Selling Digital Products on Etsy:
The Haye Creatives Mini Course


a 7 step plan created by a .1% Etsy seller with 125,000+ digital product sales

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Step 1: Etsy Market Research & Planning

When it comes to selling digital products, the very first step is deciding what to create. From my experience, the key to success lies in choosing something you’re genuinely passionate about. When you love what you’re making, staying motivated is so much easier, and that enthusiasm will shine through in your work. So, before you start brainstorming or browsing through platforms like Etsy, take a moment to reflect on your own passions and skills. What excites you? What are you good at?

Market Research - Finding Profitable digital products

Before diving into the creation of your digital products for Etsy, it's crucial to do some market research to ensure your ideas will be profitable. While listing your passions and skills is a great first step to spark ideas, validating these ideas with research will help you avoid wasting time on products that may not sell.

Start by heading over to Etsy and exploring your digital product ideas. Are there similar products already being sold? If so, take a deeper look to see if they’re generating sales.

Pay close attention to listings that have the Bestseller badge. This can give you an indication of strong demand. Take note of how many reviews these products have, and importantly, the time frame in which those reviews were received. For instance, if a bestseller has only 10 reviews in the past year, it might not have the consistent demand you’re hoping for.

While this approach is a free way to gather market insights on Etsy, it won’t provide specific numbers. To dive deeper into precise data, such as average searches and competition levels, you'll need to sign up for an Etsy keyword research tool. Here are some of the most popular options:

  • eRank - This is the keyword research tool that I personally use. Free plans are available with basic features, for more in-depth keyword research you can upgrade to the paid plan starting at $5.99 a month.

  • Sale Samurai - Monthly plans available for $9.99 or a yearly plan for $99.99.

  • Marmalead - Another popular keyword research tool. Monthly plan is $19 a month with discounts available if you pay monthly or quarterly.

  • Alura - A more modern research tool. Free plans available with basic features, paid plans start at $14 a month if you pay annually.

Based on your market research, create a list of digital products that show real potential for profitability. This research will give you a clearer sense of what to focus on, making sure you’re investing your time in ideas with a higher chance of success.

Etsy Business Strategy & Planning

Now that you've identified a list of digital products with the potential for profitability, it's time to craft a business strategy that focuses on sustainable, long-term growth. To build a solid foundation for your digital product business, it’s important to focus on these key elements:

→ Target Audience

Who is your product for? Understanding your target audience is essential for creating something that truly resonates with them. Take the time to dig deeper into their needs, pain points, and desires. The more specific you are about your ideal customer, the better. Are you designing something for busy parents, entrepreneurs, or creative professionals? Knowing your audience inside and out allows you to develop a product that speaks directly to their needs.

→ Value Proposition

Think about the value your product provides to your customers. Does it help make their lives easier or more enjoyable? Is there a gap in the market that your product fills? Whether your product saves time, reduces stress, or adds fun to their day, it should solve a specific problem or fulfill an important need for your audience. Clearly defining your product’s value proposition will guide your marketing and help set the right expectations for your customers.

→ Unique Selling Point (USP)

In a crowded marketplace, why should people choose your product over others? What makes it stand out? Whether it’s a unique feature, a fresh approach, or something that isn’t available anywhere else, identifying your product’s unique selling point (USP) is crucial. Your USP helps you differentiate yourself from competitors and gives your audience a reason to choose you.

It can be tempting to create something that appeals to everyone, but the truth is, the more specific you get, the better. By narrowing down your focus and identifying a clear niche, you'll create a product that speaks directly to your ideal customers. And when you do that, you’re setting yourself up for success. After all, when you target a specific group, you can build a more dedicated following and drive real sales.

Step 2: Creating Digital Products to Sell on Etsy

Now that you have a list of ideas, it's time to start bringing your digital products to life! Don’t worry about having a massive product range when you first open your store— focus on creating 5 to 10 high-quality items to get started. This will give you an opportunity to test what works and what doesn’t in your shop. Once you have these products ready, consider launching your store so you can start learning and refining your approach.

Resources & Tools To Create Digital Products

To help you create standout digital products, here are some of my favorite tools and resources:

  • Canva - Canva is a free (with paid plans available) online graphic design tool that's perfect for creating everything from social media templates to printable planners, invitations, and more. If you plan to use Canva for your digital products, be sure to check their guidelines to understand what you can and can't create and sell. Personally, I love using Canva for social media posts due to its user-friendly design.

  • Creative Cloud - The Creative Cloud is a suite of over 20 powerful apps, including popular tools like Illustrator, Premiere Pro, and InDesign. These are perfect for creating everything from graphics and wall art to printable planners and fonts. I use Creative Cloud regularly to design image listings, edit photos, and even create videos for my Etsy store.

  • Final Cut Pro - For Mac users, Final Cut Pro is an excellent video editing program. I use it to create engaging videos for my Etsy listings and YouTube channel.

  • Procreate - Procreate is an app for iPads that lets you create stunning digital art. It's ideal for designing wall art, digital stickers, clipart, and more. I personally use Procreate to create animated maps for my travel videos, but it's a versatile tool for many different digital product creation.

  • Google Docs, Slides & Sheets - Free online tools to create templates and other digital products. For example presentation templates, spreadsheets, or you can even use Google Docs to share instructions for your product.

What kind of tool you will need depends of course on the type of digital product you are creating. I create spreadsheets, so the tools above are all I need. But if you are thinking about creating, for example, editable invitations you might need a completely different programme. Here is a list of other well known tools and resources used by Etsy shops that are selling digital products:

  • Templett - A customizable template creation tool used primarily for printable products like invitations, business cards, and planners. It allows customers to personalize and edit their templates directly in their browser.

  • Corjl - Similar to Templett, Corjl is an online design tool for creating editable templates for digital downloads like invitations, party decor, and stationery. It allows buyers to personalize templates after purchase.

  • Picmonkey - An online graphic design and photo editing tool that helps sellers create and edit digital designs. It offers a variety of templates, fonts, and effects to customize designs.

Step 3: Setting Up Your Professional Etsy Shop

With your products ready to go it is time to open your Etsy shop. If you have not opened your Etsy store yet you can click here to get 40 free listings! Let’s break down the essentials you’ll need to create a shop that stands out:

Shop Name

When choosing a name for your Etsy shop, keep it simple and memorable. Don’t overthink it—just ensure it reflects the vibe of your products and resonates with your audience. Remember, your shop name can’t be longer than 20 characters, and it can’t include spaces or punctuation. The good news is that you can always change it later (I’ve done it multiple times), so there’s no need to stress about finding the perfect name right away. If you’re still unsure, Etsy has a helpful guide on picking the right name, packed with great tips to get you started.

Graphic Elements

Invest a little time in designing a clean, cohesive look for your shop. This includes your shop icon, cover photo, and profile photo. These visuals are your first impression, so make sure they align with your brand and appeal to your target market. A polished design builds trust and professionalism. Here are Etsy’s recommended sizes for each graphic element:

  • Shop icon: 500 x 500 px

  • Cover photo / Big Banner: 3360 x 840 px

  • Profile photo: 400 x 400 px

About Section

When you’re selling digital products on Etsy, it’s easy to assume that your customers only care about the final product. However, the secret to standing out and building a loyal customer base lies in sharing your Why, How, and What—a powerful marketing framework that helps customers connect with you on a deeper level. In this post, we’ll break down how to craft an About section for your Etsy shop using this principle, which not only builds trust but also makes your shop irresistible to potential buyers.

→ Why: The Purpose Behind Your Digital Products

The Why is the driving force behind your business. It’s the reason you’re creating digital products in the first place. When you share your “Why” with your customers, you’re telling them what motivates you and why it matters to you—and ultimately, why it should matter to them. Ask yourself:

  • Why do you create digital products?

  • What problem are you solving?

  • How do your products improve your customers’ lives?

→ How: The Process You Use to Create Your Digital Products

The How is all about the methods and techniques you use to create your digital products. This helps customers understand the care and skill behind each item and shows them why they can trust your work. In this section you can highlight:

  • The tools and software you use

  • Your creative process

  • Any special techniques that make your products unique

→ What: The Digital Products You Offer

Now that you’ve covered the Why and How, let’s talk about the What—the digital products you’re offering. This is where you can describe your products in detail, showcasing what makes them stand out and why they’re exactly what your customers need. In the What section you can include:

  • Types of digital products you sell

  • The benefits of your products

  • A unique selling point that differentiates your offerings

Shop Policies

And lastly, before you open your Etsy shop make sure you clearly state your Shop Policies.

Step 4: Etsy Listings - Images, SEO & Keywords

Once your shop is set up, it's time to start adding your listings! Let's have a look at what every digital product listing will need starting with, the listing images.

Listing Images

Etsy is a visual marketplace, so your listings need to stand out. In total you can add up to 10 listing images, so take this into account when you start designing your listing images. You want your images to clearly communicate the value and quality of your digital product. Here are some tips for creating listing images for digital products:

  1. Use High-Quality Images - Make sure your images are crisp and high resolution. Etsy recommends images be at least 2000px wide. The clearer your images, the more professional and trustworthy your listing will appear.

  2. Stay on Brand - Consistency is key! Use similar fonts, colors, and design elements across your images to create a cohesive look that reflects your brand. Also, think about your target market. What do they expect? For example if you're selling vintage prints, go for a retro design with muted colors, or if you're selling modern planners, keep it clean, sleek, and minimalist.

  3. Use Realistic Mockups - Show your digital products in real-world settings. For example, display a printable wall art framed on a wall or a digital planner on a tablet screen. This helps customers visualize how it will look in their own space. If your product is for devices, show it on a smartphone, tablet, or laptop so customers can see exactly how it will look when they use it.

  4. Highlight Key Features - If you're selling something like a digital planner, showcase its unique features. Highlight pages, layouts, fonts, and any special details like hyperlinks or interactive elements.

  5. Customisation - If your are selling a digital product that can be modified by the customer, for example a Canva e-book template, showcase different variations (for example with different fonts or colors). Use side-by-side comparisons to make it easier for buyers to see what they’re getting and what they could create with your digital product.

→ Resources & Tools To Create Listing Images

If you're unsure where to start when it comes to creating listing images for Etsy, here are some of my favorite tools, along with a few other popular resources that can help you get the job done:

  • Envato Elements - This is my go-to platform for digital assets, offering unlimited downloads for a set monthly price. With fonts, mockups, device mockups, graphic assets, and so much more, it’s a great resource for creating professional-looking listing images.

  • Creative Cloud - Creative Cloud includes over 20 apps, such as Illustrator, Premiere Pro, and InDesign. I personally use Illustrator to create my listing images because of its flexibility and powerful design tools.

  • Canva - Canva is one of the easiest online design tools to use, and it even offers free plans! While I typically use it for creating social media posts and video graphics, many Etsy sellers rely on Canva to design their listing images and digital products.

  • Final Cut Pro - A video editing programme designed for Mac. I use this programme to create listing videos for Etsy as well as edit my YouTube videos.

  • Creative Market - Creative Market is another excellent resource for digital assets. You can find fonts, templates, graphics, and more to help elevate your Etsy listings.

Etsy SEO & Keywords: Optimizing Your Listings

If you’re planning on selling digital products on Etsy, you’ve probably heard the term SEO (Search Engine Optimization) thrown around. But do you know how it can make or break your shop? By mastering Etsy SEO, you can increase your visibility, rank higher in search results, and ultimately boost sales. Whether you’re selling fonts, digital planners, or downloadable art prints, mastering SEO is key to success. Let’s break down what SEO is, how to research the right keywords, and how to optimize your digital product listings for maximum impact!

→ SEO 101: Understanding Key Terms

SEO for Etsy might seem a little intimidating at first, but once you understand the basics, it’s much easier to apply. Let’s start by defining a few key terms to help you understand how SEO works on Etsy:

  • Keywords – These are the words or phrases that customers type into the Etsy search bar to find products. For a font, examples might include “modern font,” “hand-lettered font,” or “calligraphy font.” Including relevant keywords in your titles, descriptions, tags, and attributes is essential to get your listings in front of the right customers.

  • Search Query – This is the exact phrase or word a customer types into Etsy’s search bar. Etsy uses search queries to match listings that are most relevant to what the customer is looking for.

  • Relevance – Etsy’s search algorithm ranks listings based on how relevant they are to a customer’s search. The better your keywords align with the search query, the more likely Etsy is to show your listing to the customer.

  • Rank – This is your listing's position in Etsy search results. The higher your rank, the more visibility your listings will have, and the more likely customers will discover your font or digital product.

→ Popular Keyword Research Tools to Boost Your Etsy SEO

To optimize your shop and listings for the right keywords, you can use keyword research tools to find out exactly what customers are searching for. Here are some of the most popular tools for Etsy SEO:

  • eRank - This is the keyword research tool that I personally use. Free plans are available with basic features, for more in-depth keyword research you can upgrade to the paid plan starting at $5.99 a month.

  • Sale Samurai - Monthly plans available for $9.99 or a yearly plan for $99.99.

  • Marmalead - Another popular keyword research tool. Monthly plan is $19 a month with discounts available if you pay monthly or quarterly.

  • Alura - A more modern research tool. Free plans available with basic features, paid plans start at $14 a month if you pay annually.

→ Tips for Finding the Best Keywords for Your Digital Product Listings

With the keyword research tools at your disposal, you can find exactly what your customers are searching for. Here are a few tips to help you find the best keywords for your font or other digital products:

  1. Look for Keywords with Low Competition and High Search Volume - Focus on keywords that have enough search volume to make them worthwhile but aren’t overly competitive. This increases your chances of ranking higher.

  2. Focus on Long-Tail Keywords - These are phrases with three or more words, like “modern calligraphy font” or “vintage serif font.” Long-tail keywords are usually less competitive and can help you attract more targeted customers.

  3. Try Synonyms and Related Terms - Experiment with synonyms and similar phrases to ensure you're covering a wide variety of search queries. For example, “hand-drawn font” and “handwritten font” may appeal to different customers.

  4. Pick a “Superstar” Keyword - Once you’ve found the best keywords, choose one main keyword that best describes your font or digital product. This will be your “Superstar” keyword.

→ How to Optimize Your Etsy Listings for Digital Products

Now that you’ve researched your keywords, it’s time to optimize your Etsy listings. SEO isn’t about cramming keywords everywhere; it’s about making your listings relevant and useful for potential customers. Here’s how you can optimize your digital product listings for higher rankings:

  1. Optimize Your Etsy Title - Your title is one of the most important parts of your listing for SEO. Write a descriptive title that includes your Superstar keyword at the beginning, followed by additional keywords. Make sure the title is clear, natural, and easy to read.

  2. Write a Detailed Product Description - In your description, clearly explain what your product is and why customers should purchase it. Make sure to include your Superstar keyword near the beginning, and naturally incorporate other relevant keywords throughout the copy.

  3. Use All 13 Tags - Etsy allows you to use 13 tags per listing—don’t leave any of them unused! Include your Superstar keyword along with other relevant keywords to help you appear in more searches.

  4. Fill Out All Relevant Attributes - Etsy may show the option to include additional attributes like colour. These fields provide more opportunities to include keywords and help Etsy’s algorithm categorize your product effectively.

→ Etsy’s Search Algorithm

By optimizing your listings for the right keywords in your titles, descriptions, tags, and attributes, you’re setting your Etsy shop up for success. However, it is good to know that there are many other factors besides relevance that Etsy takes into consideration when it comes to ranking listings. Etsy has a detailed article about how Etsy search works where they describe how factors such as shop quality, customer service, listing engagement score and shopper’s habits can influence your ranking on Etsy!

Step 5: Bringing Traffic to Your Etsy Shop

While SEO can help your shop rank higher within Etsy's search, you can also take matters into your own hands and use marketing as a tool to bring more traffic to your shop!

Etsy’s Marketing Tools

Let's first look at some of the tools Etsy offers that can help boost your shop’s visibility: Etsy Ads and Sales/Discounts

→ Etsy Ads

Etsy Ads are a simple and effective way to get more eyes on your shop, whether you're a small or large seller. Here’s how Etsy Ads work:

  1. Set Up Your Ads - First, you'll choose which listings you want to promote. You can promote individual items or your entire shop—it’s super flexible.

  2. Set Your Budget - Next, set your daily budget. Etsy operates on a bidding system, so you decide how much you’re willing to pay each time someone clicks on your ad. Start small and adjust as you see results.

  3. Let Etsy Handle the Targeting - Once your ads are live, Etsy will automatically display them to shoppers based on the keywords they’re searching for. You don’t need to do much—Etsy takes care of the targeting for you.

  4. Where Your Ads Appear - Your ads will show up in search results and on product pages with a "Sponsored" label. If you’re opted into Google Shopping, your products could even appear on external sites!

  5. Track Your Results - Etsy provides detailed performance data so you can see how many clicks, views, and sales your ads generate. This makes it easy to tweak your strategy if needed.

Etsy Ads give you more visibility, drive targeted traffic to your shop, and can help boost sales. Since it’s a pay-per-click system, you only pay when someone clicks on your ad. Just keep track of your spending to ensure it’s working for you.

→ Etsy Sales & Discounts

Another built-in marketing tool on Etsy is Sales & Discounts, located under the Marketing Tab in your Etsy dashboard. These built-in features can help you increase sales and visibility with minimal effort. In addition to running a sale, Etsy offers several ways to further incentivize your customers:

  • Turn Favourites into Orders - Etsy will automatically send a discount code to anyone who favorites your item.

  • Remind Buyers to Checkout - Anyone who adds your product to their cart will receive an exclusive discount code to encourage them to complete the purchase.

  • Thank You Discounts - After a purchase, Etsy will send a thank-you message with an exclusive discount code to encourage repeat business.

  • Encourage Bigger Orders - Set a minimum purchase amount or quantity and offer a discount. This is a great way to increase your average order value.

  • Offer Bundles - Bundle items that are often purchased together at a discounted rate, encouraging customers to buy multiple products instead of just one.

The perception of getting more for less is a powerful motivator. Etsy shoppers tend to browse multiple shops for similar items so a sale makes your products stand out as a better deal compared to others without a discount!

Social Media Marketing

Outside of Etsy’s built-in tools, social media is another powerful way to bring traffic to your shop. Platforms like Instagram, Pinterest, Facebook, and YouTube allow you to showcase not only your products but also behind-the-scenes content and customer reviews. Social media is especially useful if you already have a following. But even if you have a smaller audience, it’s still worth sharing your products—who knows, you might not only drive sales but also grow your social media presence!

At the request of my customers, I started making demo videos showing how my spreadsheets worked. To make it easy to share, I uploaded these videos to my YouTube channel. What started as a way to help people use my products turned into something bigger: I gained over 4,000 followers, and one of my instructional videos now has over 300K views, continuing to generate sales to this day!

Step 6: Building Trust with Your Customers on Etsy

Now that your Etsy shop is set up and you’ve started driving traffic, it’s time to focus on an essential part of your journey—building trust with your customers. You might think that making a sale is the finish line, but for your customer, it’s just the beginning.

Customer Service

Customer service is essential for any successful Etsy shop, and even though you're selling digital products, providing top-notch service is still a key to building long-term relationships with your customers. Digital products come with unique challenges—there are no physical items to package and ship, but there are still plenty of opportunities for issues to arise. Here are a couple of tips that can help your customers feel supported and valued:

  • Respond Promptly to Inquiries - Whether it’s a question about how to download a product or how to use it, customers want quick answers. Etsy shoppers are typically expecting a fast response, so aim to reply to messages within 24 hours. The quicker you respond, the more professional and reliable you appear. If you're unable to reply right away, set up an auto-reply letting customers know when they can expect to hear back from you.

  • Set up an auto-reply - If you're unable to reply right away, set up an auto-reply letting customers know when they can expect to hear back from you.

  • Include a message with your digital download - In your Etsy dashboard when you go to Settings → Info & Appearance you are able to add a message for customers that purchased a digital item. In your message you can include a thank you, instructions on how to download the digital product and perhaps any other tips that you belief could be useful for your customer!

  • Create a FAQ or help desk page - Make it easier for customers to find the answers to their questions themselves. One of the easiest and most affordable ways to do this is by including a document with their download or include a link to, for example, a Google Doc where you add all your FAQs or a help desk page! This makes it easier for customers to find answers to their questions creating for a more enjoyable buyer experience.

  • Be Friendly and Professional - When communicating with customers, always maintain a friendly, professional tone. You want your customers to feel valued, so be polite and approachable in all your messages. A little kindness can go a long way in creating a positive customer experience.

Reviews

After a customer has had a chance to download and use your product, take a moment to send a follow-up message. Thank them for their purchase, ask how they’re enjoying the product, and gently request a review. Not only does this help you gather valuable feedback, but it also encourages customers to reach out with any questions or concerns. And those reviews? They’re critical for establishing trust with future shoppers.

I get it—asking for reviews can feel a bit awkward at first. But trust me, they’re essential. Positive reviews show new customers why they should trust your shop and make a purchase. Just be careful not to overwhelm them with too many messages—nobody likes spam! And remember, offering free or discounted products in exchange for 5-star reviews is not allowed on Etsy.

→ Handling Negative Reviews

At some point, you’ll likely get a negative review. And that’s okay. If the review doesn’t clearly explain why the customer was unhappy, reach out and see if there’s anything you can do to resolve the issue. A quick, friendly message can sometimes turn a 1-star review into a 5-star one. If they don’t respond, no worries—Etsy allows you to reply publicly to reviews.

When responding, keep future customers in mind. Stay professional, clarify any misunderstandings, and offer your help. How you handle negative reviews can speak volumes to potential buyers.

Step 7: Learn & Improve

You’ll learn a lot as you go. Maybe you’ll notice a certain product is a big hit, or there’s something you could tweak to make your shop even better. Don’t be afraid to make adjustments and try new things. Sometimes, what you think will be a best-seller won’t be, and that’s totally normal. Stay flexible and keep listening to your customers—they’ll help guide you.

If you’re feeling a little discouraged, remember—you can do this. You’re here for a reason. Your products and your story matter. Stay patient, stay creative, and don’t give up. Keep creating!

If you found this guide helpful than don’t forget to follow us on Instagram & YouTube to stay up to date for more tips and tricks about selling digital products on Etsy!