“E-commerce” spans a broad array of industries such as food, apparel, reservations, and more. The COVID-19 pandemic propelled online sales by a remarkable 25% by the end of 2020, with expectations to double if 2021 continued under similar circumstances. This surge encouraged businesses of all sizes to become digital investors and seek IT companies for e-commerce platform development.
Have you thought about enhancing your business with an online platform but hesitated due to cost concerns? While we’re not providing an invoice, this article is here to address your questions:
- What is the potential cost of developing an e-commerce platform?
- Which factors influence the overall expense?
What does it cost to create an e-commerce platform?
How is the cost calculated?
Whether you’re planning to build an e-commerce mobile application or website, the cost estimation for any project is performed by technical leads, business analysts, and other specialists, and depends on several variables:
- Project specifications
- Chosen technologies
- Targeted user experience
- Planned functionalities
- Number of hours and team members involved
The final price depends on how detailed your requirements are and the amount of effort needed to fulfill every aspect you request.
Cost range
A basic estimate for an eCommerce website in 2020 could range from $5,000 to $200,000, depending on your business scale and needs.
It’s reasonable that a large brand’s website costs three or four times more than a small shop! Naturally, the variety of features, stages, scope, and development approach all impact the cost of building an eCommerce platform. There are various development methods, from affordable open-source and SaaS eCommerce platforms to robust, flexible, and custom eCommerce solutions.
Key factors that influence the cost
Let’s examine the different components of an eCommerce website and how they affect the total cost:
Platform selection
Do you need a website, an app, or both?
The cost is largely determined by the type of platform you wish to build. There’s a significant difference between creating a parent platform like “Myntra” that hosts other vendors and takes a commission, an online store that only sells your own products, or a hybrid platform like “Amazon”.
For apps, choosing a native platform is generally less expensive than developing a cross-platform application.
UI/UX Design
Depending on your business type and clientele, a cosmetic e-commerce website will require a more refined design than a basic online hardware store. Your e-commerce platform should make a strong first impression, as this is crucial for sales. Design is a major factor in making your platform stand out, and its cost depends on how engaging you want the user experience to be.
Timeline and team size
The cost changes if you’re on a tight schedule! The efficiency of the work depends on the number of people involved in the development process. The faster you want the platform delivered, the larger the team required.
Essential features
Essential features are those you must invest in. They form the basic, fixed cost of your e-commerce platform.
Here are some core features and their associated costs to consider:
- Registration & login: E-commerce platforms should be adaptable, allowing users to quickly search for their preferences.
- Payment and order processing: The ordering process should be straightforward, fast, secure, and efficient. Delivery addresses and payment details are saved for quick checkouts.
- Platform Management: Provides full control to manage products by categories and subcategories, add images, videos, QR codes, and product details, etc.
- Shopping cart: Allows customers to review their items and make a final purchase decision.
- Customer Support: Customers can use the platform to get assistance with any queries, such as delivery delays, missing items, or refund issues.
- Review system: Enables customers to provide feedback on specific items, their orders, or their overall experience. This is vital for building reputation.
Advanced features
These features may increase your budget, but they also drive profitability. They play a significant role in shaping the user experience, leading to customer satisfaction and loyalty. By 2021, many of these features are expected to become standard!
You can adjust your requirements for advanced features based on your budget and needs. Ultimately, who wants to settle for an online store that isn’t appealing?
At Codelink Infotech, we take pride in our ability to develop the most advanced and trending features.
- Smart assistance: AI/ML-powered platforms speed up processes by suggesting options based on users’ previous orders. They analyze customer preferences and notify them about promotions.
- Order tracking: Tracking orders builds trust, as users can see delivery times and know when to expect their items.
- Community Chat options: Chat windows for customer interaction or even integrated social platforms where users can share experiences and advice.
- Content Management: An easy solution for managing content and documents.
- Push Notifications: Receive real-time, personalized, and bulk notifications to foster customer relationships.
- Personalized Dashboard: Users can set up and manage a personalized dashboard according to their preferences.
- Shipping: Allows users to choose shipping methods and timing based on their availability.
- Statistics: A well-structured system that provides insights into revenue generation for each vendor or product type.
- Multiple languages, wish lists, etc.: Customizing advanced features will naturally require a larger budget, starting from $10,000. But it’s a worthwhile investment—the more attractive your website, the easier it is to attract customers.
Conclusion
To build a thriving eCommerce business, a great website or mobile app is only half the battle. Customer satisfaction and loyalty depend on how well you deliver your services—timely delivery, product quality, and prompt refunds for any errors.
Fulfillment services are the backbone of your eCommerce business!
With our extensive experience, we have identified real market needs and designed numerous successful e-commerce platforms and various on-demand models, equipped with the latest features and optimal UI/UX to ensure your clients keep coming back. We tailor and develop each solution uniquely, based on thoroughly analyzed customer requirements.
