Jamie, a few things jump out at me at needing to be amended.
Shop title/header - take out your shop name, it doesn't need to be in there. At more keywords to fully utilise the space. They need to be words that say what you sell, if you have a niche or specialism make sure it is in there. This is very important for SEO.
Shop announcement - also very important for SEO. The first line again needs to be full of keywords that say what you sell. Move everything else down to start in a new paragraph. View in Google Preview and tweak both the title and announcement info to best fit the available space.
Location - this isn't in the correct format and most likely means you won't appear in any local searches. The correct Etsy format is town/city, state, United States.
Sections - add further keywords to all of them. Make sure you put a space on either side of the slash in those sections. Etsy and Google don't read punctuation so pants/rompers will be read as pantsrompers which obviously isn't a helpful word for you.
It is a myth that the first 3 words are the most important in a title. There was a small base to this at one point for Etsy relevancy but there is no evidence to support this now. However there is a logic to the myth because what is most important for SEO is the wording in the url, so make sure your most important keywords fit into that space. Etsy reads an entire title, so do search engines but this is less obvious and less utilised it would appear.
Do read the SASsy link already given but try 2 in this first, as it's a very abbreviated version of.
http://www.etsy.com/teams/7702/sassy-critiques/discuss/10092412