Alberta small business leaves Etsy for good as seller strike continues

The owner of an Alberta small business is leaving Etsy after the e-commerce company raised its transaction fees, prompting a petition and strike from sellers.

Kerri Sharp, the owner of Pretty Little Pots in Edson, Alta., says the transaction fee increase was the last straw, and she’s moving her business off Etsy entirely.

The American online marketplace, where creators can sell handmade or vintage goods – everything from intricate dragon necklaces to pillows customized with a picture of your pet – raised fees from 5 per cent to 6.5 per cent – a 30 per cent increase.

“They’re not seller-friendly,” said Sharp. “They’re very customer-friendly. They do a lot of things that make it harder for the sellers.”

Sharp said she would not regret her decision to leave Etsy.

“No, I’m quite happy to just be done with it,” she said.

Pretty Little Pots homepage on Etsy, “closed until further notice.” (Credit: Etsy)

The fee increase led some Etsy sellers to go on strike as of Monday.

One of the strike organizers explains it was provoked by an email from Etsy’s CEO that described a 23 per cent increase in sales in 2021, then announced the increased transaction fee.

“Etsy is more successful than ever, but Etsy’s sellers are going to be making less money than ever before. I was frustrated and I was angry,” said Mattie Boyd, who owns the Etsy shop Toxic Femme.

A petition from sellers has garnered more than 65,000 signatures.

Sellers have five demands for the company, from cancelling the fee increase to letting all sellers opt-out of offsite ads, which charge them another 12 to 15 per cent per item sold.

“We want to have more of a seat at the table,” said Boyd. “We’ve seen over the past few years policies and changes on the platform that have really disadvantaged sellers and buyers, frankly, and that’s something we want to change.”

An email statement from an Etsy spokesperson said the company is “always receptive to seller feedback.” It went on to say the new fees would help Etsy increase its investments in marketing, customer support and removing listings that don’t meet its policies.

Boyd says sellers can support the strike by putting their Etsy shop on vacation mode, and buyers can boycott the site until April 18.