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The following is a transcript of this video:

00:00:00:00 – 00:00:25:02
Unknown
Hi everyone. My name is Wenda O’Neill and today I’m going to help you turn your Etsy shop from hobby into business. I’m so glad you’re leaning in today. And before we open up the tabs and look at all the formulas, I want you to take a second to acknowledge the dream you’re building. You’re starting your Etsy shop because you have a gift.

00:00:25:05 – 00:01:11:05
Unknown
Maybe you have a curator’s eye for vintage, or a creator soul for digital design or Cricut crafting. But somewhere between the coaching notifications and the shipping boxes, it’s easy to lose that magic. Most sellers are out there hustling, which is often just a fancy word for working really hard for very little money. They see revenue coming in, but their bank account isn’t growing, and that’s because they’re victims of underselling, and it’s usually because they don’t have a clear mirror showing them the truth of their numbers.

00:01:11:07 – 00:01:40:18
Unknown
And that’s the transformation that I’m going to help you with. This workbook is that mirror is designed to find your absolute minimum price, your line in the sand. And we’re going to look at the profit leeches like the Etsy fees on shipping that many people aren’t aware of, and those tiny packaging costs that add up. But more importantly, we’re going to value your time.

00:01:40:20 – 00:02:09:16
Unknown
I know what you’re thinking. I don’t have time to fill out a spreadsheet. But here’s the secret. Investing 20 minutes a day is going to save you hundreds of hours of wasted labor down the road. It moves you from guessing to knowing. It provides you with that moment. That’s the power of data. I want to share something personal is just going to take a second.

00:02:09:18 – 00:02:40:13
Unknown
I use this exact sheet and it completely changed my business strategy. I got a diode laser cut wood and I thought I would make signs. And signs are very popular on Etsy. You’ll see. And I had this idea of what my perfect completed product would be, but when I plugged in the numbers, I realized the profit margin was being swallowed up by all of the labor of finishing the products.

00:02:40:15 – 00:03:14:01
Unknown
When I looked on Etsy and I looked at what other people were selling their finished products for, I, I was amazed and I immediately thought, oh, they must be getting their wood cheaper. They must be sourcing this here. I, I can’t possibly compete with that, but I didn’t know that until I put the numbers in the sheet. And then I started playing with the numbers, and I looked at the data and I realized this incredible niche for unknown finished products for cats.

00:03:14:03 – 00:03:45:09
Unknown
Because I had this workbook, I could see pretty much at a glance that if I reduced my labor time, if I spent actually spent less and less time on the product, actually spent less money on the product, I realized that I needed to change who I thought my ideal customer was because I wasn’t selling to somebody that wanted a finished product.

00:03:45:09 – 00:04:11:02
Unknown
I was selling to a crafter, somebody that wanted to finish the product, and that changed everything for me. And that’s because of this workbook data gave me permission to pivot. It showed me a sweet spot I never would have found if I was guesstimating, if I was just making things and basing my sale price on what everybody else was selling it for.

00:04:11:04 – 00:04:36:23
Unknown
All I can say to you is I don’t know how they’re making a profit. It doesn’t matter to me how they’re doing it at this moment. If I can’t also do that. So if I can’t actually cut my time, cut my, materials costs. If I can’t do any of those things, I need to shift. And I need to understand how that shift is going to affect my profit.

00:04:36:23 – 00:05:03:11
Unknown
And that is the value of data. So let me just show you real quick the sheet that I’m using. This is my data. And I’m going to show you how this map started and how this all works. First there’s a material list. This is like your digital pantry. And yeah, it looks like a lot, but all I do is one product at a time.

00:05:03:11 – 00:05:25:16
Unknown
I pull out a sign if it uses the wood that’s on the list, great. If it uses the glue that’s on the list, great. If it uses something that’s not on the list, I add it to my materials list and you can see I even have the Amazon links to where I actually purchased it, so I can absolutely get my cost and everything in line.

00:05:25:16 – 00:06:02:00
Unknown
Next I have my product tab and here’s where I build the recipe. I use the items from my digital pantry and I build this recipe for this product. Include adding my time, what I want to charge my for my time, any kind of packaging material, and the shipping. So the shipping for me I prefer to use UPS flat rate, so most of my designs are going to be small enough to fit into one of the various flat rate boxes, usually the medium flat rate.

00:06:02:03 – 00:06:28:02
Unknown
So that’s pretty easy for me to figure out. You may decide to go with that as well. It’s more expensive, but guess what I don’t have? I don’t have people telling me they haven’t received the product because I can track it then. And this is the cat’s meow. This is your command center, the master product list. This is where the real talk version of your product happens.

00:06:28:05 – 00:06:52:08
Unknown
This is where everything comes together. It you even get a suggestion based on what you want your profit margin to be. Now your profit is on top of paying yourself for your labor to make that. Because let’s be honest, if you needed help from somebody, you would pay them and then expect to have profit on top of that.

00:06:52:10 – 00:07:25:14
Unknown
So your profit needs to be including your labor, a percentage more than what you paid to create this item. And this isn’t just about math. This is about clarity. And don’t worry if you don’t know how to use Excel. The first thing that we’re going to do is we’re going to go over some of the Microsoft Excel basics so that you can use this workbook easily and quickly.

00:07:25:16 – 00:07:42:28
Unknown
And if you already know how to use Excel, you can jump ahead and get right into the application. Let’s get started.