It is understood that Etsy, a platform famous for its handicrafts, has the fastest growing product category on its platform in the past 12 months, which is home furnishings. Data shows that the GMV of the home furnishings category accounts for 32.6% of the company's total, which is $4.2 billion . At the same time, in the past 12 months, the platform's gross profit margin was 73.3% and the operating profit margin was 23.3%. The most attractive point for sellers to join the Etsy platform is the extremely high profit margin of its platform products.

Regarding the new policy, in an email sent to users, Etsy announced that they are updating their 2022 policy, which will take effect on March 9 , as follows:

Increase transparency

New updates to Etsy's internal rules focus on building trust and transparency. Several policies, including the Privacy Policy, Payment Policy, Electronic Communications Policy, and Buyer Policy, have been updated to increase transparency, provide clearer information, and reflect new features and services.

Information Request Policy

Etsy has also updated its Information Request Policy to provide more transparency to members. Specifically, Etsy has updated this policy to outline that in the event of a valid request for information, Etsy will contact you before disclosing your information (unless we are prohibited from doing so by law).

Changes to Seller Policies

There are several changes to the seller policy, including restrictions on what sellers can upload. One notable change in the policy is that sellers are not allowed to encourage buyers to facilitate transactions outside of Etsy.

The new policy was introduced because many sellers directed their Etsy customers to their own sales channels or other channels for transactions. However, it has not yet issued relevant content policies on how to define sellers circumventing the Etsy platform and directing customers to other channels for transactions.

Recently, in order to further expand its business, Esty will also invest nearly $50 million in customer support. Although the platform's stock has fallen 30.2% since the beginning of this year, and investors are worried that the handicraft market will find it difficult to maintain its growth driven by the epidemic, there are still professionals who are optimistic about the company's long-term revenue.

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