The Perfect E-Commerce Platform?

I recently received a DM asking which selling platform I’d recommend to someone just starting out on their e-commerce journey, and this really got me thinking:

Is there a perfect platform out there that everyone should start with on day one of their small business launch?

Having spent a lot of time on Squarespace, Etsy, and ultimately Shopify, I took a minute to jot down some thoughts on each platform, the pros/cons, and what I would do if I started a new physical product business TODAY.

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SQUARESPACE

PROS:

✔ Beautiful, aesthetic sites
✔ Great for storytelling brands
✔ Easy to use

Honestly, the biggest pro I can think of is cost. Setting up this site in 2019 fit my small budget at the time, and when I was just starting out, I didn’t have much I wanted to invest in my website—so the price was right.

CONS:

✖ Not built specifically for scaling e-commerce

I felt a bit of pressure from the web designer I was using to go with Squarespace, and I didn’t know ANYTHING about e-commerce, so I let her use this platform. Looking back, it was not the right choice for me, as my business has complex product variants and didn’t have the long-term ability to grow with my business.

I would not recommend this platform to someone starting out who wants to scale.

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ETSY

PROS:

✔ Built-in traffic
✔ Low barrier to entry
✔ No need to build a full website

Their platform is built out and established, so you will have automatic eyes on your shop which is the ultimate goal when you’re just starting out.

CONS:

✖ Limited branding
✖ You don’t own your audience (this is a BIG one)

There is also huge competition and saturated product lines on Etsy. You’ll see products that are similar to yours listed at 50% off or priced almost at wholesale. It’s hard to stand out when people are more concerned with price than quality.

They also take fees. Each listing is $0.20 and renews each time you sell, so $0.20 per sale + a 6.5% transaction fee AND ~3% + $0.25 per transaction in payment processing fees. So when it’s all said and done, they’ll take ~9–12%.

IF you plan on selling high volume and your profit margin makes it worth it, Etsy is the easiest platform to get eyes on your products and gain traction quickly.

NOTES: Etsy in 2020–2022 was a much different selling space than it is now. I sold a ton of product during that time, and then they changed algorithms and some policies. I leaned hard into Shopify and I now sell 95% on my website and don’t spend much time at all on Etsy, but it was very helpful for me in the past.

The customer base on Etsy is… interesting (and I’m being kind). I have had some of the craziest experiences and reviews over things so far out of my control, and it’s really frustrating as a seller because Etsy will almost always default to siding with the buyer.

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SHOPIFY

PROS:

✔ Built for e-commerce growth
✔ Full control over your brand + customer data
✔ Endless integrations

You are in control of your shop, and fees are generally lower. You’re also in control of your reviews, what is public, and customers tend to be much more enjoyable because they are seeking you out or finding you more organically.

On Etsy, you are an Etsy shop and customers rarely know WHO they are buying from. On Shopify, your personal branding matters much more, and you’ll be able to control costs while building your brand.

Typical fees are around 2.5–3.5% + your monthly Shopify fee (basic plans start around $40). You could consider higher Etsy fees as a form of marketing since millions are shopping there daily but if you go the Shopify route, you’ll need to spend time on marketing to drive traffic.

So there’s a bit of a trade-off.

CONS:

✖ Slight learning curve
✖ Monthly cost + apps

You will need to build out your own site or hire a web designer. This can be time-consuming and a big learning curve.

I’ve had 3 websites: 1 on Squarespace and 2 on Shopify. I hired a web designer each time and spent $1,000s to get it done right, BUT I had a lot of listings and 100s of variants and needed help.

If you are starting out with just a few products, you can easily purchase a Shopify template and do it yourself. It will take time, but it’s very doable. Shopify has a ton of built-in help articles and a responsive chat feature as well.

Shopify also runs on apps. So if you want reviews, that’s an app. If you want to modify a template, that may require an app or custom code. What you see is what you get with basic templates—anything extra will cost more time or money.

NOTES:

No matter if you use Etsy or Shopify, I’d strongly urge you to set up a professional photoshoot to get high-quality images of your products for your website, listings, and social media.

This is an investment, but it will save you time in the long run, and the images can be reused across multiple platforms.

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FINAL THOUGHTS

→ Validate the product (Etsy or simple site)
→ Then move to Shopify once it’s proven

OR, skip Squarespace and do both Etsy + Shopify. Go into each platform with different expectations. Etsy will be quicker to set up and generate sales. Shopify will take more work, but think of it as playing the long game eventually, you’ll want most of your sales to run through your own website.

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BONUS:

Use Pinterest to market your products. One good photoshoot, with images pinned and linked back to your website, can make a huge difference.

It’s “free” and, when set up correctly, is a powerful tool for evergreen content. This is what helped one of my products go viral and I sold an insane amount during the 2023 holiday season.

As always, cheering you on.🖤

If this blog helped, make sure to follow @xomandyscott for more small business tips, advice, and encouragement along your journey.