Why Sell Digital Products on Etsy?

Why do I believe every digital product creator should sell digital products on Etsy?

As a current Etsy seller, I’ve seen firsthand how Etsy has transformed over the years. When I first opened my Etsy account back in 2016, I did so to buy raw (digital) materials for my design company.

But after several years, I began to transition over, becoming the supplier instead. That’s when I opened my own Shop and became an Etsy seller.

Design Deeva Studio opened on July 22, 2023. But, I did not start working the shop right away. It wan’t until August 2022 when I actually opened it to the public.

My original Etsy account, which I never disclose started back on November 25, 2016. Yeah, I had to go log in to look up the date 😉

Sell digital products on Etsy, it’s More Than Handmade Crafts

I want to give you a little background in case you are not familiar with Etsy.

Etsy launched back in 2005 as a marketplace for handmade crafts. Nothing digital was being sold at that time. Here’s what it looked like.

Etsy in 2005

As time went on, of course, the digital economy started to explode. The demand shifted for more diverse products and so the platform expanded.

It’s now turned into a global marketplace and it’s still growing. And to be honest the major player are digital products. They have undeniable taken over Etsy.

While Etsy’s core foundation is still handmade items, they made room for digital too. This made Etsy more attractive to people like us. Creatives who like to design useful digital products.

And with this Etsy was able to expand not only on the seller side, but it also brought more buyers to the platform.

Then came the rise of Print on Demand. This is where you can custom make the design, but another person or company fulfills the order for you. This is something like a partnership that Etsy didn’t allow before, but they do now.

The essence of Etsy has always been creativity. And what are digital products, if not a manifestation of modern creativity, right?

The digital products offered began as printable art. Then came the logos, planners, and templates.

Photographers are now able to make money selling stock photos. The list grew, and before we knew it, a new category of sellers emerged – the digital product moguls of Etsy.

Though there might be a large seller base on Etsy compared to how it was before, there is still room for you.

Because Etsy is still growing and there are a ton of folks in the world who haven’t even heard of Etsy before. I know you can’t believe it, but everyone doesn’t know what you know.

As a current Etsy seller and consumer myself, I can vouch for the platform’s adaptability. From handcrafted jewelry to digital designs. Etsy has and continues to embrace creativity, craftsmanship and individuality.

The Rise of the Digital Economy on Etsy is Taking The World By Storm

When I stumbled on Etsy it was to buy Stockphotos for websites I was creating for people.

Then I began to buy digital papers, not because I couldn’t create them myself, but because it saved me time. The idea of purchasing “ready-made” graphics was a game changer for me.

After I stopped doing client work. I didn’t stop designing. I love it, and I had a whole bunch of graphics sitting on my computer going nowhere, and not making me any money. So, I put them to use.

Here’s what Etsy looked like when I started in 2016.

Etsy 2016

Below I listed some of the types of things I’ve sold on Etsy and maybe they will give you some ideas for your Etsy shop.

Graphics & Designs

Etsy has become the go to location for digital artists. Creators can find SVG files for their cutting projects. They can find designers filled that are niche specific for their projects.

From intricate patterns for vinyl crafts, to clip arts for scrapbooking. The digital artistry on display is – and continues to be – nothing short of breathtaking.


Here’s where the convenience factor shines. Need a last-minute birthday card? Download, edit, print, and you’re set.

Want to reorganize your kitchen? Did you know there are printables for that, too? There is a range of printables you can find on Etsy. It’s no surprise that printables have established itself as a strong category on Etsy.

Digital Planners & Journals

As more people embrace the use of tablets and styluses, there was another demand creeping in on Etsy. The need for unique and personalized digital planners.

The ones capable of working on iPads and Tablets. , or with specific applications, such as, Goodnotes and Notability.

As usual, Etsy’s creative minds responded with digital planners for Goodnotes and Notability. These planners aren’t just functional, they’re artistic, interactive, and fun to use.

Why Digital Products are The Future of Etsy

There’s something satisfying about making a purchase and getting instant access, isn’t there?

It’s that feeling of immediate gratification, and digital products delivers on that front.

In a society where we’re used to streaming our favorite shows the second they’re released.

Or downloading an eBook in the blink of an eye, the e-commerce landscape is evolving to cater to our need for speed.

One of the most significant advantages of selling digital products is the wait times. Gone are the days when you’d mark your calendar and count down the days until your items arrive.

Once that payment is confirmed, your product is ready for download.

Whether it’s a piece of software, an eBook, or a printable wall art, it’s yours to access and enjoy in minutes.

Now, as the world leans more into sustainable living. The environmental impact of our choices is under the microscope. Digital products come with a “green” advantage.

Think about it…

No trucks to deliver. No packaging materials required. No emissions from transport – it’s a clean transaction from start to finish.

For those of us who are conscious about our carbon footprint, buying digital, feels like a step in the right direction.

From a seller’s perspective, digital products cut down on overhead expenses. No need for warehousing, inventory management, or shipping logistics.

Once the product is created, it can be sold an infinite number of times. Without any extra production costs. This efficiency often translates to more competitve pricing. It’s a win-win for both the seller and the buyer.

Digital products can tailored. Need a design in a different color? A software with specific features?

Adjustments can be made fast. Ensuring the end product aligns perfectly with the consumer’s needs. It doesn’t get much better than that!

With no shipping constraints, digital products can be sold to anyone, anywhere in the world.

This global reach not only expands your potential customer base, but it also allows for the sharing and exchange of ideas. It allows for innovations across cultures and continents.

The shift toward digital products in e-commerce is more than just a passing trend. It’s really the only way I love to build businesses now.

It’s a response to the changing needs of the consumer. The limitless potential of technology.

If e-commerce were a chessboard, digital products are moving to capture the king.

The Perks of Selling Digital Products on Etsy

One the biggest reasons I love selling digital products is no inventory concerns. I used to own a brick and mortar fashion boutique and man, was it a headache.

Traditional selling often involve bulk purchasing, storage issues, and the constant fear of items going out of stock.

But with digital products, once you’ve put in the effort to create it, you’re done! It’s a game-changer.

Whether you sell ten or a thousand, there’s no need for restocking, no storage fees, and no frantic calls to suppliers.

Have you ever dealt with the labyrinth that is international shipping? The paperwork, the customs, the unpredictably high fees? Digital products erase all that.

Your creations can be in the hands of someone halfway around the world in seconds. With zero shipping cost.

Digital products removes location barriers which can sometimes hurt a business.

The digital economy gifts you a kind of freedom that’s hard to match, and it’s addictive.

Imagine working while sipping a mojito on a sandy beach? Or curled up with a hot cocoa in your urban loft?

As long as you have a stable internet connection, you’re in business. The 9-to-5 matrix doesn’t apply here. You decide when you work, how you work, and where you work. It’s liberation, Etsy style!

Here’s a little secret – the digital world never stands still. New software, evolving design trends, fresh market demands – it’s a whirlwind of innovation and change. And while this might sound daunting, it’s exciting!

You’re always learning, always adapting. This constant evolution not only sharpens your skills but also nurtures a mindset of growth and adaptability.

Every challenge becomes an opportunity to learn more. And every piece of feedback or failure is a lesson in refinement.

Selling digital products on Etsy is more than a business, it’s definitely a journey.

A journey of creativity, flexibility, and continuous growth. And trust me, once you start, you’ll wonder why you didn’t dive in sooner.

Etsy’s Platform Benefits for Digital Sellers

One of the main attractions of Etsy for digital sellers like us is its hassle-free product uploading process.

Whether you’re tech-savvy or not, Etsy has streamlined the process to be as straightforward as possible.

With a user-friendly interface, the steps are easy to follow. Sellers are guided through the listing details, pricing and digital file upload.

And if you want to update a product or offer variations, Etsy has got you covered with a few clicks. Because you can bulk edit.

Once you do it for yourself, it’s not hard at all. There is hardly any learning curve because the platform was laid out pretty good.

Marketing is essential though, and Etsy understands that. The platform already helps you with visibility from the start.

It’s a marketplace, the buyers are already there. You just need to prove to Etsy that you are a serious Etsy seller and they will show more of your products.

If you want a boost, you can always run Etsy ads to your listings. Etsy offers the resources needed to put your digital products front and center.

They also give you the ability to offer coupons and run sales that allow you to attract and keep more customers.

The sellers community is active too. They are always giving advice, support, and insights on what’s working and what’s not. It’s a nurturing environment.

They share knowledge and people become friends. It makes the journey of selling on Etsy a even more rewarding.

Beware: Sometimes you do need to sensor yourself from the negative folks on the forums. It can sometimes get discouraging. Remember everyone is different and you really don’t know their work ethic.

When people hear you say “Etsy” they trust it. For new digital sellers, this is invaluable.

Customers are more to purchase from a platform they know and trust. It reduces buyer hesitation that often comes with being a new shop.

Here’s what Etsy looks like today.

Etsy 2023

Overcoming Common Misconceptions

We cannot move forward without me sharing some of the most common myths I hear about opening an Etsy shop.

Myth 1: Etsy Is Only for Handmade Goods

This may have been true back in the day, but not anymore. The Etsy platform has evolved. There are so many types of products being sold on Etsy I can’t even keep up. So, if you’re looking to become a digital creator, rest assured, Etsy is not just for the knitters and potters, it’s for you too.

Myth 2: The Competition is Fierce

Yes, Yes, Yes… Competition is everywhere and that’s a good thing. If there is competition that means there is money to be made. There is enough room for us all. But take this into perspective, not everybody is working their shops like a business, either.

Remember, no two creators are identical. Your designs, your story, and your approach will resonate with a particular audience. It’s not about being the loudest in the room, it’s about connecting authentically with those who appreciate what you bring to the table.

Truth 1: Quality and Branding Are Key

With the digital space being so expansive, it’s the details that can set you apart. Quality isn’t just about high-resolution files (though that’s important). It’s about your buyers experience. Are your digital products easy to use? Are they versatile? Do they solve a problem or bring joy to the user?

And then there’s branding – the way you present yourself. From the logo and banner on your Etsy shop. To the descriptions and images of your products. Consistency and professionalism in branding can elevate your store from “just another shop” to becoming a recognized leader on the platform.

Truth 2: There’s Space for Passion and Dedication

One thing is clear, you have to be care about what you do and be dedicated to doing it. Those who truly succeed on Etsy are the ones who are passionate about what they do.

They are the sellers who listen to customer feedback. Who are always looking to learn and improve. And who pour their heart and soul into every creation.

If you’re dedicated to your craft and your buyers, Etsy will reward you nicely.

Key Take Aways

  • Etsy is more than just a marketplace. It’s ideal for digital creators
  • No need to have an existing following or marketing budget
  • Etsy is a cost effective platform with no ongoing subscription fees
  • Etsy allows you to focus more on creating while they manage the customer acquisition
  • It’s important to treat your Etsy shop like a “real” business with valuable products to help buyers

Now go and fill up that new Etsy shop. Here’s how I can help you.

When you use my link you can open your shop and get your First 40 Listings for Free.

After that you pay a one-time charge of 20 cents per listing you upload.

I don’t want you to have any reason not to get started today!

Grab your Free 40 Listings here.