eCommerce App Costs Explained: From Basics to Advanced Features

Whether grabbing everyday essentials or splurging on luxury items, online shopping has become a go-to for convenience, making eCommerce apps a must-have. eMarketer reported that global eCommerce sales are expected to surpass $7 trillion by 2025, highlighting just how vital these platforms are for both small startups and large enterprises. Businesses today increasingly choose custom eCommerce app development to stay competitive and meet ever-growing consumer demand for seamless digital experiences.

So, what is the cost of building an eCommerce app? Let’s dive into the details! This guide’ll explore the key factors impacting costs, the must-have and advanced features to include, and those extra expenses you might not have considered. Plus, we’ll share some tips on how to keep your development costs in check. 

Understanding the Costs of Building an eCommerce App

01 | Type and Scale of the eCommerce App

Scale and functionality are among the biggest factors influencing costs when planning to build an eCommerce app. Whether you’re a small business or a large enterprise, the type of app you need will directly affect your budget. 

Here's a simple breakdown of how different app scales and features can impact costs:

Scale	Features	Estimated Cost	Example Use Case
Small-Scale (Basic Store)	Simple product listings, shopping cart, user registration, basic payment gateways, straightforward UI.	$20,000–$50,000	A local boutique launching an online store to sell a limited range of products.
Mid-Scale (Retail Store)	Advanced search, user profiles, personalized recommendations, loyalty programs, larger product catalog.	$50,000–$150,000	A regional clothing store expanding its business online with advanced features like custom filtering options.
Enterprise-Scale (Marketplace)	Multi-vendor support, AI-driven personalization, multi-language/currency, robust backend infrastructure.	$150,000–$500,000+	A global eCommerce platform like Amazon, handling millions of users and transactions with advanced features.

Platform Choice: iOS, Android, or Both?

The platform you choose for your eCommerce app has a big impact on its cost and development timeline. Here’s how different platform choices affect pricing:

Platform	Description	Estimated Cost
Single Platform (iOS or Android)	Choosing one platform costs less and takes less development time. Ideal if you have a specific audience.	$20,000–$80,000
Dual Platform (iOS & Android)	Developing for both platforms increases development effort, as separate coding and testing are required.	1.5x to 2x the cost of a single platform
Cross-Platform (React Native, Flutter)	A cost-effective solution that works on both platforms with one codebase, but with some performance trade-offs.	Lower cost, but performance limitations may apply.

Native vs. Hybrid Apps

Another key decision in the development process is whether to go with a native app (designed specifically for iOS or Android) or a hybrid app (built using a single codebase for both platforms). Here’s a comparison of both:

App Type	Advantages	Disadvantages	Best For
Native Apps	Superior performance, faster load times, better integration with device features.	Higher development costs and separate coding for iOS and Android.	Enterprise-scale apps where performance is key.
Hybrid Apps	More cost-effective, quicker to develop with a single codebase for both platforms.	Potential performance issues and limited customization.	Small to mid-scale apps that need a cost-efficient solution.

02 | Development Team Location and Type

When developing your eCommerce app, the team you choose to bring your vision to life plays a huge role in both cost and quality. Whether you go with an onshore or offshore team or opt for freelancers versus an agency, each choice has pros and cons.

Onshore vs. Offshore Development

Onshore Development: If you choose an onshore development team (think US, Western Europe), you invest in high-quality work with easier communication and less chance of misunderstandings. Of course, this comes at a premium cost—typically between $100–$200/hour. The benefit? You’re working with experts in the same time zone, speaking the same language, and understanding the local market better.

Offshore Development: On the flip side, offshore developers (based in places like India, Eastern Europe, or Southeast Asia) offer much more affordable rates, ranging from $20–$50/hour. This can be a game-changer if you’re on a tighter budget. The only thing to keep in mind? You’ll need to do thorough vetting to avoid potential issues with quality or communication. But with the right team, offshore development can still deliver top-notch results at a fraction of the cost.

Freelancers vs. Agencies

Freelancers: Freelancers are great for smaller projects, especially if you have a limited budget. They can work on specific app parts, like design or coding, and offer a more personalized approach. However, when it comes to larger, more complex apps, freelancers may not have the resources or expertise to handle everything. If your project is smaller, you can expect to pay around $15,000–$50,000.

Development Agencies: If you’re aiming for something more robust, a development agency might be the way to go. Agencies can manage the entire process—design, development, testing, and post-launch support. While they come at a higher price (typically $50,000–$300,000+ for mid-to-large-scale apps), they offer more reliability, scalability, and a team of experts to ensure everything runs smoothly.

03 | Essential Features and Their Cost Breakdown

UI/UX Design: Where First Impressions Matter

Regarding your eCommerce app, user interface (UI) and user experience (UX) design are everything. A sleek, intuitive design makes it easy for users to navigate, keeps them returning, and boosts conversions. In short, a great UI/UX can make or break your app’s success.

• Estimated Costs: For smaller apps, you can expect to pay between $5,000 and $15,000, while more complex designs could raise the cost to $20,000+.

Core eCommerce Features: Building the Foundation

These are the essential building blocks of any eCommerce app. Without them, your app won’t have the functionality your customers expect.

Feature	Description	Estimated Cost
Product Catalog & Categories	Organize your products in an easy-to-navigate, visually appealing way.	$5,000–$10,000
Search and Filters	Help users find exactly what they’re looking for with filters like price, brand, and ratings.	$3,000–$7,000
Shopping Cart & Checkout	Simplify the checkout process with features like saved carts and coupon codes.	$7,000–$15,000
Payment Integration	Secure payment gateways for seamless transactions.	$5,000–$10,000
User Accounts & Profiles	Let users save preferences, track orders, and manage their profiles.	$4,000–$8,000

Advanced Features: Taking Your App to the Next Level

Once you have the basics covered, you can add advanced features to make your app more engaging and functional.

Feature	Description	Estimated Cost
AI Personalization & Recommendations	Use AI to suggest products based on user behavior, increasing sales potential.	$10,000–$25,000
Push Notifications	Keep users engaged with personalized alerts about sales, new products, or updates.	$2,000–$5,000
Admin Panel & Analytics	Real-time insights into sales, inventory, and user behavior to help you make informed decisions.	$8,000–$20,000
Social Media Integrations	Allow users to share products or log in using social media accounts for convenience.	$3,000–$6,000
Multi-language & Multi-Currency Support	Essential if you’re looking to expand globally and cater to diverse audiences.	$5,000–$15,000
Security Features	Protect user data and ensure compliance with security regulations.	$3,000–$10,000

Additional Costs to Consider in eCommerce App Development

Category	Details	Estimated Cost
Backend Infrastructure	Server hosting based on traffic and storage needs.	$100–$500/month
	Cloud solutions (AWS, Azure) for scalability.	Higher initial cost
Third-Party Integrations	Payment gateways, APIs, and plugins.	$5,000–$20,000
Maintenance and Updates	Bug fixes, feature updates, compliance upgrades.	15–20% of development costs annually
Marketing and Launch	App Store fees: $99/year for Apple, $25 one-time for Google Play.	$124–$99/year
	Initial marketing and SEO efforts.	$5,000–$20,000

Real-World Examples of eCommerce App Development Costs

Understanding app development costs becomes easier with real-life examples. Let’s break it down with hypothetical scenarios and real-world inspirations:

Small Business eCommerce App

• What It Includes: A simple app with basic UI, product catalog, shopping cart, and secure payment gateway.
• Example: A local bakery launching an app to sell baked goods online, similar to what Sprinkles Cupcakes might offer for pre-orders and deliveries.
• Estimated Cost: $20,000–$30,000

Mid-Sized Retail App with Custom Features

• What It Includes: Advanced search filters, AI-powered product recommendations, an admin panel for analytics, and social media integration for seamless sharing.
• Example: A regional fashion retailer expanding online, like ASOS or Zara’s user-friendly apps with personalized shopping experiences.
• Estimated Cost: $80,000–$120,000

Large-Scale Marketplace App

• What It Includes: Robust features like multi-vendor support, AI-driven analytics for insights, multi-language/currency options for global reach, and enterprise-grade security.
• Example: An app similar to Amazon or eBay, handling millions of users and transactions daily.
• Estimated Cost: $300,000–$500,000+

Why These Costs Vary

• Scale: The size of the business and user base significantly impacts complexity and cost.
• Features: Advanced capabilities like AI and multi-vendor management drive up expenses.
• Quality: Robust design, seamless performance, and enterprise security require higher investment.

5 Tips to Optimize Your eCommerce App Development Costs

Building an eCommerce app doesn’t have to cost a fortune. Here are five smart ways to keep expenses in check while delivering a quality product:

01 | Start Small with an MVP

Focus on a Minimum Viable Product (MVP) to launch quickly and cost-effectively. Include only essential features like a product catalog, shopping cart, and AI-led payment gateway. Once you validate demand, advanced features can come later.

02 | Use Pre-Built Tools

Leveraging open-source platforms like Shopify or WooCommerce and third-party APIs for payments (Stripe, PayPal) and analytics can cut development time and costs. These solutions are reliable, scalable, and budget-friendly.

03 | Offshore Development Wisely

Offshore developers (e.g., in India or Eastern Europe) charge lower rates ($20–$50/hour vs. $100–$200/hour onshore). To ensure quality:

• Vet portfolios and reviews.
• Communicate regularly via tools like Slack or Trello.
• Start with a small project to test their capabilities.

04 | Focus on Core Features

Prioritize must-haves like search filters, product browsing, and seamless checkout. These ensure user satisfaction without inflating your budget. Advanced features can be added as your app grows.

05 | Adopt Agile Development

Work in small, iterative cycles to release updates gradually. By aligning with user feedback and reducing unnecessary features, you can save money.

Conclusion

Building an eCommerce app is more than just an investment—it’s a game-changer for your business. The costs can vary depending on the features you need, your chosen platforms, and your development team’s expertise. But here’s the good news: you can build a powerful app without overspending!

Focus on what matters most: prioritize essential features, use pre-built tools to save time, and collaborate with a trusted CRM or AI development partner. With the right approach, you can create an eCommerce solution that’s not just functional but genuinely impactful.

FAQs

What is the average cost of developing a basic eCommerce app?

The average cost of developing a basic eCommerce app with essential features is typically between $20,000 and $40,000, varying by team location and complexity.

How do different app features impact overall development costs?

Core features add moderate costs, while advanced features like AI recommendations significantly increase expenses.

Is building an app for iOS and Android more expensive?

Yes, developing an app for both iOS and Android can double costs unless you use a cross-platform solution.

 What ongoing costs should I expect after development?

Expect after-development ongoing costs for maintenance, updates, hosting, and marketing, which total 15–20% of the initial development cost annually.

How can I reduce development costs without sacrificing quality?

To reduce development costs without sacrificing quality, focus on an MVP, use open-source tools, and opt for experienced offshore developers.