📦 New Product Categories
Etsy is updating its product classifications. The company announced four new categories: "made by," "designed by," "handpicked by," and "sourced by." These changes are meant to provide more detail to shoppers about how items are made and the seller's involvement. CEO Josh Silverman emphasized, "The consistent theme here is that items are infused with a human touch, because that’s what makes Etsy, well, Etsy." The new categories aim to ensure transparency and maintain Etsy's unique marketplace identity.
🛍️ Vintage and Handmade
Vintage items will now fall under "handpicked by," retaining "vintage" indicators on listings. Handmade items, like a vase by a ceramics artist, will be classified as "made by." The policy update does not permit reselling items made by others, maintaining the platform’s standards. Craft supplies, previously a staple on Etsy, will be labeled "sourced by." Digital items, such as illustrations, will be under "designed by." These categories will be visible on product listings, giving shoppers more insight into each item's creation process.
🚫 Prohibited Practices
Etsy’s new policy reinforces the prohibition of reselling items made by others. Despite previous rule changes, including the 2013 allowance for outside production help, the company strives to keep its handmade ethos intact. This update comes in response to complaints from shop owners about mass-produced items being sold as handmade. The 2022 seller strike highlighted frustrations over the influx of drop shippers on the platform, leading to calls for stricter enforcement of Etsy's policies.
📈 Competing with Giants
Etsy’s changes come as it faces competition from Amazon and Temu. The company has introduced new site features and a Super Bowl ad to attract more buyers. The platform also aims to counteract the rise of AI-generated content being sold as handmade. Silverman stated the goal is to assure shoppers they are purchasing items created or selected by a person. This move seeks to maintain Etsy's reputation as a marketplace for unique, handcrafted items, even as it adapts to new market pressures.
What do you think about Etsy's new product categories?
