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CEO Says Etsy Sellers Choose Domestic Manufacturers

Most sellers of handmade goods on Etsy are barred from using manufacturers – a policy that a majority of sellers seem to approve. But last year, the company launched a program to open the doors to what it calls “responsible manufacturing.”

During a conference call with analyst on Tuesday, CEO Chad Dickerson revealed some interesting facts about the program.

Etsy has 4,700 sellers in the program (out of 1.5 million active sellers) and 7,900 manufacturers, Dickerson said in response to a question about its seller initiatives.

And, he said, “It’s important to note that 85% of those relationships are between sellers and manufacturers in the same country, so our manufacturing program is largely a local phenomenon when it comes to countries.”

He did not reveal whether that was by design – Etsy controls the sellers who can participate in the program.

Many small sellers on Etsy have expressed concern for years about resellers and manufacturers crowding out their listings, particularly those from overseas, such as China. While Tuesday’s news may be somewhat reassuring to some at least in terms of this program, many object to the concept of opening the doors to any type of manufactured product on the site.

Curious about Etsy’s new program? We first reported on the policy in October 2013, and this page on the Etsy website has details, including information on how to apply. Etsy also hosted a Question and Answer session with the “Responsible Seller Growth Team” in December 2014.

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Ina Steiner
Ina Steiner
Ina Steiner is co-founder and Editor of EcommerceBytes and has been reporting on ecommerce since 1999. She's a widely cited authority on marketplace selling and is author of "Turn eBay Data Into Dollars" (McGraw-Hill 2006). Her blog was featured in the book, "Blogging Heroes" (Wiley 2008). Follow her on Twitter at @ecommercebytes and send news tips to ina@ecommercebytes.com. See disclosure at EcommerceBytes.com/disclosure/.