Etsy has seen its shares hit record highs following an announcement it would drive up the commission it takes from its sellers.
The online marketplace, which specialises in selling homemade and independent goods, saw its share prices jump 35 per cent following the announcement.
READ MORE:
One of the unique selling points of the platform has historically been its low commission rates, charging sellers just 3.5 per cent of any item sold, alongside a 20p fee for each item listed.
This compares to Depop and Ebay’s 10 per cent commission rate.
However, Etsy has now raised its rates to five per cent, in the latest move seeking to quash investors’ concerns.
Alongside other cost-cutting initiatives like scrapping internship programmes, cutting jobs and abandoning its wholesale platform, Etsy has managed to more than triple its share price in the last 12 months.
Click here to sign up to Retail Gazette‘s free daily email newsletter
