How I Built This with Guy Raz – Etsy: Rob Kalin

Intro

In this episode of “How I Built This with Guy Raz,” Rob Kalin, the founder of Etsy, shares the story of how he created one of the biggest and best-known online marketplaces in the world. From his humble beginnings to his departure from the company and his current endeavors, Kalin’s journey is filled with lessons on resilience, leadership, and the power of community.

Main Takeaways

Creating Etsy and Building a Community

• Rob Kalin, the founder of Etsy, created one of the biggest and best-known online marketplaces in the world.
• Etsy is now one of the biggest online marketplaces in the world with close to 100 million active buyers and about $2.5 billion in annual revenue.
• Etsy’s marketplace focused on handmade items and building a community to overcome inertia, which cannot be faked.
• The initial sellers on Etsy were predominantly women, selling a variety of handmade items, including housewares, accessories, clothing, stuffed animals, and supplies.
• Etsy distinguished itself from eBay and other similar websites by having a unique visual identity that proclaimed they were different, including generative artworks by digital artist Jared Tarbel.

Challenges and Growth

• Founders may not always be the best leaders to grow and scale a company, which was the challenge Rob faced when he was fired from Etsy in 2011.
• Rob Kalin stepped down as CEO in 2008 and returned in 2010 with a more mindful approach.
• Conflict can arise when a founder and professional CEO both have power in a company.
• Maria Thomas was hired as COO to help grow and focus the business.
• There was a shift in focus from sellers to buyers as the primary customer during Maria’s time as CEO.

Lessons Learned and Moving Forward

• Rob Kalin learned valuable skills in the public schooling system on how to carve out his own path and turn towards what he wants to do.
• Rob plans to launch another business, a learning tool for kids that blends technology with old-school hands-on toys.
• Rob Kalin has found a sense of purpose outside of working in tech startups.
• Kalin is working on a new project at the intersection of early childhood development and technology.
• The success of Etsy was not inevitable, but the persistence of the sellers played a significant role.

Summary

From Humble Beginnings to Building a Global Marketplace

Rob Kalin, the founder of Etsy, embarked on a journey to create one of the biggest and best-known online marketplaces in the world. With a focus on handmade items and building a community, Etsy quickly gained traction and became a hub for sellers and buyers alike. The unique visual identity of the platform, coupled with the dedication of its sellers, set Etsy apart from its competitors.

Challenges and Growth

However, as the company grew, challenges arose. Rob Kalin stepped down as CEO, and a shift in focus from sellers to buyers occurred under the leadership of Maria Thomas. The dynamics between founders and professional CEOs, as well as the importance of maintaining a strong seller community, became evident during this period.

Lessons Learned and Moving Forward

Rob Kalin’s journey with Etsy taught him valuable lessons about resilience, leadership, and the importance of aligning one’s values with the company’s culture. After his departure from Etsy, Kalin found a sense of purpose outside of working in tech startups and is now working on a new project at the intersection of early childhood development and technology.

Conclusion

Rob Kalin’s story is a testament to the power of community, perseverance, and the ability to adapt and grow as a leader. From creating a global marketplace to finding new avenues for impact, Kalin’s journey continues to inspire and remind us of the potential for innovation and success.