How To Set Up Digital Products On Etsy

Introduction.

Selling digital products on Etsy is one of the easiest and most flexible ways to start an online business right now.

No shipping, no inventory, and once you create the product, it can keep earning for you without needing to do much after. It’s kind of like passive income, but real—if you do it right.

I’ve helped people get their Etsy shops off the ground, and I’ve seen the difference that having digital products can make.

You can work from anywhere, sell while you sleep, and focus on what you enjoy creating. But setting it up the first time? That’s where most people get stuck.

So if you’re thinking about selling digital items like planners, printables, art prints, templates, or anything similar, I’ll walk you through how to set it all up properly—step by step.

Let’s make it simple.

What Counts as a Digital Product on Etsy?

Digital products are things people download instead of receiving in the mail. They pay once and get a file or link instantly. Some common examples include:

Printable planners and calendars
Digital art or wall prints
Wedding or party invitations (editable)
Canva templates
Digital stickers
Spreadsheets for budgeting or productivity
Fonts or design elements

If it can be delivered as a file—PDF, PNG, JPG, ZIP, DOCX, etc.—you can list it as a digital product.

Why Digital Products on Etsy Are a Great Choice

There are a few big reasons people love this kind of business:

No shipping hassles. You don’t have to pack or mail anything.
Passive income potential. Create once, sell over and over.
Low startup cost. Most of the time, all you need is your laptop and an idea.
No inventory. You’re not managing physical stock or storage.

According to Etsy’s 2024 Marketplace Insights, digital downloads continue to be a top-performing category, especially in niches like organization, budgeting, and home decor.

Some sellers earn anywhere from $500 to over $10,000/month just from digital products.

How Do I Set Up Digital Products on Etsy?

Let’s break this down into manageable parts.

1. Create Your Etsy Seller Account

If you haven’t already, head to etsy.com/sell and open your shop. Etsy will guide you through choosing a name, setting your currency, and adding basic shop info.

Try to choose a name that reflects what you’re selling. For example, “CozyPrintables” or “ModernBudgetTools.”

2. Create Your Digital Product

This is the fun part. You’ll need to design the product itself. Most sellers use tools like:

Canva (super beginner-friendly): canva.com
Adobe Illustrator or Photoshop (for more advanced work)
Google Sheets or Excel (for templates and planners)

Make sure you save your files in the right formats. Usually, PDF for printables, PNG/JPG for artwork, ZIP if you’re bundling files.

3. Check File Size & Format

Etsy has some rules for digital files:

Maximum of 5 files per product listing
Each file can be up to 20 MB
File types: PDF, PNG, JPG, DOCX, TXT, etc.

If your total size is too big, you can combine your files into a ZIP folder before uploading.

4. Create a Listing on Etsy

Go to your Shop Manager > Listings > Add a Listing.

Here’s what you’ll need to fill out:

Title

Use something clear and searchable. For example:
“Editable Budget Planner | Printable A4 + US Letter | Instant Download”

Photos

Even though it’s a digital product, your images matter a lot. People buy with their eyes first. Use:

Mockups (put your digital product into a scene—Canva has good free ones)
Close-ups of what’s inside
A visual that says “Instant Download”

You can use tools like Placeit.net or Canva’s mockups to make your digital product look great.

Description

This is where you explain what the buyer is getting. Make it easy to scan, and answer these questions:

What is it?
What sizes or formats?
How do they use it?
What’s included?
Is it editable?

Also, remind them this is a digital download and nothing will be shipped.

Example snippet:

This is a digital product—no physical item will be shipped. You’ll receive a PDF with 12 undated monthly planner pages in A4 + US Letter sizes. Print as many times as you like!

Price

Do some research. Most printables range from $3–$10 depending on the product, quality, and bundle size.

•Upload Your Files

This is where you drop the actual product files. Buyers will be able to download them instantly after purchase.

Bonus Tips to Sell More

Use High-Quality Mockups

People scroll fast. Good visuals will stop them. Use Canva or Placeit to create lifestyle images.

Offer Bundles

Instead of selling just one printable, bundle a few together. It adds value and can justify a higher price.

Promote on Pinterest

Pinterest is one of the best traffic sources for Etsy. Create pins linking to your shop or products.

Collect Reviews

Send a friendly message after purchase. Something like:

Thanks so much for your order! If you love it, a quick review would mean a lot.

FAQs

Can I sell something I made in Canva?

Yes, if you have a Canva Pro license and you create it from scratch or use their commercial-use templates. You can’t resell someone else’s template as-is.

Can people steal my digital files?

Unfortunately, yes—digital theft can happen. But watermark your preview images, and only upload the product files in the actual listing files section (not in your images).

How long does it take to make a sale?

It depends. Some sellers get sales within days, others take weeks. The key is solid SEO (your titles, tags, and descriptions), great product images, and filling a real need.