E-commerce store: in-house or outsourced?

The eCommerce horizon is expanding at a rapid pace than ever before. Since the progression in connectivity and network has increased, consumers are spending more time online. This trend has allowed businesses to explore the eCommerce market to capitalize on emerging consumer needs online. Moreover, Covid-19 has also played a key role in boosting the eCommerce industry since everything went on digital platforms. The share of eCommerce in retail sales worldwide was 7.40% in 2015 and is expected to grow by 22% in the year 2023.

Therefore, it gives an opportunity to not only enterprise but also small and medium businesses to explore the eCommerce platform and go online to stay competitive and relevant with the times. Different companies have different opinions on developing an eCommerce website themselves or to partner with a third-party for eCommerce website designing. Some of you might want to have full control over the website development so you can deal with any crisis instantly- making in-house development the best approach for you. While some of you might lack the web development expertise in-house- making outsourced development support an ideal solution for you. Each solution has its benefits and drawbacks.

If you are a startup, the question arises whether to build your e-commerce platform in-house or outsource to a third party? This article will give you insight into which approach suits best for your business. Let’s get started!

E-commerce store – the in-house development

E-commerce store – the in-house developmentIf you choose to develop an eCommerce platform internally, it means you require a team that is specialized in building a pure selling website. The eCommerce site for your company has to be fully monitored and managed by your team. Your internal team will be responsible for creating customized sites depending on your needs and customer expectations.

Let’s explore some of the benefits you can get by developing an eCommerce website in-house.

  • Control over operations

One of the key advantages of in-house development is that you get full control over all your operations. An internal team of skilled eCommerce developers can save you from losing control over your operations if you choose to outsource eCommerce website development to a third party.

  • A greater degree of customization

With an in-house eCommerce team, you can customize your site based on your company’s needs and even your personal choices that align with your company goals.

  • Upfront handling of technical issues

Since the internal eCommerce developers are aware of your business operations and all the technical capabilities of your company so they can create an eCommerce site leveraging every possible business capabilities better than any outsourced partner. It allows you to handle any technical issues upfront without waiting for a third party to take notice and solve the issues.

  • Cost-effective

If you are a startup, collaborating with any eCommerce website development company can cost you a lot. For a startup, the profit generation process starts quite late after the break-even point. By having an eCommerce developer inside your company, you can achieve a basic eCommerce platform cost-effectively without being worried to spend on third-party eCommerce services

Every solution comes with some drawbacks that help you weigh the benefits and drawbacks to conclude your decision. Here are some of the drawbacks of having an internal team for your eCommerce store development:

  • Training expense

If you do not hire a separate eCommerce developer who can solely handle your eCommerce site then you will have to shift the workload to the other engineering talent. It can deviate them from their core activities. Moreover, you will have to spend a lot of time and resources to train the eCommerce team.

  • Lack of cybersecurity

With the ever-increasing adoption of mobility, technology also presents some data security threats. For a startup, it can be a little challenging for you to tackle any security issues for your eCommerce.

E-commerce store – the outsourced development

E-commerce store – the outsourced development

Letting an off-site team of experts handle your eCommerce development helps you monitor your eCommerce website regularly. When you decide to outsource eCommerce development to an industry expert, your team can actively focus on core business operations. While the third-party team will handle everything related to just the eCommerce platform.

Let’s dive into the advantages of bringing a third-party for eCommerce development in your company:

  • Ideal eCommerce solution

When you choose to hire an eCommerce development company. You are bringing a team of professional experts who are skilled in the eCommerce industry. The seasoned e-commerce platform developers know best practices to follow for taking your eCommerce business at an upper notch. Hence, every single function related to an eCommerce site will be their responsibility. Ensuring that you focus on your core business functions.

  • Tackle technical issues better

Putting the responsibility of building an e-commerce store to the outsourced partners can free you from extra work of monitoring and maintaining the e-commerce store in addition to other critical activities. You don’t have to worry about any website breakdown challenges as well.

  • Cybersecurity

The outsourced partners for e-commerce can provide you with extensive data security solutions. They have a team for threat and fraud detection that provides you a cover from any fraudulent activity and tracks malicious attacks. Hence, improving your cybersecurity.

  • Better promotional campaigns

The success of your eCommerce store depends on website development, designing, layout. One of the most critical elements for an eCommerce website is its promotional campaigns that help you rank better on search engines. All these elements together can be provided by the eCommerce website development companies. Because they have the right talent and skills that you may lack in-house.

Below are some disadvantages of appointing an outsourced company for developing and designing your eCommerce website:

  • Missed deadlines

The rapid growth in the eCommerce industry has increased the demand for eCommerce website developers. Due to the increased workload, the outsourced eCommerce-partners may lag behind your schedule because you will not-be their only client.

  • Difficult to find an authentic partner

Finding the right eCommerce development partner can be challenging since you have to look for authentic and trustworthy collaborators from many eCommerce development vendors.

Wrap Up

Based on your business needs, you can either develop an eCommerce store in-house with technical expertise or outsource an eCommerce web development company. However, if you are a startup, then getting an eCommerce store development agent on board can help you build the right store and help you adapt to the eCommerce environment better. Shopify is one of the leading eCommerce platforms that can help you achieve the online store of your choice. Let’s connect with Tkxel to accomplish your Shopify development goals for this year.

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    Jason Frost

    Manager, Customer Success


    571 549 8430