the margin kitEtsy Offsite Ads: the 15% fee, and should you opt out?
Offsite Ads can bring you sales you'd never get from Etsy search, but each one costs up to 15% of the order. Here's how to tell whether they make you money or lose it.
How Offsite Ads work
Etsy advertises your listings on Google, Instagram, Pinterest, Facebook and other sites. You pay nothing up front. You only pay a fee when someone clicks one of those ads and buys from your shop within 30 days.
| Your sales in the last 12 months | Fee | Can you opt out? |
|---|---|---|
| Under $10,000 | 15% of the order total | Yes |
| $10,000 or more | 12% of the order total | No, participation is required |
The fee is charged on the whole order total, including shipping and gift wrap, and is capped at $100 per order. It's charged on top of the normal transaction and processing fees. See Etsy fees explained.
What it does to a real order
| Order total (item $25 + shipping $5) | $30.00 |
| Normal Etsy fees | −$3.30 |
| Offsite Ads fee (15%) | −$4.50 |
| Label and materials | −$11.50 |
| You keep | $10.70 |
Without the ad, the same order leaves $15.20. The ad sale is still profitable here, but by about 30% less.
The simple test: keep them on or opt out?
Look at your margin before Offsite Ads (profit ÷ order total after normal fees and costs).
- Margin above 30%: keep them on. Ad sales are still clearly profitable, and they're sales you probably wouldn't have had.
- Margin 15–30%: it's a judgment call. You make a little on each ad sale. Consider raising prices slightly so ad sales stay worthwhile.
- Margin under 15%: every ad sale loses money. Opt out if you can, or fix your prices first.
In the example above the margin before ads is $15.20 ÷ $30 = 51%, so keeping them on is fine.
How to opt out (under $10k)
In Shop Manager go to Marketing → Offsite Ads and switch off participation. It applies to new clicks; clicks from the previous 30 days can still be charged if they convert.
Tips if you keep them on
- Price for it. Build a buffer into every price so a 15% ad sale still profits. The pricing formula makes this easy: use a higher target margin.
- Watch which orders came from ads. Etsy marks them on the order. Track them separately for a month to see what they really earn you.
- The $100 cap helps big orders. On a $1,000 order the fee would be $150 but is capped at $100.
Etsy Seller Profit Tracker
Log orders and see Etsy fees, cost of goods and true profit per order, product and month, plus how much to set aside for tax.
See the Etsy Seller Profit Tracker · $15 Free fee calculatorFAQ
How much are Etsy Offsite Ads fees?
15% of the order total for shops with under $10,000 in sales over the last 12 months, and 12% for shops above that. The fee is capped at $100 per order and only applies if the buyer clicked an ad and bought within 30 days.
Can I opt out of Etsy Offsite Ads?
Yes, if your shop made under $10,000 in the last 12 months. Shops above that level are required to participate, at the lower 12% rate.
Are Etsy Offsite Ads worth it?
If your margin before the ad fee is comfortably above 15%, ad sales still make you money. Below about 15%, each ad sale loses money, so opt out or raise prices.