Many eCommerce platforms are mushrooming in the world business scenario. People have continued to shop from eCommerce platforms because of the ease with which they can access items and things they need. However, eCommerce pioneers continue to be leaders of the whole e-retail landscape. The clear leaders of the eCommerce business are Amazon and Shopify. Today, millions of merchants worldwide work with these two platforms mutually beneficial. In this blog, we will address the decade-long debate of Amazon Vs. Shopify. Read on to find out the answer.
Today, Amazon is Amazon.com, Inc, and it is the brainchild of American entrepreneur turned billionaire Jeff Bezos. Today, Amazon focuses on multiple technology fields like digital streaming, cloud computing, early artificial intelligence prototypes, etc. However, its beginning was from eCommerce. Amazon is the worldwide pioneer of e-retail and continues to make innovations in the field. The humble roots of Amazon lie in the old garage of Jeff Bezos in Washington. The platform was founded on 5 July 1994. At first, it was only a marketplace for books. However, slowly, it expanded to multiple product categories, and today, you can find nearly anything on the Amazon.com portal. Today, Amazon is known as the Everything Store.
The difference between Shopify and amazon also lies in the history of the two platforms. For example, Shopify was launched in the year 2006, which makes it much younger than Amazon. Its origin story is a bit complex when compared with Amazon. The platform was first floated in 2004 when friends started selling snowboarding equipment online. The platform at first was called Snowdevil. However, in 2006, the platform was modified, and a new universal platform for eCommerce was launched, which was called Shopify. Today, one of the founders is still the company's CEO.
The Pros And Cons Of Using Amazon Vs. Shopify For eCommerce Businesses
There are several advantages and drawbacks to working on both platforms. Amazon and Shopify are both great platforms to launch your eCommerce business. However, here are the pros and cons related to the platforms that will give you an idea of Shopify vs. amazon stores.
Here's a quick rundown of the pros and cons of each platform:
Amazon Is The Largest Ecommerce Platform In The World
This means that there are a vast number of opportunities for sellers. To be successful on Amazon, it is essential to stand out from the competition. You can do a few things to make your listings more visible and appealing to buyers.
People know and trust Amazon
They're more likely to buy products from the site because they trust the brand. Amazon has built a reputation as a reliable source of items people want and need.
Amazon Has A Huge Customer Base
There are millions of people already using Amazon, and many more are interested in trying it out. Amazon is a convenient, affordable way to shop for millions of items.
Amazon Has Low Fees
You only have to pay a small percentage of each sale to Amazon, which makes it an excellent option for businesses of all sizes.
Related: Amazon FBA Fees-a Complete Guide
Amazon Is Very Competitive
Because it's such a large platform, you'll compete against many other sellers. That means you need to have a competitive pricing strategy and be able to stand out from the crowd.
Amazon Can Be Difficult To Stand Out
The sheer number of products on Amazon can make it difficult for any one item to stand out. With so much competition, it's essential to have a well-thought-out marketing strategy. Otherwise, your product will get lost in the shuffle.
Amazon Is A Marketplace
This means you're not in control of your store or branding. This can be frustrating when you want to set prices or determine promotions. However, it also offers a lot of flexibility and potential for sales. So, if you're willing to work within the guidelines set by Amazon, it can be a great place to sell your products.
Now let's take a look at the pros and cons of Shopify:
Shopify Is Very User-Friendly
The platform is easy to use, even if you're not a tech expert. You can create a beautiful online store quickly and easily. Plus, there are plenty of helpful resources available if you need assistance.
Shopify Has Beautiful Themes
Shopify themes are both beautiful and professional-looking. There are many themes to choose from, so you can find the perfect one for your business. Whether you're looking for a simple and clean design or something more elaborate, Shopify has you covered.
You're In Control Of Your Store
Unlike Amazon, Shopify gives you complete control over your store. You can set prices, create marketing campaigns, and design your products. With Shopify, you're in charge of your business.
Related: How To Add Products On Shopify
Shopify fees can be high
You have to pay a 2% transaction fee on each sale you make through their platform. For many businesses, this can become costly. These fees can add up if you do a lot of business on Shopify. Additionally, Shopify charges a monthly fee to use its platform. Depending on your chosen plan, this fee can range from $29 to $299 per month. There is also a 2% transaction fee on each sale.
You Need To Drive Your Traffic
Amazon has a built-in customer base that Shopify doesn't have. You need to find ways to bring shoppers to your site. This can be done through search engine optimization, social media marketing, or paid advertising. Amazon also has a large number of products available for sale. This gives shoppers a wide selection, which can disadvantage Shopify stores. You must ensure your products are well-stocked and priced competitively to attract buyers.
Now that you know the pros and cons of each platform, you can decide which one is right for your business. If you're looking for an easy-to-use platform with beautiful themes and total control over your store, then Shopify is the right choice. However, if you're looking for a venue with millions of potential customers and low fees, then Amazon is the better choice.
Related: What Is Shopify Partners?
Summary Pros of Amazon Vs. Shopify
Shopify offers free trials on 14 daily bases, so you can decide if you wish to continue selling on it. However, Shopify has three pricing plans every month. On the other hand, Amazon has two basic plans, one for individual sellers and the other monthly plan for professional sellers. The difference between Shopify and Amazon is that Amazon offers a universal strategy that accommodates any professional seller.
Another pro of how Shopify is different from amazon is the platform's seller support. Shopify and Amazon both have support systems for sellers. Shopify has a forum where sellers can post their queries and get answers. The platform also offers many videos and tutorials that can help you troubleshoot. However, the Amazon platform is better because it has frequently asked questions and answers and a dedicated help center.
Summary Cons of Amazon vs. Shopify
The lack of customization is the con of using Amazon for your eCommerce platform. Selling on Shopify vs. amazon is better because Shopify has many themes according to which you can design your store and make it more appealing to users. On the other hand, the Amazon listing pages are all notably Amazon in design and branding.
How To Choose The Right Platform For Your Business
When thinking of dropshipping on amazon vs. Shopify, you have to see what budget allocation you wish to make for the business. It would be best if you also looked at Shopify and Amazon's features before you decide on the platform; always look at the features and plans you get with the package. The type of product you wish to offer to the audience and the audience you want to target also help you decide the store you wish to use.
1. The Kind of Product You are Selling: If you're selling physical products, then Amazon is a good choice. However, if you're selling digital products, then Shopify might be a better option.
2. Your Budget: If you have a limited budget, then Amazon might be the better choice because you don't have to pay monthly fees. However, if you're willing to invest in your business, then Shopify might be a better option because it gives you more control over your store and branding.
3. Your Tech Skills: If you're not tech-savvy, then Shopify is a good choice because it's very user-friendly. However, if you're comfortable with technology, Amazon might be a better choice because it has more features.
4. Your Marketing Skills: If you're good at marketing and driving traffic to your store, then Shopify is a good choice because you're in control of your store and branding. However, if you don't have much experience with marketing, then Amazon might be a better choice because it's a trusted brand with millions of potential customers.
Which Platform Is Right For You?
Now that you know the pros and cons of Amazon and Shopify and the things you need to consider when choosing a platform for your business, it's time to decide which one is right for you. If you're selling physical products and you have a limited budget, then Amazon might be the better choice. However, if you're selling digital products and are willing to invest in your business, then Shopify might be a better option.
If you're not tech-savvy, then Shopify is a good choice because it's very user-friendly. However, if you're comfortable with technology and good at marketing, then Amazon might be a better choice.
So, which platform is right for your business? It depends on your needs and what you're looking for in an eCommerce platform. Shopify is great if you want more flexibility and control over your website, while Amazon is perfect if you're looking for an easy-to-use platform with a large selection of products. Need help fulfilling orders from either Shopify or Amazon? Get in touch today, and we'll be happy to help!
Recommended: eBay Vs. Amazon - A Complete Comparison Guide