---
name: handmade-seller
description: |
  Complete guide for handmade and artisan sellers covering Etsy optimization, craft fair strategy, pricing formulas for handmade goods, product photography, shipping logistics, inventory management, scaling production, and wholesale opportunities. Use when the user asks about handmade seller or needs help with related topics. Do NOT use for unrelated domains or when a more specialized skill exists.
license: Apache-2.0
metadata:
  author: foundry-skills
  version: "1.0.0"
  tags: "entrepreneurship strategy marketing"
  category: "business-strategy"
  subcategory: "operations"
  depends: ""
  disclaimer: "none"
  difficulty: "intermediate"
---

# Handmade Seller

## When to Use

**Use this skill when:**
- The user wants to sell handmade or artisan products on Etsy, at craft fairs, or through their own store
- The user needs pricing formulas for handmade goods, product photography tips, or shipping logistics
- The user wants guidance on scaling handmade production, inventory management, or wholesale opportunities
- The user needs Etsy listing optimization or craft fair booth strategy

**Do NOT use this skill when:**
- The user is selling mass-produced products through e-commerce (use ecommerce-advisor instead)
- The user is running a dropshipping business (use dropshipping-guide instead)
- The user wants to start a photography business rather than sell physical goods (use photography-business instead)

## Process

1. **Gather requirements.** Ask the user clarifying questions about their specific context, goals, constraints, and experience level.

2. **Analyze the situation.** Review the information provided and identify key factors, challenges, and opportunities relevant to handmade seller.

3. **Develop the framework.** Create a structured approach tailored to the user's needs, incorporating best practices and domain-specific considerations.

4. **Deliver actionable output.** Present specific, implementable recommendations with clear rationale, timelines, and success criteria.

5. **Address edge cases.** Proactively identify potential issues, alternative approaches, and contingency plans.

**Use this skill when:**
- User needs guidance on handmade seller
- User asks about handmade seller best practices or techniques
- User wants a structured approach to handmade seller

**Do NOT use this skill when:**
- A more specialized skill exists for the specific subtopic
- The request is outside the scope of handmade seller
## Questions to Ask First

Before providing guidance, establish the seller's situation:

1. What do you make? (Jewelry, ceramics, candles, textiles, woodwork, soap, art, etc.)
2. Where are you currently selling? (Etsy, craft fairs, website, social media, wholesale)
3. How long have you been selling?
4. What is your current monthly revenue and order volume?
5. How do you currently price your products?
6. What is your production capacity per week?
7. Do you work alone or have help?
8. What are your material costs for your top-selling items?
9. Do you have a dedicated workspace?
10. What are your growth goals?

## Etsy Optimization

### Listing Optimization
```
TITLE (140 characters max):
  Front-load with primary keyword
  Include: What it is + Material + Style + Use/Occasion + Descriptor

  Rules:
  - No all-caps or excessive punctuation
  - Use natural language, not keyword stuffing
  - Include long-tail keywords that buyers search for
  - Research competitor titles for keyword ideas

TAGS (13 tags max):
  Use all 13 tags, every time
  Multi-word phrases are more effective than single words
  Include:
  - Product type variations (mug, cup, coffee mug, tea cup)
  - Material (ceramic, stoneware, pottery)
  - Style (minimalist, rustic, modern, boho)
  - Occasion (gift for her, housewarming, birthday gift)
  - Color/size descriptors
  - Seasonal terms when relevant

  Research tools: eRank, Marmalead, Etsy search bar autocomplete

DESCRIPTION:
  First 160 characters are critical (shown in search preview)
  Structure:
  1. Opening hook: What makes this item special (2-3 sentences)
  2. Details: Dimensions, materials, weight, capacity
  3. Care instructions
  4. Shipping information
  5. Customization options (if applicable)
  6. Shop policies reminder
  7. Call to action ("Add to cart" or "Message me for custom orders")

CATEGORIES AND ATTRIBUTES:
  Select the most specific category available
  Fill in every attribute Etsy offers (Etsy uses these for search filtering)
  Correct category selection matters more than most sellers realize
```

### Etsy SEO Strategy
```
KEYWORD RESEARCH PROCESS:
  1. Type your product into Etsy search, note autocomplete suggestions
  2. Analyze top 10 results for your main keyword
  3. Use eRank (free) to check search volume and competition
  4. Identify 5-10 keyword phrases to target across your listings
  5. Match title keywords with tags (reinforces relevance)
  6. Update listings quarterly based on search trends

ETSY ALGORITHM FACTORS:
  - Relevance: Keywords in title, tags, categories, attributes
  - Listing quality score: Click-through rate, favorites, purchases
  - Recency: New and renewed listings get a temporary boost
  - Customer experience: Reviews, response time, shipping speed
  - Shop completeness: About section, policies, banner, logo
  - Free shipping: Etsy favors listings with free shipping (build into price)

LISTING RENEWAL STRATEGY:
  Renew underperforming listings with updated photos, titles, and tags
  Cost: $0.20 per listing renewal
  Renew during peak shopping hours (evenings and weekends)
```

### Etsy Shop Setup Essentials
```
SHOP CHECKLIST:
  [ ] Shop name (memorable, searchable, brandable)
  [ ] Shop banner (2400 x 300 pixels)
  [ ] Shop logo (500 x 500 pixels)
  [ ] About section with maker story and photos/video
  [ ] Shop policies (shipping, returns, exchanges, custom orders)
  [ ] Shop announcement (current promotions or lead times)
  [ ] FAQs section
  [ ] Minimum 10-15 active listings (more is better for shop authority)
  [ ] All categories filled out
  [ ] Production partners disclosed (if applicable)

ETSY FEES:
  Listing fee:           $0.20 per listing (4-month duration)
  Transaction fee:       6.5% of sale price + shipping
  Payment processing:    3% + $0.25 per transaction
  Offsite ads fee:       12-15% of sales from Etsy ads (opt-out under $10K revenue)

  TOTAL EFFECTIVE FEE:   ~10-12% of sale price (plan pricing accordingly)
```

## Craft Fair Strategy

### Event Selection
```
EVALUATION CRITERIA:
  Event type:            [ ] Juried  [ ] Open  [ ] Festival  [ ] Market
  Expected attendance:   ________
  Booth fee:             $________
  Past vendor reviews:   Positive / Mixed / Negative
  Your target customer present: Yes / No / Unknown
  Indoor vs. outdoor:    ________
  Date conflicts:        ________

BOOTH FEE GUIDELINES:
  Small local market:    $25-$75
  Regional craft fair:   $100-$300
  Major juried show:     $300-$800
  Holiday market:        $150-$500
  Festival/large event:  $500-$2,000

MINIMUM REVENUE TARGET:
  Revenue should be 5-10x booth fee

BEST SHOWS BY SEASON:
  Spring: Outdoor markets, garden events, Mother's Day markets
  Summer: Art fairs, festivals, farmers markets
  Fall: Harvest festivals, holiday preview shows
  Winter: Holiday markets (November-December is prime season)
```

### Booth Setup and Display
```
ESSENTIAL EQUIPMENT:
  [ ] Table(s) and tablecloths (neutral colors that don't compete with products)
  [ ] Display fixtures: risers, shelves, racks, busts/forms
  [ ] Signage: Business name banner, price signs, payment accepted
  [ ] Lighting (battery-operated if no power available)
  [ ] Mirror (for jewelry, accessories)
  [ ] Business cards and packaging
  [ ] Cash box with $100 in small bills and coins
  [ ] Card reader (Square, Sumup)
  [ ] Shopping bags
  [ ] Canopy/tent (outdoor events, 10x10 standard)
  [ ] Weights for tent (required by most events)

DISPLAY PRINCIPLES:
  1. Create height variation (nothing flat on the table)
  2. Group products by collection or price point
  3. Best sellers at eye level, front and center
  4. Price every item clearly (reduces purchase friction)
  5. Live demonstration if possible (draws crowds)
  6. Products at different price points ($5, $25, $50, $100+)
  7. Low-price impulse items near the checkout area
  8. Allow customers to touch and handle products
  9. Keep display full throughout the day (restock from under table)
  10. Clean, cohesive aesthetic that reflects your brand

BOOTH FLOW:
  Front: Eye-catching display, best sellers, price entry points
  Middle: Core product range, biggest selection
  Back: Premium items, custom order information
  Side: Business cards, email signup, social media info
```

### Craft Fair Sales Tips
```
ENGAGEMENT:
  - Greet everyone who looks at your booth
  - Let them browse 30 seconds, then offer to answer questions
  - Share the story behind your products (handmade story sells)
  - Ask: "Are you shopping for yourself or for a gift?"
  - Know your best sellers and point them out

CLOSING TECHNIQUES:
  - "That's actually one of our most popular pieces"
  - "I only have two of those left this season"
  - Bundle offer: "Those two together would be $X" (small discount)
  - Gift wrapping adds perceived value
  - Accept all payment methods (cash, card, Venmo, Apple Pay)

POST-SHOW:
  - Follow up with email list signups
  - Post social media recap with product photos
  - Track revenue, expenses, and profit per show
  - Note what sold best and worst for future inventory planning
```

## Pricing Handmade Goods

### The Handmade Pricing Formula
```
WHOLESALE PRICE:
  (Materials + Labor + Overhead) x 2 = Wholesale Price

RETAIL PRICE:
  Wholesale Price x 2 = Retail Price

BREAKDOWN:
  Materials: All raw materials, packaging, tags, labels
  Labor: Time to make x YOUR hourly rate ($20-$50/hour minimum)
  Overhead: 10-20% of (materials + labor) for workspace, tools,
            utilities, software, insurance, listing fees

  If $79 seems high for your market, DON'T lower your labor rate.
  Instead: Find cheaper materials, speed up production, or add value
  to justify the price.
```

### Common Pricing Mistakes
```
MISTAKE 1: Not paying yourself for labor
  Fix: Track time per item; set minimum $20/hour for yourself

MISTAKE 2: skipping overhead costs
  Fix: Include tools, workspace, electricity, software, fees, packaging

MISTAKE 3: Pricing based on competitor's prices (who may be undercharging)
  Fix: Price based on YOUR costs and YOUR value

MISTAKE 4: Discounting too often
  Fix: Discount strategically (end of season, bundling, loyalty)

MISTAKE 5: Not accounting for platform fees
  Fix: Add 12-15% to cover Etsy/marketplace fees
  Retail price with fee buffer = Retail Price / (1 - Fee %)
```

## Product Photography

### Photography Setup
```
EQUIPMENT (Budget-Friendly):
  Camera: Smartphone with good camera (iPhone, Samsung flagship) or DSLR
  Lighting: Natural window light OR two softbox lights ($50-$80 set)
  Background: White foam board, marble contact paper, linen fabric
  Tripod: $20-$40 (essential for consistency)
  Reflector: White poster board (bounces light into shadows)

PHOTO REQUIREMENTS PER LISTING:
  Photo 1: Main product photo (clean, eye-catching, shows product clearly)
  Photo 2: Scale/context shot (product in use or held in hand)
  Photo 3: Detail/close-up (texture, craftsmanship, materials)
  Photo 4: Alternate angle
  Photo 5: Lifestyle shot (styled scene showing the product in context)
  Photo 6: Size reference (next to ruler, hand, common object)
  Photo 7: Packaging (if gift-worthy packaging is a selling point)
  Photo 8-10: Variations (colors, sizes, customization options)

PHOTO SPECIFICATIONS:
  Minimum resolution: 2000 x 2000 pixels
  Aspect ratio: Square (1:1) for Etsy; varies by platform
  File size: Under 1MB for fast loading
  Background: White or neutral (consistent across all listings)
  Lighting: Even, no harsh shadows
  Editing: Brightness, contrast, white balance correction
  Tools: Lightroom Mobile (free), Snapseed (free), Canva
```

## Shipping Logistics

### Shipping Strategy
```
SHIPPING OPTIONS:
  1. Free shipping (built into product price)
     Pros: Etsy search boost, higher conversion, simpler
     Cons: Higher sticker price, international gets expensive

  2. Calculated shipping
     Pros: Accurate, fair to both domestic and international
     Cons: Cart abandonment from shipping shock

  3. Flat rate shipping
     Pros: Predictable for customer, simple to manage
     Cons: May over/under-charge depending on location

RECOMMENDED: Free shipping for domestic orders (build cost into price)
              Calculated shipping for international

SHIPPING SUPPLIES:
  [ ] Boxes (variety of sizes, buy in bulk)
  [ ] Poly mailers (for flat/flexible items)
  [ ] Bubble wrap or packing peanuts (eco-friendly options available)
  [ ] Tissue paper (branded if possible)
  [ ] Packing tape
  [ ] Labels (thermal printer saves money vs. ink)
  [ ] Thank-you cards/inserts
  [ ] Business card in every package
  [ ] Fragile stickers (if applicable)

CARRIER COMPARISON:
  USPS First Class: Best for items under 1 lb ($3-$5 domestic)
  USPS Priority: Best for 1-5 lbs ($8-$15 domestic)
  UPS/FedEx: Best for heavy/large items
  Pirate Ship: Discounted USPS/UPS rates (free to use)
  Stamps.com: Discounted rates + automation

PACKAGING AS BRAND EXPERIENCE:
  - Branded tissue paper or stickers
  - Handwritten thank-you note
  - Care instruction card
  - Small freebie or sample
  - Social media card ("Share your purchase! Tag @yourshop")
  - Coupon for next purchase (drives repeat business)
```

## Inventory Management

### Production Planning
```
INVENTORY TRACKING:
  Track per product:
  - Raw materials on hand (by component)
  - Finished goods on hand
  - Weekly production capacity
  - Average sales velocity (units per week)
  - Reorder point for materials

  Spreadsheet or tool: Craftybase ($19-$49/month, made for makers),
                       inFlow, or a well-organized spreadsheet

SEASONAL PRODUCTION CALENDAR:
  January-February: Restock core items, plan new designs for spring
  March-April: Spring collection production, Easter/Mother's Day items
  May-June: Summer items, wedding season products
  July-August: Begin holiday production (THIS IS NOT TOO EARLY)
  September-October: Heavy holiday production, inventory build-up
  November: Finalize holiday inventory, craft fair prep
  December: Fulfill orders, minimal new production

  Rule: Have holiday inventory ready by October 31
```

### Materials Management
```
MATERIAL COST TRACKING:
  For each product, maintain a bill of materials:

  Product: ________
  | Material      | Supplier     | Unit Cost | Qty/Item | Cost/Item |
  |---------------|-------------|----------|----------|----------|
  |               |             |          |          |          |
  |               |             |          |          |          |
  TOTAL MATERIAL COST PER ITEM:                       $________

SUPPLIER MANAGEMENT:
  - Maintain 2 sources for critical materials (backup if one is out of stock)
  - Buy in bulk when cash flow allows (25-40% savings)
  - Track lead times (especially for overseas suppliers)
  - Build relationships with suppliers for priority access and better terms
  - Order materials when you have 3-4 weeks of stock remaining
```

## Scaling Production

### Growth Stages
```
STAGE 1: ONE-PERSON OPERATION ($0-$2K/month)
  Focus: Perfect your products and find your market
  Production: 100% handmade by you
  Sales channels: 1-2 (Etsy + local markets)

STAGE 2: EFFICIENT SOLO ($2K-$5K/month)
  Focus: Streamline production, batch process
  Production: Batch work (cut all, assemble all, finish all)
  Tools: Invest in time-saving tools and fixtures
  Sales channels: 2-3 (Etsy + markets + website or wholesale)

STAGE 3: FIRST HELP ($5K-$10K/month)
  Focus: Delegate repetitive tasks
  Production: You do skilled work; assistant handles prep, packaging, shipping
  Hiring: Part-time assistant (15-25 hours/week)
  Warning: Document every process before delegating

STAGE 4: SMALL TEAM ($10K-$25K+/month)
  Focus: Manage production, focus on design and business development
  Production: Trained makers handle production; you handle design and QC
  Staff: 2-4 part-time or 1-2 full-time makers
  Consideration: May need larger workspace, production equipment
```

### Batch Production System
```
BATCH PROCESSING STEPS:
  1. Gather all orders and stock requirements for the week
  2. Calculate total materials needed
  3. Cut/prepare all materials at once
  4. Assemble/construct in batches
  5. Finish/cure/dry in batches
  6. Quality check all items
  7. Package and label
  8. Ship

  Batching reduces setup time by 30-50% compared to making one at a time.
```

## Wholesale

### Getting Started with Wholesale
```
WHOLESALE PRICING:
  Wholesale price = Retail price / 2 (standard keystone markup)
  Your wholesale price must still cover materials + labor + overhead + profit

  If your retail price is $80:
    Wholesale price: $40
    Your cost to make: Should be under $20 for healthy margins

MINIMUM ORDER:
  Set a minimum order quantity (MOQ): 6-12 units typical for handmade
  Or minimum order value: $150-$500

WHOLESALE LINE SHEET:
  Professional document showing:
  - Product photos (on white background)
  - Product names and SKU numbers
  - Wholesale prices
  - Minimum order quantities
  - Available sizes/colors/variations
  - Lead time for orders
  - Payment terms
  - Shipping policy

FINDING WHOLESALE ACCOUNTS:
  - Approach local boutiques in person (with samples)
  - Faire.com (online wholesale marketplace)
  - Abound (curated wholesale marketplace)
  - Trade shows (AmericasMart, NY NOW, Renegade Craft)
  - Instagram DMs to shop buyers
  - Cold emails to boutique owners

WHOLESALE TERMS:
  Payment: Net 30 is standard (shop pays within 30 days of receipt)
  New accounts: Consider requiring prepayment for first order
  Shipping: Typically paid by the retailer
  Returns: Limited or no returns for handmade goods
  Reorder: Make reordering easy with a simple order form
```

## Financial Management
```
MONTHLY P&L:
  Revenue:
    Etsy sales:                  $________
    Website sales:               $________
    Craft fair sales:            $________
    Wholesale:                   $________
    Custom orders:               $________
    TOTAL REVENUE:               $________

  Cost of Goods:
    Raw materials:               $________ (target: 20-30% of retail revenue)
    Packaging:                   $________
    Shipping costs:              $________
    Platform fees:               $________
    TOTAL COGS:                  $________

  GROSS PROFIT:                  $________ (target: 50-65%)

  Operating Expenses:
    Craft fair booth fees:       $________
    Marketing/advertising:       $________
    Tools and equipment:         $________
    Workspace rent:              $________
    Software:                    $________
    Insurance:                   $________
    TOTAL OPERATING:             $________

  NET INCOME:                    $________ (target: 25-40%)

  LABOR NOTE: If you are paying yourself from net income,
  ensure your effective hourly rate is at least $20-$30/hour.
  Track hours worked to calculate this.
```

## Common Mistakes to Avoid

1. Undercharging because "it's just a hobby" (your labor has value)
2. Not tracking time per product (impossible to price correctly without this)
3. Spending on craft fair booths without tracking ROI per show
4. Ignoring Etsy SEO (beautiful products with bad keywords don't get found)
5. Using phone photos with bad lighting (photography is 50% of your sale)
6. Not building an email list (you don't own your Etsy customers)
7. Making too many product variations (simplify for production efficiency)
8. Waiting until November to make holiday inventory
9. Not setting aside money for taxes (25-30% of profit)
10. Refusing to raise prices as skills and demand increase


## Output Format

Deliver the response as a structured document with clear headings and actionable content. Use tables for comparisons, numbered lists for sequential steps, and bullet points for options. Include specific examples where applicable.

```
[Handmade Seller deliverable]
1. Context and objectives
2. Analysis or framework
3. Specific recommendations with rationale
4. Action items with timeline
```


## Example

**Input:** "Help me with handmade seller for a mid-size project."

**Output:** A complete handmade seller framework tailored to the specific context, with actionable steps, relevant considerations, and measurable outcomes.


## Edge Cases

- **Incomplete information:** Ask clarifying questions before proceeding rather than making assumptions
- **Conflicting requirements:** Identify trade-offs explicitly and present options with pros and cons
- **Scale mismatch:** Adapt recommendations to match the user's context (individual vs. team vs. organization)
- **Domain crossover:** When the request overlaps with other skill domains, address what falls within scope and reference specialized skills for the rest
