As we round the corner on the first month of the new year, Etsy is keeping us all on our toes with rumblings of algorithm and format changes. Most recently, on January 17th, Megan Langer penned an announcement updating shoppers and sellers on the new multi-shop checkout. This is kind of a big deal, you guys. If you haven’t read her full announcement, you can do so here: INTRODUCING MULTI-SHOP CHECKOUT.
I strive to make this blog a library of easy to understand resources, so today I’d like to break down their announcement and offer some insight as to what it might mean for you and your shop.
Let’s start with the basics. Etsy has published a fantastic help article that details the following information about Direct Checkout:
Direct Checkout is a payment method that offers buyers multiple payment options including:
Etsy gift cards
iDEAL (Netherlands only)
Sofort (Austria and Germany)
Sellers who offer Direct Checkout will receive funds from these sales directly to their bank accounts in the same currency as that of their Shop Payment Account.
Note: For sellers who accept PayPal integrated with Direct Checkout, a buyer who selects PayPal will be using PayPal on their end. Funds will go to your Shop Payment Account on Etsy and be deposited from there to your bank account. A PayPal account is not needed to accept PayPal.
For sellers located in Bulgaria, Croatia, Czech Republic, Hungary, Poland, and Romania: Etsy will send EUR to your bank account on file. Your bank may charge foreign exchange fees to deposit these funds to your account.
Once enrolled in Direct Checkout, US sellers also have the option to accept credit card payments in person using the Sell on Etsy card reader, via the Sell on Etsy app. Learn more.
Direct Checkout is currently available for shops in these countries, and we hope to expand even further in the future.
How to Enroll in Direct Checkout
It’s quick and easy to sign up.
You’ll need a credit card, bank account, and residential address in one of the eligible countries for receiving deposits. You will also be required to verify your personal identity.
Note: Sellers with bank accounts in Germany, Austria, and the Netherlands are not required to have a credit card on file to sign up for Direct Checkout.
Sellers can keep track of their Direct Checkout orders and deposits in their Shop Payment Accounts. To get to your Shop Payment Account, go to Your shop > Finances > Payment account.
The remainder of that article goes on to discuss fees and how to receive payments. Traditionally, Direct Checkout was available to one shop at a time. Basically, a customer can checkout at one shop as opposed to creating a cart filled with items from multiple shops. This is where the change has occurred. Now, Etsy has adopted an Amazon like approach that integrates Direct Checkout in a way that allows shoppers to purchase from multiple stores all at once.
Here’s what they have to say about the new process:
As buyers add items to their carts, they’ll see the cost for each item, shipping cost for each shop, shipping options (if applicable), processing times and an option to add a note to each seller. They’ll also see the total cost for all items and the combined total for their entire purchase. From this multi-shop cart, they can proceed to checkout from all the shops in their cart in one purchase.
Buyers will only be able to select one method of payment and one address for each purchase. To use a different credit card or shipping address for one or more items in their cart, they’ll need to remove those items from the cart using the Save for Later feature and purchase those items in a separate transaction.
If you don’t have Direct Checkout enabled in your shop, your items will be in a separate section below the multi-shop-eligible items in the shopper’s cart and buyers will need to purchase them in separate transactions.
Shoppers will still get individualized receipts and they can still put Notes to the Seller into each appropriate field so there’s no need to worry over those bits. I actually think this is a really great move on the part of Etsy. It makes shopping more convenient and seamless for those that may be more used to Amazon and removes a barrier to purchasing. The real issue becomes relevant if you don’t accept Direct Checkout and then customers will need to purchase from you individually if they have a cart. They might be ready to buy a batch of items but then get a pop up saying your products aren’t eligible… Well, you can see how that would deter them from purchasing.
What do you think about this new update?
Are you a fan or not so much?