A group of Etsy sellers are planning to go on strike over new fees.
In a February earnings report, Etsy said it would increase its seller transaction fee from 5% to 6.5%, effective April 11. The platform said it would "invest most of the incremental revenue from this fee increase in marketing, seller tools, and creating world-class customer experiences." But it didn't sit well with the sellers who will have to fork over that extra cash.
Long-time Etsy seller Kristi Cassidy is calling for a seller strike and customer boycott from April 11 to 18; her online petition has already received over 16,000 signatures.
Cassidy argues that Etsy has "followed up...record pandemic gains by turning around and sticking it to their sellers." That includes an unpredictable Offsites Ads program. If buyers find a seller through Offsite Ads—search engine results, social media sites and apps, Etsy Publishing Partner sites, or Google Display Network sites—Etsy takes a 12-15% cut of each item sold. Only those who make less than $10,000 in a given year can opt out of Offsites Ads fees.
Cassidy is demanding that Etsy cancel the transction fee hike and let all sellers opt out of Offsites Ads. She also wants an end the Star Seller program, which she describes as "a bizarre attempt to micromanage the terms of our engagement with our buyers and audiences." She also requests better response times from Etsy for incorrect, bot-driven account crackdowns.
"Etsy can’t bill itself as a folksy, handmade utopia while AI bots terrorize sellers whose livelihood depends on reaching buyers on the platform," Cassidy says. The campaign also demands Etsy stop resellers who aren’t actually creating original products.
Etsy last increased transaction fees in 2018. "If this new one goes through, our basic fees to use the platform will have more than doubled in less than four years," Cassidy says.
“We’re committed to supporting our community of 5.3 million sellers around the world by helping them grow their businesses. Sellers have consistently told us they want us to expand our efforts around marketing, customer support, and removing listings that don't meet our policies," an Etsy spokesperson said in a statement. "Our revised fee structure will enable us to increase our investments in each of these key areas so that we can better serve our community and keep Etsy a beloved, trusted, and thriving marketplace."
Editors' Note: This story was updated with Etsy's statement.