How Much Does It Cost to Make an E-Commerce Website?

  • February 01, 2022
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E-commerce is booming in recent years has taken over the market. This is because a lot of people like the comfort of ordering stuff online without having to go anywhere. While it is quite comfortable for the user side, it is a big business opportunity for businesses. And any given web development company can make an e-commerce website for you. But that is not the problem, the reason question is, what is the cost to make an e-commerce website? Statista ecommerce If you are one of the many people who are looking for the answer to this question, then you have come to the right place. In this blog, we shall be answering the question and looking at the price of different aspects of the development process as well as the factors which can affect the cost of the same. But before we get into all of that, we shall be looking at the different types of E-commerce development services that are available to hire. With this being said, let's get right into it:

Types of E-Commerce Developers

When it comes to e-commerce website development, the business has a really hard time due to making different things. For instance, you have considered cost, what goes behind it, inventory management, and a lot of other things. However, before you get into all of that, something that needs to be done is to create a website. Well, speaking of that, there are different modes of service when it comes to e-commerce website development. There are freelancers which are readily available from various platforms. On the other side, there are out-sourcing companies that can do the work for you, and this is also the most popular option these days for long-running projects. Types of E-Commerce Developers Apart from these two, there is yet another option, and that is assembling an in-house team. Depending on the option you choose, the cost to make an e-commerce website can differ. So, let’s look at all of these three different modes of services in detail, starting with:

1. On-Site Website Development

On-site website developments mean exactly what it sounds like. It is when you as the business assemble a team of developers, designers, and all the other concerned people. This team will work in your office and will be dedicated to your work only. The top management can directly discuss the requirements and needs with the team of developers and get it done on the very spot. onsite Website Development This is all nice and fine, especially when you see it through the lenses of advantages. However, it only lasts till you look at the price of all this.  Firstly you need to hire a team of IT professionals which in itself isn’t cheap by any means. After this comes the cost of paying their salary, and if you know anything about the IT world, developers don’t have the world cheap in their dictionary. Nevertheless, the factors which affect the cost of creating e-commerce are, as mentioned below:
  • If you don’t already have one, you will need to rent out an office.
  • Developers will need computer systems to work on and that is too powerful. You will need to buy all of this.
  • To hire IT professionals, you will need to get a recruiter first.
So, these are the things that would happen if you built an in-house company.  So, would you rather do this or hire an eCommerce Website Development company?

2. Freelance Developers

Freelancing is an option that clients love the post. This is also probably the first thing that would come to mind when someone talks of “Hire website developer. And why not, freelancers have good time management skills, along with amazing development prowess. Not to forget their soft skills. In addition, there are a lot of freelancers, and by a lot, we mean seriously a lot. But if you are working with a team of freelancers you would also need to hire a project manager to keep track of all things. This adds to the cost even more. If you go on analyzing the cost of hiring a JS developer (people usually hire e-commerce development) you will find that the price varies somewhere between $35 and $70 per hour. And this is only for the common developers, if you are talking about specialists they can cost you as much as 250 $ per hour. But then again, some developers charge you as low as 20$ per hour. freelance Developer This is per hour cost but we can also calculate the cost for the whole project. If we average out the cost of the whole project, it would cost you between $67,000–$134,000 per year if you are hiring developer’s full-time. In some cases, this price can rise to $400,000. This can be comparable to something a high-end python web development company would cost you. Another drawback or advantage depending on your situation is that in the case of freelancing you have to pay the freelancers on the spot. You can’t pay their salary like you do normal employees. Well, this is what commonly the case is, but if you make the arrangement for the same, who knows things might work out. Moreover, freelancer being a freelancer can leave the project whenever they want. Because no regulation or contract is binding them. This might leave your project unfinished, which can be a lethal blow to your project and investment. So, this freelancing option is only recommended if you can devote time to interviewing several different freelancers and investment money project that works like this. If that is something you are comfortable with and aligns with your project needs, this can be a good option.

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3. Outsourcing

Now, this is one of the most anticipated options as it is one of the most popular methods for getting website development services. There is a whole industry in IT that thrives on outsourced work. And here we are not working with individual people like in freelancing. Rather you are hiring a whole team from a SaaS Development Company. This is a good option for small as well as larger companies. Even market leaders are often taking advantage of this service. The reason is that this isn’t only economical in the long run, as well a quite viable option for e-commerce development. Outsourcing Since the outsourcing companies have quite experienced what they do and have all the required hardware and software. In addition to this, you won’t need to interview each developer. This saves a lot of effort and time on your side. And as we all know, in the world of business, time means money. But you will need to sign a few documents and make some agreements. Not to forget the NDAs or the non-disclosure agreements so that you don’t have issues on the legal side. Nevertheless, it is also recommended that you check reviews, previous work, portfolio, and other things along those lines. Even here, multiple factors can affect the cost of their services. Speaking of the factors that affect the cost, we shall be discussing the very same thing in the next section of the blog. web-cta-second

Factors That Affect The Cost of An E-Commerce Website

Factors That Affect The Cost of An E-Commerce Website Various factors can affect the cost of Laravel website development services or any other kind of e-commerce website development services. Now, regardless of which kind of service you choose, these factors still matter. This is the reason why we shall be discussing the same in detail in this section of the blog.

1. Location

Some of you might be thinking about how the location can affect the price of the service, however, it can. You see, it is quite common for someone in the United States of America to charge quite high for said services. And when you compare the price of the same service in an Asian country like India, it would be considerably less. This is also the reason why market-leading companies usually outsource their work much like one to e-commerce development companies in Asia. However, the quality of the service might or might not be affected by the transaction. This is the reason why you should also consider this feature while hiring someone to work on your e-commerce website development.

2. Features

The features you will include in your e-commerce will affect the price of the development. The more complex feature you include in this project, the cost of the work will be considered hiring. And this is quite an important factor as that website is going to have many features. If you go into the domain of customized features, the price will go even higher. For instance, payment gateway integration is quite common these days. But if you like to tweak it or customize it in some way, it might cost you double the average cost. This remains the same in a different mode of services i.e. outsourcing and freelancing. This is probably the factor that affects the cost of development the most. This is the reason why you should keep a track of things that you are going to include in your e-commerce website and you should avoid the inclusion of any features that don’t add to the value and main purpose of the website.

3. Design and UI/UX

This is one of the most discussed aspects of PWA web development when you are in a talk with developers. These are the things that drive that e-commerce. This is the reason why the design of the website is so expensive. UI vs UX The better design you move towards, the more expensive it is. And this isn’t just about matching some good-looking colors. For you have to make it interactive and functional. Nevertheless, you get the gist of it.

4. Payment Gateways

In the case of e-commerce, payment is one of the important aspects. Because a user cannot buy something that they cannot pay for. Nevertheless, adding a payment gateway to an e-commerce website isn’t all that simple. Payment Gateways There are a lot of things that can go wrong, that you do not want to go wrong. If your website is a victim of a cyber attack, your customers will lose faith in your website. And this is something no business wants. This is why setting up a payment gateway takes so much time, and can add to the cost to make an e-commerce website. The cost can go higher if you are providing different methods of payment.

5. Chatbots

Chatbots are one of the technological trends that have become a big part of website development in recent years and there is a good reason behind this. These things can provide users 24/7with  customer service without actually hiring a person to do that. As such, several benefits come with it too. That is apart from cost reduction and automation.

6. Complexity

We have talked about it several times, and we have to talk about it again. You see, the complexity of a website does matter on so many different levels. It affects the cost of the website, it can affect the function of the website, and it affects the development time. This is one of the reasons why full stack web development companies care so much about the complexity of the e-commerce website. In simpler words, the more complex a website is, the more costly it is going to be for you. And you cannot blame the developer for this, because the reason behind it is simple. The more things there are to work on, the more time is required to work on them. Speaking of e-commerce, these kinds of websites are usually more complex than other types of websites. This is due to the things that get behind making it work. CTA Strip

Different Stage of E-Commerce and Their Cost

The E-commerce website development process is quite a complex one. As such, it can be divided into several different stages of the same. Within these different stages, there are several different steps. All in all, it is quite a long and expensive process. But the point that concerns us is that all of these cost you money, more or less. These are, namely:
  1. Initial Stage
  2. Active Development Stage
  3. Marketing
  4. Maintenance
Stage of E-Commerce Therefore, we shall be discussing all of these reasons and the different steps between them. With this being said, let's start:

1. The Initial Stage

The initial stage is when the website development hasn’t started yet. This stage mainly included preparations for the later development stage. Nevertheless, the different things that are included in this stage are, as mentioned below: #1. Domain Name Well, buying a domain name is as important as naming a newborn child. Because you want your e-commerce to be recognized and to be reachable. In other words, you can say that a domain name is like the address of your house. It is only through a domain name that people can find your e-commerce store. There are several domain name providers on the internet. This includes Bluehost, google domain, GoDaddy, etc. As far as cost is concerned, the price of the domain starts from $8. #2. Hosting Now that you have a domain name for your e-commerce store, the next thing you need is hosting. It is often said that hosting keeps your website alive. This is the place where all your data and website itself are stored and if the hosting is working, the website cannot be accessed. So, it is quite simple that hosting affects the website in many ways. When choosing a hosting you need to make sure it is compatible with the complexity of your website and can handle the load you are expecting. Unlike domain that is quite cheap, hosting can put you back from anywhere between several hundred to a few thousand dollars annually.

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2. Active Development Stage

This is the second stage of development, as it takes you much closer to answer the question “what is the cost to make an e-commerce website?”. Much like the first stage, this one includes multiple different steps like website design, development and testing cost, and how functionality. Therefore, let’s start with Designing services: #1. E-commerce Website Design Services To make an e-commerce store that keeps customers engaged, you need to make sure it looks as beautiful as it is functional. This is the reason why website designing servicing is so crucial part of the development process. The whole process of designing a process consists of extensive research wireframes creations, UI/UX designs, and so on. Now, the design can be really simple or it can be complex, and it can also be something between them. The complex ones with a lot of animations beautifully done designs take a lot of effort and also cost a lot of money. Speaking of money, e-commerce design can cost you anywhere between $2,000–$8,000. #2. Building Website Now that we have everything ready, we are going to discuss full stack web development companies like to call “creating a website”. Jokes apart, it can be divided into three different parts. These are namely: Front End, Back end, and testing. So, let’s see what are these three steps will cost you.
  • Front-end -$3,000–$10,000 or more.
  • Back-end -$5,000–$20,000.
  • Testing specifics -$2,000–$5,000
The cost of the same might go even higher when we include CMS web development. web solution cta

3. Marketing

After the active development, it is time for marketing your website. And needless to say, marketing costs a lot of money. Let’s see how exactly these are: #1. SEO After web portal development, it’s time to promote the website and there is no better way to do it than SEO. The process of promotion and optimization is aimed at improving the ranking of the website, and getting it up to the top. Strengthening the position of the e-commerce website on the search result is going to drive traffic and in turn revenue. So, as far as the price of Search engine optimization would be $300–$1500 per month. #2. Advertising Now, if you can’t wait for the results of SEO, you can opt out for advertising. But unlike SEO, you have to pay for marketing. Know there different kinds of paid marketing. For instance, you can pay for showing advertisements on Google. You can advertise your e-commerce store on Facebook and Instagram. Meaning you have to pay for everything starting from python web development services to marketing. Nevertheless, we cannot put a price badge on advertising as it depends on the marketing campaign itself.

4. Maintenance Stage

This is the last stage of the whole process. And most of the CodeIgniter web development services, don’t provide these services as at this point development work is finished. But why do you need maintenance? Because even after the work of development for e-commerce development is done, it needs changes and problems need fixing. This takes much of the time and costs you somewhere around $600–$12,000 annually.

Conclusion

The cost to make an e-commerce website can greatly vary depending on the many different things which we discussed in this blog. Whether you choose the freelancer, in-house team, or outsourcing to an e-commerce website development company, these are the factors that will affect the cost. After that, there are different stages of development. This starts from buying a domain and hosting to developing the website and then marketing for it. All of this costs a lot of money for the client. And since your money is important it is recommended you consult a professional e-commerce development company.

Tarun Nagar

Tarun Nagar is the Founder & CEO of Dev Technosys, a global ranking Web and Mobile App Development Company USA. With 10+ years of experience, he assists all-scale businesses, from startups and SMEs to global brands with out-of-the-box IT solutions. He is known for his visionary qualities & adaptability to the latest technology and trends. Being passionate in every aspect, he is dedicated to offering smart mobile & web development solutions accessible and approachable for all business enterprises.

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