About Company
Etsy, Inc. is a US-based e-commerce firm concentrated on classic or hand-crafted products and handicraft provisions. These products come under a broad variety of classes, such as bags, ornaments, interior decoration, attire, furniture, artwork, playthings, as well as tools and craft supplies.
Products illustrated as old-time have to be twenty years old as a minimum. The website adopts the custom of open-air handicraft exhibitions, providing vendors with private storefronts. They could register their commodities for a cost of US$ 0.20 per good there.
As of December 31, 2021, Etsy featured more than one hundred twenty million products in its marketplace. Besides, the online market for old-time and handcrafted items linked 7.5 million vendors with 96.3 million purchasers.
In 2021, the company witnessed overall sales, or GMS (Gross Merchandise Sales), of US$ 13.5 billion on the platform. The company collected revenue worth US$ 2.3 billion in 2021 and posted a net profit of US$ 493.5 million.
The platform garners revenue mainly from three sources: the market profit incorporates a charge of 6.5% on the ultimate sales worth, and this is payable by an Etsy retailer for every concluded deal, over and above a registration charge of twenty cents each product; Seller Services, the speediest expanding receipts source of Etsy, incorporates charges for facilities like payment processing, “Advertised Listings”, and procurement of consignment tags via the platform. At the same time, other sources of income incorporate charges obtained from 3rd-party payment processing firms.
What type of Company is Etsy, Inc.?
Etsy, Inc. is a publicly-traded company.
To which Industry does Etsy, Inc. belong?
Etsy, Inc. belongs to the e-commerce industry.
When did Etsy, Inc. Come into Existence?
Etsy, Inc. came into existence on 18 June 2005; seventeen years back.
Who are the Originators of Etsy, Inc.?
The originators of Etsy, Inc. are the following:
- Chris Maguire
- Robert Kalin
- Jared Tarbell
- Haim Schoppik
Where is the Head Office of Etsy, Inc. Located?
The company has its central office in Brooklyn, New York, U.S.
Which Territory does the Company Serve?
Besides the US, Etsy has a dominant presence in Germany, the United Kingdom, and Canada.
Etsy, Inc. Management
Josh Silverman, CEO
Joshua Gordon Silverman was born in 1969. He serves as a US-based industrialist and tech administrator, presently working as the chief executive officer of Etsy, Inc.
Joshua is mostly famous for co-originating Evite, the invitation site, and functioning as the CEO of Shopping.com (from 2006–2008) and Skype (from 2008–2010).
Josh attained a Bachelor of Arts degree in Public Policy in 1991 from Brown University, following which he devoted 2 years serving Bill Bradley, New Jersey Senator.
In 1995, Josh entered the Stanford Graduate School of Business. In 1997, Silverman completed his Master of Business Administration program from there.
In 1998 November, Josh left his employment at ADAC Laboratories and began a whole-time occupation on developing what would turn into Evite. In 2001, IAC/InterActiveCorp, a venture by Barry Diller, took over Evite. In 2006, Josh turned into the Chief Executive Officer of Shopping.com, an evaluation-shopping search engine held by eBay. In 2008 February, he got nominated as Skype CEO.
Joshua became a part of the BOD of Etsy in 2016 November. Once a campaigner investor bought a share in the firm and demanded its auction, the board expelled years-long Chief Executive Officer Chad Dickerson and fixed Joshua as the CEO.
Josh came across Shirin, his wife, in 1998. As of 2018, they have two kids.
How many Employees Work for Etsy, Inc.?
As of 2021 December, 2,402 employees are working for the home décor specialist company.
What are the products and services provided by Etsy?
The products and services offered by Etsy include the following:
- Ornaments & Add-ons
- Sellers’ Sales Hub
- Residence and Living
- Garments and footwear
- Playthings and amusement
- Party and Wedding
- Handicraft provisions
- Artwork and Figurines
- Souvenirs
What is the Name of the Subsidiary of Etsy, Inc.?
The name of Etsy’s subsidiary organization is Depop.
Who are the Top Rivals of Etsy, Inc.?
As of 2016 March, the top 3 contenders of Etsy are listed below:
- Craigslist
- Amazon Handmade
- eBay
Etsy Timeline
2005–2014
In 2005 June, the site came into existence, courtesy of iospace, a tiny firm made of Haim Schoppik, Chris Maguire, and Robert Kalin. The preliminary edition had required 2 and a ½ months for making. Subsequently, Jared Tarbell became a part of the group. In 2008, Maria Thomas, erstwhile NPR manager came in as COO, got elevated to Chief Executive Officer, and quit Etsy in 2009 December. Robert Kalin recommenced his functioning as the Chief Executive Officer from 2009 December to 2011 July. The venture capitalists of Etsy included the following:
- Albert Wenger
- Sean Meenan
- Union Square Ventures
- Spencer and Judson Ain
- And originators of Delicious and Flickr
During the first year of Etsy, the company drew notice for recurrently including novel widgets and features to the website to aid the vendor to increase traffic and coverage, incorporating Adobe Flash-oriented images and an assortment of groups with labels. In 2007 May, the sales volume of Etsy crossed $1.7 million.
On July 29, Etsy celebrated the 1-millionth sale of its products and expected that the 2-millionth sale of its products would take place in the middle of December 2007. In 2007 November, customers used up $4.3 million buying three hundred thousand goods for selling on Etsy, a hike of 43% from 2007 October.
In 2007 June, the company anticipated being money-making by the fall season. However, in 2007 December, Etsy was not a cost-effective establishment. In 2008 January, Etsy obtained an extra $27 million as financing from Jim Breyer, Hubert Burda Media, and Union Square Ventures.
In 2008 July, Maria Thomas made way for Rob Kalin for the role of Chief Executive Officer. In 2008 August, a few years-long Etsy workers quit the organization, such as originators Chris Maguire and Haim Schoppik. In 2008 September, Etsy appointed Chad Dickerson, who previously was associated as the Chief Technology Officer with Yahoo!. The firm conceded worries regarding sellers trading other individuals’ creations as belonging to them.
Initial Public Offering and Legal Proceedings
On 3 March 2015, Etsy declared that it had registered for an IPO worth $100 million. As of 2015, Etsy rendered deals valued at US $1.93 billion on the platform, which comprises fifty-four million affiliates.
Etsy, Inc. turned public on 16th April 2015 and marketed 13.3 million shares. At the same time, other shareholders comprising angel investor firms like Acton Capital Partners and Accel were marketing the remainder. The worth of the firm stood at $1.8 billion and it collected $237 million in IPO earnings. However, within just 30 days, the stocks of the company slumped by over 8%. The stock concluded at $30 on the opening day of transactions on 16 April and sank to $20.32 as of 11 May.
In 2015, soon after the launch of the IPO, a cluster of investors moved a class action lawsuit versus Etsy alleging scam. The lawsuit stated that the officials and CEO of the company fell short of revealing various issues with the website which struck the stock rate badly.
There were further allegations in the lawsuit that the administration of Etsy was aware of the unbridled copyright and trademark violation. However, they turned a blind eye to it and didn’t prevent it. They were busy concealing this data from prospective financiers.
2016 – Current Time
In 2016 November, Etsy revealed that it disbursed US$ 32.5 million for buying Blackbird Technologies. It was a startup venture that designed Artificial Intelligence software utilized for search apps/shopping perspective. Following the occurrence of a Q1 loss in 2017 May, the company substituted the chief executive officer and downsized eight percent of its manpower. In 2017 May, Josh Silverman, one of the board associates got the appointment of CEO above Chad Dickerson, referring to insistence from miserable gains and depositors.
In 2019 July, Etsy took over Reverb, the music-oriented market at $275 million.
In 2020 April, Etsy circulated a request to every vendor on the website to begin manufacturing fabric face masks for battling COVID-19. Masks comprised approximately 11% of gross-product sales in the Q3 segment, selling around twenty-four million.
Throughout the COVID-19 pandemic period in 2020, stocks in the company increased fourfold, with the organization’s forward multiple rising approximately ninety times what forecasters had anticipated from forward revenue.
Tom Forte, an equity specialist at D.A. Davidson mentioned the pandemic rendered clients the enticement to come back to the site on various occasions, instead of the typical infrequent buying of an exceptional item.
On 2nd June 2021, Etsy proclaimed that it had consented to buy a shopping application named Depop, the worldwide fashion reselling market at $1.63 billion.
In the majority of sites where Etsy Payments cannot be accessed by people, new stores are incapable to get aboard on Etsy. As of 26th April 2021, the majority of vendors opening new stores on Etsy have to get on aboard with Etsy Payments, and this adds restrictions on establishing new stores in certain nations.
In 2022 June, Etsy declared the forthcoming August introduction of a buying security plan for vendors and buyers.
The firm stated that an article that reaches dented, does not reach, or does not correspond with the depiction, will be subject to total repayment for the customer. Besides, Etsy informed it would spend $25 million for compensating the repayment finances for instances where the vendor has no liability for product spoil or loss.
Etsy, Inc. Financial Performance
The Condensed Consolidated Statement of Operations of the company is given below:
What’s the philosophy of Etsy, Inc.?
As quoted by Chad Dickerson, the former CEO of the company, the company has attained phenomenal heights due to its stress on human communication and innovation.
Etsy, Inc. Stock Performance
The common stocks of Etsy, Inc. are traded on the NASDAQ Exchange with the ticker symbol ETSY. The stock is a constituent of the S&P 500 index.
On December 30, 2022, Etsy Inc. (ETSY) closed trading at $119.78 with the data furnished below at 4:00 pm EST (Eastern Standard Time).
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