1. What are offsite ads?

Etsy offsite ads: What you need to know

As an Etsy seller, you always look for ways to boost your shop's visibility and drive sales. Etsy's offsite ads can be a game-changer in this regard, offering a powerful way to reach potential customers beyond the Etsy marketplace.

But how exactly do these ads work, and are they worth the investment? This article will guide you through the intricacies of Etsy's offsite ads, from understanding the associated fees to leveraging these ads for maximum benefit.

Additionally, we will show you how you can leverage Gelato's integration with Etsy to enhance your print on demand business, taking your shop to new heights. So let's get started!

Main takeaways from this article:

  • Etsy offsite advertising promotes your products on third-party platforms, such as Google display network sites, helping you increase your shop's visibility and potential sales.

  • Etsy offsite ads' worth varies based on your shop's annual sales, which range from 12% to 15% of the order total.

  • While offsite ad channels can significantly boost your reach, they also come with costs and require careful evaluation of their impact on your profitability.

  • Integrating offsite ads page into your marketing strategy can be beneficial, especially when paired with effective promotional tools and tracking metrics.

  • Gelato’s print on demand services can be combined with your Etsy store to enhance your product offerings and capitalize on the expanded audience through offsite ads.

What are offsite ads?

Etsy ads process illustration

Offsite ads are advertisements purchased from platforms like Google, Facebook, and Instagram to promote Etsy listings beyond the Etsy site. These ads drive external traffic to your store, helping you reach new audiences. Etsy publishing partner sites offer curated shopping catalogs where offsite ad listings can appear.

How the Etsy offsite ads program works

Understanding how Etsy's offsite ads program works can help you make informed decisions about utilizing this marketing tool. 

Offsite ads extend your reach by featuring your items on popular platforms like Google, Facebook, Bing, and Pinterest, thereby attracting potential buyers who might not have found your shop otherwise. Here’s how the program functions: 

  • Automatic enrollment: Etsy automatically enrolls shops into the offsite ads program. This means you don’t need to take any additional steps to start benefiting from broader exposure.

  • Ad placements: Your product listings are showcased on high-traffic websites and search engines. Etsy partners with major platforms to display your items online, increasing visibility.

  • Upfront costs covered: Etsy covers the initial costs of placing these ads. This reduces your financial risk, as you only pay when a shopper clicks on an ad and purchases from your shop. The fee for each sale resulting from an offsite ad is deducted from your earnings.

  • Performance data: Etsy provides detailed performance reports to track which ads drive traffic and sales. This data helps you understand the effectiveness of offsite ads for your shop.

How much does Etsy charge for offsite ads?

Etsy ad costs breakdown

When you're considering utilizing Etsy's offsite ads to boost your shop's visibility, it's crucial to understand the associated costs. This fee structure can vary depending on your shop’s revenue over the past 365 days. 

Here's a breakdown of what you can expect the offsite ads fee to be: 

  • If your shop made less than $10,000 USD: You will be charged a 15% offsite ad fee on the amount you made from a sale attributed to an offsite ad. This charge applies before any advertising fees are subtracted from the total.

  • If your shop made at least $10,000 USD: You benefit from a discounted advertising fee of 12%, which also applies to the sale amount generated through offsite ads. This discounted rate is designed to support more established sellers who must participate in the offsite ads program.

  • Optional participation: If your shop has made less than $10,000 USD in the past 12 months, participation in the offsite ads program is optional. Smaller shops can opt in as they see fit without imposing mandatory costs.

  • Discounts for high-earners: Sellers with higher annual revenues automatically qualify for the discounted rates, which recognize their contribution to the Etsy ecosystem and help them further extend their online reach.

  • Revenue-based fee: The actual fee you pay for offsite ads is tied directly to your revenue. This sliding scale ensures that advertising costs adjust proportionately with your shop's success.

Advantages of Etsy offsite ads

Etsy ads benefits

When considering ways to broaden the reach of your Etsy shop, offsite ads present several compelling advantages. These advantages go far beyond simply driving more traffic to your listings and providing a cost-effective way to tap into new customer bases without significant upfront investment. 

Here are some of the many benefits of using Etsy offsite ads: 

  • Increased visibility: Offsite ads help your products get featured on major platforms such as Google, Facebook, Bing, and Pinterest, greatly extending your reach beyond Etsy's marketplace.

  • Targeted advertising: These ads are designed to target potential buyers who have shown interest in related products or topics, making it more likely that your listings will reach individuals ready to make a purchase.

  • No upfront costs: Etsy handles the initial costs of running these ads. You only pay a fee when a customer makes a purchase through one of these offsite ads, making it a low-risk way to advertise.

  • Improved sales: By reaching new audiences, offsite ads can increase the likelihood of higher sales. Sellers who have participated often see a bump in their revenue, particularly those with a strong product line.

  • Automated promotion: Etsy takes care of everything, from selecting which listings to promote to deciding where and when the ads appear. This automation lets you focus more on creating and less on marketing logistics.

  • Analytics and insights: Etsy reports how your ads perform, giving you valuable insights into which products attract the most attention and making it easier to refine your listings for future promotions.

  • Scalability: As your shop grows, the benefits of offsite ads grow with it. Sellers who earn over $10,000 in the past year are automatically enrolled, ensuring that the program scales with your success.

Disadvantages of Etsy offsite ads

While Etsy’s offsite ads program provides an excellent opportunity for exposure, you should consider some potential downsides before opting in. Here's a look at the disadvantages of Etsy offsite ads: 

  • Cost concerns: One of the primary drawbacks is the cost. Etsy’s upfront payment for advertising is recuperated through a percentage of the sales it drives. Depending on your margins, this fee can sometimes feel steep, especially if your profit margins are thin.

  • Lack of control: When you participate in Etsy’s offsite ads program, you have limited control over where and how your products are advertised. This lack of control can sometimes mean your items are shown to less relevant audiences.

  • Mandatory participation for high earners: If you’ve made over USD $10,000 in the past 365 days, you must participate in the offsite ads program. This mandatory participation can frustrate established sellers with a steady customer base who don’t necessarily need additional advertising.

  • Unpredictable results: Offsite ads do not guarantee clicks or sales. Despite Etsy’s efforts to target the right audiences, there is still a level of unpredictability. This variability can be discouraging, especially if the ad costs do not translate to tangible sales.

  • Opt-out limitations: Sellers who earn less than $10,000 USD in a year can opt out, but this process is not always straightforward. Additionally, opting out means missing out on potential sales opportunities that these ads could generate.

Are offsite ads worthwhile for your Etsy shop?

Determining whether offsite ads are worthwhile for your Etsy shop depends on a few key factors, including your current sales volume, your target audience, and your growth goals. 

  • For sellers who have made over $10,000 in the past 365 days, offsite ads are a required investment. The reach offered by advertising on platforms like Google, Facebook, and Pinterest can drive significant additional traffic to your store. 

  • If your shop earns less than $10,000 annually, you have the option to opt in or out of the program. Even with the optional participation, many sellers find it beneficial due to the potential to increase their exposure beyond Etsy. With the diverse audience reach of these high-traffic websites, offsite ads can bring in potential buyers who might not have otherwise discovered your products. 

Ultimately, the decision should align with your business objectives. If you're looking to expand your customer base and increase sales across platforms without bearing the upfront ad costs, offsite ads can be a worthwhile investment. However, it’s crucial to keep track of the performance and ensure that the return on investment meets your expectations.

Integrating Etsy offsite ads into your marketing strategy

integrating Etsy ads strategy

Integrating Etsy offsite ads into your marketing strategy can dramatically boost your shop’s visibility and sales. By placing your products on platforms like Google, Facebook, Bing, and Pinterest, Etsy offsite ads can capture potential buyers who may not have otherwise found your shop. 

Here’s how you can make the most out of Etsy’s offsite ads. 

  • Consider your budget: Understand the cost structure of Etsy’s offsite ads. While Etsy fronts the initial advertising costs, you’ll pay a fee once a sale is made through an ad. Make sure to factor this into your pricing strategy to maintain profitability.

  • Optimize your listings: Ensure your product titles, descriptions, and tags are keyword-rich and engaging. This will help your items stand out in ads across various platforms.

  • Use high-quality visuals: Use high-resolution images to attract buyers. Visual appeal is crucial as your ad’s image is often the first thing that catches a potential buyer’s eye.

  • Monitor your metrics: Monitor your shop’s performance data. Etsy provides insights into how your offsite ads perform, including clicks, views, and sales. Use this information to tweak your listings and improve conversion rates.

  • Leverage seasonal promotions: Capitalize on seasonal trends and holidays by updating your ad campaigns to reflect relevant themes. This can attract more buyers during peak shopping times.

  • Display customer reviews: Positive reviews can significantly boost your credibility. Encourage happy customers to leave reviews, and consider featuring these testimonials in your product descriptions.

  • Stay informed: Keep yourself updated about Etsy’s policies and any changes in the offsite ads program. Understanding the latest features and updates can help you refine your marketing strategy effectively.

Elevate your Etsy business with Gelato

Now that you've got the lowdown on Etsy offsite ads, you can take a call to integrate them into your Etsy ecommerce business. Gelato is at your service to help make this process easier.

Incorporating Gelato's print on demand solutions into your Etsy store can significantly enhance your business. Offering smooth integration, Gelato enables you to diversify your product range with custom prints on t-shirts, mugs, wall art, phone cases, tote bags, photo books, and more. This boosts your shop's offerings and perfectly aligns with Etsy's offsite ads by reaching a wider audience effortlessly.

By choosing a subscription plan that suits your specific needs, you can maximize your sales potential while keeping your focus on creativity.

Sign up for Gelato and scale your business for unparalleled success!

FAQs

Why am I being charged for Etsy offsite ads?

You are charged for Etsy offsite ads because Etsy pays the upfront advertising costs and charges your shop a fee only when a sale is made through these ads. The fee is based on your shop’s revenue in the past 365 days, with 12% or 15% rates.

Should I turn on Etsy offsite ads?

Consider turning on Etsy's offsite ads if you're looking to increase exposure without upfront costs. These ads can expand their reach on major platforms like Google and Facebook. However, weigh the benefits against potential costs from increased sales to understand if they align with your revenue goals and marketing strategy.

Where are Etsy offsite ads?

Etsy offsite ads appear on major social media sites like Google, Facebook, Bing, and Pinterest. These ads allow your products to reach potential customers browsing these popular websites, thereby increasing visibility and attracting traffic to your Etsy shop.

Can you stop Etsy ads at any time?

Yes, you can stop Etsy ads at any time. Go to your Shop Manager, Settings, and navigate to Offsite Ads. Click on "Stop promoting my products" to opt out. Note that this option is available if you've earned less than $10,000 USD in the past 12 months.

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