Etsy Taps Depop Alum Kruti Patel Goyal as CEO Amid Slump

Online marketplace Etsy announced on Wednesday that its long-time CEO, Josh Silverman, will step down by the end of the year, appointing Kruti Patel Goyal—the company’s president and former head of Depop—as its next chief executive to reverse declining user engagement and sales.

A Strategic Leadership Transition at Etsy

Kruti Patel Goyal, currently serving as Etsy’s president and chief growth officer, is set to take over the helm. Josh Silverman, who has led the e-commerce platform for the past eight years, will transition to the role of executive chairman starting January 1, 2026.

Goyal brings a wealth of experience to the position, having worked at Etsy for over a decade before being appointed CEO of Depop, the social-commerce fashion platform that Etsy acquired four years ago. She has been in her current executive role at Etsy for approximately seven months.

Addressing Etsy’s Growth Challenges

The leadership shakeup comes as Etsy struggles to sustain its pandemic-era momentum. In its third quarter ended September 30, the platform’s active buyer count fell by 5% year-over-year, dropping to 86.6 million. Brand reputation also took a hit in July following a user boycott sparked by the controversial sale of “Alligator Alcatraz” branded merchandise on the site.

Sellers are also leaving the platform in significant numbers. The number of active sellers plunged 10.9% to 5.5 million compared to the same period last year. Consequently, Etsy’s gross merchandise sales (GMS) for the quarter contracted by 2.4%, totaling $2.4 billion.

The Contrast: Depop’s Rapid Expansion

Etsy’s decision to promote Goyal is heavily tied to her successful track record at Depop, which continues to show robust growth. During the same third quarter, Depop saw its active seller base surge by 40% to 3 million, while active buyers climbed 38% to 6.6 million. Crucially, Depop’s GMS skyrocketed by 39.4% to reach $292.1 million.

Wall Street Reacts to the Shakeup

Investors reacted cautiously to the transition announcement. Following the public disclosure of the executive succession plan and the company’s financial performance, Etsy’s shares plummeted nearly 9% in trading.