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Shopify vs Amazon: Which Is Better for Online Sellers?

Cheryl • Sell on Amazon

Feb 28,2021 13 min read

shopify vs amazon which is better for online sellers

As an online seller, one of the critical decisions to make about how to sell your products will be choosing the e-commerce platform that will give you the best satisfaction and maximize profit. In doing this, Shopify vs Amazon comes to mind as they are the two largest platforms around when it comes to e-commerce.

 

To examine Amazon vs Shopify Dropshipping, some differences have to be pointed out as well as the pros and cons of selling on Amazon FBA vs Shopify Dropshipping. 

 

 

Shopify vs Amazon: A Side-by-Side Comparison

Shopify vs Amazon have both developed strong reputations as Shopify accommodates over 800,000 businesses and Amazon gets about 2.5 billion monthly visits. These interesting and enticing statistics make it a hard choice for sellers, as both platforms are reliable in the world of e-commerce. 

 

However, by selling your products on Amazon store or Shopify, much money can be made. A monthly subscription is required for both to gain access to all the tools and resources they have to offer. The major difference between Shopify vs Amazon is that Amazon presents a ready-made market platform whereas Shopify helps to design and build your store from the beginning.

 

Let's find more about the differences between Shopify and Amazon.

 

1. Design Flexibility

Shopify provides you more control over the design of your online store and also gives you the liberty to select from 10 free themes and over 60 premium themes which cost between $140 to $180 to customize your brands.

 

On Amazon, the layouts are similar. Products are displayed without unique branding which may limit your marketing as the control belongs to Amazon.

 

2. Ease of Use  

Using Amazon is less stressful than Shopify. Both of them have created powerful, useful tools and streamlined setups for selling your products. Less work is involved in Amazon because you just have to set up and start selling. It is relatively easier to build your online store with customization from Shopify.

 

3. E-Commerce Tools and Features

Amazon has an array of tools in place to support your business online. Notable among them are unique stores such as Amazon handmade an advantage in respect to Amazon store vs Shopify. And also Fulfillment By Amazon (FBA) program is regarded as Shopify vs Amazon FBA. FBA grants access to prime customers and handle storage, packing, and shipping of products.

 

Shopify has the widest range of sales tools on the market. It ranges from abandoned cart recovery, Powerful inventory system, automatic tax calculation, logo maker, multichannel selling, app integration, and recently teamed up with Oberlo to support dropshipping businesses.

 

4. Payment Options and Fees

Amazon Pay is the only payment gateway on Amazon and credit and debit cards can be accepted through this, but not PayPal. There is also selling fees plus monthly subscription for professional sellers and may vary by category.

 

On Shopify, you don't have to pay transaction costs once you use the Shopify payments on its gateway. Shopify offers over 100 different payment gateway including Amazon Pay and PayPal but these may incur transaction fees.

 

5. Pricing

Amazon has two selling plans: The Professional Selling plan for $39.99 monthly, plus extra selling fees which varies on products, and the Individual Selling plan for $0.99 per item sold, plus extra selling fees which varies by category. The individual plan supports small businesses. 

Shopify has three different plans: Basic Shopify plan for $29 monthly, Shopify plan for $79 monthly, Advanced Shopify plan for $299 monthly. 

 

6. Customer Base

One of the best ways to connect customers globally is to sell your products online. There is a challenge of how to get customers' attention to your products because competitors target the same customers with advertising. When you are on the Amazon platform, you tend to enjoy the influence of high customer visits to the tune of millions monthly and this affords a great chance for your products to be seen by many consumers. 

 

Shopify will not afford the same high-volume customer base because of your unique brand. It will take extra effort by customers to search for your products. Hence, there is a need for marketing to broaden your customer base. 

 

 

Shopify vs Amazon: Which Should You Choose?

Having examined some clear differences, benefits between these two powerful online selling platforms, the simplicity, user-friendliness, and design features of Shopify make it an excellent platform for people who are new in online business with no skills. Also, the free 90-day trial, more control, and ownership of your store, ability to create a unique brand identity will make Shopify appealing. However, you will bear the burden of marketing your products and marketing costs.

 

Choosing the Amazon FBA platform provides you with a ready-made market platform and with a pro account, you have a free 30-day trial. You are granted quick access to a global customer base with quick set up and selling. Amazon customer service and FBA services are available to take care of your storage, packing, and shipping of products. But you must adhere strictly to the rules on the Amazon platform and then bear it that you don't have control over your store and ability to create a unique brand identity. And for every sale you make, about 15-40% will have to be paid to Amazon.

 

As Amazon provides influence to attract customers to its online platform thereby granting you access to millions of potential global customers, Shopify offers you the tools to build your online store with a unique brand identity.

 

 

Conclusion

The answer will depend largely on what exactly do you expect from your business and how do you want to market and sell your products. If you want complete control, nonstrict rule, and equipped with tools, and motivated to market your branded products to get higher profits, then you might want to consider Shopify.

 

If you want a ready-made market platform that drives sales in high volume and you are ready to give up some control in exchange for higher fees and comply with some restrictions, then you might want to consider Amazon. 

 

If you have enough money and your team is big enough, consider both Shopify and Amazon. If not, consider starting dropshipping first by working with one of the best free dropshipping suppliers, like SaleYee Dropshipping Platform


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