E72: Beyond the Marketplace: Diversifying Your Creative Income in 2026

Marketplace upheaval in 2025 left many creatives feeling whiplash. 

Etsy’s gross merchandise sales fell 6.5% year‑over‑year in early 2025 and active buyers dropped 3.4% to 88.5 million. 

Other platforms tweaked fees and algorithms, leaving sellers confused and worried about their income. 

But this co‑hosted episode with Kaylie Edwards and Delores Naskrent isn’t about doom; it’s about empowerment. They unpack the data, share insights from industry analysts and discuss why relying on one marketplace is risky. 

Kaylie explains why she’s building her own website first and using platforms like Etsy as tools rather than a foundation. 

Delores reflects on her shift from Skillshare to her own membership and the success her students are finding with Card Isle. 

Together they explore micro‑offers, diversifying income streams and building an ecosystem that aligns with your energy. 

Tune in for practical tips on creating scalable products, evaluating platforms, and protecting your creative joy.

Ready to take control of your creative income? 

Listen now to hear Kaylie and Delores discuss practical ways to diversify and build stability. 

If you enjoy this conversation, share it with a creative friend and support the show—it makes all the difference.

Transcript

[00:00:00] 

Kaylie Edwards: Hey, creative friends. Welcome back to the Creative at Juggle Joy. I'm Kaylie Edwards, tea in Hand, notebook at the Ready. Juggling two growing creative businesses right now. And as always, I'm here with the wonderful and wildly insightful Delores Naskrent 

Delores Naskrent: Well, hello creatives. We're so glad you're tuning in today.

We're diving into something important and honestly, pretty liberating. And it's even deeper into a topic Kaylie did a solo on last year, which was about diversifying your creative income beyond the big marketplaces like Etsy or Redbubble.

Kaylie Edwards: Absolutely. Because 2025 was a turbulent year, not just for us, but for marketplace sellers as well.

Between algorithm changes, unexpected fees and drops in visibility, a lot of artists felt the impact emotionally and financially. But this isn't a Doom episode, it's an empowerment episode. We want to give you clarity [00:01:00] options on practical pathways for steadier 2026. 

Delores Naskrent: Yeah. Do you wanna start with, with Etsy?

Let's start with that.

Let's start with the landscape. Kaylie. Let's talk about Etsy. Etsy has over 90 million active buyers, but the behind the scenes reality for sellers this year was really tough. 

Kaylie Edwards: Yeah, and the numbers back that up. According to public available performance data from Etsy in 2025, gross merchandise sales were down 6.5%.

Active buyers dropped another 5% landing at 86.6 million Active sellers dropped nearly 11%. Etsy stock dropped 77% from its peak and another 12% after the new CEO announcement. And many experienced sellers reported an anything from 30% drop in sales to 75% drop often due to algorithm instability and the influx of mass produced products dominating the search.[00:02:00] 

Delores Naskrent: Yeah, and Redbubble had their own issues with new seller fees and reduced profit margins. That was kind of a shock. Creative market changed their commission structures and visibility. Gumroad even has fluctuated. 

Kaylie Edwards: Yeah, but here's the important part. None of this means Etsy is dead.

It means Etsy is unpredictable and. Unpredictable platforms require backup plans. This is about reducing vulnerability and not abandoning platforms altogether. How creators are interpreting the shift and why it matters. Insights from like YouTube creators. Before we go deeper, I want to bring in some insights from them.

So two creators I've analyzed. Over the years and have helped shaped my own decisions for 2026. Meg Heckman, who's a YouTube channel, she does a lot of print on demand and add to cart another YouTuber. Both bring grounded analytical [00:03:00] perspectives to the marketplace shifts. Meg Heckman highlights, Etsy's inconsistent traffic patterns.

And she goes into a lot of the statistics and, and one of her videos about Etsy. It a little bit fearmongering in some sense, but. With the where the data is going, there is a big, uh oh moment where it could part potentially where a lot of people are gonna jump ship in a big movement.

It's increasing a lot of pay to play visibility. There's more pressure on sellers to pay for ads now, and the rising competition with print on demand, factory produced items. Ai. Mm-hmm. She's been very factual in that. Here's what's happening, and then here's how we adapt kind of thing. And then add to cart brings a business focused lens, he's not about jumping ship.

He's trying to optimize what you already have he's looking at profit margins, hidden fees, market saturation, and the long term sustainability over relying on someone else's algorithm. He talks about how quickly Etsy can shift the [00:04:00] visibility of entire categories. why diversification protects creators.

And why building your own audience matters more than ever. Both creators say the same thing. Delores and I teach constantly. A platform is a tool, it's not your business, and you do need to diversify. And that phrase has guided so many of my decisions this year and even last year. 

Delores Naskrent: Yeah. 

Kaylie Edwards: And our own hybrid journeys are multistream creativity that we both got.

Yeah. For me, the last year, it made it crystal clear that I need an ecosystem, not a single lane, and multiple things going off of it all the time without some focus. 

Delores Naskrent: Yeah. 

Kaylie Edwards: My work now spans digital design, creative business, mentoring services for clients, courses, memberships, community. And obviously my second business, selling my stories, art books, printables from a brand that feels more magical and more deeply aligned with me.

And on top of that, parenting and school [00:05:00] admin avalanches. Mm-hmm. House Moving chaos that's luckily finished and tech shifts rebranding, all the usual creative juggling. 

Delores Naskrent: Yeah. 

Kaylie Edwards: And then I realized I can't build a sustainable business on unstable ground, so I needed a home I owned. That's why after watching the 2025 Trends, YouTube analysis and seeing the Etsy numbers, I made the decision to build my website first rather than starting with Etsy, which was what I originally planned.

I did have an Etsy shop previously, and wanted to go back to that. But then. With everything that's happened, Etsy will come later as a secondary channel if it aligns with where I'm going and if everything stabilizes with Etsy in the future. But my website, that's my foundation. I may test Zazzle this year if my designs fit their market demand and customer preferences, but I won't force it.

It's alignment first for me. 

Delores Naskrent: I love how intentional that is. You're building that [00:06:00] security and expression at the same time. And my business has really grown in layers too. You know how, the whole COVID experience for me and being really popular and doing really well on Skillshare suddenly. Changed for me.

That really forced me into a big shift with my business, which is when I started my membership. So my salary wasn't just cut in half, it was down to about a third. Of what I had been making at its peak when I was on Skillshare during, COVID, but I'm not abandoning Skillshare completely, but I have now developed my own membership, my own signature courses on my own platform, and more classes and more templates one layer at a time.

It's aligning with my [00:07:00] energy.

Kaylie Edwards: Yes.

Delores Naskrent: One of the things that I've been really wanting to work on and you've been talking about is micro offers, and they were a huge win for creators in 2025. So things like a $10 class or a guide, a seasonal bundle, all of these things can bring new people in and introduce them to

your bigger ecosystem. We. Started to do that. We are actively going to be doing that this year, and we're definitely really wanting to develop that for both of our businesses. 

Kaylie Edwards: Yeah, absolutely. That is such a thing that we need to do this year how else can we optimize and what are the layers we can add that are not overwhelming.

It's creating that pathway. I saw bundles and mini templates create natural pathways into deeper offers and collaborations. [00:08:00] When audiences align the magic multiplies, right? If you feel overwhelmed by diversification, here's your starting question, what can I make once that can sell more than once without your creative input again and again.

So examples, a tutorial that you can record, printable digital templates, short class, patterns, a children's book or a niche workbook, a wallpaper, collection, a wall art collection book this year I'm focusing on publishing more books. Uploading new art and designs to my own website, building my product based brand slowly, but not getting rid of my own, teaching business as well, and using AI agents to help automate these processes around my real life and my energy levels.

Delores Naskrent: That is really a healthy approach too. I like that. Just trying to get everything sustainable and [00:09:00] aligned. Creativity can get crushed when you only chase profit, and we have to have those passion projects that really matter to us personally. 

Kaylie Edwards: Agreed, my second business came from wanting a space to play again and like just watching like even with your community, like watching them create all the time and doing these projects and having small and big wins, like, and then I'm just sitting there thinking I really wanna do it again.

I really want that creative business. Like I had a handmade business once it was difficult and hard, but I want that creativity again. Doing it digitally I can sell them as physical products through print on demand and self-publishing. That is a space I can create for myself in small pockets of time and creativity fuels everything else Then.

Okay, Delores, this is where your perspective is gold. Given Etsy's unpredictability, red bubbles, fee [00:10:00] changes and creative market shifts, and even the trend projections. Here are my questions for you. Which platforms are you planning to actively invest energy into 2026? Which platforms are you stepping back from, even if you keep them open, or how do you personally decide when a platform is no longer worth your energy?

Delores Naskrent: these are great questions, Kaylie and we talk about these a lot in our Thrive meetings. On where I am personally investing my energy for 2026, my focus is on what I own, so I'm going to be really developing my portfolio site,

i'm going to be really working on my brushes, my assets, and my courses, so those are going to be offered. Through that Shopify site, but in my teachable store, which is now a connected domain. So those are my priorities and we're trying to set it up. You and I have done a lot of work behind the [00:11:00] scenes to get the website working to do those things.

Somewhat separately. So those were my priorities because they're platforms that I control. I am also continuing to put my energy into Card Isle for my greeting cards. I know that we've had lots of talk about this both in my community and in the Facebook.

Five cards and five Days Challenge group because I have always endorsed Card Isle. This year they were bought out by 1-800-FLOWERS and. There was a period of adjustment there. Yeah. Granted, there was a little bit of a management, I don't know what was going on behind the scenes there, but I think they've got it all under control again, even after the transition.

For me, 1-800-FLOWERS has always remained steady, and my sales have increased every quarter, and right now they're shooting up exponentially. So, for me, I'm [00:12:00] so glad that I have gotten people involved with Card Isle. We weekly have reports at our Thrive meetings of people who have gone from selling 10 to 12 cards to selling hundreds.

Of cards. So to me that is so satisfying. I'm just loving the success that my students are having with that site. So that's where I'm gonna be spending most of my time uploading and, putting my new stuff up because that's, where my personal best sales are coming from, 

I'm leaving my other shops open. On Etsy, I never have sold my greeting cards. I have it kind of more in maintenance mode, but what I do sell things like my brush sets and artist assets. I'll take continue to do that. I'll do, uploads seasonally, and I'm not going to put a full strategy behind it right now.

I'm also keeping my creative market shop running [00:13:00] quietly in the background because it's been consistent performer for my artist resources like brushes and asset packs. So people that aren't in my own ecosystem at the moment, they're still continuing to find me through creative market and I'll continue using it 

for me, it's better to sell from my own site because I don't have to give any portion of that to them. I'm not investing any time in Redbubble or other marketplace experiments until the audience fit and profit margins are clear.

I'd rather spend that time driving traffic to my own site and email list, how do you decide? 

I think it's working for me anyway. 

Kaylie Edwards: Yeah. Because at the end of the day, it reminds us that we don't need to be everywhere. We need to be where our energy is respected and we can focus that energy.

And this is why we teach, start with one platform. Get it right, get it all set up, and then if you can, repurpose [00:14:00] those listings onto another one and shift over. And even if you can find one that can just import your whole shop in, that would be even better. I know Everbee, I've now created a store.

So you can create your own, website with Everbee. And it optimizes it with AI and things now, which is really cool. I'd actually looked, I was, I was one of those, um, and ing situations where I was like, hmm, hmm do I create my website on WordPress where I know what I'm doing and I can really build it out, but it's gonna be slower.

Then I was like, or do I go the easy route and use Everbee, because it's saying it's, it's optimized. It's very quick. AI helps you do it. I was like, Hmm. Yeah, but I can't input some things that I wanna do. Like with my self-published books, there isn't a way of me doing that without directing them to another place to buy.

So I was like, okay. Need to be strategic about this. I'm not [00:15:00] gonna do that. I'm gonna go with the route I know, and that I can work from. And not pigeonhole myself. 

Delores Naskrent: I tell my students to give it a fair shot if they're trying something different. I suggest at least three months, six months, that kind of a thing.

Check things like organic traffic that you didn't have to pay for. Check for conversion rate, check for net profit after fees and ads. Think about your time too. How much time did you have to. Put in there to get those sales and whether the platform rules feel stable and aligned with your brand.

If two or more of those metrics kind of drop for a bit, I really question whether it's worth staying on that platform. And what I tell students about Etsy is I describe Etsy as rented shelf space. So it's not a business. You are in somebody else's business. It can [00:16:00] still work, especially if you start with 20 to 40 high quality listings good photos and really good seasonal keywords.

But I tell students to treat it as a visibility tool. For me, it's like what I do with Skillshare. It's not a long-term foundation for me. It's a good place for me to find people or for people to find me, but I personally prefer that I have my own. Space on the web, that is me, not somebody else's.

So it can be really unpredictable, but it's a great testing ground. If you. Feel like Etsy fits your dreams and plans for the future? Definitely give it a shot. I've known people making thousands and thousands from their Etsy shops for card makers. I personally always endorse Card Isle, because it's a strong alternative.

Or companion [00:17:00] platform. It's completely different from Etsy, but if you check it out, you'll see that it's easy to break into. It's been a really bright spot for me and continues to grow. Those are my recommendations. 

Kaylie Edwards: That's great. I say to a lot of people, even other creators as well.

Etsy is a good starting point for some people, but not always. It just depends on you and your life as well. 'cause there was one thing that when I did my first Etsy shop was the time it takes to list. Yeah. I really consider what your putting in those listings to be able to be searchable and then you are competing with other people.

Not just competing on price, but you're competing with them on your listing. They have your competitors at the bottom of the bloody listing so they can click on. It's difficult and that's why I made mistakes when I opened my first Etsy shop and my candle business, and then with printables and print on demand as well.

That's why I've moved away from that and. Really considered this year, like, I'm not gonna start with [00:18:00] Etsy. I'm gonna do my website, even if it takes me slow, takes me a whole year to get it sorted and then drive traffic to it. It'll get done when it gets done. I just need to quietly plan that in the background and get it done.

Delores Naskrent: Yeah.

Kaylie Edwards: And before we close, I want to reassure listeners who want to keep their Etsy shops active. Staying on Etsy is absolutely valid and smart. If your approach is strategic based on data and predictions, here's what matters most. Improve your product quality and originality. Etsy is rewarding, unique, well-made, thoughtfully designed products.

Now choose niches which are strong in demand, so tools like Erank or Everbee help with this. Track Etsy ads based on profit, not guessing. If an ad costs more than the sale it generates, turn it off fast. Add new listings regularly. So Etsy search favors freshness. So if you log into your account each [00:19:00] day, then, then it'll reward you and then build your own ecosystem alongside it.

Your website, your email list, your offers. Etsy becomes a funnel, not your entire business. 

Delores Naskrent: Yeah, if you're ready to go beyond Etsy or just build stability alongside it, this is your year to experiment gently and intentionally. So build up those diversified income streams. 

Kaylie Edwards: Yes, and you don't have to do it alone.

You know, you can follow us on Instagram, join out communities, DM us and email us, whichever your idea is. We genuinely love cheering creatives on, and we love helping you. If you just need someone to talk to and just walk through your ideas if you need it. 

Delores Naskrent: Make sure that you're subscribed.

We have episodes coming up on 2026 Creative Trends, so that's gonna be exciting. 

Kaylie Edwards: Yes, and until then, keep juggling, keep [00:20:00] creating, and most importantly, keep finding joy in the process.