When building an online store, there are many platform options available. WooCommerce, a WordPress plugin, is one of the most popular on the market. It’s powerful, free, and highly customizable.
Although WooCommerce itself is free, there are costs associated with running a website that users may not be fully aware of. If unprepared, these costs can come as a surprise.
The Costs of an Online Store
Expenses can generally be divided into three phases: setup, launch, and operation. Each stage can be reasonably affordable or very expensive, depending on your budget and goals. Let’s break them down.
1. Hosting and Domain
The first costs you’ll face when launching an online store are hosting and a domain name. While WooCommerce is free, it must be installed on a WordPress instance, which requires a hosting server and a registered domain name.
Hosting
A web host provides the server space where your site lives, making it accessible online. Hosting options range from budget-friendly providers to specialized companies offering dedicated services. As such, WordPress hosting costs can vary widely—from €3–5 per month to several thousand for premium plans. A basic WordPress hosting plan typically costs €8–30 per month, depending on your needs.
Domain
Once hosting is chosen, you’ll need a domain name—the address of your site. Learn more about how to pick one in this article. Domains are usually cheaper than hosting, costing around €20 per year depending on the extension (.com, .pt, etc.).
2. Setup: Configuration, Development, and Security
Configuration
Initial setup involves installing WordPress and required extensions. Development can be done on a staging site or directly on the live domain. If you choose the latter, keep the site in maintenance mode until finished to avoid users stumbling upon an incomplete store.
Development
The look and feel of your store must be professional if you want it to succeed. Beyond visuals, the site must be functional, ensuring a smooth shopping experience. Most businesses hire a company for development, though you could try it yourself. Professional development services can be costly, but quality design often requires a bigger investment—expect to spend several thousand euros for a custom, responsive design.
Security
Security is crucial for any site, especially e-commerce where customers share financial data. Key elements include:
- SSL Certificates: Required for HTTPS, keeping customer data secure. Some hosts include this, otherwise expect around €20/year.
- Security Plugins: Options like WordFence help with malware scanning and firewalls. WordFence offers a free version, with premium starting at €90/year.
3. Operation: Ongoing Costs
Once your domain, hosting, and store are set up, ongoing operational costs kick in. These include marketing, shipping, payment processing fees, and maintenance.
Maintenance
Online stores require regular upkeep—comment moderation, updates, performance checks, bug fixes. Costs vary: you can handle it yourself (time + resources), or outsource it, usually €15–50/hour. Remember, cheaper isn’t always better.
Payments and Fees
Popular payment methods like Stripe, PayPal, or Sibs (MB Way, MB Net, etc.) all have fees. Typically, you pay per transaction plus a fixed fee. For instance, Stripe and PayPal charge 2.9% + €0.25 per transaction. Sibs varies by contract.
Shipping
If you sell physical products, shipping costs must be factored in. Costs depend on the type of goods, sales volume, and destinations. Major carriers like UPS and FedEx provide WooCommerce plugins that simplify integration, allowing you to manage labels and details directly in your store’s back office.
Marketing
Marketing is essential. Without visibility, no one finds your store. Digital marketing covers many areas, but two key ones are SEO and Email Marketing. WordPress plugins can help with SEO—analyzing your content and suggesting improvements. One of the most popular is Yoast SEO, which has a free version and a premium plan starting at €89.
Email marketing platforms are also critical. Nearly 60% of marketers say email offers the best ROI. Mailchimp is one of the most popular options, starting at €9.99/month, and integrates easily with WordPress and WooCommerce.
E-Commerce Platforms May Be Free, But Running Costs Always Exist
Building a digital business is a complex process with multiple stages. Fortunately, you can count on Wola to support you at every step. Get in touch to tell us about your project, goals, and deadlines.