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banner measurements in inches/cm
you cant go by inches, because it will be different amounts depending on your screen settings. you have to go by pixel size
At 300 dpi, it's 2.533 by 0.333 inches, however I strongly recommend using pixels to get it the exact size Etsy wants. You can download this template to have an idea of the size: i47.tinypic.com/2l8b0jb.png