Shopify vs Etsy: Which is Better for an Online Store?

Both Shopify and Etsy are popular ecommerce platforms for individuals, small businesses, and entrepreneurs who want to sell their products or services online. But which one is actually for you? Shopify or Etsy?

To answer that question, in this article, we’ll have to look at Shopify vs Etsy based on many factors like pricing, apps and integrations, product variety, marketing features, etc.

Key Takeaways
Choose Shopify if you need a highly customizable, scalable online store with extensive e-commerce tools and want complete control over your business. Opt for Etsy if you have unique, handmade, or vintage products to sell and prefer a more straightforward setup with an established marketplace and built-in audience.

Shopify vs Etsy: Quick Comparison

Honestly, when it comes to choosing between Shopify and Etsy, I think it really depends on what kind of online business you want to build. Below, I’ve put together a quick comparison table that sums up the main pros and cons of each, so you can figure out which one works best for you.

	Shopify	Etsy
Overview	Full eCommerce platform for creating an online store and branding.	Marketplace primarily for handmade, vintage, or unique products.
Sales Features	Advanced sales tools, inventory management, POS, and analytics.	Built-in customer base but limited advanced sales features.
Marketing Features	Comprehensive marketing tools including SEO, ads, and abandoned cart recovery.	Limited marketing options, with ads mainly within Etsy itself.
Themes & Design	Offers a wide range of customizable themes for full branding.	Limited to Etsy’s marketplace design—minimal customization.
Domain & URL Structure	Custom domain, full control over URL structure for branding and SEO.	Uses Etsy’s domain, e.g., etsy.com/shop/YourStoreName—less flexibility.
Apps & Integrations	App Store with thousands of integrations to extend functionality.	Limited integrations—primarily tools offered by Etsy itself.
Ease of Use	Requires setup but offers flexibility and advanced tools.	Very easy to use—ideal for quick listing but lacks flexibility.
Customization	Highly customizable, from storefront to checkout experience.	Minimal customization—limited to profile and product descriptions.
Pricing	Starts from $39/month for the Basic plan, plus additional app costs.	Free to start, but transaction fees apply.
Fees	Monthly subscription plus 2.9% + 30¢ per transaction (using Shopify Payments).	Listing fee ($0.20 per item) and 6.5% transaction fee per sale.
Email Marketing	Built-in email marketing with Shopify Email, or use integrations like Mailchimp.	Limited—can message buyers but no real email marketing tools.
Support	24/7 support via chat, email, and phone.	Community support, help center, and limited direct support options.

From the table, we can basically see that: 

⭐What makes Shopify better than Etsy:

• Shopify gives you complete control over your store. You get to have your own website, pick your own domain, and brand everything however you like. If you care about building your own brand identity and making your shop really “yours,” Shopify’s flexibility is a big plus.
• There’s a lot more customization with Shopify. You can pick from different themes and design your store exactly the way you want. It’s like you’re decorating your own storefront instead of just putting your items on someone else’s shelf.

• Shopify has really good sales tools and inventory management features. You’ve got all these powerful options for marketing, analytics, and even managing in-person sales if you have a physical space. It feels like you’ve got a full toolbox for running a serious business.
• Another thing is email marketing—Shopify makes it pretty straightforward. You can use built-in tools or integrate with apps like Shopify Email, or Mailchimp. This helps you keep your customers in the loop, which I find super valuable for long-term growth.

• The app integrations are also worth mentioning. Shopify has an entire app store with thousands of extensions to help grow your store. Whether you want better shipping options, enhanced marketing, or unique customer interactions, there’s usually an app for that, which can be a game-changer.

⭐What makes Etsy better than Shopify:

• Etsy already has a built-in customer base. People come to Etsy specifically looking for handmade or unique products, so you’re not starting from scratch in trying to attract customers. In my experience, this can help you start getting sales without putting in as much marketing effort upfront.
• Etsy is really easy to start with. I think for a lot of people, especially if you’re just trying to dip your toes into selling something, the simplicity is a huge plus. You don’t need to worry about setting up a full-blown online store—you just list your items, and you’re good to go.

• There aren’t any subscription fees to deal with on Etsy. You pay a listing fee and some transaction fees when you make a sale, but there isn’t a monthly charge just to keep your shop up. If you’re not ready to commit to monthly expenses, this makes Etsy feel a lot more risk-free.
• Honestly, Etsy’s setup is also just very straightforward. It’s really geared towards people who want a quick and easy way to sell their items without dealing with technical stuff. If you’re someone who wants to spend more time creating and less time managing a store, Etsy might be a better fit.

• Plus, you don’t have to think about hosting or domains. Everything’s taken care of, which means fewer things to manage. Sometimes, that’s exactly what you need—keeping things simple so you can focus on your products.

Shopify vs Etsy: Pros and Cons

When deciding between Shopify and Etsy, it's crucial to understand the strengths and limitations each platform offers for your online business. Below, I'll present the key pros and cons of both to help you make an informed choice that aligns with your goals.

	Shopify	Etsy
Pros	✔️Customizable store ✔️Full branding control ✔️Scalable platform ✔️Integration with multiple apps ✔️Multiple sales channels ✔️No competition on product pages ✔️SEO customization ✔️Abandoned cart recovery ✔️No listing expiration ✔️Lower transaction fees	✔️Built-in customer base ✔️Easy to set up ✔️Low initial cost ✔️Community-oriented marketplace ✔️Strong niche audience ✔️Great for handmade and vintage ✔️Established trust factor ✔️Prominent search feature ✔️Seller protection policies ✔️No coding required
Cons	❌Monthly subscription cost ❌Requires marketing efforts ❌Technical setup needed ❌Payment processing fees ❌More time to set up	❌Higher transaction fees ❌Listing renewal fees ❌Limited customization ❌Competing sellers on the same platform ❌No control over branding

Shopify vs Etsy: In-Depth Comparison

Now, let’s take a more in-depth look at Shopify vs Etsy in terms of pricing, features, and more.

Pricing

Subscription fees

Currently, Shopify offers three main pricing plans, plus the Shopify Plus plan:

• Basic Plan: $39 per month
• Shopify Plan: $105 per month
• Advanced Plan: $399 per month

Note that the subscription fees vary depending on your country. The numbers above are for US-based sellers. You need to figure out how much Shopify costs in your country to estimate the exact subscription fees you have to pay Shopify.

Shopify does offer a free trial for you to test out the platform before committing to a plan for 3 days.

Meanwhile, Etsy offers two pricing plans:

• Etsy Standard: $0
• Etsy Plus: $10 per month

Even though Etsy is free to start, it charges a flat fee of $0.20 per listing once every four months. If you need a large number of product listings, don’t forget to count the listing fees.

You can try Etsy Plus for free for 30 days. If you want a branded website on Etsy, you can use Etsy Pattern, which costs you at least $15 monthly. Though Shopify is a way more expensive upfront fee than Etsy, it does offer more features.

⇒ The verdict: Shopify charges a higher subscription fee than Etsy.

Transaction fees

So, how much do Shopify and Etsy take per sale?

With Shopify, you can avoid Shopify transaction fees if you use Shopify Payments, their in-house payment gateway. But you still have to pay credit card processing fees according to your subscription plan:

• Basic Plan: 2.9% + 30¢ per online transaction; 2.7% + 0¢ USD in person
• Shopify Plan: 2.6% + 30¢ per online transaction; 2.5% + 0¢ USD in person
• Advanced Plan: 2.4% + 30¢ per online transaction; 2.4% + 0¢ USD in person

If you use a Shopify third-party payment gateway (other than Shopify Payments), Shopify will charge you an additional transaction fee (ranging from 0.5% to 2%), depending on the pricing plan you’re on.

Etsy, on the other hand, charges a 6.5% transaction fee on the sale price of your product, in addition to any payment processing fees (at least 3% + 25¢), even if you use Etsy Payments.

⇒ The verdict: Etsy charges higher transaction fees than Shopify.

Additional fees

Both platforms have additional fees that sellers should be aware of.

Shopify has several additional fees that may apply, depending on the user’s specific needs and choices. These fees may include currency conversion fees for sales in foreign currencies, app fees for using additional apps to enhance store functionality, and additional fees for premium themes or custom development work.

Etsy also has pretty many additional fees, including advertising and promotional fees, subscription fees, in-person selling fees, shipping fees, currency conversion, and regulatory operating fees.

⇒ The verdict: Both Shopify and Etsy have hidden fees you should be aware of.

Sales Features

Shopify focuses on providing a comprehensive ecommerce solution with a wide range of ecommerce tools to help merchants sell online, such as:

• Abandoned cart recovery
• Customer accounts to help improve conversion rates and retain customers
• Inventory management system to manage and track products
• Multichannel selling across different social platforms
• Third-party calculated shipping rates
• Coupon codes and gift cards

On the other hand, Etsy’s sales features are more focused on the marketplace model, where merchants can list their products and rely on Etsy’s built-in customer base to generate sales. Etsy does offer some sales tools, such as:

• Promoted listings
• Sales and coupons
• Advanced shop customization
• Discounts and perks
• Restock requests
• Custom web address discounts
• Custom shipping boxes

However, they are more limited in comparison to Shopify. Additionally, Etsy’s inventory management system is more basic and doesn’t offer the same level of functionality as Shopify’s.

⇒ The verdict: Shopify has more advanced sales features than Etsy.

Marketing Features

Shopify offers a wide range of marketing features that can help businesses drive traffic to their website and increase sales. This includes ecommerce tools like:

• Email Marketing: Shopify Email lets you create and send branded emails directly from your store, helping you engage with customers and drive sales.
• Marketing Automation: With tools like Shopify Automations, you can set up workflows to automatically send emails or messages based on customer behavior, saving time and ensuring consistent communication.
• SEO Tools: Shopify provides built-in SEO features, allowing you to edit meta tags, optimize product pages, and improve your store's visibility on search engines.
• Social Media Integration: You can connect your store to various social media platforms, enabling you to sell directly on channels like Facebook and Instagram, reaching customers where they spend time.
• Analytics and Reporting: Shopify offers detailed analytics, helping you track sales, customer behavior, and marketing campaign performance to make informed decisions.

Etsy, on the other hand, provides several marketing features like:

• Etsy Ads: This feature allows you to promote your listings within Etsy's marketplace, increasing their visibility to potential buyers searching for similar items.
• Offsite Ads: Etsy advertises your products on external platforms like Google and Facebook, and you pay a fee only when a sale is made through these ads.
• Sales and Coupons: You can create discounts and special offers to attract customers, encouraging them to make purchases or buy more items.
• Social Media Tool: Etsy provides tools to easily share your listings on social media, helping you reach a broader audience and drive traffic to your shop.
• Shop Stats: Etsy offers analytics that show how shoppers find your store, which listings are popular, and other insights to help you optimize your shop's performance.

And to me, as an Etsy seller, without Etsy ads, the organic marketing features are not enough to help you stand out among over 97 million products available on Etsy.

While you can drive traffic to your Etsy store through social media and other channels, the platform lacks the advanced marketing features that Shopify provides. If you don’t use Etsy Pattern, you can’t even access your customer emails, which makes it difficult to build your own buyer base and re-market your old customers and those who interact with your shop.

⇒ The verdict: Shopify has more marketing features than Etsy, while Etsy has larger built-in traffic.

Ease of Use

In my experience, Shopify offers a robust platform with extensive customization options, but it can be a bit overwhelming for beginners due to its complex features and setup process. On the other hand, Etsy is incredibly user-friendly, allowing you to set up a shop quickly without much technical know-how, making it ideal for those who want a straightforward selling experience.

Both Shopify and Etsy are user-friendly platforms that are easy to set up and use. However, Shopify has a steeper learning curve due to its greater customizability and more complex features.

⇒ The verdict: Etsy is easier to set up and use than Shopify.

Themes and Design

Shopify has over 220 customizable in-store themes plus thousands of third-party themes that are mobile and desktop responsive, with various design options for many industries. That increases the chance of a good theme choice and helps you to build a strong brand presence.

Etsy doesn’t offer themes for your Etsy store. All you can edit are the images and banners on your storefront, and all the rest must follow Etsy’s layout. This is both good and bad, as you can avoid a messy website layout. However, you can’t customize your site to your preference.

⇒ The verdict: Shopify has many themes and designs, while Etsy doesn’t.

Domain and URL Structure

Shopify allows you to purchase a custom domain name through their platform or connect an existing domain name you already own. This means that your store’s URL can be completely unique and branded to your business. Having a custom domain gives you a professional, recognizable, and trustworthy impression. It also makes it easier for a customer to find you.

Here are what your domain looks like:

• During the free trial: www.yourstorename.myshopify.com
• For official Shopify accounts: www.yourstorename.com

Etsy, on the other hand, does not allow you to purchase a custom domain name. Instead, all Etsy stores are given a subdomain that includes the word “Etsy” in the URL. This can make it more difficult to brand your store and time-consuming to find your site address.

• Etsy’s URLs are structured: etsy.com/shop/shopname.

⇒ The verdict: Shopify offers more flexibility and customization options when it comes to domain and URL structure.

Help and Support

Both Shopify and Etsy have a range of resources and tutorials to help you build and manage your online store through their Help centers. Both also have forums where you can discuss and get support from the seller communities.

Regarding direct support, Shopify provides 24/7 support via various channels like phone, email, live chat, etc. Shopify’s customer support is among the selling points of this platform.

Sellers can contact the Etsy customer support team via phone, email, or live chat. However, customer support service on Etsy is not rated highly because it has a pretty slow response and slow processing and is hard to reach. From my experience, it was a struggle to find a way to send my suspension appeal to the support team, and it took me almost a week to wait for them to fix the problem.

⇒ The verdict: Shopify has better customer service than Etsy.

Security

Shopify and Etsy both take security seriously and offer several features to ensure that their platforms are secure for both sellers and buyers, such as:

• SSL encryption encrypts all data transmitted between the seller, buyer, and the platform. This ensures that sensitive data, such as credit card information, cannot be intercepted by hackers.
• Fraud detection is offered by both Shopify and Etsy to detect and prevent fraudulent transactions, ensuring that both sellers and buyers are protected.
• Both Shopify and Etsy have secure payment processing systems that accept major credit cards and also offer alternative payment methods such as PayPal.

While both platforms offer a high level of security, Shopify has some additional security features worth noting. Shopify offers two-factor authentication, which requires sellers to enter a code sent to their phone or email before logging in. This extra layer of security helps prevent unauthorized access to seller accounts.

Shopify also offers PCI compliance, which is a set of standards for handling credit card information. By being PCI compliant, Shopify ensures that all credit card data is handled securely and in compliance with industry standards. While Etsy does not offer PCI compliance, it does use a secure payment gateway to process credit card transactions.

⇒ The verdict: Both Shopify and Etsy are secure, but Shopify is slightly more secure.

Third-party Apps

Shopify provides users with access to over 8,000 apps on the Shopify App Store, allowing them to add new features and functionalities to their ecommerce business. These apps range from marketing tools to shipping solutions. This wide range of apps available in the Shopify app store makes it easy for Shopify store owners to customize their online stores to fit their specific needs.

Meanwhile, the Etsy store has a more limited selection of integrations available. While Etsy offers third-party apps and integrations for online stores, the number of apps and integrations is dwarfed by what’s available on Shopify App Store. However, Etsy does make up for this by offering some built-in features, such as social media integration, a direct checkout option, and integrated shipping labels.

⇒ The verdict: Shopify integrates with way more third-party apps than Etsy.

Scalability

When it comes to scalability, Shopify is the clear winner.

Shopify is designed to handle a large-scale ecommerce business and can accommodate businesses of all sizes, from small startups to large enterprises. With Shopify, store owners have access to unlimited product listings, unlimited bandwidth, and the ability to handle high levels of traffic.

Etsy, on the other hand, may not be the ideal choice for larger businesses with a large product inventory. This is because Etsy has certain restrictions on the maximum quantity per product, as well as limitations on customization options for the storefront. However, Etsy doesn’t limit the number of product listings, and it’s still possible to build a successful and scalable business on Etsy.

⇒ The verdict: Shopify is more scalable than Etsy.

Product Variety

The product types also count when we compare Shopify vs Etsy because Etsy is famous for vintage, unique, handmade goods and craft supplies. It was only recently that Etsy expanded its product range to include digital items, such as printables and downloads. It has strict guidelines for what can be sold on this ecommerce platform and requires all products to meet specific criteria.

Unlike Etsy, Shopify caters to a wide range of products, from physical goods to digital products, services, and subscriptions. This ecommerce platform is suitable for businesses that sell a variety of products, including clothing, electronics, home goods, beauty products, and more.

⇒ The verdict: Shopify allows you to sell a broader range of products than Etsy, while Etsy is top-of-mind when it comes to certain types of products.

❓Bonus: Can I sell digital products on both Shopify and Etsy?

Yes, you can sell digital products on both Shopify and Etsy. Shopify offers a number of features specifically for selling digital products, such as automatic delivery and the ability to limit downloads. Etsy also allows sellers to sell digital products, such as digital prints, invitation letters, and patterns.

Possible suspension

While Shopify doesn’t suspend your account, Etsy could suspend your account anytime you violate their terms of use (or even when you don’t). Many Etsy sellers complained that their accounts were unreasonably suspended as soon as they were created, and I myself was in the same situation too.

⇒ The verdict: Etsy could suspend your account while Shopify doesn’t.

What you can sell on Etsy and Shopify?

What you can sell on Etsy

Etsy is an excellent platform to sell all sorts of special and unique items. Whether you’re a creator, collector, or someone with a creative idea, Etsy offers a place for you. Let’s explore the various categories of items you can sell on Etsy in more detail:

What You Can Sell on Etsy:

• Handmade jewelry
• Vintage clothing (20 years or older)
• Art prints
• Craft supplies (like beads and yarn)
• Customized gifts
• Home decor (think handmade candles or pillows)
• Wedding items (like invitations or favors)

Honestly, Etsy feels like the go-to place if you’re all about handmade, vintage, or artsy things. It’s got that crafty, personal vibe, which makes it great for small creators.

What you can sell on Shopify

Shopify provides a versatile platform for selling various products and services. Here’s a breakdown of what’s possible:

What You Can Sell on Shopify:

• Clothing lines
• Digital products (like eBooks or online courses)
• Subscription boxes
• Electronics (small gadgets)
• Beauty products (skincare or makeup)
• Pet supplies
• Custom merchandise (T-shirts, mugs)

With Shopify, the sky’s kind of the limit, since you can sell almost anything you can imagine. It’s really ideal if you want to create a more official-looking store with your own brand all over it.

Who should use Shopify? And who should use Etsy?

Shopify and Etsy have their pros and cons. It’s worth noting that there is some overlap between Shopify vs Etsy, and ultimately, the choice of which platform to use will depend on the individual needs and goals of each business or seller.

👍Shopify would be a better choice for you if you are:

• Businesses with a wide range of products to sell
• Those looking to create more typical branded ecommerce websites
• Those who want greater control over the design and functionality of their online store
• Those who want to sell digital products or services

👍Etsy would be a better choice for you if you are:

• Artisans, crafters, and makers looking to sell unique, vintage, handmade goods and craft supplies
• Sellers who specialize in niche or one-of-a-kind products
• Those who want to tap into Etsy’s loyal customer base
• Those who are looking for a more easy-to-use platform with built-in marketing features

Shopify vs Etsy: FAQs

Is Shopify or Etsy better to sell?

The answer to this question depends on various criteria, like your product types and your business goals.

Shopify is better for selling if you’re looking for greater flexibility and control over your store, a wider range of product options, and the ability to scale and grow your business. It offers more advanced features, customization options, and integrations, as well as better support and security. However, if you specialize in handmade or unique products and want to tap into a specific niche market, then Etsy may be the better choice.

Can I use both Shopify and Etsy for my business?

Yes, you can use both Shopify and Etsy for your business. In fact, many sellers choose to use both platforms to reach a wider audience and diversify their sales channels. You can use Shopify to create your own website and sell your products there while also using Etsy to reach a large number of buyers on the platform.

Can I integrate my Shopify store with Etsy?

Yes, it’s possible to integrate your Shopify store with Etsy using an app or integration tool like CedCommerce or SyncSpider. This allows you to list and manage your products on both platforms from a single dashboard and automatically synchronize your inventory, orders, and shipping information.

Who makes more money: Etsy or Shopify Users?

It’s difficult to compare the earnings of Etsy and Shopify users because it depends on a variety of factors, such as the type of products sold, pricing strategy, marketing efforts, and business model.

However, in general, Shopify users have the potential to earn more because they have more control over their pricing, branding, and marketing and can sell a wider range of products. Etsy users, on the other hand, may have a more niche audience and may face more competition, but they have the advantage of selling unique and handmade items that can command higher prices.

Do I need a website if I sell on Etsy or Shopify?

No, you do not necessarily need a website if you sell on Etsy or Shopify. Both platforms provide you with a storefront to sell your products.

Do you need a business license to sell on Etsy or Shopify?

While Etsy and Shopify don't require sellers to have a business license, it's essential to comply with local laws, which may mandate a license based on your location and the nature of your products.

Shopify vs Etsy: Conclusion

In our comparison of Shopify vs Etsy, Shopify seems to be a clear winner with its superiority in features and services, from help and support to product variety. Indeed, Shopify is an all-in-one ecommerce solution that can help you manage your business from a single platform, making it easy to scale and grow.

But fairly speaking, Shopify and Etsy choose a different approach to ecommerce: one provides the infrastructure for online stores to grow, while the other is an online marketplace that attracts sellers and buyers to exchange values and money. Etsy is still an excellent option for creative entrepreneurs and artisans looking to showcase and sell unique products.

Ultimately, the choice between Shopify vs Etsy will depend on your specific needs and priorities for your online store.

🔔Related Posts

• Shopify vs Etsy: Choosing the Best Platform for Print-on-Demand
• Alidropship vs Shopify - Which One is the Better Option?
• Shopify vs eBay: Which One is Better for You?