Is Selling Shirts On Etsy Profitable in 2024? | 4 Factors To Consider

July 20, 2024

Selling shirts on Etsy can be profitable in 2024 if you:

  • Avoid selling the same designs that everyone else is selling
  • Account for all Etsy and product fees when setting your pricing
  • List a large volume of shirts

  • Leverage digital marketing strategies

T-shirts are one of the most popular items sold on Etsy, with many Etsy stores even selling similar T-shirt designs. Trying to sell the same popular designs as other Etsy sellers can really squeeze your profit margins because lowering your price is really the only way to attract sales when selling the same item as other sellers. To optimize your profit potential with T-shirts on Etsy, it's best to avoid using pre-made designs from sources like Creative Fabrica and instead create 100% unique designs that other Etsy sellers can't easily replicate. 

Many Etsy sellers only account for a fraction of the fees associated with selling on Etsy. To profitably sell T-shirts on Etsy, you need to account for more than just the selling price of the shirt and the cost to create and ship it. You also need to calculate additional costs of selling T-shirts on Etsy, such as Etsy fees like the listing fee and transaction fee, sales tax, exchange rate, and advertising. After doing an audit, an Etsy T-shirt seller on Reddit realized they were earning substantially less than they expected because they didn’t account for all costs associated with selling shirts on Etsy. 

T-shirt sellers on Etsy are lucky to make a few dollars per sale. As such, you need to sell a high volume of products to realize decent profits with the business model. Most Etsy sellers agree that to achieve a high enough volume of sales to make the business model worth it, you should have at least 50 active listings on Etsy. Having more listings helps push more traffic to an Etsy shop and increases sales potential. This is because more listings improve the chances that a customer will find your shirts in Etsy search and then explore your entire Etsy store product catalog by accessing it from that first listing they were interested in. 

Beyond enough active listings, Etsy shirt sellers can optimize their profit margins by leveraging digital marketing tactics to drive more traffic to their Etsy store. Digital marketing with Etsy starts with Etsy SEO, using relevant keywords in your product title and description so that customers can find your products through Etsy search. However, selling T-shirts on Etsy is so competitive these days that many sellers leverage marketing channels outside of Etsy to promote their Etsy stores. 

Hannah Ebeling uses social media marketing to achieve over $8K/month selling T-shirts on Etsy. She creates niche-specific Instagram accounts to promote her Etsy T-shirts, using Kittl to help her create engaging posts and stories to attract a relevant audience. 

An alternative online business model that is much less competitive and more profitable than selling T-shirts on Etsy is local lead generation. Local lead generation entails setting up websites that attract customers for local service businesses and selling the leads to real local service businesses for $500 to $3,000/month. Instead of competing against Ecommerce sellers across the globe like Etsy T-shirt sellers do, local lead generation website owners just compete against a small handful of local business owners. Lead gen sites only cost a few hundred dollars to set up and can generate up to 90% profit margins. 

In the following article, we discuss further whether selling shirts on Etsy is profitable by talking about how much profit you can make and guiding you through setting up a profitable Etsy store. 

5 Awesome Reasons Selling Shirts On Etsy Is Profitable

1. Etsy Doesn't Require Tech Skills To Set Up And Maintain

You don't need to be good at technology to start selling on Etsy. The platform is great for beginners who might not know much about setting up online shops. 

If you're new to selling things online, Etsy is a good place to start. It's simple to set up a shop. You don't need to understand complicated tech stuff. This means more people can try selling their own shirts.

A survey by MeteorSpace says that 76% of e-commerce consumers say convenience is their top priority when shopping online. Etsy has built its platform with this in mind, making it easy to use. This approach has attracted about 7.5 million sellers according to Statista, many of whom are new to online selling.

Since Etsy is easy to use, you can focus on making and selling your shirts. You won't have to spend much time figuring out how to use the website.

2. Etsy Gives You Access To Their Established Customers

Selling on Etsy means you get access to millions of customers right away. This is great for beginners. Etsy has many buyers who are looking for special, handmade items like the shirts you might sell. Actually, the top results for shirt sales on Etsy are those with unique and custom handmade pieces,

If you're new to selling online, Etsy's big customer base is a big plus. Your shirts can be seen by lots of people from the start. You won't need to work as hard to find customers as you would with your own website.

Etsy is really popular. It has over 95 million people according to Statista who buy things there. That's a lot of potential customers for your shirts. Even if you're just starting, your products could be seen by many of these buyers.

Having so many potential buyers on Etsy is helpful when you’re starting out. You're not just opening a shop; you're joining a big marketplace. This can help you make sales faster, which is especially useful if you're new and trying to get your shirt business going.

3. Etsy Is A Trusted Platform

Etsy is known for being a safe and reliable place to buy and sell. This is really important online. People like to shop where they feel safe. For someone just starting to sell, like you, this is a big advantage.

If you’re new to selling online, Etsy's good reputation helps you. People are more likely to buy from you on Etsy because they trust the site. You don't have to spend years building up your own shop's trust. Etsy has already done that work.

Etsy is a platform that many customers trust. Sitejabber says that Etsy has an average of 3.25 stars from 2,430 reviews. This means most people who shop there are happy with what they buy. They like the handmade items, the quality, and how good Etsy is for shopping. This positive feedback is very helpful for new sellers. It shows that people like shopping on Etsy, which is good for your business.

Selling on Etsy means you're part of a trusted marketplace. People are more open to buying from new shops on Etsy because they trust Etsy to take care of them. This makes it easier for you to start selling and grow your business.

4. Etsy Already Has An Established Payment System

Etsy has a simple and safe way to handle payments. This is good for sellers, especially if you're new to selling online. You don't have to figure out how to get paid by your customers. Etsy does all that for you.

If you're just starting to sell, not having to worry about payment systems is a big help. You can sell your shirts without dealing with complicated payment setups. This makes it easy for them to buy from you.

Etsy's payment system accepts many types of payments. Etsy payment systems support multiple payment methods, including credit cards, debit cards, Etsy Gift Cards, Etsy Credits, some bank transfer services, PayPal, Apple Pay, and Google Pay.

With Etsy taking care of payments, you can focus on making and selling your shirts. This makes things simpler for new sellers. It also makes buyers more likely to buy from you, because they can pay in ways they like and trust. This can lead to more sales and customers who come back.

5. Etsy Shirt Business Has High Demand

Selling shirts on Etsy is a good idea because a lot of people want to buy unique and custom shirts. There's a big market for shirts that are different or have special designs. 

If you're new to selling, this is good news. You have a good chance to sell your shirts because people are already looking for them. You don't have to try too hard to find customers because they are already interested in buying unique shirts. 

The market for custom shirts, especially in the USA, is getting bigger. Currently, it’s over $2 million and is expected to reach over $3 billion in the next two years according to Statista. This growth is because more people want to wear shirts that are personalized or show their style. Selling on Etsy puts you in a big market with lots of potential buyers. 

There's a strong demand for shirts on Etsy, which is great if you're starting out. Since people are already looking for unique shirts, you can focus on making shirts that stand out. This can lead to more sales and a growing number of customers for your shop.

Can You Make Profit By Selling Shirts On Etsy?

Yes, you can make a profit by selling shirts on Etsy. Many people have made good profits from their Etsy shirt shops. There are sellers on Etsy who have made a lot of money, like over $100,000 a year, by selling unique or custom shirts. 

How much money you make depends on your t-shirt design, how you sell them, and how you manage your costs. But, the chance to make a profit is definitely there. The market for custom shirts is growing. This means more and more people want to buy unique shirts, which is good for Etsy sellers. 

So, yes, you can definitely make a profit by selling shirts on Etsy. With the right shirts and good selling strategies, your Etsy shop has a chance to do well in this growing market.

How Much Profit Can You Make In Selling Shirts On Etsy?

The amount of money you can make by selling shirts on Etsy is around a few hundred dollars a month to a few thousand. Your profit will depend on things like how unique your shirts are, how many you sell, and your pricing. 

You need to think about how much it costs to make your shirts and how much you sell them for. The difference between these two is your profit. If you price your shirts well, you can make more profit. But remember to keep prices reasonable for your customers. Selling more shirts usually means more profit. But you have to balance this with keeping your quality high. 

Take Cassiy Johnson's experience. In her first month of fully selling POD shirts on Etsy, she earned a profit of $133 from 41 sales. Fast forward to her 13th month, and her profit had soared to over $8500 from 880 orders. 

Cassiy's journey illustrates the potential for profit growth over time on Etsy, especially with a focused and evolving business strategy. 

There's no exact number for how much profit you can make. It's different for each seller. But if you have a great shirt design and good selling strategies, you can make a good profit on Etsy.

How To Start Selling Shirts On Etsy To Make Profit?

Set Up Your Etsy Shop

Go to the website and create an Etsy account. Click 'Sell on Etsy,' then 'Open your Etsy shop,' and follow the setup instructions.

Choose Your Shop Name

Select a name that is both unique and memorable for your shop.

Create Your Shirt Designs

Design shirts that are unique or follow popular trends. You can use design software or hand-draw your designs.

Take Quality Photos

Take clear, well-lit photos of your shirts. Show different angles and details.

List Your Shirts on Etsy

Add a new listing in your shop with photos, detailed descriptions, pricing, and shipping details.

Promote Your Shop

Use social media, Etsy ads, or word of mouth to promote your shirts.

Manage and Grow Your Shop

Track orders and customer feedback, and regularly add new designs to keep your shop updated.

How To Create Profitable Shirts To Sell On Etsy?

Identify Popular Trends

Staying up-to-date with current trends can make your shirts more appealing. Use social media, fashion blogs, and Etsy's own trend reports to see what styles and themes are popular.

Focus on Quality

High-quality shirts tend to get better reviews and repeat customers. Choose durable fabrics and ensure high-quality printing. If you're not making the shirts yourself, find a reliable supplier.

Offer Customization

Personalized products can attract more customers. Provide options for customers to request custom colors, text, or designs.

Create Unique Designs

Unique and original designs help your shirts stand out. Develop your own designs or collaborate with an artist. Avoid copying existing designs.

Use SEO Strategies

Good SEO helps your products appear in search results. Use relevant keywords in your product titles and descriptions. Research keywords that Etsy shoppers are likely to use when searching for shirts.

How to Use Printify to Sell Shirts on Etsy

You can use Printify to sell shirts on Etsy. Printify is a print-on-demand platform that allows you to create custom-designed shirts and other products without the need for inventory or handling shipping. You can sell unique and profitable custom shirts in your Etsy store while Printify handles the production and order fulfillment.

What Are The Factors That Increase Profits In Selling Shirts On Etsy?

  • Unique and Appealing Designs: Shirts with unique designs stand out and attract more buyers. Shirts that feature original artwork or unique concepts are more likely to catch the eye of shoppers. With the custom t-shirt printing market expected to increase 2.3 times in the next decade according to Printful, the demand for personalized and one-of-a-kind shirts is on the rise.
  • Variety of Colors and Sizes: Offering a range of colors and sizes can appeal to a bigger audience. More options mean you can cater to different preferences, increasing the chances of sales.
  • High-Quality Material: Quality materials lead to satisfied customers and repeat business. Shirts made with high-quality fabric last longer and get better reviews. Hubspot says that for 74% of customers, the most important thing that makes them stick with a brand is the quality of the product.
  • Effective Pricing Strategy: Pricing your shirts correctly can maximize your profits. Competitive pricing, while still ensuring a good profit margin, is key. Effective pricing strategies can lead to a 2 to 7 percent boost in sales revenue according to McKinsey and Company.
  • Strong Branding and Marketing: Good branding and marketing make your shop more recognizable and trusted. Using social media, Etsy SEO, and Etsy ads can drive more traffic to your store. Optinmonster reports that 90% of marketers report that using social media marketing has boosted their business's visibility.

What Are The Profitable Shirt Niches To Sell On Etsy?

  • Personalized Family Shirts: Shirts that can be customized with family names, special dates, or matching designs are very popular. They are often bought for family reunions, holidays, and as gifts. In fact, ProductsDesigner says that more than 80% of customers are willing to pay extra for these personalized clothes.
  • Eco-Friendly and Organic Shirts:These shirts are made from sustainable materials and feature eco-friendly themes. They come in natural and earthy colors, appealing to consumers who care about the environment. According to Forbes, almost 30% of buyers want to support environmental improvements, making these shirts attractive to them.
  • Vintage and Retro Style Shirts:Shirts with old-school designs, retro band logos, and vintage patterns are popular. They appeal to customers who enjoy nostalgic and unique fashion styles. A study by PRNewswire found that many Americans like vintage items, with 60% of shoppers in the U.S. often buying vintage things.
  • Fitness and Yoga-Themed Shirts:Shirts with motivational quotes, yoga poses, and fitness-related graphics are available in a variety of sizes to fit all body types. They are popular with people who are health-conscious and interested in fitness. The market for gym and fitness apparel is expected to grow, reaching over $350 billion in the next few years according to Growth Market Reports.
  • Local Pride Shirts:Shirts featuring local landmarks, city names, or regional jokes are tailored to specific areas and attract both locals and tourists. They are popular because they connect with a sense of local pride or humor. 

Is Selling Shirts On Etsy Worth It?

Yes, selling shirts on Etsy can be worth it if you take the right approach. 

This includes identifying a unique niche and target audience. Find a specific market or interest group that isn't oversaturated. This increases your chances of standing out and attracting a dedicated customer base. Ensure your shirts are of good quality in terms of fabric, print, and design. Customer satisfaction leads to repeat business and positive reviews, which are crucial on the Etsy marketplace. Additionally, pricing your shirts competitively and using effective marketing strategies like social media and SEO are key. Providing excellent customer service is also crucial for building a strong reputation.

However, be aware of the challenges. The shirt market on Etsy is competitive, making it challenging to stand out. Fashion trends can change quickly, requiring constant adaptation. Etsy charges listing and transaction fees, and production costs can be high, affecting profit margins. Success requires significant time and effort, especially for marketing and customer service.

How to Make Money on Etsy without Making Anything

You can make money on Etsy without making anything by choosing the right niche and promoting your Etsy business through an Etsy ad or on social media. You can sell through dropshipping, POD, or even become an Etsy affiliate. As an Etsy shop owner, you can earn steady income if you have the right product and marketing strategy.

Final Verdict: Is Selling Shirts On Etsy Profitable?

Yes, selling shirts on Etsy can be profitable if you do a few key things. First, make sure your shirt designs are unique. This will help you stand out from other sellers. Quality is also important; good-quality shirts are more likely to get positive reviews, which can attract more customers. 

Setting the right price is crucial too. You need to make sure you cover your costs and make a profit, but also keep prices attractive for buyers. There are plenty of people shopping on Etsy, so there's a chance to make good sales.

However, there are challenges. The shirt market on Etsy is very competitive, so it can be hard to get noticed. Fashion trends change fast, so you need to keep updating your designs. Also, remember that selling on Etsy isn't free. There are fees for listing items and for when you make sales, and these can affect your profits. Plus, running an Etsy shop takes a lot of time and effort, especially in marketing and dealing with customers.

5 Unnoticed Facts Others Claim Selling Shirts On Etsy Is Not Profitable Anymore

1. Etsy Seller Population Is Skyrocketing

The number of sellers on Etsy is growing fast, which makes selling shirts there more difficult, especially for beginners. With more sellers, it's harder to get noticed. For shirts, a very popular item on Etsy, this means your shop is one among many.

If you're just starting, this competition can be tough. You have to work harder to make your shop stand out. Because there are so many sellers, you might have to lower your prices to attract buyers. This means you could earn less money. To get noticed, you might need to spend more on ads or promotions. This costs money and can cut into your profits.

As for numbers, Etsy has over 7.5 million sellers according to Statista, and many of them sell printable items like shirts. This huge number adds to the competition. So, selling shirts on Etsy can be tough because there are so many other sellers, and this can make it hard to earn a lot of money, especially when you're just starting out.

2. Etsy Creates Constant Changes To The Platform

Etsy often changes its platform, and this can be hard for sellers, especially if you're new and trying to sell shirts. 

Every time Etsy changes how it works, like how products are searched or shown, sellers have to adjust. This can be tough if you're new and still learning how Etsy works. If you don't quickly adapt to these changes, your shirts might not show up well in search results. This means fewer people might see and buy your shirts.

Sometimes, Etsy changes its fees. For someone just starting, figuring out how to price your shirts while still making a profit can be tricky. Staying on top of all these changes takes a lot of time and effort. This can be a lot to handle, especially when you're also trying to make and sell your shirts.

Etsy can also change its rules about what you can sell or how you can sell it. Understanding and following these new rules can be hard for beginners. For example, if Etsy changes how it ranks shirts in search results, it could mean fewer people see your shirts. Or, if Etsy increases its fees, it could make it harder to make money from selling shirts.

So, for someone just starting on Etsy, these constant changes can make it harder to get noticed and make a profit.

3. Etsy Fees Can Eat Your Profit Soon

Etsy's fees can take a big chunk out of your profits when you sell shirts. 

Every time you put a shirt up for sale on Etsy, you pay a listing fee. This fee is small, but if your shirt doesn't sell quickly and you have to list it again, the costs can add up. Etsy takes a percentage of what you sell your shirt for, known as the transaction fee. So, the more shirts you sell, the more money Etsy takes. Every time someone buys your shirt, Etsy also charges a payment processing fee. This fee depends on where you are, but it's an extra cost for every sale.

Etsy can raise these fees, which means you could pay even more in the future.

Here is an example computation of the fees you pay when you list an item up for sale on Etsy:

Example of Fees:

Say you sell a shirt for $20. Etsy charges a 5% transaction fee and a 3% + $0.25 payment processing fee. Plus, there's a $0.20 listing fee. So, you pay:

Listing Fee: $0.20

Transaction Fee: $1.00 (5% of $20)

Payment Processing Fee: $0.85 (3% of $20 + $0.25)

Total Fees: $2.05

After these fees, you're left with $17.95 from your $20 sale. Remember, this doesn't include the cost of making the shirt. So, Etsy's fees can really affect how much money you make, especially if your shirts aren't very expensive or if you're just starting and don't sell a lot yet.

4. Etsy Shirt Business Takes Time And Effort To Build

Starting and running a shirt business on Etsy requires a lot of time and hard work, which can make it tough to make a profit, especially at first. 

You need to spend time making your shirt designs, setting up your shop, and putting your products on Etsy. This effort doesn't guarantee quick sales. To keep your shop going, you have to keep making new designs, update your Etsy listing, manage your stock, answer customer questions, and send out orders. This is a lot of ongoing work.

There are many Etsy sellers who have been there for a long time. They already have customers and good reviews. As a new seller, it's hard to compete with them and get noticed. Just putting shirts up for sale isn't enough. You need to market them, like using social media or Etsy ads. This takes time and sometimes money.

You need to quickly answer customer questions, handle special requests, and deal with any feedback. This is important for keeping customers happy and needs regular attention. Etsy often changes how things work, like search or fees. Keeping up with these changes and adjusting your shop can take up more of your time.

So, while selling shirts on Etsy can eventually be profitable, it requires a lot of ongoing effort, patience, and the ability to stand out in a crowded market. This can be especially challenging for new sellers just starting out.

5. Etsy Has Steeper Learning Curve As More Sellers Become Experts

As more sellers on Etsy become experts, it gets harder for new sellers to start a business there, especially in selling shirts.

Many sellers on Etsy already know how to use the site well. They know how to make their products show up in searches, how to make their listings look good, and how to market their products.

If you're new, you have to learn a lot quickly. This isn't just about how to list your shirts for sale. You also need to learn how to get your shirts to show up in searches, how to use Etsy's advertising tools, and how to connect with customers online.

The sellers who are already doing well on Etsy often use more advanced skills. This means as a new seller, you need to start learning these skills right away to keep up. It can take a while for new sellers to learn all these things and get as good as the more experienced sellers. During this time, making a profit can be more difficult.

So, starting a shirt business on Etsy now means you're joining a place where many sellers already know a lot about how to succeed. This makes it tough for new sellers because you have to learn and apply a lot of skills quickly to compete.

Conclusion: Why Local Lead Generation Is A Wise Option Than Selling Shirts On Etsy?

Selling shirts on Etsy isn't the best business model due to challenges like intense competition with over 7 million sellers, the need for constant updates to match trends and platform changes, and the difficulty for new sellers to stand out. These factors make it hard to earn significant profits without high sales volume.

In contrast, local lead generation is a superior model. It faces far less competition, typically against only 10-15 local companies. This model is more passive; once your site ranks high in search engine results, it can maintain its position and generate income with minimal maintenance. Additionally, local lead generation boasts high profit margins. You can earn $500-$2,500 monthly with a 95% profit margin, unlike on Etsy, where selling a large volume of shirts is necessary for substantial income.

Local lead generation

Local lead generation works by creating websites that generate leads for local businesses. These sites, once ranked, can consistently provide income with little to no ongoing effort. For those looking for a more manageable, profitable business with less competition, local lead generation is a much more viable option than selling shirts on Etsy.

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