Chapter 1: The Reality of Selling AI Art on Etsy

If you’ve ever fantasized about becoming wealthy by selling AI-generated images, it’s time for a reality check.

I launched my AI art shop on Etsy filled with optimism, but soon faced the hard truth of the marketplace.

Note: If you're not a member, feel free to read the article for free.

These past months have been a journey that can only be described as eye-opening.

But don't get me wrong—I'm not disheartened; I simply want to clarify that selling AI images is far more complicated than it’s often portrayed.

Let me be clear.

Searching "selling AI images on Etsy" on YouTube will yield numerous videos that promise quick riches.

Many of these videos are misleading.

Firstly, they are designed primarily to attract views rather than to provide genuine guidance.

Secondly, while it is possible to earn supplementary income through AI images, achieving consistent sales requires uploading numerous listings over time.

To be successful on Etsy, you either need a substantial volume of listings or a masterful approach to shop promotion.

This is the lesson I'm currently learning through my Etsy experience.

I aim to present an honest overview of what you can realistically expect to earn from a single listing.

You’ve likely encountered videos that highlight successful Etsy shops, showcasing impressive sales figures and discussing how some make thousands each month.

The actual situation is often vastly different.

Take a look at these two screenshots I captured after searching for "flower svg."

Screenshot created by the author (Etsy)

Screenshot created by the author (Etsy)

Notice the prices?

$1.74, $1.20, or even $1.01.

What do you think these listings are bringing in revenue-wise?

I’m not referring to gross revenue, but rather net profit.

Let’s explore what the Etsy profit calculator revealed when I entered $1.20.

Screenshot created by the author (Alura)

From the calculator, it’s evident that your profit margin hovers around 50%, yielding approximately 60 cents per listing.

This is the stark reality on Etsy. Numerous sellers set prices like these, which can adversely affect the sales of others, including myself.

To be transparent, I price a single vector illustration at $1.20, but that’s for just one illustration—not for a bundle of ten or a hundred.

This situation is quite absurd.

Now, let me walk you through what happens when I sell this one vector file and the actual earnings involved.

For clarity, I’ll mention that my pricing is in Euros, as I’m based in Europe, but the Euro and USD are nearly equivalent, so there’s little difference in context.

Here’s a screenshot from one of my sold listings.

Screenshot created by the author (Etsy)

With each sale, the listing is renewed, incurring a $0.20 renewal fee, plus VAT tax on that fee.

Thus, after all deductions, I receive €0.97 for that single sold vector.

Next, a processing fee of €0.34 is applied to the listing. This fee consists of 4% of the order plus 30 cents—standard practice on Etsy these days.

Additionally, I must account for sales tax, transaction fees, VAT, and another processing fee, totaling 21 cents.

Consequently, after a purchase, my net profit amounts to just 42 cents.

What are your thoughts? Does selling AI-generated images still seem like a lucrative opportunity as many claim?

You might wonder why I don’t simply charge more.

Honestly, this is the typical rate for a single vector file on Etsy.

However, at this price point, many sellers are offering bundles of hundreds of vectors, which I find rather illogical.

Interestingly, these lower prices have prompted me to consider launching a new shop targeting a more profitable category for AI-generated images.

So, stay tuned for more updates!

Thanks for reading!

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This article is published under the Generative AI Publication.

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Chapter 2: Insights from Selling AI Art on Etsy

In the first video titled "How Much I Make a Month From Selling AI Art on Etsy," the creator shares their personal earnings and experiences in the AI art market.

The second video, "I Tried Selling AI Art Prints On Etsy For 30 Days," documents a month-long experiment selling AI art prints, providing valuable insights into the challenges and successes encountered along the way.