How Much Does it Cost to Build an e-commerce Website?

e-commerce website

If you are thinking about starting your own online business and wondering how much it would cost you then you have come to the right place. There are many technical aspects involved in the development of an e-commerce website that if you don’t have experience or knowledge of then you can’t do it alone. You can take the assistance of an e-commerce development company for that. And while you are at it, you can also inquire about the cost of developing a website to strengthen your online presence. 

Whether you are working with a development partner, you must be aware of all kinds of web development costs. Along with that, you must also prepare a clear plan of action. To build a website that functions as an e-commerce store, you will need to spend a certain amount of money on various tools and services. This article provides an estimate of what you might have to pay to get your online store up and running. 

Hosting costs

The first thing you need to do is get a hosting plan that will work with your e-commerce website. You can use the same hosting plan that you used for your website or you can choose a different one. The difference between the two is that the first one gives you more space, bandwidth, and other features. It’s important to choose the best option for your e-commerce business because it will determine how much money you spend on hosting each month. The second option is cheaper but it also limits the number of customers who can access your site at any given time.

You should also consider other factors like the type of website builder tool you want to use, how many pages your site needs, and how many users will be accessing the site regularly from their computers or mobile devices. These are all factors that should be taken into account when choosing an e-commerce host that meets all of your requirements.

Payment processing costs

When you’re planning your e-commerce website, the cost of payment processing is one of the most important factors to consider.

The cost of processing credit card payments depends on the card type and its country of issuance. A high-volume discount merchant such as Amazon will pay less than a smaller business using a card with a higher limit.

You’ll also need to factor in fees charged by your payment processor. These fees can include:

Card authorization fees

These are charged as a percentage of each transaction and vary widely depending on your processor and the amount being charged by your customers. For example, PayPal charges $0.25 per transaction after the first $1,000 per month (if you’re selling goods) or $0.35 per transaction (if you’re selling services).

Transaction processing fees

This is the fee charged by your processor for each transaction processed through their network. The average transaction fee for credit cards is around 2 percent, although some merchants pay more than others depending on their volume of sales transactions.

Customer service costs

These include any additional charges you might incur from issues arising from customer support queries or problems with online orders — such as recovering lost data or canceling an order if necessary. 

Design costs

Design is one of the most important factors that determine how much it costs to build an e-commerce website. The design of your website will have a significant impact on how quickly you can get your store up and running, and how well it performs after launch. It is also important to remember that this is one of the biggest expenses you will incur when building your online business.

The best way to determine how much it costs to design an e-commerce website is to hire a web designer who specializes in e-commerce websites. Web designers can provide you with detailed quotes based on their experience, and their knowledge of what it takes to build an e-commerce site from scratch.

Design costs can include things like the logo, colors, fonts, and layout. A good designer will provide you with templates that they can work from, or even custom designs that are unique to your site.

Add-ons and extensions cost

Add-ons are little extras that help you build your e-commerce store. You can use them to customize the look of your website, add new features or integrate with your favorite services.

Some add-ons are free and others require a fee but they’re usually worth it because they can help improve your store’s performance and increase sales. These include:

  • Free shipping label generation and printing
  • Product ID tracking
  • Order summary emails

Development costs

The e-commerce website development cost depends on the site’s size and its features’ complexity. If you don’t have the technical knowledge then you might have to hire a developer or a team of developers to do the job for you. 

It’s important to remember that development teams have time constraints and budgets. So if your project is too large or too expensive, it’s likely that your developer won’t have time to finish it.

The average cost is about $5,000 for a basic e-commerce site with about 10 products and three categories. A more complex site with many more products and categories can be several times higher than this, sometimes as high as $30,000 or more.

Ongoing e-commerce Costs to Consider

While running an online store, you will have both upfront and ongoing costs. While in upfront costs, you have to just pay once and get the product or services, in ongoing costs you will be paying a fixed sum of money on a monthly, annual, or transaction basis. 

But fret not, you will be able to know about these costs beforehand, they won’t be sudden or surprising to you as they would come after every constant period. Below, we will discuss some of the ongoing costs that you have to consider while running an e-commerce store. 

Data backups 

When you are running an online store, there is so much data for you to save, may it be information regarding the products, clients, or even your business operations. You can not afford to lose all this information because if you do, you will lose your money and customers too. Therefore, you have to take some data backup regularly. These costs depend on the size of your files. 

Inventory management

If you have an e-commerce store then of course you might also have an inventory for it. Even if you are managing it through a third party, there will be some costs associated with it. 


In addition to the SSL certificate to secure your website, you will also need some kind of security software or firewall in place to protect all the information that we talked about earlier in the data backups section. The security costs will usually be a subscription-based fee which will be charged on either a monthly or annual basis. 

Email marketing

If you want to maintain a regular stream of income and revenue, you must establish regular communication with your current and potential customers. For this, you need to have email marketing solutions which are available in the market in both free and paid versions. In paid solutions, the costs will vary depending on the size of your contact list.  

Product Marketing 

You need to promote your products to increase awareness among people about your brand and at the same time direct traffic to your website. For this, you have to invest in digital marketing which includes SEO, social media marketing, PPC marketing, and many more. You can pick your marketing channels as per your requirements. 

Final words 

To tell you the truth, e-commerce websites come in all sizes and shapes so it’s hard to determine the exact cost of developing one. The price differs from website to website depending upon what kind of features and functionalities you need to add to your store. The best course you can take is to prepare a list of your business requirements and take it to expert e-commerce developers and they can surely figure out an estimate for the development of your online store. I hope this blog has been helpful to you, thanks for reading! 


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