Etsy vs Shopify: which should you choose?
Etsy and Shopify are two of the most popular platforms for new online sellers — but they work in very different ways. Etsy is a marketplace where buyers come to browse; Shopify is a platform where you build your own shop and drive your own traffic. Neither is universally better. The right choice depends on what you are selling, how much you want to spend, and how much control you want over your brand.
What is Etsy?
Etsy is an online marketplace focused on handmade, vintage, and unique products. It has over 90 million active buyers who come specifically to discover independent sellers. When you open an Etsy shop, you are placing your products inside an existing marketplace with built-in search traffic. This means you can get your first views and sales relatively quickly without doing your own marketing.
What is Shopify?
Shopify is a platform that lets you build your own standalone ecommerce store. Your shop lives at your own domain (e.g. myshop.com), fully branded to your business. Shopify gives you complete control over your design, checkout, customer data, and brand experience — but it does not come with built-in customers. You need to drive traffic yourself through social media, SEO, paid ads, or email marketing.
Fees comparison
Etsy charges a £0.16 listing fee per product, a 6.5% transaction fee, plus payment processing fees. There is no monthly subscription for the basic plan (though Etsy Plus costs $10/month). Shopify starts at $32/month (Basic plan) plus payment processing fees of 2.9% + 30¢. For a new seller on a tight budget, Etsy is lower risk to start — you only pay fees when you sell. Shopify makes more financial sense once you have consistent sales to justify the monthly fee.
Traffic and discoverability
This is the biggest practical difference. On Etsy, buyers are already there searching for products. Good listing SEO (the right keywords, strong photos, compelling titles) can bring you organic views without any additional marketing. On Shopify, you start with zero traffic and must build your audience from scratch. This requires time, effort, and often money (ads, content creation). For most beginners, Etsy is an easier starting point.
Brand control
Etsy shops all look similar. You can customise your banner and profile, but your checkout, product pages, and overall experience are controlled by Etsy. Your customers are technically Etsy's customers. Shopify gives you full brand ownership — your domain, your checkout, your customer emails, your data. If building a recognisable brand is important to you, Shopify gives you far more flexibility long-term.
Which should you choose?
Start with Etsy if you are selling handmade, vintage, or unique products and want to test the market quickly without a monthly fee. Start with Shopify if you have an established audience (social media following, email list), are doing dropshipping or POD at scale, or want full brand control from day one. Many successful sellers start on Etsy, build up sales and confidence, then add a Shopify store later to own their customer relationships and brand.
Related Kit
Etsy Seller Starter Kit
Set up your Etsy shop the right way from day one. This kit covers everything from your shop name and branding to writing listings that actually get found.
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