How Much it Costs to Build a Marketplace App Like Amazon?
How to create a marketplace app or website like Amazon and how much does it cost, features. Who will develop an app like Amazon or Flipkart?
The primary difference between an online store and a marketplace is that the latter gives the ability to the independent sellers to list out their services or products. In the marketplace apps, there are multiple variations – they differ according to the size, the type of products, the way they promote themselves, etc.
So if you are finally impressed to develop an app like Amazon, the first question that strikes your mind is “how to develop it and how much does it cost you?”.
Considering both the factors, the cost to develop a marketplace app like Amazon will be in the range – $40,000 to $90,000
The cost to build a marketplace app depends on the features and requirements you need in an app. Before going further it is important to know about e-commerce selling.
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Developing a marketplace app like Amazon is a big investment for enterprises and startups. Therefore, it is essential to conduct in-depth research and analyze the recent market trends. It is a typical task to estimate the exact cost for app development. Because it mainly depends upon the features and functionality of the app.
Features selection is the vital factor that will decide the future scope of the application. The predominant features to focus on are listed below.
Easy app navigation
Live chat support
Augmented reality view
Real-time order tracking
Social media integration
Review & Rating
A few of the additional features to concentrate on while developing the Amazon clone app are as follows.
Subscription plans for premium accounts
Google map integration
The price for developing the Amazon clone depends upon the list of features you need to integrate.
It is essential to consider which platform to launch your app. Both Android and iOS are the most popular platforms. To target middle-class customers, launching your app on Android is the ideal choice. The cost varies depending on which platform you are going to launch the Amazon clone app.
It gives a rough outline of the app about the app’s functionality. You can seek a mobile app development company for wireframing of the app. Usually, its development cost starts from $500.
The app design plays an essential role in your business success as it attracts the user's attention. You have to offer a user-friendly platform. An intricate and eye-catching design is what makes your app more appealing to the customers.
The truth is that there is no exact cost of the Amazon clone app development as every business has different demands. The cost could be a little expensive that solely relies upon your business requirements and app complexity.
There are various types of companies available in the world that are well-renowned for their marketplace website development like Amazon, Ebay, Etsy or Airbnb, etc. These are the big players of the industry and are well-known across the globe.
Factors on which the cost for these on-demand app depends:
1.) Complexity: The complexity for these application depends upon the cost directly. The more complex the appe is, the more it will cost.
2.) Frameworks/Technology: The cost depends upon the technology and customization which one is selecting for his marketplace app project.
3.) Dedicated Team: The overall development cost also depends upon the dedicated team you are hiring, project managers involved and tech peoples included.
It is a very tedious task to figure out the exact costing structure of these types of complex on-demand marketplace application as it depends on various other external factors mentioned above. The average cost for these marketplace application lies somewhere around between $15,000 - $50,000 for the basic version.
There are various ways by which one can get his best marketplace applications developed but hiring a dedicated agency is always been a wise choice.
If you are new to marketplace development, you may want to know: how much does it cost to build a marketplace app or website?
We have prepared a thorough guide on how to create an online marketplace, including such aspects as required features, technology stack, and cost. Also, we included important information on marketplace website classification and how they work.
How would I start an e-commerce marketplace?
Now you have some guidance about the type of online marketplace and how the works. Let’s understand some steps to start and launch your own b2b/b2c marketplace for your industry. In this guideline, I mentioned the main steps while launching a marketplace:
The Marketplace app Idea– Find out the idea which works best for you and your customers
Co-thinkers/co-founders– Find the best Partner who is either a technical or sales/marketing expert
Detailed business plan– Create a Detailed business plan and start implementing
Pitch Document– Meet with the MBA’s & Experts on Upwork to create a pitch document for funding
Tech team– Choose the Best App development company to develop your own app
Wireframe– Ask Your technology partner to build an awesome mockup and wireframe for your e-commerce marketplace
Funding– Connect with investors, but First Choose your Family, friends to Funding & Investment
Development phase– Create Complete RFP & SOW before you start developing a marketplace for B2B, B2C, P2P
Beta Testing– Around your circle Start testing your product first before going on Final testing
The Launch –Create the latest marketing plan to launch your e-commerce marketplace
Marketing– Select the Best Digital Marketing consultants or Famous marketing agency to viral your platform
What do I need to build an online marketplace and how much will it cost me?
To evaluate the final price for building an online marketplace, you need to take into account many factors that form the marketplace development cost & expenses. Namely, the App development cost and estimation depend on the What type of solution you choose to start your on-demand marketplace.
Let’s take a look at the core e-commerce marketplace development elements you should take into account and how much does it cost to you.
Marketplace App development
First of all, you need to define the Development platform and you want a ready-made marketplace solution, or you want to develop a marketplace from scratch for creating a successful online marketplace. There are several powerful solutions you can choose from:
Ready-made Marketplace solution
Custom Marketplace development
Most commonly, the first option is for the startups who have a low-cost budget and a fixed price, but provides limitations in scalability and may include unnecessary features you will never use.
In Eastern European countries and Asian countries, the mobile app development cost is less expensive compare to USA, UK & Canadian Regain… For example, if you decide to turn to Best Indian, Ukrainian software development companies, the cost to build an online marketplace on average would be $25-49 per hour.
And of course, the cost of marketplace development depends on the functionality you want to implement.
I recommend you to pay attention to the following features as they are of prior importance for an e-commerce website and mobile app.
Authorization and roles
The must-have features for the admin panel include:
Real-time updates from a single dashboard
User management solutions
Options for charging a commission
Analytics and Reports
Stock visibility and management
Itemizing by Category
The must-have features for seller panel include:
Social Connect and Sign-up Login
Display of vendor-specific store URLs
Order management solutions
Offers, promotions and discounts
In-app chat system
Reports and analytics
Must Require Buyer Panel features:
Management of personal profile
Client support for connecting with sellers
Search engine for easy search
Reviews and testimonials
Integrated payment functionality
Tracking of customer order
What are the Technology Stacks to build an ecommerce marketplace?
Programming languages: Java, PHP, Ruby
Mobile app development: iOS – Swift, Android – Java, Kotlin, cross-platform – React Native
Front-end: Angular, ReactJS, HTML5, CSS
Payments: Stripe, Braintree, and PayPal
Recommendations: Machine learning algorithms
Analytics: Google Analytics
Marketing Automation: HubSpot, MailChimp (for e-mails)
Infrastructure: Amazon Web Services
Databases: PostgreSQL, MySQL, MongoDB.
How to Building a Marketplace from Scratch?
You can develop their marketplace from scratch by making use of programming languages. If you create your marketplace from scratch, you can build exactly what you have dreamed of. The cost to build an online marketplace from scratch can be high; however, it also helps you customize the output to your heart’s content.
You can create your marketplace if you are a skilled coder, but it is difficult for you to code all languages. So it is always recommended to choose an expert marketplace development company.
Here is what you need to live your application & website completely
eCommerce Website/ Portal
Ecommerce websites are one of the most important necessities for any online marketplace. A website can be seen as proof of authenticity.
It is almost essential for any e-marketplace to have a website that can help the users to engage directly. The interface of the website should be simple yet unique, and this will help keep the consumers engaged.
eCommerce App Development
Through an app, your customers can easily purchase products and engage with you on the go. There is no need for a laptop or desktop; they can easily interact with your store via smartphones.
This will not only be beneficial for the store owner and customer, but it is also beneficial for the sellers. Sellers will be able to see their order history, sales, or contact the admin through the mobile app.
The process of using data from the backend to cater to the consumers can be time-consuming but is extremely essential. The information stored in the backend enables you to understand the need of your consumers and use the information provided by them to the best of your abilities.
Paying attention to developing a structured backend can help you run your online marketplace smoothly and effectively. This might add to the cost to build the platform, but it is an integral part of the online marketplace and cannot be ignored.
How much Does it Cost to Build an Online Marketplace?
The cost of your marketplace may vary from one marketplace to the other. It depends upon the functional set that the creator of the marketplace chooses. The proper development of an online marketplace requires the efforts of various specialists and includes UX and UI design, layout design, project management, backend and frontend development, and quality assurance.
On average, the cost to build an online marketplace website can vary from $10000 to $25,000, which may vary based on the design and features available. However, it’s not possible to estimate the cost of the website without any project details.
The process of developing a basic functioning website can usually add up to 800-1000 hours and the process can last for an average of 3 months. Due to this, the estimated cost of the marketplace development of a basic functional set can cost you around $10K.
However, if you decide to create a complex solution or in simple words add some new or different functions to the existing site, you need to be ready to bear some extra expenses, for instance, 20-30 work hours for the e-commerce development of new functionality will increase your expenditure. A marketplace with a vast set of functionalities may amount up to $25K.
The development of a mobile app on average takes about 400 hours and might cost around $25K. The figures are likely to vary depending upon the functionalities that you ask for.
Depending upon the method of developing your use, you can be charged on an hourly basis which can range from $25 to $60 on an average.
It is important to note that apart from e-commerce, Amazon has diversified into various segments like UPI Scan & Pay, Own wallet system Amazon Pay, Ticket Bookings for railways/Bus/Flights, Bill payments for DTH/Electric/Mobile phone, etc. So developing an app like Amazon that covers all of the above-mentioned segments would be a huge capital investment.
It is not necessary to completely cover all of the features of an app like Amazon and should only focus on important points like features required, method of development, the technology used, etc. There are multiple ways you can develop an e-commerce app which you can find in one of the Quora answers that I think summarizes perfectly
Which is the best method for developing an e-commerce app in Android and IOS?
Let us consider that you have referred to the above answer and are planning to develop a customized app then the next point that you should consider are features you would be implementing and the technology stack you would require for the successful performance of the app.
The brief points in feature consideration are
Quick account access
Online Payment System Integration
Elegant User Interface
Wish list and cart for product shortlisting and checkout
E-Wallet for quick checkout
Search, Sort-by, and filter feature
Technology Stack in an e-commerce app
The technology stack used for different kinds of the app varies based on the performance requirement of the app. So the best backend technology that you implement for best performance can be referred below.
Considering the above points the cost to develop an e-commerce app like Amazon is $20K -$60K.