Etsy and Shopify solve different problems for Canadian sellers. Etsy is a marketplace with buyers already searching it, and you pay per listing and per sale: 0.20 USD a listing, 6.5% of the order, 3% + $0.25 CAD processing on Canadian and U.S. orders, and a 0.50% Canada regulatory fee. Shopify is your own store with no built-in shoppers, and you pay a monthly plan (Basic is $49 CAD a month, or $37 CAD a month billed yearly) plus card fees from 2.8% + 30¢ CAD. Start on Etsy if you make handmade, vintage, or craft items and have no audience yet; move to or add Shopify when you can send your own traffic and your Etsy fees each month are bigger than a Shopify plan.
The year-round Etsy set-up is in how to start an Etsy shop in Canada. The Shopify path is in how to start a Shopify store, with Shopify startup costs and your first Shopify sale. Holiday timing for both is in a holiday Etsy or craft-market shop.
How do Etsy and Shopify fees compare for Canadian sellers?
Etsy charges Canadian sellers per listing and per sale, while Shopify charges a monthly plan plus card processing; every figure below is from the company’s own pages on October 3, 2026. USD amounts are converted at the Bank of Canada’s daily rate of 1.4246 CAD per USD for October 2, 2026, and are approximate.
| Cost | Etsy (bank account in Canada) | Shopify Basic (Canada) |
|---|---|---|
| Monthly fee | None | $49 CAD monthly, or $37 CAD a month billed yearly (Shopify pricing) |
| Trial | Not applicable | 3 days free, then $1 a month for 3 months on most plans |
| Set-up fee | One-time, varies by location (Etsy fees) | None |
| Listing fee | 0.20 USD (about $0.28 CAD) per listing, renews every 4 months | None |
| Transaction fee | 6.5% of the order, including shipping and gift wrap | None with Shopify Payments; 2% if you use a third-party processor on Basic |
| Payment processing | 3% + $0.25 CAD for Canadian or U.S. orders; 4% + $0.25 CAD international (processing table) | Online cards 2.8% + 30¢ CAD; Amex and international 3.5% + 30¢ CAD; in person 2.6%; Interac in person 15¢ |
| Other platform fees | 0.50% Canada regulatory operating fee | Apps and themes you choose |
| Advertising | Offsite Ads: 15% of an attributed order if you made under 10,000 USD in the past 365 days, 12% at or above; capped at 100 USD per order | Whatever you spend on your own ads |
| Currency conversion | 2.5% if listing currency differs from your bank’s | Depends on settings |
| Traffic | Etsy’s marketplace search | Only what you bring |
Etsy’s processing fee is charged on the total sale including shipping and any sales tax, so the effective rate is a little higher than the headline. Shopify’s Grow plan ($132 CAD monthly or $99 CAD a month yearly) lowers online card rates to 2.6% + 30¢.
How do Etsy and Shopify differ beyond fees in Canada?
Beyond fees, Etsy and Shopify differ on who finds the buyer, who owns the customer relationship, and what you are allowed to sell. On Etsy, Etsy’s search and its policies decide whether shoppers see you. On Shopify, you build the store and every visitor is one you attracted.
| Factor | Etsy | Shopify |
|---|---|---|
| Who brings buyers | Etsy search and Etsy Ads | You, through social media, email, search, or ads |
| What fits | Handmade, vintage, craft supplies, and some digital items under Etsy’s policies | Almost any legal product, including your own brand |
| Brand control | Shop page inside Etsy | Your own domain and design |
| Selling in person | Etsy’s Square integration | Shopify POS on every plan |
| Work to start | Photos, listings, and shop policies | Theme, domain, payments, shipping settings, and marketing |
How do Etsy and Shopify fees compare on one Canadian order?
On a small order with no ads, Etsy’s per-sale fees are higher than Shopify’s card fee, but Shopify only wins once enough orders cover its monthly plan. The illustrative example shows the arithmetic.
Illustrative example
Suppose a seller in Canada sells a $40 CAD item with $10 CAD shipping to a Canadian buyer, with no Offsite Ads and no tax, to keep the arithmetic simple.
- Etsy: transaction fee 6.5% × $50 = $3.25. Processing 3% × $50 + $0.25 = $1.75. Regulatory fee 0.50% × $50 = $0.25. Listing fee about $0.28. Total about $5.53.
- Shopify Basic: card fee 2.8% × $50 + $0.30 = $1.70, plus the monthly plan.
- Difference per order: $5.53 − $1.70 = $3.83.
- Orders to cover the $49 CAD monthly plan: $49 ÷ $3.83 ≈ 12.8, so about 13 orders a month. On the $37 yearly-billed price: $37 ÷ $3.83 ≈ 9.7, so about 10.
This is a teaching sketch with assumed prices, not a quote or a forecast, and it ignores the cost of bringing traffic to Shopify. If you need paid ads to get those orders, add that cost to the Shopify side before deciding. Etsy fees change, so recompute with the live pages.
Who should pick Etsy or Shopify in Canada?
Pick Etsy when you need buyers to find you and Shopify when you can bring them yourself. The verdict below is a decision rule from the fee structures, not a ranking.
| If you are… | Lean toward | Why |
|---|---|---|
| Starting with no audience, selling handmade or vintage | Etsy TODO-AFFILIATE | Marketplace search; no monthly fee |
| Testing whether a product sells at all | Etsy | Pay per listing, not per month |
| Already selling 15+ orders a month with your own followers | Shopify TODO-AFFILIATE | The plan can cost less than Etsy’s per-sale fees at that volume |
| Selling at markets and online | Either; Shopify POS is on every plan | Shopify’s in-person card rate is 2.6% on Basic |
| Selling items Etsy’s policies do not allow | Shopify | Etsy limits what fits its marketplace |
| Selling to many international buyers | Compare both | Etsy adds 4% + $0.25 CAD on international orders; Shopify adds 3.5% + 30¢ on international cards |
Some sellers run both: Etsy for discovery and Shopify for repeat customers and a mailing list. If you do, keep inventory synced so the same item does not sell twice.
What mistakes do Canadian sellers make choosing between Etsy and Shopify?
Canadian sellers most often compare only the headline percentages, leave Etsy’s Offsite Ads on without understanding them, or open a Shopify store with no plan for traffic.
- Forgetting the listing renewals. Each Etsy listing costs 0.20 USD and renews every four months, sold or not.
- Ignoring Offsite Ads. At 15% of an attributed order, one ad sale can wipe out the margin.
- Paying for Shopify before you have buyers. A store nobody visits costs $49 CAD a month.
- Using a third-party processor on Shopify Basic without counting the 2% third-party transaction fee.
- Pricing in USD by accident. Etsy’s fixed fees are in USD and a 2.5% conversion fee applies when currencies differ.
Which tax rules apply to Etsy and Shopify sellers in Canada?
Sales on Etsy or Shopify are generally business income reported on Form T2125, and platform fees are generally business expenses. Selling on both means adding both together for the GST/HST $30,000 small-supplier test.
Keep each platform’s monthly fee statement; the fees are deductible, as covered in side hustle expense deductions. Marketplaces can report seller information to the CRA, explained in tax on reselling and gig apps.
This is not tax or legal advice.
Which guides sit next to the Etsy vs Shopify comparison?
This comparison links the Etsy and Shopify clusters. Read starting an Etsy shop, starting a Shopify store, and Shopify startup costs. If you do not want to hold stock, see print on demand. For digital files instead of physical goods, see Teachable vs Gumroad vs Payhip.
What are the common questions?
Is Etsy or Shopify cheaper for Canadian sellers?
At low volume, Etsy is usually cheaper because it has no monthly fee. On a $50 CAD order with no ads, Etsy's fees work out to about $5.53 and Shopify Basic's card fee to $1.70, so Shopify's $49 CAD monthly plan breaks even at about 13 such orders a month in that labelled example, before any marketing cost.
What are Etsy's payment processing fees in Canada?
Etsy's help centre lists 3% + $0.25 CAD for sellers with a Canadian bank account on domestic orders or orders from the U.S., and 4% + $0.25 CAD on other international orders. This is on top of the 6.5% transaction fee and the 0.50% Canada regulatory operating fee.
How much does Shopify cost in Canada?
Shopify's Canadian pricing page lists Basic at $49 CAD a month, or $37 CAD a month billed yearly, with online card rates from 2.8% + 30 cents CAD. A third-party payment processor adds a 2% fee on Basic.
Can I sell on both Etsy and Shopify?
Yes. You can use Etsy for discovery and Shopify for repeat buyers. Keep inventory in sync and add both platforms' sales together for income tax and the GST/HST small-supplier test.
Does Shopify bring buyers to my store?
Not the way Etsy does. Shopify is your own store, so traffic comes from your social media, email list, search, or ads. Etsy shoppers search the marketplace directly.
Which sources support this guide?
The rules, rates, and platform requirements in this guide are checked against these primary sources. Retail price ranges are labelled as ranges to verify locally, and they are not quotes.
- What are the Fees and Taxes for Selling on Etsy? — Etsy
- What are Payment Processing Fees for Selling on Etsy? — Etsy
- What is a Regulatory Operating Fee? — Etsy
- Shopify pricing (Canada) — Shopify
- Daily exchange rates — Bank of Canada
- When to register for and start charging the GST/HST — Canada Revenue Agency
- Form T2125, Statement of Business or Professional Activities — Canada Revenue Agency