Should you build an e-commerce website on Shopify?January 20, 2020
There are several businesses and entrepreneurs that have launched Shopify sites and they have scaled their business to do tens, hundreds, or even millions of dollars worth of transactions every month.
Shopify is a good e-commerce solution if it is implemented well. However, it can also be a poor solution if it is implemented incorrectly.
There are a few things that you want to consider if you are deciding to launch an e-commerce website on Shopify.
Is Shopify a good website builder?
Shopify is a good e-commerce builder for the right business. For businesses that need to run a lean operation, Shopify is a good solution because it is packaged in a way where the transaction and merchandising can easily be managed through the CMS. Several functions can be automated, which reduces production costs and will increase the profitability of the e-commerce store.
For non web developers, Shopify makes it easy for their idea or concept to be created. It’s also great for start-ups or businesses that need to test a minimum viable product quickly (MVP).
Additionally, websites that are transitioning from another e-commerce solution will find a Shopify website easier to manage for scaling their e-commerce business.
Can you really make money with Shopify?
Shopify’s platform makes it easier to make money through e-commerce sales transactions. Simply investing in Shopify alone won’t allow you to earn an income.
If your web commerce business currently uses another CMS and processes transactions regularly, then switching to Shopify can improve the profitability by automating many of the e-commerce processes from the point of sale to merchandising and fulfillment.
Additionally, your e-commerce business must also operate in a niche where there’s demand for the products or services that your business offers.
Is selling on Shopify better than Amazon?
Shopify and Amazon are different, but both offer e-commerce opportunities. Amazon is a marketplace that already has shoppers engaging with the platform. The advantage with Amazon is that you can promote your products on the platform without having to spend more money driving people to the site to find your product.
Amazon will charge you additional fees for using their platform. So you need to be aware of any marketing costs (such as affiliate payouts), listing prices, royalty payout splits, and more.
Resource: How to sell on Amazon
There is an option to promote your product in their search and display results. This incurs a separate cost and will only guarantee the promotion of your product. As the vendor, your business will be responsible for running paid promotions that will generate sales and profit on the platform.
If you sell on Amazon, the transaction and customer details are registered through Amazon. If you process the transactions through your own Shopify store, you will retain the customer and you will also be able to remarket to that same customer in the future.
What are some things that you should be wary of with Shopify?
Paid app integration
This is something that Shopify doesn’t make clear prior to onboarding new clients on their platform. Shopify offers non-technical people the ability to use drag and drop functions, as well as apps to customize their e-commerce store.
The issue is that many of the paid applications work on a freemium subscription model. So Shopify users will discover that they need to add an app to their site so that a certain task can be performed. Common examples include:
- Chat box functionality
- Email integration apps
- Pop-up apps
- SEO apps
Limitations with customizations.
Unlike working with a CMS like WordPress, you won’t have complete access to all of the web development areas if you use the Shopify platform. This means you will face limitations such as:
- Not being able to customize the robots.txt
- Broken links pages can only serve a 404 and not a 410.
- You won’t be able to conduct any server log analysis.
- You will need to have a developer that knows how to work with their liquid files.
Before you jump into developing a Shopify website, you should plan for the functions that you want the site to perform and be aware of any customization limitations from inaccessibility.
Is Shopify a smart choice for e-commerce businesses?
Ryderwear, a fast-growing online fashion retailer have seen an increase in productivity and profits after switching from Magento to Shopify. CEO David Makaveli said the following.
18 months since migrating from Magento to Shopify . Best business decision ever!
Think of Shopify as a reliable life long partner always having your back through ups and downs, supporting/helping you grow and nurturing your business every step of the way.
Shopify a fundamentally reliable platform that scales as you scale.
Get in touch with one of the consultants at LLT Group to discuss how Shopify can work as a solution for your e-commerce business.