inventory management

Etsy Order Management: The Ultimate Seller's Guide

Unlock the full potential of your Etsy shop with our comprehensive guide on order management. Discover strategies, tips, and tools like Craftybase to streamline operations, elevate customer satisfaction, and drive business growth.

For many creative entrepreneurs, Etsy has become the go-to platform to sell handmade, vintage, and unique small-batch items.

However, as your Etsy shop begins to gain traction, the excitement of increased sales can quickly turn into the stress of managing those orders efficiently. That’s why mastering the art of order management is essential for maintaining happy customers and a healthy, burgeoning business.

Based what I’ve seen from many years of working with Etsy sellers, I’ve created this comprehensive guide just for those that have started to realize that they may not be managing their orders quite as well as they can, and want some simple tips and tricks on how to improve their situation. Ready to turn things around? Let’s go!

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Understanding Etsy Order Management

Navigating order management on Etsy, from the moment an order is placed to its final delivery and the possibility of returns, is absolutely crucial to the success of your handmade business.

Mastering this journey can greatly enhance your customer satisfaction, boost your reviews, reduce your stress and improve your productivity.

Let’s take a quick look at the general steps involved in getting a product from initial order to the customer’s hands (your own process may differ slightly from the below, but we’ll use this as a guide for thinking about order management):

  1. Order Receipt: The process begins when a customer makes a purchase from your Etsy shop.
  2. Order Processing: This involves preparing and packaging the product for shipment.
  3. Shipping: Choosing the right shipping method, calculating costs, and providing customers with tracking information.
  4. Customer Service: Handling inquiries, tracking shipments, and managing returns or exchanges.

Realizing when you have an “Order Management Problem”

One of the first signs that your order management process needs attention is when customers start reaching out with complaints or inquiries about their orders.

This could be due to delayed shipments, errors in product selection, or inadequate customer service. Some other signs to look out for include:

  • Increasing number of returns or exchanges
  • Difficulty keeping up with order fulfillment
  • Poor reviews and ratings
  • Disorganized, paper based or otherwise messy order tracking system

The relationship between Order Management and Inventory Tracking

Accurately tracking your inventory is an integral part of order management. Knowing the number of products you have in stock and at what stage they are in the order process can help prevent overselling or running out of stock.

It also enables you to fulfill orders promptly and accurately, leading to satisfied customers who are likely to become repeat buyers. Consider using an inventory tracking system that integrates with your Etsy shop for seamless order management.

Tips for Streamlining Your Etsy Order Management

Organize Your Workspace

A cluttered workspace can lead to mistakes, such as sending the wrong item or delayed shipments. Organize your workspace by:

  • Keeping your inventory organized and clearly labeled.
  • Having packing supplies readily available.
  • Creating a dedicated packing and shipping area.

Read more: 6 Simple Ways to Organize your Raw Material Inventory ➝

Use Etsy’s Built-in Tools

Etsy provides various tools to help manage your orders more efficiently, including:

  • Order Queue: View all open orders and their status.
  • Shipping Profiles: Set up shipping profiles for different items to save time when processing orders.
  • Etsy Labels: Purchase and print shipping labels directly from Etsy at a discount.

Develop a System for Order Processing

Create a standardized process for handling orders to reduce errors and save time.

This might include:

  • Checking your order queue daily.
  • Packaging items in the order they were received.
  • Printing all shipping labels and receipts at the beginning of your workday.

Communicate Clearly with Your Customers

Transparent communication can mitigate many potential issues before they arise.

This includes:

  • Sending a “thank you” message with an estimated shipping date after receiving an order.
  • Providing tracking information as soon as an item is shipped.
  • Being proactive about potential delays.

Manage Your Time Effectively

Time management is crucial for successful order processing.


  • Setting aside specific days for production and others for shipping.
  • Dedicating time each day to respond to customer inquiries.
  • Using tools like calendars, production and task management apps to organize your schedule.

Introducing Craftybase: Order Management for Etsy (Made Easy!)

If you’re looking for an all-in-one solution to help you streamline your Etsy order management, look no further than Craftybase. This order management software for Etsy is designed specifically for handmade and creative businesses, providing features such as:

  • Comprehensive sales and expenses tracking,
  • Real-time inventory management with highly accurate COGS calculations,
  • Automatic profit calculations,
  • Integration with Etsy Orders and Listings, and
  • Customizable reports and analytics.

Craftybase can save you time and headache by automating many of the tedious tasks involved in order management. Plus, with its intuitive interface and affordable pricing plans, it’s a must-have tool for any serious Etsy seller looking to grow their business.

Give Craftybase a try for free today (plans start from $19/mo) ➝


In conclusion, mastering order management is crucial for success on Etsy. By understanding the key steps involved, implementing efficient processes and tools, and effectively managing challenges when they arise, you can create a seamless experience for your customers and set your business up for growth. And with the help of tools like Craftybase, you’ll have everything you need to take your Etsy shop to the next level.

Happy making & selling!

Nicole Pascoe Nicole Pascoe - Profile

Written by Nicole Pascoe

Nicole is the co-founder of Craftybase, inventory and manufacturing software designed for small manufacturers. She has been working with, and writing articles for, small manufacturing businesses for the last 12 years. Her passion is to help makers to become more successful with their online endeavors by empowering them with the knowledge they need to take their business to the next level.