Etsy’s first transparency report reveals 162K account closures for items not considered handmade

Today handmade marketplace Etsy released its first ever transparency report, revealing the closure of over 162,000 accounts last year that didn’t comply with Etsy’s standards.

The company has faced criticism from its community members in recent years for allowing the sale of manufactured goods. When Etsy first introduced the policy change, community members felt that allowing manufactured items would encourage the sale of cheap trinkets. At the time, Etsy countered that manufacturing would allow artists to expand production of their unique goods. The company also promised to be strict in adhering to its core principles by removing sellers and listings that didn’t meet its standards. The 162,000 closed accounts reflect Etsy’s effort to keep items that don’t qualify as handmade off the site. Etsy also removed listings and accounts selling alcohol and certain animal products.

In addition to quality control account closures, Etsy killed 176,137 product listings as a result of nearly 7,000 intellectual property removal requests. The company said the takedowns affected just .5 percent of Etsy listings.

Etsy also had a few requests for information related to subpoenas, court orders, search warrants, and civil lawsuits. The company says it complied with 32 of the 41 government requests for information it received.

Earlier this year, Etsy debuted as a publicly traded company on the Nasdaq. Growing the company has been a balancing act of building strong growth while also keeping its cadre of sellers happy. Today’s release will likely help some sellers feel more assured that Etsy is committed to maintaining the marketplace as a hub for unique, quality goods.