← e-Plus Blog Digital Commerce

Why can hiring a cheap e-commerce platform be expensive?

By Tiago Moraes 2 minutes reading
Why can hiring a cheap e-commerce platform be expensive?
Why Hiring a Cheap E-Commerce Platform Can Be Expensive

Following the expansion of e-commerce in Brazil, various national and international companies have emerged, providing e-commerce platforms for those who want to implement and manage an online store.

Many of these companies provide multitasking platforms, which offer dozens of built-in, mostly standardized solutions to all of their customers, allowing them to charge less for system rentals.

In the short term, the multitasking solution is very attractive as most entrepreneurs cannot resist its temptations and embark on the Marketing discourse of their operating companies.

However, it is in the medium and long term that this cheap starts to become expensive. See how:

– Profitability: renting the system is cheaper on multi-tasking platforms; however, the total cost (platform rental cost plus marketing cost) is generally higher, as they are not very good at promotion.

 

– Scalability: Standardized multitasking platform solutions will not function adequately when your online store needs to expand. To support growth, you will need a scalable e-commerce platform.

 

– Functionality: Because a multitasking platform offers standardized solutions, these may not be a good fit for your business niche . This asymmetry will cause you to lose sales and money. Therefore, prefer e-commerce platforms that have back-end and front-end programming that are free for customization.

– Speed: the faster your online store is, the higher the sales conversion rate. Since multitasking platforms have rigid code, it's not possible to make many improvements in this regard.

For these and other reasons, beware of multitasking e-commerce platforms, whose rents are cheap at first, but overall profitability proves to be more expensive than platforms with back-end and front-end free for customization, which they are more expensive at the beginning, but are more economical in the medium and long term.

Do you want to apply this?
In your operation?

Schedule a Strategic Diagnosis with ae-Plus and discover how to transform this analysis into real results for your business.

Schedule a Strategic Diagnosis
Follow the blog

More readings like this, delivered straight to your email.

Signs of Digital Commerce, Marketing and Technology — no spam, only when it makes sense.

Follow the blog

Receive upcoming readings.

Digital Commerce, Marketing, and Technology delivered straight to your email inbox — no fuss.

No spam. Cancel anytime.