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What Digital Products Sell on Etsy?

Introduction

Etsy provides a thriving marketplace for makers and artists to sell not just physical wares, but digital products as well. Digital items come with low creation costs and overhead compared to physical inventory. You can multiply sales exponentially with no worries about manufacturing, shipping and stock.

But with the advantages of digital also comes fierce competition in crowded categories. It takes careful research and planning to successfully sell digital products that stand out.

This comprehensive guide explores top performing digital products, untapped opportunities, and proven strategies for selling digital items profitably on Etsy. Follow along to learn how to turn your skills, knowledge and creativity into lucrative downloadable products.

Analyze Top Selling Digital Listing Categories

Some digital products on Etsy naturally sell better than others based on market demand, visibility in search, and production effort needed. Studying current bestsellers provides a starting point for identifying profitable opportunities.

Digital Art

Digitally created wall art, landscapes, portraits, photography and more sell extremely well as home decor customers seek low-cost, easily attainable pieces.

Printable Templates

Templates for invitations, planners, labels, menus, cards, and more are hot sellers saving buyers design time.

Craft Patterns

Digital patterns to create your own clothing, toys, quilts, embroidery, and other handmade items are in steady demand from hobbyists.

Infographics

Creatively designed infographics on niche topics like genealogy, travel and health provide visual value for presentations and content.

Custom Portraits

Offering personalized digital portrait illustrations from submitted photos fuels consistent sales.

Analyze competitors in thriving categories to understand pricing norms, buyer motivation, and untapped style niches ideal for unique differentiation.

Consider Physical-Digital Bundles

While standalone digital products have advantages, many Etsy buyers still gravitate toward tangible items over pure digital downloads.

Bundling digital items with related physical products merges the upsides of both:

  • Digital component requires no added manufacturing or shipping costs to produce
  • Physical item provides perceived value customers can touch

Consider digital upsells like:

  • Pairing printable wedding invitation suites with matching physical samples
  • Bundling digital quilt patterns with packs of pre-cut fabric for the quilts
  • Offering custom printable fitness plans with gym gear like water bottles
  • Adding genealogy infographics to family history report printouts
  • Combining 3D model files for printing with finished printed sculptures

Tiered bundles with both physical and digital components hit the sales sweet spot on Etsy, while increasing order values.

Research Profitable Niche Subcategories with Less Competition

Drilling down into niche subcategories rather than just broad fields allows focusing on very targeted customers with less competition to wrestle.

Look for specialized digital products like:

  • Local landmark art of a specific city or lesser-known location
  • Deep heritage family tree templates for rare last names
  • Printables focused on obscure holidays or traditions
  • Craft patterns in unconventional materials like lace, lace, or textiles
  • Portraits of niche pop culture subjects with small but dedicated fan bases
  • Tarot or astrology readings for very specific zodiac signs and birth dates
  • Templates for planning events around a unique hobby or interest area

Catering digital products to the passionate fringes of popular categories sets you apart while serving devoted buyers. Get hyperspecific.

Identify Related Physical Products to Model Digital Versions After

Analyze top selling physical products on Etsy for inspiration on proven concepts that could be adapted into digital incarnations.

Consider digitizing hits like:

  • Planners and journals → digital planner templates
  • Wedding invitations → custom printable suite files
  • Crocheted baby clothes → crochet pattern packs
  • Hand-drawn star maps → printable celestial charts
  • Recipe cards → digital cookbook templates
  • Temporary tattoos → digital tattoo designs
  • Wine labels → custom winery logo files

Repurposing winning physical products into convenient digital downloads allows tapping into purchase motivations and buyer needs without production and shipping costs.

Look for Products Tangential to Your Existing Expertise

Review your own skills, hobbies and interests. Think creatively about how these could translate into digital products, even if not obvious at first.

For example:

  • A knitter could offer digital knitting pattern packs
  • A travel photographer could sell printable photo collages
  • A marketing agency owner could create social media templates
  • An educator could package lesson plans digitally
  • A health coach could provide diet and fitness plans
  • A genealogy buff could produce family tree templates
  • An architect could create 3D home design models

Domain expertise makes creating informational, instructional and template digital products incredibly scalable. Repackage your knowledge.

Research Missing Resources Around Your Interests and Communities

Look at forums and groups of communities you belong to for clues at resources members continually ask for or struggle to find. Fill those needs with tailored digital products.

Listen for digital product ideas like:

  • Family history tools requested on genealogy forums
  • Planner templates for specific diets and lifestyles
  • Rare recipes desired by foodies
  • Homeschooling lesson plans for niche subjects
  • Custom visual assets for very specific industries
  • DIY templates for obscure hobbies and crafts

Don’t just assume what customers want. Let actual demand data lead the way. Scrutinize groups close to you for digital product opportunities.

Identify Common Inefficiencies to Overcome Through Digital Tools

Think about manual processes and workflows in your own work and life that tend to stay frustratingly inefficient. How could digital products help simplify and enhance those experiences?

Some examples include:

  • Streamlining clunky event planning with customizable templates
  • Organizing complex family trees visually with digital charts
  • Automating business admin with handy digital trackers
  • Learning new skills quickly through online courses
  • Improving health through digital workout and diet plans

Where you see productivity gaps and pain points, customers likely do too. Solve their inefficiencies digitally.

Look For Trends Increasing Demand for Specific Digital Assets

Keep a finger on the pulse of rising interests and technologies fueling new needs for digital products. Ride emerging waves upswings rather than trying to create demand from scratch.

Some trends sparking digital product ideas include:

  • Home decor personalization crazes demanding custom wall art and templates
  • Cookie decorating and cake trends hungry for digital design templates
  • Print-on-demand expansion requiring scalable printable templates
  • Family history DNA tests inspiring ancestry digital keepsakes
  • Digital planning and bullet journals replacing dated paper counterparts
  • Remote work requiring more editable templates and tools
  • User-generated content and reels demanding assets to use

Identify rising tides in your niche so you can provide exactly the assets and resources new audiences need.

Conclusion

Etsy’s bustling digital marketplace presents extensive moneymaking opportunities for creative entrepreneurs willing to put in the work identifying and delivering in-demand digital products.

Rather than playing guessing games, let data guide your path. Analyze current bestsellers, dig into specialized niches, pinpoint underserved needs, leverage existing expertise, and ride meaningful trends.

Matching promising digital product ideas with focused SEO and marketing equals a formula for passive sales growth. Turn your specialized knowledge into digital goods solving real customer problems. Meet this growing consumer appetite.

By Dani Davis

Dani Davis is the pen name of the writer of this blog with more 15 years of constant experience in Content marketing and informatics product, e-commerce niche.

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