What is happening with Etsy? Product sales just don't look the same anymore
Lately, our team at CraftedCharts and many other sellers have noticed a significant drop in sales on Etsy. Our shop no longer gets as many views as it used to, and orders simply aren't rolling in at the same steady pace. Back in 2024, we could count on 15–30 orders a day; nowadays, it averages 3–5, representing an 80% decline.
This is echoed by a thread on the official Etsy forum, “Etsy sales down 70% – Can anyone help??? Please!”, which generated dozens of replies and likes from other sellers reporting the exact same problem between March and August 2025. This isn't an isolated incident, but rather a recurring theme that has been popping up on the forum for quite some time.
After talking with several other sellers, it became clear to us that this is a global phenomenon. Below, we share our perspective on what we’ve managed to figure out and what we are doing to return to previous sales trends on Etsy.
A widespread problem with declining Etsy sales
Sellers across different niches and experience levels are reporting the same issue: even long-standing shops with great reviews and stable track records are seeing a noticeable slowdown in sales.
What could be the reason for this? Product quality, SEO mistakes, or sudden algorithm changes affecting individual shops? One thing is certain: this is a global platform issue, as we will explore below. Something larger is affecting visibility and buyer behavior on Etsy, and what's particularly frustrating is how suddenly the drop in views and sold products occurs.
The sales problem doesn’t just affect you
When we first noticed a drop in our Etsy sales, we assumed something was wrong with our product lineup. And that’s a natural reaction, sellers most frequently blame changing performance on poorly chosen pricing, subpar photos, or inadequate descriptions, which certainly makes sense.
However, when many experienced sellers begin observing the exact same pattern of behavior at the same time, it’s a clear signal to look a bit further outward.
Less traffic on Etsy = Fewer views
The first major thing we noticed was that our shop wasn't attracting the same amount of traffic as before. Our listings stopped appearing in search results the way they used to, and our daily view count dropped significantly by about 60%. This suggested that Etsy no longer "liked" our shop and had likely changed the way it displays listings to buyers.
Perhaps this was the result of a lack of updates on certain listings, or maybe something was happening behind the scenes on the platform.
Etsy frequently updates its search system, and sometimes minor changes can have a huge impact on our sales. In this case, those changes were happening behind the scenes.
Etsy platform results: Traffic statistics in 2025–2026
Entering 2026, Etsy remains a global retail giant, attracting around 454 million monthly users by the end of 2025. Although the platform faced macroeconomic headwinds evidenced by a 3.4% year-over-year drop in active buyers to roughly 86.5 million, it successfully offset lower purchase frequencies by increasing its "take rate" to 25.7% through services like Etsy Ads.
However, one key detail deserves attention: traffic from Google currently accounts for about 20–30% of all traffic on Etsy, depending on the data source, and this number has been steadily declining for two years. The reason is changes in Google's algorithm, which increasingly prioritizes unique, high-quality content. This has hit marketplaces like Etsy hard, where listings have often relied on repetitive, heavily keyword-stuffed descriptions. This shift in traffic, particularly organic traffic, confirms that Etsy may have lost some of its pedestal standing.
What is causing lower sales on Etsy?
Etsy hasn’t explicitly explained the exact cause of rising seller frustrations and reduced sales, but from our perspective, it is a combination of several factors:
Shifting search algorithms, specifically Google's algorithms, rather than Etsy's directly which translate to a reduced audience size; Competition is higher than ever, with new sellers joining all the time; Paid ads are displaying more frequently than standard organic listings; Buyer habits have changed; people are buying less or shopping differently.
All of this can cause your shop to simply "disappear" overnight.
Sales drops vs. Google algorithm changes and Etsy traffic
Although recent sales drops on Etsy can be attributed to several significant factors, we believe the biggest impact stems from changes to Google's search algorithm. The Google spam update rolled out starting in early August 2025 had a noticeable impact on web traffic across multiple platforms.
It was during this exact period that the largest number of sellers reported their steepest drops, which proved shockingly painful right before the back-to-school and holiday shopping seasons.
Google is indexing and ranking Etsy listings differently than before, leading to a drop in visibility and a corresponding decline in the number of visitors coming to our shops.
In practice, this means sellers must adapt their strategies to maintain and grow sales. This primarily comes down to three things: adapting listings to Etsy's changing internal search algorithm, improving product visibility through better SEO practices, and seeking out traffic sources outside of Google so that the shop isn't dependent on a single traffic source and can grow independently of search engine algorithm updates.
Do constant adjustments to algorithms and changes make sense? The answer isn't straightforward because it depends on how much control you want over your business. At CraftedCharts, we decided to migrate to Shopify because we considered the game on Etsy lost, changes were happening against our will, and we had no control over them. SEO isn't just about keyword selection; it also involves technical aspects over which we simply have no influence on Etsy. When Google changes the rules and we don't have access to any levers to compensate for it, the only thing left to do is wait and hope the next algorithm update is kinder.
Google in September 2025
In September 2025, Google implemented a significant change by disabling the &num=100 parameter, which had allowed users and SEO tools to view up to 100 search results on a single page. This change led to noticeable drops in reported impressions and keyword visibility for many websites, including Etsy shops.
Is Etsy making any changes?
Etsy has recognized the impact of changing search algorithms on traffic and is taking steps to help sellers recover sales volume. One of the platform’s newly introduced features uses AI to automatically adjust listing titles and keywords.
This update aims to improve how listings appear in both Etsy's internal search results and Google. While it won't solve all problems overnight, it is a helpful tool for staying competitive in a changing market.
We tested this tool on our own listings, and initially, we weren't happy with it. First, changing the title also alters the product's URL slug, meaning the listing temporarily disappears from Google before being re-indexed under the new address, which always causes a temporary drop in ranking. Second, Etsy clearly pushes for limiting the number of keywords in titles, which restricts our flexibility compared to how we originally phrased them. After about 2 to 3 months, however, we can say that we are satisfied with how this tool performs. Sales haven't quite returned to pre-algorithm-update levels, but we've seen a percentage increase of about 35%, showing that despite initial difficulties, the tool genuinely helps rebuild listing visibility.
What to do to restore sales on Etsy?
Instead of waiting for the next algorithm change, we are trying new things to see what helps. Although our focus has shifted to Shopify, our Etsy shop remains an active part of our business. What exactly are we doing?
Updating listings: we are changing titles (using AI and manually) as well as photos to match what buyers are currently looking for. These tests aren't applied to every product, but rather to selected series with low sales volume; Trying new ideas: we test minor tweaks, such as new keywords or different pricing; Trying to source traffic from elsewhere: we share more content on social media and Pinterest so we don't rely solely on Etsy; Monitoring shop stats: we track what drives clicks and what doesn't in order to implement more accurate changes.
Everything is a matter of trial and error, but that’s how we learn what works for our shop.
The truth is that Etsy is constantly changing, and what worked a few months ago might no longer work because the new algorithm no longer recommends it. This can certainly be frustrating. However, it's simply part of doing business online. We try to view it as an opportunity to learn and grow, and if you're currently going through a sales slump, don't give up. Test things out and remember that slowdowns happen even to the biggest players.
In summary: Etsy looks a bit different now than it did a few years ago, and many sellers are experiencing lower sales. Is it worth trying to fix, or should you look for alternatives outside of Etsy? There is no single right answer. For some sellers, optimizing for the new rules and patiently waiting for results will pay off. For others, especially those who feel they have no control over the changes happening on the platform, moving to an independent, self-hosted shop may be a better solution. It's best to test both approaches on your own shop and see what actually works, because what worked for us won't necessarily work for someone else.
Etsy sales outlook for 2026–2028
Looking ahead, Etsy sellers can expect a dynamic market shaped by shifting consumer preferences and technological advancement; industry experts suggest that success will depend on flexibility and strategic foresight.
Sasha Hutchison, a digital products strategist, emphasizes the importance of early trend adoption: "Sellers who succeed in 2026 will: 1) Spot new categories early, 2) Introduce products before buyers even know they want them, 3) Master trends in the way people already expect."
Furthermore, financial analysts project steady revenue growth for Etsy, climbing to approximately 289 billion dollars in 2026. Check more on Etsy in 2026.
To succeed in this changing environment, we—as sellers—should continue to focus on identifying niche markets, leveraging data analytics, and deploying innovative marketing strategies. By closely tracking these trends, Etsy shops can position themselves for success in the coming year.
Recent shifts in Etsy's sales performance may cause anxiety, but they reflect a broader transformation rather than the sudden failure of individual shops. Search visibility, traffic sources, and buyer habits are shifting simultaneously, naturally altering how and when customers discover products. Etsy isn't disappearing, but it is undergoing a transformation.
Sources:
Etsy SEO 2025: Complete Guide (SellerToolsHQ) – explains the most important changes in Etsy's ranking system and how listings are now evaluated based on behavioral signals and conversion performance.
Etsy Algorithm Update 2025: What Sellers Should Do Now (CedCommerce) discusses Etsy's ongoing transition to AI-driven personalized search and the impact of behavioral data.
Etsy Search Updates: What’s New (Etsy Seller Handbook) an official Etsy article describing improvements and evolving search features that affect listing visibility and buyer interactions.
