, ranging from 12% to 15% of the total order value.
Offsite ads Etsy may display your products on:
Etsy offsite ads channels:
- Bing
Etsy publishing partner sites
- BuzzFeed
- Martha Stewart
- Real Simple
- MyWedding
- Better Homes and Gardens
- Lyst
- Shape
Google Display Network (GDN)
- YouTube
- Zillow
- Weather.com
How do Etsy Offsite Ads Work?
Using Etsy offsite ads program is one of the most effective Etsy marketing strategies to help sellers promote their items and enhance the Etsy branding of their shop on other websites and platforms.
Both Etsy and the advertising platforms use data like user searches to determine the most relevant ads to display.
- Etsy sends listing details like photos, titles, and descriptions.
- The platform’s algorithms match these details to users to decide where to place the ads based on profiles and search queries.
This helps drive traffic from other sites to Etsy.
Important note: With these ads, sellers can’t choose what is promoted on other sites. This best-selling platform controls all advertising decisions. All active listings can get advertised based on what does best on each platform.
If you want your listing to have more chances of being promoted through Etsy offsite ads, you should improve listing quality. Most sites have standards for ads. So, you can have a better match if you study the advertising criteria of these sites before optimizing your listings.
How Are Orders Attributed to Etsy Offsite Ads?
When someone clicks on an ad that promotes your listing and buys from your shop within 30 days, that sale is linked to the ad.
You’ll be billed only when a shopper clicks on your listing’s ad and makes a purchase.
- If a person clicks an ad and makes multiple purchases from your shop within 30 days, each order can incur the Offsite Ad fee.
- If they click but don’t buy, you won’t be charged.
How Much Are Etsy Offsite Ads Fees?
The offsite ads Etsy fee percentage depends on your annual revenue.
- For under $10,000 in revenue in the past year, sellers pay 15% per order from ads.
- Above $10,000 annual revenue, the fee is 12% becomes compulsory rather than optional.
Some additional points to keep in mind:
- The maximum fee per order is $100.
- The fees are calculated and settled every month.
- The cost is based on the total order value.
Save on Etsy Management Costs!
LitCommerce allows you to connect and manage all your sales channels, including Etsy, from one easy-to-use dashboard, helping you llower your management fees while keeping your business running smoothly across all platforms.
Where to Find Your Etsy Offsite Ads Statistics?
If you want to see your Etsy offsite ads sales and fees, follow these steps:
- Navigate to Settings, click on the Offsite ads tab,
- Then, choose the “See Offsite Ad Stats” button.
There, you’ll see the details related to your Etsy Offsite Ads, including;
- Total clicks;
- Total sales from ads;
- Listing name;
- Platforms where ads were placed;
- Sale dates.
Important note: If offsite ad fees appear higher than expected, maybe not all items from purchases linked to ads may be displayed. You can check your orders to verify costs match correctly to purchases credited to ads.
As an Etsy seller, you might also want to read:
How to Turn Off Offsite Ads on Etsy?
Etsy enrolls you in their offsite ads program by default. For some, a possible 15% fee without expecting this cost is such a concern. That’s why lots of sellers want to know how to opt out of this program.
Unfortunately, your eligibility to opt out of Offsite Ads is based on your shop’s sales over the past year.
- If your Etsy store has generated over $10,000 in the last year, participating in offsite advertising is mandatory. You’ll receive a reduced advertising fee, and it’s a long-term commitment for your shop.
- If your Etsy store has earned less than $10,000 on the platform in the last year, you can turn off this ad. Nevertheless, if you decide to utilize this service, you’ll benefit from expert-run advertising without any initial costs to expand your business.
Sellers can see earnings from the past 365 days by accessing their stats page and selecting a custom date range that looks at the last year of sales data.
To turn off Etsy offsite ads:
- Go to Shop Manager and click Settings.
- Choose Offsite Ads.
- Select Stop promoting my products.
- Click on the “Stop promoting my products” button to confirm.
Important note: If you want to use this ad again, you can revisit the Offsite ads page and select restart ads. When offsite ads are in activation, no further action is needed.
Etsy Ads vs Etsy Offsite Ads: Which are better?
Advertising features like onsite and offsite are commonly on most top marketplaces for selling products. The same for promoting your Etsy shop, and there are many differences between Etsy onsite and offsite ads. Below are some of the outstanding points.
Ads placements
Etsy’s onsite ads are mainly visible within Etsy platform’s regular search results. When you do a basic search on Etsy, you’ll notice that some listings display “Ads by Shopname.” These are paid advertisements.
In contrast, Etsy offsite ads appear outside of Etsy. Etsy promotes product listings on well-known websites through partnerships with platforms like Google, Facebook, Instagram, and more.
Ads management
You can manage your onsite ads within your Etsy dashboard, specifically under ‘Marketing’ and ‘Etsy Ads.’ There are options you can control, such as:
- Adjusting your budget;
- Turning it on or off;
- Selecting which listings to promote.
Importantly, it’s not mandatory, and you have the flexibility to start or stop it at your convenience.
On the other hand, offsite ads on Etsy offer less control. You cannot select the listings you want to advertise and change the budget. If your yearly earnings are below $10,000, you can opt out. If they are above $10,000, this ad are no longer optional.
You do have control over which countries’ customers see your ads. Your ads will only be visible to customers in the countries where you provide shipping. To manage this, you can add or remove countries by going to the shipping “profiles” under “settings” in your dashboard.
Ads fees
When customers click on your onsite listing ads, you’re charged based on the cost per click. You will not pay for simply seeing your ad or resulting sales. Most sellers typically spend between $0.2 and $0.5 per click for the onsite ad.
With offsite ads, you only incur charges when a customer clicks on your ad and makes a purchase. Etsy fee for sale made through offsite ads is 12% – 15% for each successful order.,
It’s important to note that this ad fee is separate from the transaction, listing, and Etsy Payment fees you may also encounter.
Best Practices for Etsy Offsite Ads
Any success on an eCommerce platform requires eCommerce strategies best practices, the same for Etsy offsite ads. If you want to convert high sales via offsite ads, here are some Etsy tips for you when optimizing your products listing.
Keep titles concise
It’s better to have concise and straightforward listing titles rather than long and keyword-packed ones. This helps shoppers quickly grasp the nature of your product. The perfect length of a listing title is within 40 characters or fewer, and you should ensure it starts with the most relevant keywords. For instance, a title like “Live Edge Rustic Wood Coffee Table” is much clearer than “Custom-made, Live Edge table, vintage coffee table, wooden farmhouse living room furniture.”
Adhere to the guidelines
Many highly-visited advertising platforms like Google, Pinterest, Facebook, and Instagram have strict promotion policies. Hence, it’s crucial to ensure your listings are in compliance before starting. You should remove any products that might infringe upon Etsy’s policies to ensure they will be promoted on these platforms.
Be mindful of watermarks and distractions
Regarding your listing photos, ensure that your product takes center stage, not your logo. Advertising platforms typically disallow watermarks or any other promotional text on images. So, you should make sure that the photos have clear backgrounds with no borders and clutter. The best dimensions for your photos are in square shape (e.g., 2000px x 2000px), as it displays well on both mobile and desktop devices.
Etsy Offsite Ads – FAQs
Whether Etsy offsite ads are worth it depends on each shop’s situation. It could be worthwhile for those wanting broader reach and accepting huge ad fees on sales. However, those preferring more ad control or low margins may find it less ideal. Instead, you can opt for marketplace integration if you wish your products reach different groups of customers. Etsy charges for offsite ads because their team of advertising experts promotes your items on popular websites like Google, Instagram, and Facebook to broaden your reach across the internet. They cover the initial advertising costs; so you should pay them a 12-15% ad fee when you generate a sale through these ads. It depends. If you are a new seller with minimal traffic, you can continue using Etsy offsite ads to generate some sales. This is because it costs you nothing until a sale is made. However, if you find that the fees you incur exceed your budget, you can opt out of offsite ads. On the other hand, if your annual sales exceed $10,000, you can consider continuing to use this service.
Are Etsy Offsite Ads Worth it?
Etsy offsite ads can be beneficial, but it alone will not save a business if you don’t properly optimize your listings. Whether on or off Etsy, paid promotions require solid listings to generate sales. We advise you to disable offsite ads, pick best selling items on Etsy to sell, and optimize listings first to ensure the best results.
Besides, you can subscribe to our blog if you want to know if It is selling on Etsy worth it and other Etsy guides. You can also take part in our Facebook community to learn from and discuss with other e-sellers.
If you are seeking the best eCommerce tool and solution, LitCommerce is your go-to choice. Contact us anytime if you need any assistance.