The Apparel CategoriesActually Selling on Etsy in 2026
Apparel remains one of Etsy's largest categories—but most clothing sellers never break $500/month. The sellers making $3,000-$15,000 monthly target specific niches with 40-60% profit margins.
Key Metrics for Etsy Apparel Sellers
✓Quick Takeaways
- ✓Niche-specific apparel beats generic fashion by 3:1 in conversion rates
- ✓Target 40-50% profit margins minimum (30% after marketing costs)
- ✓Baby & kids clothing commands 25-40% price premiums over adult equivalents
- ✓Loungewear grew 156% since 2024—comfort continues dominating
- ✓Made-to-order reduces risk while justifying premium pricing
The Top Selling Apparel Categories on Etsy (2026)
Niche-specific analysis with profit margins and pricing data
Baby & Kids Clothing
The premium profit leader with 40% higher order values and strong gifting appeal
Profit Margin
45-60%
Avg Price Range
$28-65
Top-Selling Items:
- • Baby milestone outfits ($28-45)
- • Matching family sets ($35-60/piece)
- • Kids occasion wear ($32-65)
- • Handmade baby basics ($22-40)
Key Strength:
Multiple purchase occasions (birthdays, holidays, milestones) create repeat customers
Loungewear & Sleepwear
The comfort revolution with year-round demand and 156% growth since 2024
Profit Margin
40-55%
Avg Price Range
$45-120
Top-Selling Items:
- • Matching lounge sets ($65-95)
- • Luxury pajamas ($75-150)
- • Cozy cardigans & robes ($55-110)
- • Sleep shorts & lounge pants ($35-60)
Key Strength:
Work-from-home culture created permanent demand for comfortable yet presentable clothing
Intimate Apparel & Lingerie
The underserved niche with premium pricing and high repeat customer rates
Profit Margin
50-65%
Avg Price Range
$45-200+
Top-Selling Items:
- • Bralettes & soft bras ($38-72)
- • Bridal lingerie ($85-250+)
- • Sustainable intimates ($28-65)
- • Plus-size & inclusive sizing ($40-95)
Key Strength:
Handmade fills gaps mass retailers ignore—custom sizing, sustainable materials, body-positive options
Women's Casual & Everyday Wear
The volume play requiring strong niching and differentiation
Profit Margin
30-45%
Avg Price Range
$28-65
Top-Selling Items:
- • Graphic tees with niche messaging ($26-38)
- • Bohemian & festival wear ($55-95)
- • Athleisure & activewear ($35-75)
- • Sustainable fashion basics ($42-85)
Key Strength:
High sales volume potential when targeting specific communities with unique messaging
Handmade Accessories
High margins, quick production with impulse-buy price points
Profit Margin
60-75%
Avg Price Range
$8-48
Top-Selling Items:
- • Scrunchies & hair accessories ($8-18 sets)
- • Handmade headbands ($12-28)
- • Knit beanies & winter accessories ($28-48)
- • Bandanas & scarves ($18-35)
Key Strength:
Lower material costs, faster production, consistent sales velocity
The 2026 Apparel Trends Driving Sales
What buyers are looking for right now
Hyper-Personalization
Generic apparel is dying. Buyers want products that feel custom-made for them.
Impact on Pricing:
Personalized items command 25-40% premiums
Examples:
- • Custom embroidered names, initials, dates
- • Photo-printed clothing
- • Birth stats on baby clothes
- • Custom color combinations
Sustainable & Ethical Fashion
Buyers increasingly research material sourcing and production ethics.
Impact on Pricing:
"Organic cotton" in titles increases prices by 18-25%
Examples:
- • Organic cotton and natural fibers
- • Plastic-free packaging
- • Transparent supply chains
- • Small-batch production
Gender-Neutral & Inclusive Sizing
Market shifting away from rigid gender categories and limited size ranges.
Impact on Pricing:
Size-inclusive shops report 30-45% higher AOV
Examples:
- • Earthy tones replacing pink/blue
- • Extended size ranges (XS-5XL)
- • Size-inclusive photography
- • Gender-neutral kids clothing
Comfort-First Design
Post-2024, buyers won't sacrifice comfort for style anymore.
Impact on Pricing:
Loungewear grew 156% since 2024
Examples:
- • Stretchy, breathable fabrics
- • Relaxed, oversized fits
- • Elastic waistbands
- • Soft, non-restrictive construction
The Profit Reality: What You'll Actually Make
Understanding apparel margins (Etsy takes approximately 20-25% of every sale)
| Item | Material Cost | Labor Time | Production Cost | Retail Price | Profit | Margin |
|---|---|---|---|---|---|---|
| Baby onesie | $4-6 | 30-45 min | $10-12 | $28-35 | $16-23 | 57-66% |
| Lounge set | $18-25 | 3-4 hours | $60-80 | $120-150 | $40-70 | 33-47% |
| Graphic tee | $6-8 | 15-20 min | $12-15 | $28-32 | $13-17 | 46-53% |
| Bralette | $8-12 | 1.5-2 hours | $30-40 | $65-75 | $25-35 | 38-47% |
| Scrunchie set (3) | $2-3 | 20 min | $8-10 | $24-28 | $14-18 | 58-64% |
Pricing Formula: Retail Price = (Materials × 2-3) + (Hours × Desired Hourly Rate) + Etsy Fees (25%) + Profit (20%). Your hourly rate should be minimum $20-30 for skilled handmade work.
Margin Benchmarks: Baby & kids (45-65%) | Loungewear (40-55%) | Intimate apparel (50-65%) | Casual wear (30-45%) | Accessories (55-75%)
Your Apparel Shop Strategy: What to Sell
Don't try to be everything to everyone. Build a focused catalog.
The Specialized Baby/Kids Shop
Focus: One specific baby/kids niche done exceptionally well
Product Mix:
- • 40% milestone and occasion outfits
- • 30% everyday basics in signature style
- • 20% accessories (bibs, headbands, blankets)
- • 10% seasonal items
Advantage:
Parents become repeat customers as kids grow
The Comfort & Lounge Specialist
Focus: Premium loungewear and sleepwear for adults
Product Mix:
- • 35% matching lounge sets
- • 25% luxury pajamas
- • 20% robes and cardigans
- • 20% separates (shorts, pants, tops)
Advantage:
Year-round demand, high average order values
The Sustainable Fashion Advocate
Focus: Eco-friendly, ethically-made apparel
Product Mix:
- • 40% organic basics (tees, tanks, underwear)
- • 30% loungewear and sleepwear
- • 20% casual dresses and bottoms
- • 10% accessories
Advantage:
Loyal customer base, premium pricing, less price competition
The Niche Community Apparel Shop
Focus: Specific audience (nurses, teachers, etc.)
Product Mix:
- • 50% graphic apparel with community-specific messaging
- • 30% accessories
- • 20% seasonal and trend items
Advantage:
Word-of-mouth marketing within community, high conversion rates
Common Apparel Seller Mistakes
Avoid these pitfalls to increase your success rate
Mistake 1: Competing on Price
The Trap:
Seeing competitors at $22, pricing at $19.99 to undercut
The Reality:
Handmade sellers can't win on price against mass production or POD
The Fix:
Compete on quality, uniqueness, customization, or niche specificity
Mistake 2: Too Broad Product Range
The Trap:
Selling baby clothes, women's loungewear, men's tees, and pet bandanas
The Reality:
Diluted branding, no repeat customers, algorithm confusion
The Fix:
Specialize in 1-2 related categories. Become known for something specific
Mistake 3: Poor Size Information
The Trap:
Just listing "S, M, L, XL" without measurements
The Reality:
Sizing questions clog messages, sizing issues drive returns
The Fix:
Detailed size chart in every listing with actual garment measurements
Mistake 4: Underpricing Labor
The Trap:
Pricing based on materials only, forgetting to pay yourself
The Reality:
You're working for $8/hour and can't sustain the business
The Fix:
Include minimum $20-30/hour for your skilled labor in pricing formula
Ready to Find Your Apparel Niche?
InsightAgent helps you research profitable apparel keywords, analyze competitor pricing, and discover trending niches in the Etsy clothing market.
Frequently Asked Questions
Everything you need to know about selling apparel on Etsy
Disclaimer: Results vary based on niche selection, product quality, pricing strategy, and marketing effort. Income examples represent successful sellers and are not guaranteed outcomes. Research your specific niche and comply with all applicable laws and regulations before selling apparel.
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