Uniting Crafters Worldwide

There's absolutely no doubt that e-commerce has taken off in the last decade. Consumers can buy a wide range of goods line including new and used items from a variety of retailers. The two most common selling methods are flat rate pricing and bidding which is similar to an auction. While there are plenty of sites that sell new products and even several that sell used goods, the handmade goods niche was untapped until Etsy entered the scene.

Launched in June of 2005, Etsy offers a variety of handmade items, craft supplies and vintage goods from people around the world. The site allows sellers to open a storefront and list items they have available. To list an item on Etsy, sellers pay 20 cents per item for a four-month listing. If the item sells, Etsy takes 3.5 percent of the sale. This model was proven effective and in just two years, Etsy was celebrating its millionth sale.

Etsy is the brainchild of entrepreneurs Robert Kalin, Chris Maguire, and Haim Schoppik. Kalin received inspiration for the company's name by watching the Fellini film "8 ½." The Italian word etsi, which means "oh, yes," is used quite often throughout the movie. Kalin changed the i to a y and Etsy was born. The company continues to improve and expand their site, reporting more than $46 million in sales and nearly half a million new members in September 2011. With sellers in more than 150 countries, Etsy has succeeded in bringing the local craft fair online and opening up brand new markets for crafters across the globe.