Etsy Expands Seller Tools With a Website Maker

April 5, 2016, 7:50 PM UTC
Courtesy of Etsy

Etsy’s army of sellers now have one more tool to stand out on the Web: Pattern, a new platform for crafting custom websites.

The e-commerce company unveiled its new service on Tuesday, which is Etsy’s fourth dedicated tool for sellers along with Direct Checkout for payment processing, Promoted Listings for search result advertising, and its shipping labels feature. The custom website maker is also Etsy’s (ETSY) first service that sellers can pay for on a month-to-month basis.

“Sellers have told us that marketing and promoting their businesses is one of the areas they need the most help with, and more than a third are interested in opening a commerce site of their own,” wrote Etsy CEO Chad Dickerson, in a blog post on Tuesday.

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The Brooklyn, N.Y.-based company boasts more than half its sellers already sell through other channels, though its own data notes that the Etsy marketplace is still the main source of income. Etsy also revealed that roughly 48% of its active sellers are using at least one of these seller services during the year.

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With that said, Etsy is also increasingly leaning on its sellers for revenue.

When the company debuted on the Nasdaq a year ago, marketplace revenues (Etsy takes a cut from sales) were still the dominant source of its income.

Today, however, the situation has flipped, with a majority of Etsy’s revenue stemming from its seller services—a potentially worrisome trend.

Though it continues to grow, Etsy faces increasing competition from e-commerce giants such as eBay (EBAY) and even Amazon (AMZN), which debuted its own marketplace last year for crafty sellers just like those on Etsy.

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