eCommerce Website Development Cost

eCommerce websites are gaining in popularity exponentially. The customer experience has been transformed since online shopping became popular. The adoption of digital technology has increased due to the proliferation of mobile phones and smart devices in all corners of society. This has resulted in a global shift for the eCommerce industry, with a growth rate of approximately 12% until 2026.

According to McKinsey’s report, over 25 million potential digital customers in the United States, Europe, and Asia tried eCommerce during the Covid Pandemic. Small-scale vendors led the way to move their business online.

Etsy, for example, saw a 140% increase in sales of masks and other home furnishings during the pandemic. They called this a testament to the power of eCommerce websites.

ECommerce platforms are indeed growing, but it still takes a few steps to build an online store to attract customers to your site. eCommerce website development is just one factor that determines the success of any eCommerce platform. Other factors include product quality, customer feedback, brand recognition, trustworthiness, and brand awareness.

What is eCommerce Website Development?

E-commerce web development is creating a website for a company to sell and promote products online.

The backend of your website includes the infrastructure and content management system, as well as the place where it is built.

Website design is often confused with web development, which concerns how your website appears to the customer or the “frontend.”

The two are often closely connected.

Changes made to the backend of your website can significantly impact the frontend and the design that results.

Web development and web design are merging thanks to modern website-building platforms.

It is a great way to make it easier for entrepreneurs, designers, and marketing teams.

Options for Building an E-commerce Website

You’ll probably come across three different options while setting up your e-commerce site:

Create it from Scratch

Open-source software may be the best option if you already have an IT or web development team.

Open-source platforms allow you to modify the entire code of your website, allowing you to build it from scratch.

Open-source solutions can be a great way to save money, but they also come with responsibilities.

Some brands might view open-source as too expensive, cumbersome, and tech-heavy. This is especially true as your business grows.

MACH (Microservices, Cloud Native, API First, and Headless)

The traditional ecommerce setup has been a monolithic system for decades. It combines the storefront front-end and the server-side back-end into a single, all-in-one setup.

Monolith solutions are a good choice for SMBs with limited needs, but they can be problematic as your business grows and becomes more complex, such as when you launch multiple websites or expand into new regions.

What is the solution?

MACH architecture.

MACH is a set of guiding principles that uses a best-of-breed approach to build enterprise tech stacks. Unlike monolithic architectures, MACH allows you to select the technology that meets your future needs and business requirements.

  • Microservices

Microservices consist of small services that perform specific tasks and can be combined to create an application. Each microservice is independently developed, managed, deployed, and updated.

  • API-First

The API (application programming interface) makes communicating and delivering content between applications or services possible. This means that the application must be designed with APIs in mind.

  • Cloud-Native

Cloud-native applications leverage the full potential of cloud and SaaS technologies to monitor, maintain, and license the technology through subscription services.

  • Headless

Headless commerce architecture decouples the frontend presentation of a site from its backend functionality. This gives designers more flexibility when designing the user interface and integrating different channels.

Multi-Vendor Website Vs Single-Vendor Website

A single-vendor eCommerce site is an online store that sells niche products exclusively. This results in a targeted audience for sales. A multi-vendor site is similar to a mall, where different vendors run their shops within a shared space and cater to customers of all backgrounds.

Owners of multi-vendor websites allow many sellers to register to sell their products. They also manage and develop the eCommerce platform, which includes designing it with features that customers want to interact with. They incorporate solutions and extensions so platform users can have the needed parts for better engagement and transaction. They also offer sellers back-in conveniences like shipping, receiving orders, and payment methods. Sellers are liable to pay the cess.

Types of eCommerce Websites

Are you a retailer or wholesaler? Do you want to do business with end consumers, other companies, or both? The type of eCommerce that is best for your business depends on its goals! We can categorize eCommerce into three types:

B2C Online Stores

Does your product fulfil the specific needs of each end-user? It would help if you dedicated this eCommerce website to displaying, promoting, and selling your products—for example, Amazon, Alibaba, Flipkart, etc. To name but a few.

B2B eCommerce Platforms

Do you want to sell your products or services to other companies? A B2B eCommerce platform will help you reach a specific demographic using established businesses in your area. Amazon Business, Alibaba Wholesale, and IndiaMart are examples.

C2B (Consumer to Business)

C2B eCommerce is the opposite of traditional eCommerce, involving consumers selling their products or services to businesses. Consumers contribute their products or services to businesses. They also collaborate on projects and help firms increase profits.

C2C eCommerce Stores

You want to provide a platform for a private person to facilitate commerce between private individuals. You will need to hire a third-party eCommerce website developer that allows users to sell and promote their products through your platform while you fill your pockets with commissions and advertising models. Example: eBay.

Benefits of eCommerce Website Development

A website selling products online is a great way to reach customers worldwide and can be accessed 24/7. It’s also cost-effective. An eCommerce website can offer many benefits to your business. Here are a few of them:

Lower Operational Costs

Online stores only require a little capital to get started. A brick-and-mortar store requires a much more significant investment. eCommerce websites can eliminate many expenses, such as rent, utility, and maintenance.

Businesses can reduce their spending by operating online. This allows them to use the money in other ways. Companies can automate many tasks with an online store. This reduces the need for large staff and lowers labor costs. eCommerce websites allow businesses to reach more people at lower prices.

Reach out to Global Customers

How can your retail business be expanded globally? If you have an eCommerce site, your business will reach more people. This is a huge advantage to having an eCommerce website, as it allows you to get a much wider audience. A website can be accessed globally, making it an ideal solution for targeting different customers, regardless of their location.

Having an eCommerce site is a great benefit, as it allows you to cater to different kinds of customers. Your business is also available 24/7 because it does not need to be closed like a physical store. An eCommerce-based website can be accessed anytime without adhering to a set schedule.

Cost Reduction

The most significant advantage of eCommerce websites is cost reduction. By creating a website for your business, you can save money on rent, electricity, staff salaries, infrastructure, etc. When selling in a brick-and-mortar store, retailers have to pay hefty costs.

Selling from an eCommerce site is very cost-effective. You may not get the ROI and profits you want if you open a brick-and-mortar store. You can save money using an eCommerce site instead of a physical shop. One of the most essential benefits of eCommerce is that you can avoid expenses when you have a physical store. An eCommerce website can help a seller reduce the money spent on maintaining the store.

Increase Competitive Position

eCommerce revenue is expected to reach $6,5 trillion by 2023. The growth promised has attracted millions of eCommerce retailers. The number of online stores is increasing every day.

The fierce competition is a threat to the market share of any eCommerce retailer. This problem can be solved by developing an eCommerce site. By redesigning the online store, you can increase customer awareness.

You will have a better chance of attracting clients if you focus on making navigation easier and adding functional features. You can use current technologies to develop your website to stay on top of the competition.

Customer Convenience

The convenience of an eCommerce site is one of its most important benefits. Online shopping allows consumers to purchase products without waiting for weekends, traveling to the mall, or limiting their options.

eCommerce websites let customers shop anywhere, anytime, and with any device. With just a few clicks, customers can explore products, and compare prices to purchases. Customers can avoid long queues, parking problems, and heavy shopping bags.

Furthermore, eCommerce websites allow customers to easily access products from around the globe, increasing their choice, eliminating the gap between buyers and sellers, and creating an enjoyable shopping experience for everyone.

Product Comparison

Online retailers can compare products themselves or using tools. This gives consumers an idea of what products are available and their prices if a particular product’s demand is unmet. This comparison is easier because all the information can be found on the website. In a physical shop, sellers may need more information. Instead, they have a better idea of the inventory.

Multiple Payment Methods

eCommerce marketplaces accept many payment methods, including UPI (pay later credit), cash on delivery, credit card on delivery, and net banking. They also take EMIs for credit or debit cards. A customer may proceed to the checkout without completing their transaction. You can remind consumers by calling or sending an email.

No Time Limits

Do you want to avoid always being there for your customers? Shoppers may visit your store if it is nearby, but they prefer to shop online. There’s no need to wait in lines at the checkout, worry about trial rooms, or spend too much time shopping. They can visit your site, browse the products, and wish to list them. They can also look for similar products.

If your customer service is excellent, even with limited choices, you can make an online store one of the top in the industry. You are already halfway there if you build a website available 24/7 for all your customers.

There is a catch. You’ll need a partner who is equally reliable in delivery and payments. Your customers should trust your website to log in and make payments.

Related Article:- 9 Ways eCommerce is Transforming the World of Business

What to Consider for eCommerce Website Development?

Each part of a website will affect the cost. As per your budget, you can decide what platform to choose and which additions to make. You can easily overspend without a budget.

Answer the question immediately:

In 2023, hosting an eCommerce site costs between $40 and $4,000/month, plus setup fees ranging from $1,500 to $30,000.

Why is the range of eCommerce website development services so high?

But don’t worry. We’ll show you how to save money on each expense and where you want to spend more.

eCommerce Platform

You could pay $20 monthly for the basic plan or up to $2,500 for enterprise plans. (See Shopify pricing to understand your expectations for each project.) This fee includes hosting, SSL security, built-in functions, and free theme access. SaaS-based eCommerce platforms are generally cheaper than hiring a development firm to create a custom solution. However, expenses can add up. Shopify developers can help you customize your store if you need it.

It may be cheaper than self-hosted websites if you purchase premium themes and plugins.

You may not need to pay for the software to power your eCommerce site if you use open-source software such as WordPress. You must pay for the web host, SSL certificate, and any premium plugins or themes you want.

If you build it yourself, there is no cost. This can limit the items you can list and prevent you from using a custom domain.


Prices for website hosting can range from as little as $2.49 a month to as much as $1,000. Costs vary depending on factors such as the amount of traffic to your store and if you need any additional services, like automated backups.

Every website requires hosting to store files. A domain name is also needed, as it’s the digital home of your ecommerce shop.

Online retailers commonly use two types of hosting:

  • SaaS eCommerce Platform Hosting

Shopify and other eCommerce platforms do not require that you install, host, or manage a domain yourself. Your monthly subscription fee includes everything you need.

Shopify plans include secure hosting.

  • Unlimited Email Forwarding

It’s optional to register and buy a domain separately. Shopify’s Domain Name Generator will help you find the available domains and get your eCommerce store up and running quickly.

The price ranges from $15 to $81, depending on which top-level domain you select.

  • Self-hosted eCommerce Website

Free eCommerce site builders include WooCommerce, a WordPress plugin. You will need an account at an ecommerce host to manage files and buy a domain.

Self-hosting a website can cost you a lot.

  • A hosting account for e-commerce starts at just $7.99 per month
  • Domain names can cost as little as $15 per year
  • An SSL certificate starts at $69 per annum

Some web hosts, like Bluehost, offer free services such as a domain name and SSL certificates for just $2.75/month.

As your eCommerce site grows, you will need to upgrade your plan to handle the increased traffic. Self-hosting a large-volume website can cost upwards of $1,000-$2,000/month.

Hosting cost estimates:

  • SaaS hosted: From $39 per month, with unlimited hosting.
  • Self-hosted: Between $2.75 and $ 2000 per month with incremental upgrades.

Payment Processing

Payment processors manage the logistical aspects of accepting card payments from customers. This category includes payment services such as PayPal, Stripe, and Square.

Check the fees associated with payment processing. These can significantly increase your costs and reduce your profit.

Most payment gateways have a purchase-based pricing. The industry standard rate is 2.9% plus 0.30 cents, but some gateways charge monthly subscription fees of between $25 and $300.

Add-Ons or Extensions

Add-ons, plugins, and extensions are the best ways to add advanced features to an e-commerce site without writing custom code. One example is a plugin that adds a contact page to a membership site.

The cost of extensions, add-ons, and plugins varies depending on the ecommerce platform you select. The range could be anything from $0 up to $1,000.

SEO Costs

Your business will fail if no one finds your website. It’s crucial to design your eCommerce site with SEO at the forefront. It is much easier to build a website that has been optimized than to try to organize the content after it has already been built. You can save money by having SEO features integrated into your design.

  • Most SEO agencies charge a monthly fee.
  • Cost of SEO agency: $2,500 to $10,000 per month

Custom Features and eCommerce Functionality

You can create a website using a self-hosted platform or SaaS. An eCommerce site, however, requires a lot more. Connect your site with payment gateways, fulfillment options, promotional tools, and other functionality to turn your website into an online store.

Wix, for example, has many built-in features. Some require numerous plugins or integrations to function.

Plugins can range anywhere from being free to costing between $40 and 500 on average. Some popular plugins:

  • QuickBooks Connector: This app automates your accounting by synchronizing site sales with an existing QuickBooks account. The app is free to download and includes a free 30-day trial. After the 30-day trial, you must pay subscriptions ranging from $30 to $200 per month.
  • Pricing Table: This plugin allows you to create side-by-side website price tables. Installing it is free; the monthly cost ranges from $3.19 to $12/69.
  • Modalyst: This popular drop shipping and print-on-demand platform is free to download, but it costs between $30 and 67 dollars per month, depending on the subscription plan. Modalyst is included in the Wix Business Unlimited and Business VIP plans.

Payment gateways can also incur some costs downstream. The top payment apps will charge you 2,9% plus $0.30 for each transaction. Be sure to include these ongoing costs in your eCommerce website budget.

Designing and User Experience (UX)

According to WebFX, 94% of first impressions are based on the design of your website. This means that almost every customer expects a well-branded, beautiful site. A highly skilled web designer may be required to create this.

You’ll also want to create a user-friendly eCommerce store. Your site’s UX is essential. Your site’s UX should reduce the clicks or taps a customer requires to locate a product and purchase.

Successful UX in eCommerce involves various factors: an easy-to-navigate menu, detailed product images, mobile-friendly web pages, a smooth checkout process, etc. Your design and development costs may vary depending on how complex your site is.

If you are still getting familiar with UX, look at other retailers’ sites to see how they have used navigation menus, search bars, and buttons to make the purchasing experience easier.

Total Costs of eCommerce Sites

The total cost of your project will be determined by all the factors mentioned above and other considerations, such as the website copy (who will write the copy for all your pages?) and product photography. Your total costs will depend on all the factors listed above, plus other considerations like your website copy (who will write all the copy for your pages? You must decide whether to build your eCommerce website, hire web developers and other professionals, or hire an agency.

No fixed numbers exist for these variables, but you can use the ranges to help you budget more effectively.

Small Store (1 to 99 Products)

  • Average cost to start: $1,000-5,000
  • Maintenance costs: $500 to $1000

Medium-sized Store (100 to 499 Products)

  • The average cost to start is $5,000 – $10,000.
  • Maintenance costs: $1000 – $2000

Large Store (500+ Products)

  • Average cost to start: $10,000-$50,000+
  • Maintenance costs: $2,000 to $10,000+

Related Article:- eCommerce website development cost

Tips for Reducing the Cost of eCommerce Website Development

Here are a few suggestions for reducing the cost of an eCommerce site. Your perception of the store will determine how much it costs. If you want to reduce the cost of your store, you may consider:

  • Investing in a hosting service that offers maximum services at a low cost is advisable.
  • Use a template with the basic design and layout elements already in place.
  • Limit the number of features and focus on the essentials to reduce costs
  • To keep design costs low, focus on simple colors and clean lines.
  • Hire a freelancer or eCommerce website development company for more personalized service and lower rates.
  • Open-source software is a great way to save money.

To stay on top of the competition and keep up with the latest emerging eCommerce design trends, you must know what’s new in the eCommerce industry.

It’s important to think about the top web design trends for e-commerce as we move towards 2024.

We will look at the top five eCommerce website trends for 2024 to create modern and effective eCommerce websites.

Voice Search

Since the introduction of voice assistants and smart speakers like Google Assistant and Alexa, many people’s daily lives have changed and become more convenient. These technologies help people make the transition from “typing to speaking.”

The Key Takeawayvoice devices and tools can be programmed to respond to certain commands, allowing users to access various services. Voice search is a popular eCommerce trend and will continue until 2023. Voice User Interfaces are available on many eCommerce platforms, allowing users to search for products using voice commands. Shopify website design or any other platform can be used to optimize your site for voice search.

Augmented Reality

The e-commerce sector will be revolutionized by augmented reality (AR), a new technology, in 2023. AR lets users experience products more deeply by overlaying computer-generated images in the real world. A customer, for example, could use the camera on their smartphone to see a piece of furniture in their home before purchasing it. This technology can boost sales by giving consumers more confidence in their purchase decisions.

It allows customers to interact more with products. They can see how the product will look in their homes or how well it fits their decor. This technology benefits products that need much customization or that customers need to see in person to buy. Incorporating AR into your website can give your customers a more immersive and interactive experience.

Eco-Friendliness and Sustainability

As consumers become more aware of the environment, sustainability and eco-friendliness will be essential considerations in 2023 for eCommerce websites. It could be as simple as using recycled packaging materials, providing carbon-neutral options for shipping, or highlighting the benefits of certain products.

Integrating sustainability and eco-friendliness in e-commerce website design can enhance your brand’s image. Promoting sustainable practices and eco-friendly products can show that your brand is committed to the environment. This can build trust and loyalty with environmentally-conscious consumers.

Sustainability and eco-friendliness can also attract new customers. Consumers always prefer brands that share their values to make their purchases more sustainable. You can reach this new market by incorporating eco-friendly products and sustainable practices into your online store.

Social Commerce

Social media allows you to interact and connect with others, and shop online. Social commerce is a trend that you want to take advantage of. Social media platforms today show users different ads for products and services. Users can click on these ads to purchase them. In the coming years, it will continue to be one of the hottest trends in eCommerce.

Social commerce can boost your sales by leveraging social media platforms.


Chatbots have become a major trend in eCommerce. Chatbots can be very helpful to eCommerce businesses, as they automate human-to-human interaction. Chatbots can be used on eCommerce websites to provide a variety of services. Custom support is often the Achilles heel of many online businesses. Chatbots powered by artificial intelligence can help companies provide convenient and efficient customer service.

It is estimated that by 2023, eCommerce transactions will reach $112 billion. Chatbots can answer customers’ questions and interact with them to resolve any issues. Customers can get solutions quickly. Hire a web developer to build a website integrated with a chatbot.

The Key Takeaway

In conclusion, this article provided valuable insight into the costs of starting an eCommerce site. While the initial cost of an eCommerce website may seem high, it is important to remember that investing in your store will help you to craft a solid foundation for future business success.

Do your research before you begin writing a single description of a product for your online shop. Compare your options—request quotes, look for a reliable partner, hire eCommerce website developer, and then begin the development . Try out different eCommerce platforms.

Do not rush or jump at the first quote you receive. Understand how much you can get for your money and make an informed decision.

As your business grows, you will need to invest more in infrastructure and design to stay competitive. Spending money on your eCommerce website will be possible if you are generous and pay it where required.

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