Some Etsy sellers are said to be "ripping off" customers according to the consumer watchdog Which? as items are falsely presented.
The watchdog said it had concerns over some sellers on the marketplace selling pretend handmade items to give them a false "human touch".
Many items which are being presented as handmade can often be found at stores like B&M and Asda for much cheaper prices.
Concerns were raised when Which? analysed the first page items of selected categories of things like furniture, toys and clothes.
It found that 23 out of the 192 "handmade" Etsy items were available on other platforms.
It was also found that 9 of these items cost more than twice as much on Etsy than elsewhere, raising fears that customers are being scammed amid a Which? warning.
Fake handmade furniture on Etsy found to be more expensive than on eBay or B&Q
Among the items included, a "handmade" bookshelf which went for a price of £59.99 on Etsy but was cheaper elsewhere such as on eBay where it was priced at £28.90.
Which? also found a "star seller", an account ranked highly for response times and dispatches, was selling a 'rustic' bedside nightstand table for £128.31 when the same piece of furniture was selling for £43.99 on Amazon.
Another "star seller" listed a shabby chic chest of drawers for £175 when the same drawers were being sold at B&Q for just £71.99.
When Which? checked the accounts details, it found a stock image of a woman wearing a suit being used as the profile picture.
'Handmade' toys being sold on Etsy actually from Asda and B&M
Which? also checked the platform's "busy books" section and found "handmade" toys being sold elsewhere.
One such item was found on Alibaba with a price tag of £4 compared to £27.98 on Etsy.
One Etsy seller had 19 “handmade” items on sale, but six were actually from Asda, one was from Dunelm and one was from B&M.
Even items like women's clothing were also being sold for a cheaper rate on other platforms with one seller having around 9,000 sales.
Which? says Etsy 'sellers are brazenly ripping off customers' over fake handmade items
Rocio Concha, Which? director of policy and advocacy, said: “Our research shows some Etsy sellers are brazenly ripping off customers by making misleading claims about their products.
“Etsy needs to up its game in tackling these dishonest practices, which serve as an example of why a crackdown on dodgy claims and advertising online is long overdue.
“The Government must put a statutory regulator in place to ensure platforms have sufficient processes to prevent misleading advertising. This should include the ability to issue fines against platforms that flout the rules."
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