What is the cost of creating an online store?

Written by Azza Hawash

the cost of creating an online store

What is the cost of creating an online store?

The cost of setting up an online store is a question that always comes to the mind of many entrepreneurs. It even becomes a reason to stop implementing the idea that they dreamed of achieving. This is due to the large discrepancy in cost, which makes it more confusing.

Calculation of incorporation costs

The items of incorporation costs refer to the costs that are paid to start establishing the online store, and they differ according to the method of creating the site and the features it provides, as well as other parties contracted with to provide services for creating the store, and their terms:

Hosting: where the online store files are stored, including the source code, product images, content, user data, and anything else on the store. Its cost can be monthly or yearly with the many options it comes with.

The domain name (domain): It is the domain or address of the online store whose cost is annual, and it can also be paid every two years.

SSL certificate: It is a certificate for encrypting data between your site and the user, so you need to purchase it with an annual payment, knowing that most domain reservation sites provide it for free.

Online store design: It includes all costs related to website design from purchasing templates and plugins and hiring programmers.

What are the operational costs?

The costs that are paid to operate the online store also vary according to what the site owner wants. For example, he may decide to manufacture products instead of purchasing them, or it is even possible to conclude some partnerships with other stores. In this case, the costs of purchasing and manufacturing products are zero.

Products costs

There must be costs for obtaining the products or services sold on the online store, which include the costs of purchasing raw materials, manufacturing, and the costs of providing services, or the costs of purchasing them.

Marketing costs

Among the cost items included in any feasibility study for an online store, are the costs of various marketing efforts such as content, paid ads, managing social media accounts, and improving the site’s ranking in search results and other marketing campaigns.

Maintenance costs

In some cases, there must be a person or team providing technical support for the online store who is ready to fix problems quickly.


Every online store owner bears the costs of delivering services or products, and in this case, he can deliver them himself or in partnership with some shipping companies.

Payment gateway costs

Payment gateways are the means through which buyers pay the online store, and their cost is either a monthly or annual subscription, and sometimes there is a commission for each purchase.

Storage costs

If you buy products and store them, there will be a cost of inventory in the form of frozen funds, in addition to the costs of maintaining the inventory itself.

Factors affecting the cost of creating an online store

The cost of any project varies according to the requirements of the project owner, due to the many options that can be compared between them, for example, a simple online store with a low cost or an online store with multiple products and features but at a high cost.

And if you decide to have a simple online store, you will sacrifice some features, but the cost will be low, and the opposite is the case when creating an online store that combines many features. The referee is your budget, and here are the factors affecting the cost of creating an online store:

First: How to build the online store

It is possible to create an online store as a special program or by adding WooCommerce to WordPress. There are also many other online store-building platforms, such as Salla, Magento, and Shopify. Each of these options has a different cost than the other. When considering the cost option in this item, attention should be paid to the services associated with setting up the store. Such as follow-up after completing its design, and the advantages offered by each company.

Advantages of creating online stores with advertising sponsorship

Second: the cost of obtaining the products

It is possible for the online store owner to make the products himself. In this case, he will need to purchase raw materials and then go through the cycle of manufacturing products until they are delivered to the consumer. To create a lot of costs, but it will give him more customization options. Also, there is another option, which is to buy ready-made products or share another store and market its products.

Third: marketing strategies

An important aspect that affects the costs of the online store is that there are low-cost marketing channels such as search engine marketing or creating an affiliate marketing program. And others need to pay costs that may be high, such as what we find in paid campaigns.

Fourth: Shipping options

Online store owners can choose between shipping the products themselves, and in this case, they will need additional costs for renting or purchasing a shipping method. Or sign up with a shipping company, which is always considered to have low costs because it takes advantage of the principle of large quantities.

Fifth: Subscribing to hosting and domain name

The other area in which the cost of creating an online store changes. There are some hosting companies that offer discounted prices with a free domain name in addition to a free SSL certificate. Other companies require you to purchase each one separately, also the prices between these companies vary in addition to the stability or change of the renewal amount.

Sixth: Content creation options

The online store is bound to share some content with users. In this case, there will be three options for the online store owner, namely:

Creating the content himself.

Hiring a freelancer to create the content.

Contracting with a company specialized in creating the content.

And each of these options directly affects the cost of creating an online store.

Seventh: payment gateway options

Payment gateways are different and their fees or costs vary from one gateway to another. We find that there are payment gateways that have monthly or annual subscription fees. Others take a commission from each purchase.

Eighth: competition

The more competitors there are to the online store, the higher the marketing costs will be. And we find that the online store spends constantly to maintain its competitive position. Not only that, but it will also improve product quality and user experience.


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