Etsy, Inc. Reports 39% Revenue Growth in the Second Quarter 2016

Etsy Marketplace Roadmap Increases Revenue by 39% in the Second Quarter 2016

Etsy the marketplace where people around the world connect, both online and offline, to make, sell and buy unique goods, has announced financial results for its second quarter 2016, ended June 30, 2016.

"During the second quarter, we expanded our global community to include approximately 1.7 million active sellers and 26.1 million active buyers," said Chad Dickerson, Etsy, Inc. CEO and Chair.

Etsy which as roadmap to help sellers start, grow, and manage their businesses and to enhance the Etsy buyer journey, has reached some important milestones in the Second quarter of 2016:

• Additional enhancements to their newest paid seller service, Pattern by Etsy, which launched in April, including: new site template options to expand Etsy sellers' choices for the look and feel of their sites; site preview capabilities; additional search functionality for Etsy buyers; and a PayPal checkout option.
• Localized search in France and Germany launched in April, making items from local Etsy sellers more prominent to buyers in each of those countries and supporting efforts to nurture local markets around the world.
• New inventory added to Promoted Listings on mobile web and desktop in April, creating more opportunities for sellers to advertise their items.
• FedEx was integrated as a new carrier option for Shipping Labels in April, enabling Etsy sellers in the United States to purchase and print both FedEx and USPS labels directly from Etsy.com and reducing the amount of time and money spent on shipping.

As a result of Etsy's successful roadmap, total revenue in Q2 2016 was $85.3 million, up 39.1% year-over-year, driven by growth in both Marketplace and Seller Services revenue. Marketplace revenue grew 22.8%, primarily due to growth in transaction fee revenue and, to a lesser extent, growth in listing fee revenue. Seller Services revenue grew 58.1% year-over-year and was driven primarily by revenue growth in Direct Checkout, which continued to benefit from the integration of PayPal. Seller Services revenue also benefited from revenue growth from Promoted Listings and Shipping Labels, and to a lesser extent, a modest contribution from Pattern by Etsy.

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