Starting an eCommerce business is exciting. You get to choose your business name, create your logo and branding, and build your website. And while it’s easy to consider your needs now, it’s also important to think about where your business is heading and what other tools you’ll need.
Today, it’s not enough to simply choose the best online store builder. Savvy entrepreneurs look for the best eCommerce platform: an ecosystem of tools that seamlessly integrate, giving you complete control over every aspect of your business and the ability to scale as you grow.
What is an eCommerce platform?
An eCommerce platform is a way to build and create an online experience that allows you to make sales and fulfill orders—no matter where your customers are or where they like to shop.
While most people think their eCommerce platform is just a tool that lets them list products and accept payments online, a true eCommerce platform is much more than that.
Your eCommerce platform should be a complete business command center from where you control everything from inventory to marketing. It should allow you to process payments, but should also give you seamless access to all of the tools you need to sell online, including (but not limited to!) your own online store.
What types of eCommerce platforms are there?
In order to make your online store accessible to the public, you have to have a hosting solution. Hosting stores your information on a server, which allows Internet users to visit your site and view all of the content.
Every website is hosted somewhere, meaning it has dedicated server space from a provider. Some eCommerce platforms have hosting built-in, while others require you use self-hosting or open-source hosting.
1. Hosted
Some website builders offer a hosted platform. In this case, you don’t need to worry about the mess of self or third-party hosting and the additional fees attached.
Shopify stores, for example, include website hosting in every plan. All Shopify updates are automatic and hassle-free, so your site will always be up to date. Building on a hosted eCommerce platform gives you more freedom to focus on running your business—not on putting out fires caused by downtime and the need to fix bugs.
2. Self-hosted
Self-hosted, or non-hosted, eCommerce platforms require merchants to use their own server space or pay to rent space from a hosting provider. This makes ongoing website management complex, as you’re responsible for updates, maintenance, and bug fixes. This requires a lot of internal resources that you could otherwise allocate elsewhere.
Self-hosted platforms are typically open-source, and you use a third party to host your website data. Third-party sourcing options charge fees for their services and these costs quickly add up. Many times, these hosting services use tiered pricing structures, so those on the lowest plans don’t get much in the way of customer support. This can leave you hanging at really important times, like traffic boosts after unexpected press coverage.