The great majority of individuals in today’s modern society are familiar with selling through e-commerce platforms. The demand for an e-commerce website is growing, and more people are wondering how much it costs to construct an e-commerce site and the best way to save money. For your reference, this article will explain e-commerce site development cost.
Things To Consider Before Estimating The E-commerce Site Development Cost
1. Determine your size of business
In terms of e-commerce, most firms may be divided into two categories: small and large. So, which of these classifications does your company fit into?
A tiny business is a more “mom-and-pop store” type, with privately-owned firms with fewer sales, accounts, and services. On the other hand, large businesses deal with many accounts and a much more comprehensive range of products and services.
So, what difference does it make if you’re a small or large company? You’ll be able to assess your e-commerce needs better and which platform would best satisfy them from there.
The cost and development factors will also vary depending on the size and complexity of the website. Determining the size of your company may help you create a better, more cost-effective financial strategy, which is essential for attaining the ideal website purpose for your company.
2. Select the method of developing your e-commerce website
The second step is to figure out the method of creating your e-commerce website that best suits your budget and the website’s goal. When it comes to managing your e-commerce, though, you have some options.
To manage your e-commerce, you may utilize an Open source or SaaS e-commerce platforms like Magento, WooCommerce, or Shopify, among others. This technique requires clients to pay a portion of their sales in exchange for use and is less expensive upfront.
On the other hand, some firms can create a custom e-commerce site or plugin from the ground up. A personalized site provides the customer considerably more control over the buying experience, but it also necessitates more labour and problem-solving upfront.
However, it would help to consider your website’s goals before deciding which e-commerce platform is appropriate for your online business and your budget.
3. Set budget limit
A successful e-commerce development project relies heavily on budget preparation. It’s important not to get caught up in too expensive web development choices.
Setting a budget limit will assist firms to avoid wasting money on items that aren’t necessary or relevant to their operations. Business owners would look at the budget limit and save to avoid risky situations to balance other costs. Website development is only the first and most crucial step in building an e-commerce firm; there are many more expenses that will be needed for the business to be successful.
E-commerce Website Development Cost Breakdown
An e-commerce website with 100 to 1000 items costs between $5000 to $55,000, including design, development, and additional upfront expenditures. And then it may cost $15,000 to $30,000 per year to manage. Let’s go break down all the expenses, so you are clear about e-commerce site development cost.
1. E-commerce platform
Charges for identical functionality might vary considerably depending on how sophisticated or straightforward the e-commerce platform is, as well as the license costs. Open-source e-commerce platforms, software as a service (SaaS) solutions, and custom e-commerce development are some options available to you.
If you don’t require outside assistance, several SaaS services start at $20-$30 per month. Note that if you go for a professional platform like Magento, you’ll need technical knowledge, or seek to outsource service. At the very least, you’ll invest $3,000 with a reputable domestic vendor to set up your business and implement basic settings and training.
2. Website design
Because of the abundance of alternatives accessible for everything, netizens have relatively short attention spans. And the design of your website may be the thing that distinguishes it from the competitors and, as a result, generates more sales. You may select from various free and paid template suppliers, such as Magento, or build your website using responsive design principles, or start from scratch.
You can avoid paying for web design if you use e-commerce solutions like Shopify and Magento. These platforms provide free themes, which are beneficial to people on a low budget. They may look great, but the cookie-cutter choices are insufficient, accomplishing just the bare minimum.
Another solution is to purchase a premium theme. In comparison to free themes, these are more professional and unique. Furthermore, by personalizing them, you may raise them a notch or two. For minor modifications and branding the theme, you may expect to pay $1,000. If you want to make more modifications, it will cost over $5,000.
When it comes to bespoke design, the sky is the limit in terms of potential costs. Similarly, depending on the specifications, needs, and complexity of the process, a custom theme may cost somewhere between $10,000 to $100,000.
Responsive design is another common choice today. Shoppers will be accessing your site from their phones, tablets, and even watches, regardless of what you sell. A responsive design may cost anywhere from $3000 to $25,000, depending on the complexity.
3. Hosting cost
Hosting expenses are more consistent and predictable than other services. In most cases, SaaS solutions will include some forms of hosting. You’ll want to double-check the storage, traffic, items, client, and ordering limitations, among other things.
As your business grows and your demands rise, these solutions become more expensive. Before expanding out of a conventional SaaS solution, you should budget between $20 – $250 per month in hosting expenditures.
A bespoke eCommerce system’s hosting will most likely start at approximately $300 per month for excellent service and support but won’t probably give genuine PCI (credit card security) compliance.
You’ll need all of the features that come with an e-commerce site. Shopping carts, checkout procedures, consumer identity protection, and customization are just a few examples of available features.
To increase the functioning of the site, you can discover both free and paid add-ons. This is also when things start to become complicated. The ones that are available for free aren’t very excellent.
Basic e-commerce feature customization on systems like Shopify and Magento may cost anywhere from $5,000 to $15,000. Advanced features will necessitate a more significant expenditure.
Additionally, the typical cost of developing major e-commerce features ranges from $20,000 – $30,000. Product administration, product classification, payment methods, and other functions are among them.
5. Website upkeep for e-commerce
Maintenance is an essential aspect of any site that has been customized in any way. Regular inspections and upgrades guarantee that everything functions well and that no unpleasant surprises arise.
Aside from the price of technology upkeep, there are also expenditures associated with store maintenance. To improve their service, larger companies may need to train and hire customer service executives.
So, plan to spend $500 to $1,250 a year on maintenance if you own a small to medium-sized business. If you have an e-commerce store with many items and a lot of traffic, upkeep may cost you anywhere from $300 to $1,000 each month.
6. E-commerce database integration
Database integration is usually an optional feature on a website, but it is required on e-commerce sites. Database integration helps your business to centralize information about its goods, staff, and customers.
Customers will also want database integration. Customers may establish accounts, set preferences, and have a more customized experience on your site with the help of a database.
The database connection is an e-commerce website development cost to include in your budget if you wish to make your consumers’ purchasing experience more manageable. Each e-commerce database integration costs typically vary from $20,000 to $25,000.
7. SEO and marketing
You may build the best e-commerce website in the world, but it will be useless without visitors.
The size of the website will have a significant impact on SEO and copywriting. You can take care of them yourself if you’re a small e-commerce business with a restricted budget.
Marketing has a more considerable significance in medium and enormous enterprises. They invest in ads, retargeting, and other digital marketing techniques.
For a small business, marketing costs can vary from $500 to $2,000, while for larger eCommerce websites, marketing costs might range from $4,000 to $5,000.
The Best Cost-cutting Choice For E-commerce Website Development
Building or enhancing your e-commerce website may rapidly become a challenging undertaking. Naturally, you’ll need a dependable and competent companion to take on this task.
For a reasonable e-commerce website development cost, you can consider e-commerce web development providers in Vietnam.
Tigren has built and developed e-commerce websites for a range of Vietnamese enterprises and foreign brands and nations utilizing e-commerce development service packages. They offer a professional, trustworthy, and dedicated web development guarantee.
Your website isn’t a cost; it’s an income stream that must be adaptable and well-designed. To compete online, you’ll need to make a significant investment, so be sure you understand the e-commerce site development cost.
Read more: Multi-vendor eCommerce Website Development: A Beginner Guide