Etsy Launches Wholesale Business
April 25, 2013-- Gifts & Dec,
BROOKLYN, NY - Etsy is expanding its business to offer its products at wholesale. The new division is currently in its testing stages and will allow retailers—everything from museums and boutiques to national chains—to sell Etsy goods in their stores.
The wholesale division will allow retailers to purchase everything from handmade jewelry, vintage clothing, home furnishings and accessories and more from Etsy artists, designers and vintage collectors, which will allow Etsy Wholesale vendors to expand their distribution channels.
Prior to the launch of its wholesale business, Etsy worked with West Elm as wholesale buyers. (Nordstrom is also on board.) Membership to Etsy Wholesale requires vendors and buyers to apply for access.
The Wholesale option is currently free to vendors, but will incur charges moving forward as Etsy finalizes the best payment structure that will be fair to vendors but also acquire enough funding cover costs to develop and maintain the new wholesale business in marketplace, according to Bertozzi.
"Etsy Wholesale will be a way to initiate businesses, and connect them with a set of qualified retailers, so they can experience the power of the Etsy community, even if a traditional Etsy shop remains outside their scope," said Vaessa Bertozzi, program manager for Etsy Wholesale in a recent blog on the company website.
Items listed on Etsy Wholesale must be entirely made by the vendor, wholly designed by the vendor, and produced in part or in full by a third-party or vintage (at least 20 years old), while buyers must show proof of business and authority to purchase.
The new business expansion may help Etsy increase its yearly revenue move within the new year. The company has nearly 850,000 vendors worldwide and advanced in sales to $895.1 million in 2012, up from $525.6 million in 2011.