Fred, who we recently met in our e-commerce Facebook group, operates a brick and mortar store. He is angling to start his own e-commerce site. “How much money did you spend on getting your store up and running and how long did it take to get a return on your investment?”, he asks.
Answer: It all depends on your market/target audience/turnover.
One participant responds, “I was on eBay for 8+ years before going to a website. I was sick of being a needle in a haystack and being eBay’s slave. You have to be constantly driving traffic to your website, but a website that will help compliment the retail world and the Internet world.”
“Regarding my own customized theme, I think I spent about $2K. The free ones now look good if you have good product photos, etc.,” she added.
More E-Commerce Suggestions
What is your retail business? Start by researching to see if similar businesses exist, what price points they sell at and if there is much interaction such as product reviews, forums/facebook chitchat about those items/services.
Professional web design fees can run about $10,000. The right agency will listen to your needs and help you choose the best technology for your company. ROI will depend on your industry, margins, and overall investment. E-commerce is a great business to be in and it will supplement, and probably overtake your in-store sales numbers.
The thing you need to know up front is that building the site is just the beginning. It takes either a lot of time or a cash investment to drive traffic and will for the foreseeable future. The days of “build it and they will come” are gone.
First of all, outline your goals
As a brick and mortar store, your local customers will be the first ones you tell about your site. Your site may both increase your total sales, and cannibalize a bit of your local in-store traffic. Consider offering free local delivery and you may find your local business greatly increases.
If you go online to expand your geography, what will your store bring to the web that isn’t already there? Is it a unique product, with distinctive packaging,
or some other “cool” factor?
Why Would Online Shoppers Prefer Your Site?
So, of course, you need a budget for marketing, advertising and search engine optimization. Ads bring immediate revenue. SEO takes time to simmer, but eventually brings you unpaid traffic (minus whatever you originally spent to earn it).
Then, know that if you’re only enhancing local service and you don’t wish to spend what it costs for development, you may want to do it alone, using a premade template (customized for your store) and the knowledge base for BigCommerce.
Consider our BigCommerce Startup Special for only $999. It includes everything you need to get up and running quickly, affordable and hassle-free.
As to how soon to expect a positive ROI? That is a question based on what you offer, what you can invest, and how hard you plan to work it. Just putting up a site, without a strategy and professional finish, will generate very little, and in some cases, nothing from people who don’t already know and trust your brand.
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