What is the cost of building an good eCommerce website?

In eCommerce, a website is the core of business. It is the most powerful channel to connect with customers making it an essential investment to be made.

When it comes to website development, the cost entirely depends on the size and complexity of your eCommerce business.

Based on the requirements of your online store, the features, security, functionalities, marketing tools, and maintenance contribute to the cost of the website.

This blog will briefly discuss the factors and costs involved in developing an eCommerce website.

Development cost:

You can build your eCommerce website in three ways.

• Create an eCommerce store by yourself from scratch or using templates.
• Hire an eCommerce website development agency to build a website for you.
• Hire a freelancer to develop your eCommerce store.

All three ways mentioned above come with their own costs, expenses, pros, and cons.

Creating your own website eliminates the developer charges; however, the outcome standard of the website ultimately depends on your expertise.

When hiring a freelancer or development company, you will be charged based on the following pricing models.

• Project Price: A customized quote will be provided depending on your project size and complexity.
• Package Rates: Based on the average standard pricing to develop an eCommerce website, a US Developer may charge $3000 ~ $25,000, and a website development firm may charge you $5000 ~ $50,000 for the package.
• Hourly Rate: For about 10 hours of work, it may cost you around $500 – $2000 with freelancers and $700 – $2500 with a company.
• Per Page Cost: It may cost $100 – $200 per page.

The cost breakdown

All eCommerce websites involve some crucial factors that you cannot avoid.

Below is a list of factors that contribute a considerable amount to the eCommerce website development cost.

eCommerce platform

There are many eCommerce platforms and variants to choose from. Based on your needs and budget, you can pick the right one for you.

Below is the pricing of the two most commonly used eCommerce platforms – Magento and Shopify.

Magento: Offers a free Open Source version to enterprise plan for $20,000/ year.

Shopify: Though there is no free version in Shopify, it offers a 14-day free trial. The Basic plan costs $29/month, Shopify costs $79/month, and Advanced plan is priced $299/month.

Web design

Whether you’re designing from scratch or choosing free or paid themes, according to the level of customization involved, visual effects, animations, and more, designing will cost you $2000 – $35000.

Web domain & hosting

Web domain and hosting vary with platforms. It depend on the size of the store, degree of data protection, domain name, and registrar.

The domain name may cost around $10 – $20/year.

Good hosting service may cost $5 – $30/month for small stores, $20 – $120/month for medium, and $120 – $800/month for large-scale websites.

Custom development

Customization, scalability, and functionality are limitless. So, higher the demand, higher the charges.

In Magento based on your needs custom development may cost you $5,000 to more than $100,000, Shopify it is $1,000 – $2,000 and for WooCommerce $500 to $20,000 or more.

Extensions

Extensions are an affordable and convenient solution to leverage your website. Most websites need 5 – 10 good extensions for better performance.

Often these extensions come with a monthly subscription fee, while few others are free or come with one-time charges.

The average extension cost is $5 to $99/month in Shopify, $40 – $500 lifetime with Magento, and $199/year with WooCommerce.

Marketing

There is no fixed price on marketing. Based on your campaigns, promotional activities, and channels, it may be 10% – 25% of the overall revenue.

Summary:

A good website can fuel your business growth.

Considering all the factors mentioned above, the cost to build a good eCommerce website for a small business can be anywhere from $5,000 to $100,000.

For medium-scale businesses it may cost $100,000 – $1,000,000 and for large enterprises it can cost $1,000,000 and more.

For competitive pricing and exclusive development services, do get a quote from The Commerce Shop.