eCommerce Cost Breakdown: What Does an Online Store Really Cost?

Thinking about starting an online shop but worried about the price tag? You’re not alone. Many people assume you need a huge budget, yet the reality is more nuanced. Let’s strip away the hype and look at every line item that will show up on your eCommerce bill.

What Goes Into the Price?

First up is the platform. Do you go with a hosted solution like Shopify, a DIY WordPress + WooCommerce setup, or a custom‑coded site? Hosted platforms charge a monthly fee (usually £20‑£300) plus transaction fees, while a custom site might need a one‑off developer cost ranging from £1,000 to £10,000 depending on complexity.

Next, design matters. A pre‑made theme can cost as little as £0‑£100, but a bespoke design that matches your brand identity often starts at £500 and can climb into the thousands if you hire a design agency.

Don’t forget hosting. Shared hosting is cheap (under £10 per month) but may struggle with traffic spikes. For a growing store, VPS or cloud hosting (around £30‑£150 per month) offers better speed and reliability, which directly impacts conversion rates.

Payments and security are non‑negotiable. SSL certificates are now free with most hosts, but you’ll still pay gateway fees—typically 2‑3% per transaction plus a small fixed charge.

Marketing is where many budgets get blown. SEO, email campaigns, and paid ads can each require a few hundred to several thousand pounds each month. If you’re handling it yourself, factor in the time cost; if you hire an agency, expect a retainer of £500‑£2,000.

Tips to Save Money Without Skimping on Quality

Start small. Pick a scalable platform that lets you upgrade as sales grow. A basic Shopify plan or a cheap WordPress host can get you live fast, then you can add premium apps or custom features later.

Use free or low‑cost themes and plugins. Many reputable developers offer well‑coded free themes that look professional. Just avoid too many plugins—each adds load time and potential security risks.

DIY where you can. Setting up basic SEO, writing product descriptions, and handling social media don’t need a pro if you have the time. Plenty of free tutorials walk you through the steps.

Negotiate hosting and service contracts. Many providers will give you a discount for annual billing or if you promise a longer commitment.

Track every expense. Use a simple spreadsheet to log monthly costs, compare them against revenue, and cut anything that isn’t moving the needle.

Remember, the biggest cost isn’t always the money you spend; it’s the opportunity cost of delaying launch. A lean start lets you test the market, learn what works, and reinvest profits into the areas that truly boost sales.

Bottom line: an eCommerce store can start for under £500 if you choose the right tools and do some work yourself. As you scale, expect the budget to grow, but with clear tracking and smart choices, you’ll keep the spend aligned with revenue. Ready to turn that idea into a shop? Grab a budget sheet, pick a platform, and get building—your cost‑conscious eCommerce journey starts now.