The Scary Side of Etsy — 5 Tips to Avoid Being Suspended

Bailey
5 min readJan 25, 2023

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Don’t Get Suspended On Etsy

Few things are scarier than putting time, effort, and money into building a booming business, then having it taken away overnight when you’re suspended. Unfortunately, this happens to Etsy sellers, especially when they’re unfamiliar with Etsy’s terms and conditions and the following tips. Often, Etsy sellers are not even 100% why their account was suspended, making this situation even more frightening and frustrating.

Keep reading to learn more about common reasons why Etsy shops are suspended and my top five tips to avoid being suspended.

(This post contains affiliate links and you can read the full disclosure here)

  1. Avoid Copyright Infringement and Trademark Violations

Etsy has policies in place that allow them to ban any Etsy shop with products, titles, or listings violating copyright infringement or trademarks. For example, you can’t use trademarked names, like “onesies,” or sell shirts with a quote from a Disney movie on them. You also can’t sell items that are too similar to those offered by other sellers with trademarks on their products.

When creating products, I recommend checking any terms, quotes, words, or phrases used on your product and in your listing before listing the item to avoid this problem.

While you may see other Etsy sellers “getting away” with using trademarked names or copyrighted images, you don’t want to risk your entire shop being shut down for this!

Remember, anything that is pop-culture related, such as brands, music, movies, character likenesses, or sports teams, is someone else’s property. Not only is it unethical to profit off of someone else’s hard work designing those properties, but your shop can be suspended, and you may even face legal issues from the property owner.

2. Selling Things Not Allowed on Etsy

Etsy started as a platform for handmade items. While it has expanded into many other things, such as digital printables, you still must comply with Etsy’s seller guidelines.

Currently, you can sell the following:

  • Handmade items (This includes digital designs as long as you created the original design, use your own photographs in your listing, and list each person involved in making your items or running the business in your about section)
  • Vintage items (defined as items that are at least 20 years old)
  • Craft supplies

Prohibited items, such as hate items, weapons, drugs, illegal items, or items with mature content, violate Etsy’s terms and put your shop at risk of suspension. Services and rentals are also not allowed on Etsy.

Another mistake Etsy sellers make is selling intangible goods and services, like music, coaching services, or webinars. However, other items like digital printables or social media templates that you make are allowed because they are delivered products that the consumer can use.

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3. Not Keeping Up With Customer Service

Selling products, especially digital products, on Etsy, is often touted as a passive income source. However, passive income streams still need tender loving care and a couple of hours a month to maintain. Otherwise, you could find yourself in a situation where your shop is no longer providing good customer service, and Etsy may suspend your account.

Avoid this by dedicating time each week to keeping up with customer reviews, messages, and concerns.

Remember, Etsy doesn’t want to keep sellers that aren’t interested in satisfying their customers. This reflects poorly on Etsy, so communicate with your customers professionally and respond to requests, messages, and concerns in a timely manner to keep your shop’s customers happy.

4. Many Poor Reviews

Similar to not keeping up with customer service needs, Etsy may also suspend your shop if you receive a large influx of poor customer reviews.

Suppose your store is receiving large numbers of one, two, or three-star reviews from unsatisfied customers. In that case, Etsy may take a closer look at your store to see if you are following all the terms and conditions, if your product matches your listing, if you’re keeping up with customer service, and much more.

Poor reviews put a spotlight on your store, and not in a good way!

No platform wants an irresponsible seller ruining their brand’s reputation with poor quality products, lousy customer service, or products that don’t match the listing.

If you receive a negative review, don’t sweat it. Take this feedback and use it to improve your product and business. You can also contact the reviewer personally and try to address the problem. If the reviewer chooses to, they can go back and edit their review, especially if you dazzle them with great service and address the issue.

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5. Never Rely on Etsy Alone

Sellers come and go on the platform. As a result, Etsy will always prioritize its brand image and reputation over one seller.

This reality is why I recommend having a backup plan to sell your products. Diversify your income by creating an online store using a service like Shopify or on your website or social media. Shopify allows you to create your own online store, so you don’t have to rely heavily on a platform’s terms and conditions and constantly changing algorithms.

When you sell products on Etsy, provide customers with a link to your website, social media, newsletter, or anything else that gives you more direct contact with them. Not only is this a smart marketing strategy for your business to increase sales, but it gives you a backup plan if your store gets suspended. Instead of starting over from scratch, you can post about it on your social media or send out email marketing with your new store’s information.

If you’re looking for even more information and a step-by-step guide to launching and running a successful digital product shop in 2023, check out my guide, Digitally Purposed. My guide provides the exact steps you need to take to create a successful store and the story of how I earned a six-figure income with my own shop in a few short months.

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Bailey
Bailey

Written by Bailey

A serial entrepreneur with way too many dogs living in FL at https://www.digitallypurposed.com. 📩 hello@digitallypurposed.com

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