Selling on Etsy vs Your Own Website: 2025 Review
When it comes to selling online, there are a lot of choices to make. Do you want to sell on Etsy, or do you want to create your own eCommerce website? Both platforms have their pros and cons. This article will compare Etsy and eCommerce websites to decide which platform is best for your business.
Selling products online in 2025 offers more opportunities than ever. But should you rely on a marketplace like Etsy or build your own eCommerce website? Both options have their strengths and weaknesses. In this guide, we’ll help you decide which platform suits your business goals best.
Who Should Consider Etsy vs Their Own eCommerce Site?
If you’re a creator selling handmade, vintage, or unique items, Etsy remains a strong platform to get started. For entrepreneurs aiming to build a scalable brand and retain full control over their business, launching an independent eCommerce website is often the better long-term strategy.
What is Etsy?
Etsy is a global marketplace designed for artisans, vintage sellers, and small business owners who want to reach a broad audience without setting up their own website. As of 2025, Etsy hosts over 90 million active buyers, making it a valuable launchpad for niche products.
Etsy specializes in handmade, vintage, and custom items. Its curated product listings help sellers stand out from mass-produced products found on platforms like Amazon.
However, Etsy charges listing fees ($0.20 per item), transaction fees (6.5% as of 2025), and additional payment processing fees. Learn more about Etsy's updated fee structure here.
What Does Setting Up Your Own eCommerce Website Involve?
An independent eCommerce website gives you full control over your brand and customer experience. You can build your site using platforms like Shopify, WooCommerce, or hire a developer for a fully custom site.
Key steps include choosing a domain name, designing your store, adding products, integrating payment systems, and setting up logistics like shipping and fulfillment. You'll also need to manage marketing efforts to drive traffic.
Running your own store comes with higher upfront costs and responsibilities but offers greater scalability and brand-building potential.
Pros & Cons: Etsy vs Your Own Website in 2025
Pros of Selling on Etsy
- Instant access to Etsy’s global audience with built-in search traffic.
- Low setup costs and no technical expertise required to launch.
- Supportive community and seller resources.
- Useful built-in tools for SEO and social media promotions.
- Ideal for testing new products before scaling.
Cons of Selling on Etsy
- High competition — it's harder to differentiate your brand.
- Fees can significantly impact your margins.
- Limited branding and design flexibility.
- You don’t own your store — Etsy controls your visibility and rules.
- Risk of policy changes affecting your business stability.
Pros of Creating Your Own eCommerce Website
- Full control over design, branding, and customer experience.
- Better profit margins without platform fees.
- Direct customer data access for personalized marketing.
- Freedom to create unique promotions, loyalty programs, and content strategies.
- Scalability — grow beyond a single marketplace and expand your digital presence.
Cons of Creating Your Own eCommerce Website
- Higher upfront costs for development, design, and marketing.
- Requires ongoing maintenance and updates.
- Challenging to build initial traffic and trust without an existing audience.
- Customer support and logistics are entirely your responsibility.
How to Decide: Etsy or Your Own Website?
If your priority is to start selling quickly with minimal investment, Etsy is an excellent entry point. It’s particularly beneficial for small-scale sellers of handmade or niche products.
However, if you're serious about growing a recognizable brand, building a loyal customer base, and maximizing profits, investing in your own eCommerce website is the smarter long-term move.
Many successful businesses start on Etsy, build a customer base, and then transition to their own websites once they are ready to scale.
Final Thoughts
Choosing between Etsy and your own eCommerce website depends on your goals, resources, and how much control you want over your business. Both platforms have their place, but the long-term gains come from owning your online presence.
Whichever path you choose, success will depend on your commitment to marketing, customer service, and continuous learning.
Author Bio:
Andrew Dunn is a serial business builder with over seven years of experience scaling online businesses. He is the founder of INDMND.com, where he shares insights on leveraging technology and digital strategies for business growth.
Price changes for 199 extensions as of 4th October
Related articles:
