The ECommerce Road Map: How to Choose the Right ECommerce Platform Plus Our Review of 4 Popular Platforms

The ECommerce industry is booming. Get your business in the game by learning how to choose the right ecommerce platform to serve you. 

 

Introduction

This year, revenue from the ecommerce industry was predicted to reach $4.11 trillion, as COVID caused a drastic shift in consumer habits towards online shopping and retail that seem to be here to stay. With this incredible potential for creating and increasing profits in the current market, keeping your business relevant and competitive means delivering a quality customer experience.   

In keeping up with these changes, improving technology and how we offer our services and products in this new business arena is increasingly essential. In many cases, that means looking towards using an ecommerce platform to market, present, and sell to the vast audience available to businesses online. In this article, we’ll discuss everything you need to know about ecommerce platforms and how to choose the right ecommerce platform that will serve your business in years to come.   

 

 What is an ecommerce platform? 

 The development of ecommerce has been primarily due to the parallel development of better security.   

Aside from the history of ecommerce, the quick and easy answer is that an ecommerce platform is software that allows a business to sell its goods or services while customers can buy them through the Internet. Ecommerce platforms were created to be an all-in-one solution for businesses to manage their website, sales, and marketing.   

While it may have seemed that online stores are for larger companies, ecommerce platforms for small businesses have become a popular way to build a customer base. Because of the sheer number of potential customers a business can be exposed to, eCommerce presents smaller companies with enormous opportunities for growth and expansion.  

 

How to Choose the Right Ecommerce Platform for Your Business  

Often, people just starting their journey to bring their business online will reach out to a website designer with little idea of what content they want hosted on the site. Whether you’re considering opening an online business or simply expanding your current one, choosing between the mountain of eCommerce platforms for small businesses can be daunting. There are many options to choose from, so knowing your business and what you need is the first step.   

You can narrow down how to choose the right ecommerce platform by answering some critical questions for yourself, such as,   

• What is essential for you in an ecommerce platform (ease of use, API integration, scalability, etc.)? 

• How much are you willing/able to spend? (This is a fundamental question closely related to where you see your business going in a few years. If you have the budget and the goal of growing your business, it may be worth it to future-proof your business to avoid having to migrate later on. If you are more interested in easing into e-commerce or don’t see it playing a big role in your business, you may be able to get away with spending less.)  

• Are you selling goods or services? If you’re selling goods, are they physical or digital?   

• How tech savvy are you, or how much time do you want to spend maintaining your platform?   

• How much customization are you looking for?  

• What integrations will you need? Can you do these integrations in-house, or would you be better off working with a developer?  

• These are just examples of questions you may want to know the answer to before choosing your platform. Our reviews below will give you a better idea of what to expect from the top four e-commerce platforms for small businesses.  

 

What Platform(s) Do I Use for Kicking Off My Ecommerce Business?  

I greatly advocate getting your site up immediately if you are a business selling to (B2C) consumers or a business selling (B2B) to another business.   That means first getting your site up on a CMS platform like Squarespace.    

As discussed in the article above, hosting your site on WordPress may be cheaper, but development will be more expensive. Most people go to development requesting that they build a site without having any clue or content. Squarespace allows you to play with design and content on your own time rather than wasting a developer’s time. Bonus: Squarespace has ecommerce built in.  

 

Squarespace for Ecommerce  

Right off the bat, it’s worth mentioning that Squarespace is a top choice if you’re selling services or digital products—if your business is focused on selling physical products, you’re better off with Shopify. You can also consider Shopify and Squarespace like Apple vs. PC; just like Apple is known for being user-friendly, Shopify is similar to Apple in its accessibility. On the other hand, Squarespace is comparable to PCs in that it is more customizable.  

Pricing begins at $23/month, but you should note that there’s also a 3% transaction fee on all purchases, which can add up over time. Knowing how to choose the right ecommerce platform will require a little math to determine whether it’s worth upgrading to the $27/month plan that removes those fees.    

As far as apps go, it’s essential to consider which third-party apps you’ll want to use with your site. With Squarespace, you’ll benefit from native integrations with Google Shopping, Instagram, Facebook, and Youtube. However, if you want to integrate with eBay or Amazon, you’ll have to use a third-party extension.   

As we said before, Squarespace is better for selling services because of its online appointment booking capabilities. The platform enables customers to view your calendar, book appointments with you, and receive email reminders from your site. You’ll also be able to sync your various calendars and receive notifications. If relevant, intake forms can be given to customers to fill out before their appointment with you as well.   

Squarespace ecommerce limitations  

Slow down, cowboy. While Squarespace gets you going, many businesses will start to feel boxed in by its limitations. Once you figure out how to choose the right ecommerce platform, you’ll realize that half the battle is knowing where you want your business to be a few years from now.  

As far as shipping, Squarespace allows customers to choose local pickup and offers various shipping rates. Still, businesses will have to use a third-party app for returns or using shipping labels from any other carrier than the U.S. Postal Service.  

Similarly, Squarespace’s inventory management features can be somewhat basic, but they may be enough depending on what capabilities you’re after. The platform will send you low-stock notifications and allow you to add unlimited SKUs (stock-keeping units) in unlimited colors and sizes. However, it does not offer real-time inventory management like Shopify, WooCommerce, or BigCommerce.  

Many have remarked that Squarespace may not be good for product selling products but is suitable for selling services.  Yes, it integrates with Stripe so that you can have a store for products or subscriptions, but the real limitation is its inability to manage subscriptions, as it doesn’t allow you to make adjustments to them.   

 

Why are subscriptions so important?  

Many businesses cannot survive without a subscription model for products or services. This is better known as Monthly Recurring Revenue (MRR). It is the key ingredient to driving revenue and thus a business’s success, yet subscriptions alone are a challenge for any ecommerce site.  

 

Our Recommendations for B2B Businesses  

For a quick look at some of the top competitors for ecommerce platforms, check out our reviews below. For more details, keep reading.  

Shopify is by far the most popular unless you can find a developer to do a complete custom build. The percent Shopify takes would likely just be replaced by developer fees. If you started on something like WooCommerce, you’ll be able to do a lot of the customization yourself as long as you have the skills and are willing to put in the time. If you need help, you can hire a professional developer to get you up and running without the headache.  

One thing to note is that while Shopify may be a top competitor in many areas of ecommerce, the percentage that Shopify takes from earned revenue can take a significant hit once a business starts seeing a high sales volume. Because of this, it’s important to consider scalability; if you think about your goals with ecommerce, will it be worth it to trade the convenience of going with Shopify today with the lost revenue from paying fees in the future?    

For those that are wanting a platform that is both scalable and customizable, we recommend WooCommerce or Magneto. Both platforms have great potential, especially when working with a skilled developer, to serve your business’s specific or complex needs. The better tailored to your business your site is, the better you’ll be able to address your customers’ needs. However, the price point of these two platforms differs tremendously, with Magneto being better suited for established businesses and WooCommerce being suitable for new and well-established businesses.  

A Quick Overview of the Top 4 Ecommerce Platforms List

Shopify:  

• What it’s good for: Shopify is best known for its drop shipping integrations and capabilities.   
• Starting price: $5/month, although there are plans at $29, $79, and $279 monthly.   
• Security: Shopify is compliant with most data privacy regulations and is considered very secure.  
• Support: 24/7 support  
• Real-time inventory management: Yes  
• Who it’s good for: Shopify is your best bet if you’re selling physical goods. It is a user-friendly dropshipping platform that is great for people who want to sell on multiple platforms. Hosting and security are included in the price tag. Finally, if you don’t consider yourself tech-savvy and really just want a platform that you won’t have to think about or customize that much, this is a good option for you.  
• Other considerations: While Shopify doesn’t offer a free plan, it does offer a free 14-day trial. If you’re attached to having your own domain name, you’ll need to purchase it. However, if you’re looking for functionality, consider another option such as WooCommerce (depending on your needs, it may also be better/cheaper for some basic services).  
• Another thing to consider is that while using Shopify, you’re restricted to using Shopify Payments. You’ll be charged a fee if you want to receive payments via a third-party payment service so transactions can add up.  
• Lastly, Shopify shines with smaller businesses but needs more scalability, where the fees start to add up as a business grows. We recommend thinking three years ahead regarding where you want your business to be in order to make an appropriate decision—if you are okay with the possibility of starting with Shopify, knowing that you may grow out of it and have to migrate, it may be the best option for your business at this point.  

 

WooCommerce  

• What it’s good for: WooCommerce is a free, open-source plugin that allows users to turn their WordPress site into an online storefront. With its extensions, you can sell subscriptions, take recurring payments, and make/create online bookings. If you’re looking for an option that allows you to customize, WooCommerce might be for you.  

• If you’re looking for a permanent website, we recommend working with a developer to help you build the best long-term solution for your business.  

• Starting price: WooCommerce is free to use, but the extensions cost between $0 and $249. The cost of the plugins is usually a one-time charge.  

• Who it’s good for: If you’re good with tech and value versatility and customization, WooCommerce is a great pick.  

• Security: Because it is self-hosted, you are responsible for security and fixing any issues.  

• Support: There needs to be more support for WooCommerce, but plenty of online communities are willing to help if you have the time to search for the answers you need.  

• Real-time inventory management: Yes  

• Other considerations: Because WooCommerce is a WordPress plugin, you’ll need to invest the time to learn both if you’re not already familiar with them. Users have also said that it requires too much maintenance and tech knowledge.   

• Since WooCommerce is run from WordPress, it’s 100% open source, meaning you can develop and fully control anything you need. In general, it’s a great long-term solution that will allow you to be flexible with your website even as your business grows and changes.  

• Another consideration is that WooCommerce does not have transaction fees because you can choose the payment gateway you want. If you’re comparing WooCommerce to Shopify, this extra charge can sneak up on you if you need to be more careful.  
• Protip: You can save a lot on WooCommerce server costs by getting shared WordPress hosting!  

 

Wix  

• What it’s good for: If you want an all-in-one website builder, this is a great option. It’s intuitive, highly customizable, and offers a ton of free templates.  

• Starting price: $27/month, billed annually  

• Security: Wix has a strong emphasis on security and is also compliant with international privacy and security regulations.  

• Support: While Wix customer support has been considered excellent, users have reported longer wait times recently.  

• Real-time inventory management: No  

• Who it’s good for: Wix is great for solo entrepreneurs or beginners. They especially shine in selling services, so if you are looking to sell products, we recommend checking out Shopify or WooCommerce.   
• Other considerations: If you have a lot of content (E.g., product photos) that needs to be on your site, it’s important to note that Wix only gives you 50GB of storage—for unlimited storage, you’ll need to pay $59/month.   

 

Squarespace  

• What it’s good for: Squarespace is another all-in-one website builder that offers aesthetically beautiful designs. It’s also intuitive, which makes it great for beginners who want to provide a professional-looking experience to their customers. For anyone looking for subscription product functions, Squarespace is a great choice.  

• Starting price: $23/month, billed annually (the cheaper plan does not provide e-commerce features). You can also get a POS with their $27/month plan.  

• Security: Domains are protected with free SSL certificates  

• Support: Squarespace notably does not offer phone support, but does have online support 24/7.  

• Real-time inventory management: No  

• Who it’s good for: Beginners or anyone whose business focuses on selling services, not products.  

• Other considerations: See above  

 

Bonus resources  

Now that you know how to choose the right ecommerce platform, check out these other ways to make your business software platforms work for you.  

• Why You Need API Integration for Your Business – Discover what businesses are doing to cut revenue losses and streamline workplace efficiency with API integration setup.  
• Zoho Books API Integration: Our Review, Plus How We Improved Our Invoices in 6 Steps – Everything you need to know about Zoho Books API integration and how NetworkAntics used it to solve a common bookkeeping problem.  
• Integrate and Connect Applications with a Software Developer – Learn more about why the best businesses are integrating their applications with a professional software developer.  
• The Best Invoicing Platform & Sales Proposal Software –  This article reviews some of the options for choosing the best invoicing & proposal platform out there.
• Choosing the Best CRM Software for a Small Startup – Looking for the best CRM software for a small startup? Discover why CRMs are so important for businesses and our review of some of the popular CRMs out there.
• Learn how to save time and energy by automating your quotesAutomate That Quote – Learn how to save time and energy by automating your quotes  

The Ecommerce Road Map: How to Choose the Right Ecommerce Platform Plus Our Review of 4 Popular Platforms Summary  

There are many platforms to choose from, but each competitor has its strengths and weaknesses. If you know what your business needs and what your future goals are, reading the reviews above should have given you a clearer picture of how to make the best choice for you. Those who decide to take their ecommerce game to the next level will hugely benefit from collaborating with a developer who can bring their vision to life. If this sounds like you, contact us to see how we can help.