The Post-Etsy Crafts World: Can You Really Make Money Off Your Hobby?

Tessa Autwater, who sells hand-sewn and printed items with her husband through their business New Duds (http://newduds.net/), says people are often surprised they make their products themselves. "So many people are amazed we draw, print and sew almost everything ourselves, down to the packaging. They think we just get everything made for us," says Autwater. "There is so much more satisfaction when you can whip up something with your own two hands."

Melanie Crowe was a retail store manager who found herself unemployed after her store was closed down by the parent company in the summer of 2007. She toyed with the idea of starting a tea shop, but began selling on Etsy as an experiment. Over the next few months, her jewelry company Damselle (http://www.etsy.com/shop/Damselle) slowly began growing. Crowe is a full-time seller who specializes in bridal customers, a niche that has grown on Etsy over the past few years, as brides discover they can purchase custom items for their weddings, such as bridal party gifts and cake toppers.

"I never initially designed my jewelry with the intention of selling it to brides for themselves and for their bridal parties," recalls Crowe. "However, over time I found most of my custom orders were for weddings. I believe it's important to recognize and adapt to change in your business, and while I didn't imagine I would be designing upscale accessories for weddings, it certainly drives my business now." It helped when wedding blogs featured her items. Today, she continues to find customers through blog coverage, as well as word-of-mouth, advertising on social media sites, and her accounts on Twitter and Facebook.

Other categories currently popular on Etsy -- which has about 250,000 sellers and 3.9 million registered users -- are art, accessories, jewelry, children's products and clothing. Meg Mateo Ilasco, author of Craft Inc., says she often sees crafters starting up stationery, jewelry, crochet, and knitting businesses. "These businesses typically require less overhead, and you can self-produce many of the products when you're starting out," says Ilasco.

Auwater began selling items on Etsy soon after she and her husband graduated from college as art majors. Her hand-sewn cat toys were a hit (she's even found wholesale buyers on Etsy), and her husband, Torrey Valyou, later joined in with printed apparel. They went full-time as artisans in 2008 and project sales to reach $100,000 this year. "We have a large studio space and all the equipment to print and sew everything ourselves," says Autwater. "It's the only job either of us have ever had that we truly enjoy. We spend on average 40 to 70 hours a week doing something for the business."

Autwater says in their hometown, Colchester, Vermont, shoppers are familiar with buying handmade goods and often go to community events. The pair also does custom printing for bands, teams, artists, businesses and individuals. "We live just outside of Burlington, and there are a lot of local colleges, and great creative people who provide a solid customer base."

The team splits up their creative work as well as the business tasks. Auwater handles photography and Etsy listings, while Valyou handles customer service for printing clients. Recently, they've been working with a local microbusiness development specialist on accounting, business planning and development. "It's great to have an outside opinion, and it's free in our area," says Autwater.

Something the team has learned during their time as full-time crafts entrepreneurs is to choose their products wisely. "We're learning that just because we love DIY and can make things ourselves, it doesn't mean we should sell everything we make! Our advice is to find a product you love and stick to it. Try to make those one or two things better rather than making more and different things," says Autwater.

They're also working on creating a stronger brand image and cohesive look. Ilasco says branding is a common area where DIY entrepreneurs make mistakes. "It's easy to come off looking amateurish and small when you're making it all yourself. Even though you start a business with DIY ethos, it doesn't mean you need to do every aspect of your business yourself. Some things are best left to a professional, especially branding."