Difference between eBay and Etsy

The importance of a firm having an online presence cannot be overstated. Traditional advertising methods are no longer sufficient for modern businesses. Billboards, radio, television, and newspapers are still utilized, but the internet is now widely recognized as the most efficient medium for connecting businesses with consumers. To maximize their potential for new customers and revenue, businesses must utilize several digital resources, such as their websites, social media accounts, and online stores.

By making their products available on as many online marketplaces as possible, startups may increase their brand awareness and sales. Some of the most prominent instances of online marketplaces are Alibaba, eBay, Amazon, and Etsy. This article will compare and contrast the online marketplaces Etsy and eBay.

What is eBay?

The company's headquarters are in San Jose, California, although it operates all around the world. In addition to facilitating transactions between businesses, its platform also facilitates sales between individual consumers. The firm was founded by Pierre Omidyar in 1995. As of the year 2019, the company's activities extended to 32 nations. While there is no cost to buyers, sellers will be charged a fee based on a percentage of their gross sales.

The website has evolved to provide new features, such as a marketplace for instant purchases, an international standard book number (ISBN) database, an online ticket exchange, a classifieds section, and more. Some of its affiliates include iBazar, StubHub, Auction Co., Kijiji, eBay Classifieds, G−Market, and Half.com. The sale of some items, however, is restricted. Alcoholic drinks, illicit substances, firearms and ammunition, live animals, virtual objects, ivory goods, and lottery tickets are not allowed.

If you intend to sell something on eBay, you should −

  • Because of this, posting your things will be a breeze. A bonus is a feature that lets sellers make several similar listings for their wares in a short amount of time.

  • There are millions of prospective buyers out there, and you can communicate with them.

  • You'll also be able to advertise your wares to customers all around the world.


  • Since eBay takes a cut of all profits, running your business on the platform might get expensive.

  • Many of your consumers may not be reliable. This may probably be frustrating, time−consuming, costly, and demoralizing.

What is Etsy?

This American online market carries a wide variety of creative supplies and antiques. It was founded on June 15, 2005, as a publicly listed company by Chris Maguire, Robert Kalin, Haim Schoppik, and Jared Tarbell. The company officially started doing business today.

Clothing, bags, home decor, toys, jewelry, furniture, art, tools, and craft supplies are just some of the things that may be found on the site. Any antique offered for sale on our website must be at least twenty years removed from its original production date

There are approximately 60 million goods for sale and 39.4 consumers as of December 31, 2018. In 2018, Etsy earned $41.25 million in profit after tax and had sales of $603.7 million. The firm generates the majority of its revenue through transaction processing, advertising, and payment processor fees. Though it's free to create a shop on the site, it costs $0.20 to publish an ad, which remains up for four months or until a sale is made, whichever comes first. Etsy also deducts 5% of all sales proceeds as its fee.

Etsy offers a number of benefits, including the following −

  • The website attracts both a broad and niche demographic of shoppers who have disposable income to spare and are ready to splurge on unique, high−quality products.

  • It's easy to use and seems like an actual online store.


  • It can be challenging for a firm to stand out from the crowd if they display the same or similar products as their competitors but don't invest much in photography, graphic design, and aesthetics.

  • The commission structure is quite expensive.

  • It's feasible that copycat versions of popular branded products might fuel unhealthy competition.

Differences: eBay and Etsy

Both eBay and Etsy are publicly traded companies. The United States is home to the headquarters of both organizations. The two companies share a common interest in the online retail industry.

The following table highlights how eBay is different from Etsy −

Characteristics eBay Etsy
Founders In 1995, Pierre Omidyar was the driving force behind launching eBay. Etsy was founded in 2005 by Chris Maguire, Robert Kalin, Haim Schoppik, and Jared Tarbell.
Headquarter eBay's headquarter is in the Californian city of San Jose. Etsy's headquarter is located in Brooklyn, New York.
Product listing eBay is an online trading site that specializes in selling new and secondhand items, many of which are manufactured in big quantities. Etsy is an online shop where people can buy and sell unique, handmade creations.
Size When it comes to online marketplaces, eBay is among the biggest with over 183 million members being served as of 2018. Etsy, a more niche online market place, with approximately 45.8 million users as of this year.
Seller fees Despite eBay's incentives for up to 50 free listings per month, sellers are still required to pay annual or monthly fees on the site. These prices vary based on the seller's listing type, listing volume, and usage of eBay's advanced listing features. The listing fee for each item on Etsy is $0.20, and items that have been posted for more than four months will be removed off the site.
Customer type Buyers on eBay are always on the lookout for products that may be acquired at a discount compared to other options. The majority of Etsy buyers are on the lookout for unique, handcrafted things that can't be found anywhere else.
Seller tools There are several resources available to eBay merchants, such as a seller center, selling manager tools, a promotions manager, and sales templates. Etsy does not offer these features.


eBay is an online marketplace site that specializes in selling new and secondhand items, many of which are manufactured in big quantities. Etsy is an online marketplace that focuses on the selling of handmade, unique products. Despite their differences, the two platforms are equally well suited to entrepreneurs that are looking to build their brands and increase their consumer bases. However, you must make certain that you integrate your business with the proper online systems.

Updated on: 25-Nov-2022


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