Etsy's Policy Update for Sellers: Essential Information for the Holidays!

Etsy's Policy Update for Sellers: Essential Information for the Holidays!

Table of Contents:

  1. Introduction
  2. Etsy's Changes for Sellers 2.1 Increased Purchase Protection 2.2 Improved Seller Support 2.3 Concerns about AI and Machine Learning
  3. Seller Communication Issues 3.1 Ineffective Support Responses 3.2 Challenges with Email Communication 3.3 Constant Activation and Deactivation of Listings
  4. Account Suspension Appeal Process
  5. Enforcement of Policies 5.1 Removal of Violating Listings 5.2 Confusion regarding Mock-ups
  6. Encouraging Etsy's Progress
  7. Enhancing the Shopping Experience 7.1 Difficulty Finding Desired Products 7.2 Identifying Drop-Ship Products
  8. The Importance of Etsy SEO and External Marketing
  9. Conclusion

Etsy's Recent Changes and Updates: What Sellers Need to Know

Etsy, the popular online marketplace, has recently announced a series of changes aimed at supporting sellers during the holiday season. These updates come in response to the #KeepEtsyHuman movement, which advocated for improvements in Etsy's policies and practices. In this article, we will explore the full list of updates and discuss their implications for Etsy sellers. Whether these changes are a direct result of the movement or not, they address the concerns raised by sellers. So, let's delve into the details of Etsy's most recent changes and how they can affect your business.

1. Introduction

Hello, fellow Etsy sellers! I'm Starla Moore, the founder of the Handmade Alpha Academy for Etsy sellers and a manager at, Etsy's most popular SEO tool. Over the past few years, Etsy has implemented numerous changes that have had a negative impact on both sellers and buyers. However, it seems like the voices of the sellers have been heard, as Etsy has now introduced updates that align with our requests. In this article, I will provide you with a comprehensive overview of these updates and everything you should know about Etsy's recent changes.

2. Etsy's Changes for Sellers

2.1 Increased Purchase Protection

Previously, Etsy's Purchase Protection program covered up to $250 on qualifying orders for lost, damaged, or stolen items during transit. However, to support sellers during the holiday season, Etsy has doubled this protection to up to $500. According to Etsy, over 99% of orders will be eligible for this increased coverage. It is worth noting that this enhanced protection might only be applicable during the holiday season, and the coverage may revert to $250 in January.

2.2 Improved Seller Support

In their update, Etsy states that they will be offering 24/7 support to sellers, including live chat assistance for most topics. They claim that over 80% of chat inquiries are answered within one minute, and nearly 90% of requests are resolved in less than 24 hours. While this is a positive development, there are concerns about the effectiveness of Etsy's support, given their utilization of AI and machine learning. Many sellers, including myself, have experienced frustrating interactions with non-human support, leading to unresolved issues. It remains to be seen whether live chat support will genuinely provide the necessary assistance.

2.3 Concerns about AI and Machine Learning

Etsy's Q1 Investor's report revealed their utilization of AI and machine learning to regulate the marketplace. However, this implementation has raised concerns among sellers. Personal experiences and feedback from sellers suggest that Etsy's support has predominantly lacked human intervention, resulting in inadequate resolution of seller problems. To address this, Etsy needs to strike a balance between technology and human intervention to ensure effective support and timely issue resolution.

3. Seller Communication Issues

3.1 Ineffective Support Responses

Many sellers, including myself, have encountered dissatisfactory support responses from Etsy. Frequently, the support team fails to acknowledge the sellers' stated problems, subsequently leading to no resolution. For example, in my case, one of my shop's hoodies was deactivated under Etsy's Amber jewelry policy, despite my clear explanation that the item was designed by my friend Amber Marie and me. Etsy's response, refusing further communication and upholding the deactivation, left me frustrated. This inadequate support proves that there is room for improvement in Etsy's seller communication systems.

3.2 Challenges with Email Communication

While Etsy claims to offer 24-hour support, the reality is that email communication tends to be significantly slower. This disparity in response time can create frustration among sellers, particularly when they require prompt resolution for urgent issues. The availability of live chat support for most topics is promising, but sellers who do not have access to this feature must rely on email communication, which can be inefficient and time-consuming.

3.3 Constant Activation and Deactivation of Listings

A recurring issue faced by sellers is the continuous activation and deactivation of listings. Many sellers have reported the restoration of wrongfully deactivated listings, only to have them flagged and removed again shortly afterward. This process of constant activation and deactivation is not only exhausting for sellers but also an indication that Etsy's bot deactivation system is not functioning optimally. Although manual reviews by support staff are being conducted, it is clear that further measures should be taken to prevent reactivations from being subject to future deactivations.



  • Etsy has increased its purchase protection to up to $500 for the holiday season, benefiting sellers.
  • Improved seller support, including 24/7 live chat assistance, has been introduced by Etsy. Concerns remain regarding the efficacy of AI and machine learning in customer service.
  • Etsy's support responses have been inadequate, often failing to address sellers' problems and leading to unresolved issues.
  • Email communication with Etsy's support team tends to be slow, highlighting the need for quicker and more efficient response times.
  • Sellers have faced repetitive listing deactivations and reactivations, indicating shortcomings in Etsy's bot deactivation system.
  • Etsy has implemented a dedicated appeal process for account suspensions, but its effectiveness is still unknown.
  • Listings that violate Etsy's policies are being removed, but there is confusion regarding the use of mock-ups.
  • Encouraging Etsy's progress is crucial, but continued feedback on existing weaknesses is necessary.
  • Improved shopping experience and concerns about identifying drop-shipped products on Etsy.
  • Emphasizing the importance of Etsy SEO and external marketing to combat competition and maintain traffic.
  • In conclusion, Etsy has taken steps in the right direction but still has significant improvements to make.


Q: Will Etsy's increased purchase protection remain in effect after the holiday season? A: The exact duration of the increased purchase protection offered by Etsy is not explicitly stated. However, it is mentioned that the coverage may revert to $250 in January. Sellers should stay updated on Etsy's announcements for further information.

Q: Are there any restrictions on using mock-ups on Etsy? A: Etsy's policies permit the use of mock-ups. However, it is important to refrain from using stock photos or claiming ownership of items sourced from websites like Alibaba. The focus should be on showcasing unique and creative goods.

Q: How can sellers ensure they are not affected by Etsy's wrongful deactivation of listings? A: While Etsy continues to address issues related to wrongful listing deactivations, sellers should prioritize ensuring compliance with Etsy's marketplace guidelines. This includes maintaining originality, avoiding misleading practices, and taking steps to clarify any potential misunderstandings with the support team. Additionally, actively monitoring and rectifying potential policy violations can help sellers avoid unnecessary disruptions.

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