Want To Open An Online Shop? Here’s What It Might Cost You

Working at your own ecommerce store can be both a great side hustle and a flexible full time job. You can sell your own products, routinely add new entries to your catalogue, and cultivate a loyal following of repeat customers via both your checkout and your social media. 

All in all, it can be an enjoyable way to make money – especially for creative folks.

But the cost of ecommerce runs quite high. You have to be sure of the average price tag you’re going to run into before you’ve even sold your first item. And on top of that, the back and forth of running an online shop might just keep you on the clock 24/7…

But if you’re sure that ecommerce is the goal for you, here’s the expenses to know about in advance. 

open an online shop

Pexels Image – CC0 Licence

Getting Online in the First Place

It’s not just about buying a domain name, or paying for someone to design your website. You need to pay for your website’s hosting, as well as renewal fees on both your name and host year after year. 

And then we come down to the nitty gritty of paying for logo design, professional written content, and someone like a social media manager. 

These costs all add up very quickly, and they can wipe out an initial starting budget in a matter of weeks. Most businesses can pay upwards of $2000 to see everything put together properly. 

Attracting Customers

The cost of attracting customers is going to run high time and time again. No matter the cost per click of a PPC ad on Google or Instagram, or the time sunk into creating marketing materials you can post or email, the return will be variable

There’s not much to do about that, but you can focus your efforts on the channels that gain you the highest return. 

Cut ties with any platform that doesn’t really bring in any interested clicks (or more bounces than are worth it), and then focus your budget on the platforms that do generate the kind of customer acquisition numbers you really need. 

Remember, Profit Comes Last

Not in your priorities – for most business owners, it’s at the top of the list. But it does come last in terms of what you need to account for. You have the net profit in the first place, which is everything you make from your sales. 

But on top of that, you need to account for the expenses this profit needs to go towards, and there’s more than one type of expense to take into the equation. 

Use a margin calculator to make it easy to both work out what you need to pay for, and to come up with an accurate calculation you can use in your books. 

So, you want to open an online shop – do you know what it’s going to cost you? Understand the average, remember what you’re paying for long term, and have an accurate eye on your finances. 


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