"Ecommerce website" means three very different products, which is why quotes span an enormous range. In India in 2026: a platform store costs ₹0.75–2.5 lakh, a customised platform ₹2.5–6 lakh, a custom storefront ₹6–12 lakh, and a multi-vendor marketplace ₹12–20 lakh or more. Running costs add ₹5,000–50,000 a month.
This guide breaks down each route, the recurring charges most vendors leave out, the compliance layer, and the three-year arithmetic for choosing correctly.
The four routes and who should take each
Platform store (Shopify / WooCommerce) — ₹0.75–2.5 lakh. You rent the engine and customise the body. Right for D2C brands under roughly 500 SKUs with standard flows. Shopify charges a monthly subscription plus transaction fees on non-native gateways; WooCommerce is free software but needs real money each year in hosting and plugin licences.
Customised platform — ₹2.5–6 lakh. Platform underneath, significant custom design, integrations and features on top. The pragmatic middle when a platform covers most of your needs but not all.
Custom storefront — ₹6–12 lakh. Your own codebase, typically a modern framework with a headless backend. Right when you need speed, custom pricing logic (B2B slabs, dealer rates, credit terms), regional-language storefronts, or deep ERP integration. No per-transaction platform fee and no plugin roulette.
Marketplace / multi-vendor — ₹12–20 lakh+. Multiple sellers, commission engines, seller dashboards, settlement and payout logic, dispute flows. This is a business model, not a website. Validate demand before building.
The honest test: if a platform covers 80% of your needs, start there and rebuild custom when the workarounds start costing real money. Our custom vs off-the-shelf guide covers that decision in depth.
Cost breakdown
| Item | Platform | Custom store | Marketplace |
|---|---|---|---|
| Design and UX | ₹25k–75k | ₹1–2L | ₹1.5–3L |
| Development | ₹40k–1.2L | ₹2.5–5L | ₹6–10L |
| Payment gateway integration | ₹10k–25k | ₹40k–80k | ₹1–2L (split settlements) |
| Shipping and logistics integration | ₹15k–40k | ₹50k–1L | ₹1–1.5L |
| Admin, inventory, reports | included | ₹1–2L | ₹2–4L |
| GST-compliant invoicing | ₹10k–30k | ₹40k–80k | ₹60k–1.2L |
| Typical total | ₹0.75–2.5L | ₹6–12L | ₹12–20L+ |
If a quote for a "complete ecommerce website" comes in at ₹25,000, you are buying an unmodified theme with your logo on it. That is fine, as long as you know that is what it is.
What moves the price
- Catalogue complexity. Fifty simple products is trivial. Five thousand SKUs with variants, bundles and B2B price lists is engineering.
- Payments and logistics. UPI and card integration is standard; COD reconciliation, multi-courier APIs and returns workflows add real scope.
- Inventory integrations. Syncing with Tally, an ERP or physical-store stock is where "simple store" projects quietly double.
- Performance. Indian buyers shop on mid-range phones over mobile data. Fast pages measurably convert better — budget for image optimisation, caching and Core Web Vitals work.
- AI features. Intent-aware search and personalised recommendations typically add ₹1.5–4 lakh, worthwhile once traffic justifies it.
The recurring costs
The build is the entry fee. The monthly bill is where budgets die quietly.
- Payment gateway. Roughly 2% plus GST per card and wallet transaction. UPI is the saving grace with near-zero MDR for most merchants, and it now carries the majority of Indian D2C payments.
- Hosting and infrastructure. ₹2,000–15,000 a month for a custom store on managed cloud; marketplaces run considerably higher.
- Shipping aggregator. Per-shipment charges by weight and lane, with COD adding a further fee or percentage per order. COD still drives a large share of tier-2 and tier-3 orders, so model return-to-origin losses honestly.
- Maintenance. 15–25% of build cost annually — security patches, gateway API updates, festival-sale load preparation. See our AMC cost guide.
- Marketing. Not a build cost, but the number that dwarfs the rest. A store without a traffic budget is a brochure.
Which features actually move revenue
- UPI-first checkout with saved addresses. Every extra checkout field costs conversions.
- WhatsApp order updates and abandoned-cart nudges. The same messaging rails as our chatbot cost guide serve commerce notifications well.
- Page speed. A fast storefront outsells a plugin-heavy one, and ranks better too.
- Regional language support. Tamil, Hindi and Telugu storefronts widen tier-2 and tier-3 reach.
- B2B features. For wholesalers — dealer login, slab pricing, credit ledgers and order-again flows matter far more than fancy design.
Features that rarely pay back at SMB scale: AR try-on, a native mobile app before substantial monthly revenue, and loyalty-points engines bolted on before repeat purchase exists.
GST, invoicing and the compliance layer
Ecommerce in India carries specific compliance weight, and retrofitting it is expensive:
- GST-compliant invoices with HSN codes, the correct CGST/SGST/IGST split by shipping state, and credit notes for returns.
- E-invoicing becomes mandatory past a turnover threshold; the platform must generate an IRN through the GST portal API.
- TCS under GST if you operate a marketplace, including the associated return filing. This is a build requirement, not paperwork.
- DPDP Act. Addresses, phone numbers and order history make you a data fiduciary — consent, purpose limitation and deletion requests handled in the platform.
- Consumer Protection (E-Commerce) Rules — seller details, country of origin, and a grievance officer contact.
Ask any vendor to show GST invoice output and the return/credit-note flow in a live demo, not a slide deck.
Platform vs custom: the three-year maths
For a brand doing roughly ₹8 lakh a month in sales:
- Platform route: setup, annual subscription, platform and gateway overhead on non-UPI volume, plus apps — call it ₹6–9 lakh over three years, with speed and flexibility ceilings.
- Custom route: build, annual maintenance and hosting — roughly ₹11–12 lakh over three years, fully owned, no per-sale platform tax, faster pages.
Under about ₹5 lakh a month in revenue, start on a platform and spend the difference on marketing. Past ₹10–15 lakh a month, or with B2B pricing complexity, custom wins — and migrations get harder the longer you wait. Estimate your own scope in the project cost calculator.
Marketplaces vs your own store
A fair question when Amazon, Flipkart and Meesho hand you traffic on day one.
The arithmetic: marketplaces charge a substantial all-in percentage once commission, closing fees, shipping and visibility ads are counted, they own the customer relationship, and they can change terms unilaterally. Your own store costs more upfront and demands your own traffic, but keeps most of each rupee after gateway fees and gives you the customer's contact details for the repeat sale — which is where margins actually live.
The playbook that works for most Indian brands: launch on marketplaces for discovery, then stand up your own store the moment repeat purchase appears, and print the store URL on every package insert.
Common budget mistakes
- Spending the marketing budget on the website. A ₹6 lakh site with nothing for ads loses to a ₹1.5 lakh site with ₹4.5 lakh of traffic behind it.
- Ignoring RTO economics. COD returns can erase the margin on everything that shipped. Build COD verification from day one.
- 300 SKUs, 40 photographed. Launch with the ones that sell and add the tail later.
- No analytics wiring. Conversion events and gateway reconciliation are cheap at build time and painful to retrofit.
- Festival-season launches. Going live two weeks before Diwali means debugging under your biggest traffic of the year.
How long does it take?
Platform store: 3–6 weeks including content and payment setup. Custom storefront: 10–16 weeks. Marketplace: 4–7 months, because seller onboarding and settlement logic always take longer than the storefront.
The most common self-inflicted delay is product data — photos, descriptions, weights (couriers bill by weight) and HSN codes. Start that spreadsheet the day you sign; it sits on your critical path and no developer can compress it. The second is payment gateway KYC for a new entity, so apply in week one rather than week ten.
Getting a real number
Scope honestly: SKUs, integrations and order volume decide your tier. Get a range from the cost calculator, or tell us about your store — we will recommend the cheapest route that will not need rebuilding in 18 months.
For how this sits against every other kind of build — websites, apps, SaaS, CRM, ERP and AI, priced side by side — see our software development cost guide for India.
Frequently asked questions
How much does an ecommerce website cost in India?
In 2026, a platform-based store (Shopify/WooCommerce) costs ₹0.5–2 lakh to set up, a customized platform build runs ₹2–6 lakh, and a fully custom ecommerce site or marketplace costs ₹6–20 lakh or more depending on catalog size, integrations, and scale.
Shopify or custom build — which should I choose?
Start on a platform if it covers 80% or more of your needs — it is faster and cheaper to validate demand. Go custom when workarounds, transaction fees, B2B pricing, or inventory integrations start costing more than a build would.
What are the monthly running costs of an ecommerce site?
Expect hosting of ₹2,000–₹25,000 per month depending on traffic, payment gateway fees around 2% of transactions, and maintenance of 15–25% of the build cost per year for updates, offers, and catalog changes.
How long does ecommerce website development take?
A platform store launches in 2–4 weeks, a customized platform build in 4–8 weeks, and a custom ecommerce platform typically takes 10–20 weeks including design, integrations, and testing.