I've been selling on Etsy for two and a half years now. Which means I've been researching and working my butt off at marketing for two and half years. Here are my snarky, sarcastic observations. Take them seriously at your own risk.
♂ If you are a guy, things tend to work better for you. No, really. Etsy appears to be flooded with ladies, and men who flaunt their manliness seem to have an advantage. (A crafty man? Swoon!) Is it that they are naturally better at this stuff than women? Unlikely. My guess is it's something to do with facial hair.
☝ If you want Etsy traffic, the best way to get it is to fashion yourself as an Etsy expert and start giving advice away. Mine those forums! Collect that data! Slap it into a pdf and baby, you've got something that will really sell.
✍ Twitter. Blogging. Facebook. Do these things religiously, and you will have all the traffic you want. Or...maybe not, depending on how well you do them.
Ⓐ ALL CAPS ARE DEATH. REMEMBER THIS. AREN'T YOU ALREADY TUNING THIS OUT? WHAT? YOU AREN'T SUDDENLY OVERCOME WITH THE DESIRE TO PURCHASE WHATEVER IS ADVERTISED IN ALL CAPS? I DON'T UNDERSTAND. PERHAPS IF I ADD A BUNCH OF ~`*!L@@K!&-~*
☄ Photos. Your photos are not good enough. You need to take better ones. Hire Annie Leibovitz if you must. Because you have that sort of margin built into your one of a kind baby bow-wipe-onesie. Don't you??
☺ Give away your products to random people in the forums who ask for them! This will surely bring you customers!
Okay, I think I've completely snarked myself out for the day. Come back tomorrow, and I promise I'll have something positive and actually useful. (Like actual Etsy marketing tips. Oh yes.)