Starting an eCommerce store can be a great opportunity to bring in a little (or a lot) of extra cash each month. But if you’re brand new to the online retail world, you’re probably wondering the online store cost.
Unfortunately, there’s a bit of a varied costs. You don’t simply pay x-dollars and voila you’ve got an online store up and running so you can make cash. Instead, it’s a little bit more intricate than that.
So, let’s talk about how much you can spend building and running an online store:
Set-Up Online Store Cost
The initial setup of your online store can costs you anywhere from a few hundred dollars if you do everything yourself to thousands of dollars if you’re going to outsource the product.
For context, I design websites and it can take a month or more to get it perfect, especially for online retail… and I’m someone who knows what they’re doing. But it only costs me a hundred dollars or so because I’m the labour. However, I typically charge a base price of $1,250 to set up an online store, more depending on what it looks like.
Product Costs
Your products will be a big chunk of your online store costs. If you’re doing something like dropshipping you don’t have to pay upfront which can be a great option. But if you’re going to make or house them yourself, then you’re looking at much larger costs. Plus you need to think of the storage logistics.
Shipping Costs
Shipping costs don’t typically apply to stores that only sell virtual products, but if you’re retailing physical products this is going to be a huge online store cost. Shipping costs vary depending on what you’re shipping and where you’re shipping it to. So, you’ll want to do a ton of research beforehand.
Marketing Costs
Just because you have a store doesn’t mean anyone’s going to purchase from it. One of the big online store costs that people don’t factor in is marketing. You need to conduct legitimate marketing campaigns to get clients and customers to your store.
Marketing costs vary a lot. If you’re going to do them all yourself, you can start with a smaller budget and work your way up. But do know you’ll be sacrificing a lot of time. Likewise, you can do less work by outsourcing, but the bill will be more expensive.
How Much Does It Cost to Start an Online Store?
At the end of the day, your online store costs will vary depending on what you’re trying to accomplish. You can start an online store for a few hundred dollars a month if you’re going to drop ship via Shopify.
But if you’re going to make and sell your own products, you’re looking at costs well into the thousands. So, make your choices according to your budget. Online shops can save a lot of money in the end but there’s a lot to think about.
What’s your experience when it comes to online store cost? Share your thoughts in the comments below!
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Tae started out as a journalist before following the money into the corporate world. But it turns out that the grass isn’t always greener and now you can find her spending most of her time writing about all the things she loves. Namely, money, travel and business with a hefty dose of self-deprecating humor. She is a podcast fanatic, blogging aficionado and loves to find new ways to turn passions into cold hard cash!
