Why Outsource Your Ecommerce Development in 2024
Ecommerce is now one of the most demanding industries worldwide due to over USD 14.14 trillion market value in 2022. According to e-commerce professionals, the market is expected to exceed USD 57.22 trillion by 2032. From big agencies like Amazon, Flipkart, Walmart, and more to small businesses like startups- all have seen a huge turnover in their business graph chart of sales and their incomes too. To see the growth, you might feel like starting an ecommerce business. But, before jumping into anything or investing a huge amount in something, start researching and learning.
You need to remember that behind earning conversions, traffic, and a vast lot of Potential customers, and moreover, building an e-commerce website- the whole industry relies on technology. Most e-commerce businesses depend on investing in outsourcing companies to help them identify what technology they need to grow their business according to the ever-evolving landscape of technology. It is important to note that by outsourcing eCommerce store development, you are allowing professionals with extensive knowledge to manage your company’s project and provide you with custom web application development services.
Introduction to Ecommerce Outsourcing
Outsourcing ecommerce web development refers to hiring a third-party company to develop their e-commerce website with web design, app development, website development, project management, Quality Assurance (QA), and any other technologies related to online retail business to offer a great user experience and seamless navigation process.
Online e-commerce businesses can choose to handover all of their project management and e-commerce operations to third-party web and app development providers or they can choose to divide the tasks between outsourcing an e-commerce development company and their own in-house team.
Mostly, e-commerce businesses outsource third-party providers to save current costs or add new resources to their business when they can’t afford or don’t have any wish to hire professionals.
Outsourcing Vs In-house Ecommerce Development
Now, you might have a question about why e-commerce business owners want to invest in third-party e-commerce development over hiring an in-house team. First and foremost, you need to have a clear idea of outsourcing and having an in-house team.
Outsourcing means partnering with a third-party company to complete the tasks and on the other hand, having an in-house team means the practices of hiring an in-house team to complete the whole e-commerce tasks.
For instance, let’s think about an e-commerce business that only provides products or services online. The departments of this kind of e-commerce company have website and application development, project management, shipping management, inventory, marketing, customer service, and sales.
If you break down each department, you will see each department has many different tasks from human resources to accounting. Startups mostly hire one person or two people to do the all work. But you need professionals in each department for getting succeed in growing an e-commerce business. This is where businesses decide whether they need to outsource an e-commerce development company or hire an in-house team.
In the event the business owner is unable to handle this task themselves, they can outsource the job to an accountant. Although in-house employees are more expensive, they’re easier to manage, and they’re always available except when sick.
Outsourcing Vs Offshoring
Outsourcing and offshoring are two distinct concepts in business. Outsourcing involves contracting a third-party company to perform certain services or tasks on behalf of the company, while offshoring is the practice of moving business processes or services to another country.
In the context of e-commerce development, outsourcing refers to hiring a third-party company to handle the development of an e-commerce website or application. This third-party company can be located either within the same country or in a different country.
On the other hand, offshoring involves moving some or all of the e-commerce development processes to a different country where labor is cheaper. This can include hiring a team of developers or a company to handle the development process in a different country.
In simple words, outsourcing can be done locally or internationally, while offshoring specifically involves moving business processes to another country to take advantage of lower costs.
Why Does an Ecommerce Company Prefer Outsourcing Ecommerce Development?
To be on the market in the online e-commerce industry, you need two primary things: an e-commerce website and an application. In today’s world, there are a plethora of eCommerce platforms available that provide a wide range of customization options and features to create your online store. Popular platforms like Shopify and Magento are just a few examples of the many options available to eCommerce business owners.
Outsourcing your e-commerce development is a good idea because it has many advantages. It can help you with the development of your website and application. So, that your customers can navigate your website and application seamlessly and get a great user experience.
If you hire an in-house team in order to manage all the tasks, it can be daunting. You might leave any task unfinished to complete other tasks. You can outsource your e-commerce development to ease the workload and shift focus to driving more sales and traffic.
Top Benefits of Outsourcing Ecommerce Development
To stay ahead of the competition, businesses need to invest in our high-quality e-commerce development. Here are top benefits of e-commerce development which are mentioned below:
Instead of hiring professionals for each department, outsourcing your e-commerce company development to third-party companies, especially overseas companies can help you to reduce labor costs. There are many countries in the world where labor costs are lower due to different costs of living all around the world.
However, if you cut down the cost of living from the scene, still outsourcing is the best option for e-commerce companies because business owners don’t have to pay any kind of payroll taxes, and other equipment for the outsourcing team.
When you outsource your e-commerce development, you can avoid the expenses related to employee downtime and the costs of hiring and firing employees as your business grows. These expenses can accumulate rapidly and become a significant overhead.
2. Get More Options When It Comes to Outsourcing
When you are about to hire a candidate you get fewer options because you are stuck among the small pool of job candidates. This is especially difficult when you are looking for a particular specialization or credential but you can’t find any local job candidates.
But when you outsource your work, then you can find a whole ship of candidates from all around the world who are interested in this. You can hire different countries’ candidates from your SEO marketing, project management, developers, and more.
Saving time is one of the most crucial benefits of outsourcing e-commerce development. Let’s discuss, why we say this:
First and foremost, hiring a whole team of professionals for in-house e-commerce development takes much time and it’s a very tiring process. However, when development tasks start to pile up and get complicated, any business including enterprises and startups starts to find an outsourcing e-commerce development team.
Most of the important advantages of outsourcing an e-commerce team is working asynchronously if you’d like. Outsourcing e-commerce development allows you to launch your e-commerce website faster. E-commerce development companies have a team of professionals who work together to complete the project within a short time frame. This allows you to take advantage of market opportunities faster and stay ahead of your competitors.
Outsourcing e-commerce development provides scalability to your business. E-commerce development companies can easily scale their services up or down based on your business needs. This allows you to easily adapt to market changes and expand your business as needed.
5. Focus on Core Business Activities
Outsourcing e-commerce development allows you to focus on your core business activities. By outsourcing the development, you can free up your time and resources to focus on other important business activities, such as marketing, sales, and customer service.
6. Quality Assurance
E-commerce development companies have a team of quality assurance professionals who ensure that your e-commerce website is working as expected. They conduct thorough testing to ensure that your website is bug-free and provides a seamless user experience.
Outsourcing e-commerce development allows you to customize your e-commerce website according to your business needs. E-commerce development companies can create a customized website that reflects your brand and offers a unique user experience.
Outsourcing e-commerce development provides many benefits to your business. It allows you to save on costs, access skilled professionals, launch your website faster, scale your business, focus on core business activities, ensure quality assurance, and customize your website. By outsourcing e-commerce development, you can take advantage of the latest trends and technologies in the market and stay ahead of your competitors.
How to Outsource Ecommerce Development Effectively?
Here are the top 3 steps you need to take while outsourcing an e-commerce development which is mentioned below:
1. Set Your Budget and Your Project Requirements:
Before jumping into the outsourcing project, you need to set your project requirements and the budget. If you are still confused about what your project requirements are or which way you are heading, then it is high time to grab a pen and paper and start writing the goals and requirements.
- What do you want to achieve?
- What is your budget?
- What time do you prefer to launch?
- What kind of risks you might get while working with outsourcing e-commerce development?
- What kind of store do you want? Do You want to use SaaS platforms like Shopify or do you want to customize your online store from scratch using e-commerce platforms like Magento?
- Does your e-commerce store need the application?
- What features do you want for your application and website?
- What would be your marketing approach?
Try to answer the following questions and make a list. This list helps you to think about the big-picture approach.
2. Choose The Right Ecommerce Web Development Outsourcing Company
You need to find a suitable company to work with and also, they need to do their best work to provide the results you want. After we’ve selected the goals and objectives, you need to make a list of questions to ask the potential development companies you want to work with. This process will help you to maintain a balance of your work and save you time. First, you need to check their expertise, portfolio, and reviews because jumping into the partnership, you need to check whether their expertise matches your target audience demographic.
3. Maintain communication and give feedback
Effective communication is crucial when outsourcing your e-commerce development project. It is important to engage in clear and open two-way communication with the website development company to ensure that they understand your specific requirements. This will help you to ask questions, explain any issues or misunderstandings, and keep track of their development progress.
By doing so, you can establish a reliable connection with the outsourced team, which is essential for future website revisions. Additionally, do not hesitate to make recommendations and express your opinions. This will enable the website developers to deliver the desired results and ensure that you are satisfied with the final product. Moreover, it will help to build a strong relationship between your organization and the web design outsourced firm, paving the way for future collaborations.
Companies with complex and complicated tasks can benefit from outsourcing e-commerce web development. Still, the fact is outsourcing an ecommerce development company offers better communication and more technical expertise.
We hope this article on why outsource your e-commerce development in 2024 will help you understand it better. If you want to outsource, we are here to shake our hands with you. Our web development and web design services can help you make your website and application interface seamless. If you want to read more about trending topics, keep your eye on our blog page.