Selling online starts with choosing the right platform for your products and customers. Etsy and eBay are two of the most well-known marketplaces, each offering unique advantages for sellers. Etsy is known for handmade, vintage, and craft supply listings, while eBay attracts buyers for everything from collectibles to electronics.
Let’s dive into everything you need to know about each selling platform so you can choose the right one for your business.
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Customer base
The right marketplace puts your products in front of the people most likely to buy them. Etsy and eBay draw very different crowds, and getting to know those audiences can help you figure out where your shop will shine.
Etsy
While Etsy is a smaller platform than eBay, it draws in about 100 million buyers who are on the hunt for unique, handmade, and artisanal goods. If your products resonate with customers who appreciate high-quality craftsmanship, Etsy may be the perfect fit for you.
Etsy is also a strong choice if customer loyalty is part of your growth plan. More than 40% of sales come from repeat buyers, and about 80% of its traffic is direct or organic, which can help reduce your reliance on paid ads. The majority of Etsy’s audience is in the U.S., and it ranks as the fourth most-visited American ecommerce site after Amazon, Walmart, and eBay. Many sellers have even grown their Etsy shops into full-time businesses.
Beyond sales, Etsy offers an active seller community with forums for sharing tips, ideas, and support. The platform also promotes sustainability and ethical practices, which appeals to buyers who want to shop with their values in mind.
eBay
eBay is one of the biggest names in ecommerce, ranking as the second-largest marketplace in the U.S. with about 134 million active shoppers and 18 million sellers worldwide. Buyers come here for just about everything, from secondhand finds to wholesale deals to brand-new products. While most U.S. sales (56.6%) are new goods, there’s still a decent market size for unique or pre-owned items.
Your success on eBay will depend on what you sell and how you position it. Top-selling categories include electronics like cell phones, along with clothing, jewelry, and other in-demand items.
Sales models
Etsy uses a simple fixed-price model, making it easy for creators and artisans to sell everything from digital downloads to custom orders. eBay gives sellers more options, offering both auction-style and fixed-price listings. This flexibility works well for a variety of products and buyer preferences.
Nowadays, it’s easy to make money online from home—you just need to learn how to leverage each platform’s strengths.
Flexibility of switching or cancelling selling plans
eBay and Etsy make it easy for sellers to adjust their plans as their business evolves. On eBay, you can switch between Store subscription levels or cancel directly from your Seller Dashboard. Etsy offers similar flexibility, letting you upgrade or cancel your subscription to match your store’s needs. This freedom helps sellers scale up or down based on sales volume and market demand.
Shipping
Both eBay and Etsy make shipping straightforward with built-in tools and resources to help sellers manage orders efficiently.
Etsy
Etsy offers its own shipping tools, providing sellers with an easy way to manage orders and keep costs under control. It’s cheaper than shipping directly with most carriers because Etsy offers sellers discounted postage labels (for carriers like USPS, FedEx, and Canada Post). Etsy also enables sellers to set up reusable shipping profiles to streamline their processes.
Etsy also offers calculated postage to make pricing easier, shipment tracking to keep orders on schedule, bulk editing for delivery profiles, and customs form support for international orders. Unlike eBay, Etsy isn’t built for dropshipping; everything sold must be handmade, vintage, or craft supply items you create or source yourself.
eBay
On eBay, you may feel pressure to offer free shipping to stay competitive. The Consumer Trends 2025 Report by JungleScout found that 62% of consumers rank price and discounts as the top factor in purchase decisions. Offering economy shipping—or adjusting your item prices to cover the cost of free shipping—can help you attract more buyers. Although 71% of purchases on eBay include free shipping, sellers can also offer shipping discounts or flat rates to stay competitive.
eBay makes shipping simple with tools like printable shipping labels, free co-branded shipping supplies, a shipping calculator to compare carrier costs, and a global shipping program that takes care of customs and delivery for international orders.
Unlike Etsy, eBay also offers local delivery and pickup options alongside shipping to make selling more affordable and convenient.
If you’re thinking about starting a dropshipping business, you can sell your products through eBay. eBay’s Managed Delivery Service, launched in 2020, helps sellers fulfill orders quickly and efficiently.
Related: How to sell on Walmart
International shipping considerations
If you plan to sell globally on eBay, it’s important to understand the platform’s international fees and currency conversion charges. For US-based sellers using eBay International Shipping, we recommend reviewing eBay’s international shipping policies via their help documentation.
Seller fees
eBay can feel more inviting for new sellers because it offers up to 250 free listings per month. Etsy doesn’t offer that same perk, but its fees are more predictable and consistent. Etsy charges a small fee for every listing, while eBay’s costs can vary widely depending on your subscription level, sales volume, and listing types. Both platforms let you create an online store, but Etsy’s Pattern stores are generally more affordable than eBay’s store subscriptions.
Etsy platform fees (2025)
Selling fees on Etsy are simple and clearly defined. Each listing costs $0.20 and expires after four months, with automatic renewals unless you turn them off. Sellers pay the same $0.20 to renew listings, but Pattern-only listings (through Etsy’s personalized website tool) never expire and don’t carry a listing fee.
When an item sells, Etsy charges a transaction fee—6.5% of the total sale price, including shipping and gift wrap—plus payment processing fees if you use Etsy Payments (3% + $0.25 per transaction in the US, varying by bank location). Currency conversion fees may also apply.
For example, if you sell a handmade necklace for $50 plus $5 shipping, your transaction fee is 6.5% of $55 ($3.58), plus payment processing of $1.75 ($50 x 3% + $0.25). Your total fees for this sale would be about $5.33, plus the $0.20 listing fee.
Etsy Plus, available to sellers in good standing, costs $10/month and offers features like a custom domain and extra customization tools. If you want to run a Pattern store, the first 30 days are free, then $15/month.
Etsy fee breakdown:
- Listing Fee: $0.20 per item, renews every 4 months
- Transaction Fee: 6.5% of the total sale price (including shipping)
- Payment Processing Fee (US): 3% + $0.25 per transaction
- Etsy Plus: $10/month for advanced features and customization
- Pattern Store: $15/month after a 30-day free trial
eBay platform fees (2025)
eBay’s fees vary more depending on how you sell. Casual sellers can list without a store, but store owners get higher free listing allowances and more tools. Store subscriptions are billed monthly or annually at different rates:
- Basic: $27.95/month or $21.95/month annually
- Premium: $74.95/month or $59.95/month annually
- Anchor: $349.95/month or $299.95/month annually
Sellers get up to 250 free listings per month (or more with a store). After that, sellers pay $0.35 per listing, charged per category. Final value fees apply when an item sells and are based on a percentage of the total sale amount plus a per-order fee ($0.30 for orders $10 or less, $0.40 for orders over $10).
Extra fees may apply for things like below-standard performance (an additional 6%), high “Item not as described” return rates (5% in certain categories), international sales (1.65% fee if not using eBay International Shipping), or currency conversion (3% for US sellers). There’s also a $20 dispute fee if you’re found responsible for a case.
If you sell a camera for $400, for instance, our final value fee at 13.25% would be $53, plus the $0.40 per-order fee. If the buyer is international and you’re not using eBay International Shipping, you’d add an extra 1.65% ($6.60). That sale could cost you around $60 in fees before shipping.
eBay fee breakdown:
- Insertion fees: 250 free/month, then $0.35 per listing per category
- Final value fee: Percentage of total sale + per-order fee ($0.30 or $0.40)
- Additional fees: Policy violations, performance penalties, international fees, currency conversion, disputes
- Store subscription: Basic, Premium, or Anchor plans at monthly or annual rates
Advertising fees
Etsy and eBay take very different approaches to how sellers pay for ads. Etsy Ads work on a daily budget and pay-per-click model, while eBay’s Promoted Listings are based on a percentage of the final sale price. That difference impacts both cost predictability and risk for sellers.
Etsy
With Etsy Ads, sellers set a daily budget—starting as low as $1—and pay each time someone clicks their ad. Costs per click vary and are billed the next day, meaning you’re paying for traffic whether the item sells or not.
Etsy also offers Offsite Ads, which run on platforms like Google, Facebook, Instagram, Pinterest, and Bing. These work on a commission model: sellers making over $10,000 per year on Etsy pay 12% of the sale price, while those under that threshold pay 15%. You’re only charged if the ad results in a sale.
eBay
eBay’s Promoted Listings use a percentage-based ad rate set by the seller. You only pay if a buyer clicks your promoted listing and purchases the item within 30 days of that click. The fee is based on the ad rate in effect at the time of the first click.
Seller experience
Selling on eBay and Etsy feels very different. eBay is a fast-paced, competitive marketplace where performance metrics matter. Etsy leans toward a collaborative, community-driven environment that’s especially welcoming to small businesses and makers. Let’s take a closer look at the seller experience on both platforms.
Performance: Etsy
On Etsy, seller performance is measured more by customer satisfaction than by strict platform metrics. Buyers can leave reviews through Etsy’s rating system, which plays a big role in building trust and encouraging future sales. Sellers are part of a large maker community where feedback, advice, and support are shared freely through Etsy’s community forums.
Etsy’s community is highly committed—97% of sellers run their business from home, 29% say that their creative business (on and off Etsy) is their only occupation, and 70% see their shop as a business rather than a hobby. This focus on running a real business makes Etsy a strong choice for sellers who value independence and creative control.
Etsy provides guidance on best practices, like marketing tips and advertising strategies, but doesn’t rate sellers with formal performance levels. For more ways to grow your Etsy shop, explore these tips for scaling your Etsy business.
Performance: eBay
eBay rewards sellers who consistently deliver excellent customer experiences. Seller levels—Above Standard, and Top Rated—are trust signals for buyers that can help boost sales.
To become a Top Rated Seller, you’ll need:
- An active eBay account for at least 90 days
- 100+ transactions and $1,000+ in sales within 12 months
- Compliance with eBay’s selling practices policy
- Strong metrics for defect rate, resolution cases, and on-time shipping
Buyers can also leave public feedback through eBay’s feedback score system, giving potential customers more insight before they purchase.
Seller tools: Etsy
Etsy’s seller tools are built for simplicity and connection. The Etsy Seller Handbook offers free advice on improving sales, and the community forums make it easy to share experiences with other sellers. The Etsy app keeps you connected on the go, so you can manage orders, update listings, and respond to customers anywhere.
Seller tools: eBay
eBay gives sellers a suite of professional tools to help scale their business:
- Seller Hub: Free dashboard to manage operations and track performance
- Selling Templates: Create consistent, high-quality listings faster
- eBay App: Access tools and manage your store from anywhere
- Sales Reports: Track results, analyze sales drivers, and make informed decisions
Product focus and policies
Etsy and eBay both have clear product guidelines, but their focus and rules shape very different selling experiences.
Etsy policies
Etsy is built for handmade, custom-designed, vintage, and carefully curated goods. Sellers must either create their products or source them in a way that maintains Etsy’s focus on originality and craftsmanship. This makes it a great fit for artists, makers, and small brands that want to stand out in a niche market.
Etsy prohibits dropshipping, reselling mass-produced goods, and listing certain items like alcohol, weapons, and counterfeit products. The goal is to keep the marketplace authentic and customer trust high. If your products tell a story or showcase unique skills, Etsy can help you connect with the right audience.
eBay policies
eBay allows everything from handmade and vintage items to electronics, clothing, collectibles, and more. This makes eBay attractive for sellers who want to reach a large, diverse customer base or list multiple product types in one store.
Like Etsy, eBay bans counterfeit goods, weapons, alcohol, and other restricted items to keep the marketplace safe. However, it’s more flexible in sourcing, meaning sellers can list mass-produced products, wholesale items, or use fulfillment methods like dropshipping. If you want to sell custom products without holding inventory, print-on-demand selling through eBay is another option worth exploring.
Etsy vs. eBay: Which will you choose?
Deciding between eBay and Etsy comes down to your products and your audience. If you sell handmade, creative, artistic, unique, or vintage items, Etsy offers a niche marketplace with customers who value craftsmanship. If you want a platform with massive reach and a wide variety of product categories, eBay can work for almost any type of seller.
Whichever you choose, we’ve got resources to help you start strong. Check out our guide to selling on eBay and our guide to becoming an Etsy seller to set up your store, attract customers, and grow your online business.
Ready to explore even more ways to earn online? Check out this blog on side hustle ideas for inspiration and tips on turning your skills into income.
