Etsy Faces Holiday Challenges From Amazon Handmade

Americans are expected to spend a record $3 billion on cyber Monday this year and e-commerce sites are gearing up to grab market share. New York-based artisan Milly Itzhak makes decorative custom stamps which she's been selling on Etsy (ETSY) for the last three years. The handmade crafts platform has allowed her to transform a hobby into a growing business. 'It takes out some of the anonymity out of the online market place thing and makes it very human,' she told TheStreet. Etsy isn't the only one cashing in on the growing demand for homemade, hand crafted goods. In October, retail giant Amazon (AMZN) launched Amazon Handmade, a new platform featuring around five thousand artisanal sellers from over 60 countries. But, since Amazon threw its hat into the handmade arena, Etsy has seen its share price tumble around 60 percent and missed estimates for third quarter revenue. Kantar Retail's Chief Knowledge Officer Bryan Gildenberg says Etsy will stand its ground. 'The community that Etsy has built is of enormous value both in terms of the sellers and the buyers and the network that exists between them.' TheStreet's Amelia Martyn-Hemphill has details from New York.

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