GUIDE深度 · Deep dive
Etsy Pricing with Shipping/Discounts/Ads
Start from target net profit, then add back free shipping/discounts/ad rates. A 20% discount cuts profit faster than 20%; offsite ads at 15% of a sale should be priced in before the sale, not discovered afterward.
Add shipping + transaction fee to price.
Don't let free shipping hide a loss.
Calculate post-discount profit.
Don't run loss-making discounts.
FAQ
How do I price free shipping?
Price = target + shipping cost + transaction fee on shipping.
Should I turn off offsite ads?
Check profit; if the fee exceeds contribution margin, turn it off or raise price.