Today Etsy released Q3 2016 financial results and there is plenty to be excited about.
Etsy reports that active sellers count grew by 11.3% from 1.5 million to 1.7 million. We weren't able to confirm the definition they use for active sellers, because we are seeing different numbers. Nonetheless this shows the marketplace at a healthy state and growing. As we noticed when analyzing top Etsy sellers the key marketplace drivers are small and medium sellers. So as the marketplace adds more of those, it only gets better to the customers.
Active buyers number has grown by over 20% though, which is an important metric to be growing faster than sellers count. If buyers count grows slower than new sellers joining the marketplace, then the marketplace will start to struggle.
Total sales were $677 million in the quarter, up by 19.1% from last year. Not as much grow as last quarter, but strong performance nonetheless. So far Amazon launching their own Handmade markeplace does not appear to have caused major impact to Etsy.
It is key to note just how much Etsy relies on mobile customers. Mobile traffic grew from 60% to 65% of total traffic. Percent of sales done on mobile was up from 44% to 49%. These numbers have been growing steady every quarter so by the end of the year we expect more than half of all sales to come from mobile devices.