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E-commerce software development

E-commerce Software Development Guide

Software Development

In a time when online shopping has become a standard, e-commerce website development evolves as a crucial element in the equation’s success. It’s been a decade that the e-commerce industry has been on an increasing path. According to Statista, this growth will persist for an anticipatable future.

Evidently, e-commerce is an extremely profitable industry. However, according to HubSpot, the unfortunate reality is that about 8 out of 10 e-commerce businesses fail within just 24 months or 2 years of span. While there are different reasons behind this stat, most online stores get it incorrect from the very beginning due to a poor e-commerce website.

Worldwide retail e-commerce sales

Source: statista

This graph shows how e-commerce software development is predicted to grow to more than 7 billion U.S. dollars by 2025.

What is E-commerce Website Development?

In this era where online shopping is at its peak, e-commerce website development is the passage linking businesses to consumers. It summarizes the tactics, practices, and technologies, transforming business ideas into a virtual store. Every element, from website design to user experience, is customized to help by providing seamless product finding, estimation, and purchasing by ensuring that customers not only get exactly what they are looking for but adore the whole journey, from browse to buy.

Uses of E-commerce Software

Usually, e-commerce software controls all the online store’s backend operations. It pays attention to most of the crucial tasks required in running your web-based e-commerce store. Whether checkout processes, payments, or order fulfillment, e-commerce software solutions control all these operations instantaneously. E-commerce software development helps with the following things:

Order and Customer Management

Online retail software development manages customer orders and checkout processes along with payment processes, customer information, and more.

Inventory and Product Management

Products are managed and assembled using stock-keeping units (SKUs). It also provides alerts when the stock of any product is low or completely finished.

Shipping and Taxes Automation

It executes tasks such as taxes and shipping. Besides, it helps with tax calculation, shipping label printing, and automation of several other tasks.

Enhance Customer Experience

It makes the customer experience better by allowing them to find what they are looking for easily and quickly.

Streamline Marketing

With built-in SEO features, your digital shop fronts become highly noticeable in the search engine ranking, which further boosts sales.

Key Features of E-commerce Software Development

The following is the list of key features of e-commerce software.


It helps automate the checkout process for determining the number of customers due to pay after price calculation, cost handling, taxes, and shipping.


Search functions with numerous filters allow online shoppers to find the right products they need to buy.

Central Data Center

A centralized database aids e-commerce software by easing the process of storing, retrieving, and accessing product and customer details.

Website Builder

It helps with building a website from the ground up utilizing prebuilt templates from online retail software.


Third-party integration is required to manage e-commerce industry tasks such as payments, order fulfillment, accounting, and more.

Reporting and Analytics

With analytics and reporting, you can get insights into patterns and trends that help improve your services.

Live Chat Support

It provides clients with live chat support so that they can get immediate help and get answers to all of their questions. This feature increases client satisfaction and decreases abandonment rates.

Robust Security

Customers these days require refined security mechanisms to secure their private data on e-commerce websites.


According to internet resources, 80% of customers are more inclined to buy from a website or company that provides customized experiences.

Multiple Payment Options

In the U.S., online payment methods such as Amazon Pay or PayPal were used by 27% of companies back in 2023, according to webinarcare. Besides, 55% of customers made payments using credit cards, and 52% of customers made payments through debit cards.

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How Does E-commerce Software Development Businesses?

During the process of online selling, there are several tasks that online business system manages. While working at the backend of your digital shop front solution, the software simplifies different steps in online purchasing. Look at the list of diverse steps that display how e-commerce software works as instructed.

  • A buyer visits your site and finds a product list.
  • The buyer opens an account and includes the desired products in the shopping cart.
  • During the checkout stage, the website utilizes SSL, and security gets better.
  • Third-party services can be utilized for delivery options, shipping rates, and dates.
  • Once a buyer gets to the payment details, it is directly sent to the payment processor.
  • When the order is completed, the payment processor saves the payment details.

The Process of E-commerce Website Development

The following are the steps involved in e-commerce website development.

Establish Your Business Objectives and Target Audience

Before the development of an e-commerce website or any other custom software development, it is necessary to establish your business goals and target market. This will allow you to look for the features and functionalities your website must have to satisfy your business needs.

Choose an Accurate Platform

An accurate platform can be chosen from numerous options available in the market, including Shopify, wooCommerce, BigCommerce, and Magento. Choose a platform that caters to your business requirements within budget.

Pick a Domain Name and Hosting Provider

Pick a simple domain name that is easy to recall and perfectly defines your company. Also, select a hosting company that provides a reliable and secure performance.

Design the Website

Generate a website that is appealingly striking and easy to use, along with providing a better user experience and communicating business identity. Also, it integrates responsive design concepts, ensuring that your website performs exceptionally well over all devices.

Create the Website

Communicate with a team of skilled developers who help create the website and integrate the desired functionalities and features, including shopping carts, shipping options, product catalogs, and payment gateways.

A website Test

Make certain the website is tested in-depth for functionality and usability, besides addressing any concerns.

Launch the Website

After your website is done with testing and is entirely operational, launch it and start marketing it using several methods that appeal to customers.

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Advantages of E-commerce Software Development

E-commerce software development provides several advantages to online retailers, specifically those who are looking to gain a highly competitive market edge. The list of e-commerce software development advantages is as follows.

Maximized Revenues

An e-commerce software solution helps boost revenues in different ways. Firstly, it helps drive more traffic to an online store, which results in an increased sales volume. Secondly, it also offers customers a more instinctive interface for browsing that helps them easily find what they are looking for. Thirdly, some e-commerce software packages also dynamically recommend free products and services to buyers based on what they have already viewed and bought. This, in turn, improves income that is generated by up-selling and cross-selling programs.

Wider Reach for Marketing and Promotion Efforts

Several e-commerce software packages involve capabilities that sustain even the most refined SEO tactics. This dramatically improves marketing and promotional efforts by creating greater awareness among potential buyers and making it easier for more of the population to find a given website.
Furthermore, several e-commerce software solutions offer a complete, professionally styled design template portfolio that helps improve branding initiatives by allowing online retailers to plan a better image without the requirement to hire third-party graphic designers.

Improved Customer Service

An e-commerce software solution offers a more pleasant and useful online shopping experience to buyers. For specific products and services, browsing is simple, and checkout is easy and fast. In addition, order fulfillment and shipping status can be promptly tracked at any time. Consequently, customers will more probably recommend that particular webshop to other buyers and will more likely return to make additional future purchases.

Improved Productivity

E-commerce software radically improves productivity by eradicating the requirement to hand-code the website and all the required functions. It also completely automates processes like the creation, classification, and organization of new product listings, besides the calculation of item sub-totals and totals (when multiple products are purchased), shipping expenses, and taxes. Furthermore, e-commerce solutions simplify site administration, making it easier for companies to improve and upgrade their Internet shops as required.

Improved Intelligence

With an e-commerce software solution in place, online retailers can evaluate browsing and purchasing patterns in great detail to completely comprehend what drives their business. By gaining visions into the significant trends and aspects impacting buyer behaviors, they can progress to boost productivity and sales further.

Cost of E-commerce Software Development

E-commerce software development varies significantly when it comes to price. Factors such as design, complexity, features, and platform choices play important roles. The factors that impact e-commerce software development costs are:


The more the functionalities of e-commerce software development, the more will be its cost, customizations, and third-party integrations.

E-commerce Software Types

Cost varies depending on mobile app development, e-commerce web development, and MVP development.

Development Team

Your development team’s location also becomes a defining factor and has a significant influence. Developer rates also vary globally according to the diverse regions. So, the cost can be minimized by picking a development team from a region with low developer rates.

How do you choose the right e-commerce website developer?

Let us have a look at what an e-commerce developer does and why it is significant to align their skills with your e-commerce web design requirements. According to internet resources, 73% of U.S. consumers believe customer experience is a crucial factor during online purchasing, yet only 49% believe brands provide a good experience. The best way to confirm your e-commerce web development team offers an improved user experience on your site is by hiring someone with experience in designing and/or developing for e-commerce.
Hopefully, you can get e-commerce website development services that are accustomed to the newest in e-commerce best practices and can design a site that will entice your customers and boost your conversion rate.

Comprehend different developers’ strengths.

Some developers are excellent at bringing your brand to life via a strikingly designed frontend, while others surpass in backend customization and technical employment.
When you assess developers for your online store, make sure you are aware of their strengths.
While some developers will be talented enough in both backend development and frontend design, they more typically pick one as their main focus. Make certain that the developer you pick has skills affiliated with your requirements.
The following are some of the top elements that must be considered while developing your e-commerce website:

  • SEO (search engine optimization)
  • CMS (content management system) integration
  • PCI compliance and web security
  • Shopping cart design
  • Multiple payment options and gateways
  • Mobile-responsiveness
  • Product filtering

Base your choice on your needs

Also, avoid selecting a developer or development company until you completely understand what you want from your e-commerce shop fronts and what expertise will be required to make it happen.

For instance, if your e-commerce solution utilizes an open-source framework, then a backend developer might be more significant than someone aiming at design (though you’ll probably need both).

Also, if you’re using a SaaS platform and need SaaS development services, you might require more frontend work than anything else, though you might also need someone well-experienced in building APIs. While most SaaS platforms have a comparatively robust set of apps with pre-assembled integrations, additional complexity is best controlled by an expert.

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Avatar for Amna Shahid

Amna Shahid, a technical content writer, is an expert in simplifying intricate notions and composing captivating narratives to participate and convey technical information efficiently. With a devotion to brilliance in this dynamic technical writing field, Amna is open to collaborating and new possibilities in this succeeding tech realm.

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