Etsy announced sale growth in its third-quarter results as it put new pricing model to work.
The marketplace achieved a revenue income of $150.4m (£116.39m), this compared to $106.380m (£82.33m) to the previous year. That’s up by 41.3% on the YoY (year on year) rate.
While Etsy saw a total revenue uplift, its net income of $ 19,894m (£15.40m) saw a decline from $ 25,802m same time last year. That’s down by 22.9% on the YoY rate.
Etsy says that the three-pronged strategy of its pricing model has enabled the marketplace to increase the level of investment in product, management and customer support.
Etsy’s has ramped up its landing page experience, with more personalised recommendations enhanced by algorithms for better customer experience. Etsy boasts more than 50m products on its website which shoppers now will be able to locate easier.
The marketplace has developed its customer support experience which now includes live chats for sellers, dedicated phone and 24×7 service levels.
“Etsy’s growth accelerated again in Q3, on a currency neutral basis, and we achieved several key milestones.”
-Josh Silverman, chief executive officer Etsy
Etsy puts its sales growth to moving the marketplace and its mobile application on to Google Cloud.
“We put our new pricing structure to work by increasing investments in marketing and product initiatives to fuel growth. We also completed a major step in our migration to the Cloud, a key foundational investment as we scale for future growth.”– Josh Silverman
It also cites its recent purchase of DaWanda as a success factor that allows Etsy to take advantage of the marketplace’s existing merchants in markets including Germany, Poland, Austria and Switzerland. Etsy’s expansion into Germany, its the second largest international gives it the advantage to re-direct more traffic from other sellers site to its own.