February 22, 2023
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E-commerce websites come in many different forms and there are many ways to get one set up. So what are some typical costs? It's not an easy question to answer but here's an overview.
Whether you’re starting a brand new e-commerce site or rebuilding an existing one, these are the main considerations that will influence the cost:
Before we get too ahead of ourselves, you may be wondering about hosting. Should you host your website yourself? Or should you use a hosted platform? There are advantages and disadvantages of both.
A hosted platform is a piece of software that runs on someone else’s server. More often than not, you won’t have access to the code that runs your site. Shopify and Squarespace are good examples of this approach.
A self-hosted solution is a software that is run on your own machine. You create and see the code and are responsible for uploading and updating it. If you are having any technical problems you are the one who has to sort it or ask someone to help.
Still not sure? We explain it a little more here.
Before we get into pricing though, it’s important to understand the specifics of your business. It’s tempting to charge in with an all-singing, all-dancing website that features every bell, whistle and add-on available. And there’s no shortage there: every leading e-commerce platform – whether it’s Shopify, Magento, or WooCommerce – offers a wide range of apps and plug-ins to increase functions on your site. These include apps for pre-order management, social media promotion, shipping and inventory management.
Do you really need all those features though?
Perhaps not. Not yet, anyway. You’ll only overcomplicate your website before you’ve figured out what you and your customers need. Asking for more features will increase the cost, so think about what actually serves your profitability.
Think of the Minimum Viable Product (MVP) model. This means starting with a basic version of your website. At this stage all you need to worry about is selling to the customer. This helps minimize risks, saves money on unnecessary add-ons, and ultimately lays the groundwork. By starting with a basic, bare-bones approach, you can launch earlier, which means you gain operational experience and gather customer feedback earlier. This will help you figure out the apps and new functions your website actually needs.
Shopify and other hosted platforms are one of the best ways of working with this model. Hosted platforms include a load of typical functionality that you’ll need when setting up an e-commerce store, like a PCI compliant checkout and inventory management, which means you don’t have to pay to re-invent the wheel. This lets you focus on finding the right design for your website, or adding bespoke features.
It’s true that there’s no “one size fits all” solution when it comes to quality e-commerce websites, so eventually you’ll want an agency to help you out.
In the long run, a professional design agency will help you make money by making your website better and by following best practice. They can help you save money too by setting up your website so that it’s easy to update.
Choosing the right agency can be difficult. Here some things to look for in an agency:
So now we’ve looked at how to assess your business’s needs and find an agency that works for you, there’s only one big question left – just what will it cost you? There is, of course, a wide range of pricing available and just as there’s no one size fits all in terms of website design and functionality, this is also true of pricing too. We’ve done our best to distil some benchmark rates to help with your decision making.
For a hosted website the pricing structure is a little different and there are several things to consider:
However, with all of these options are pros and cons, so be sure to do your research and be aware of any offers that sound too good to be true.
When agreeing on a cost, do ensure that the price quoted is the total cost and that there are no hidden extras. An e-commerce website is a huge project and will inevitably take time to perfect. Before anything you need to think about exactly you want and need from your ecommerce site and then ensure your designer/developer will be able to deliver it.
The real answer to the question “How much should an e-commerce website cost you?” is simple: nothing’s for certain. Every business is different, and every business develops in its own way. As an extension of your business, the e-commerce website will reflect that as will the money you spend on it.
