Shopify VS Amazon FBA Which is Better: Hello Guys Welcome Back to the Madvicks I’m Akash and today I want to talk about questions that are beginning about Shopify So if you really want to start e-commerce make sure to read this article till the end I sure this one helps you a lot take a look some common questions.
If Shopify a viable business is it better than Amazon it’s better than eBay should I do amazon FBA should I sell on Shopify should I do both should I do neither Shopify vs Amazon I’m going to answer all those questions in this article.
What Is Shopify
Shopify well if we take a look at the official description on the Shopify website you can see here Shopify says that Shopify is a complete e-commerce solution that allows you to set up an online store to sell your goods it lets you organize your products customize your storefront accept credit card payments track and respond to orders all with a few clicks of the mouse.
So what does that mean so basically Shopify is a online platform so it’s a website you can use to make your own shop online so if you have an idea of some products that you want to sell and make a profit from Shopify is a platform that you can log into online create your designs add your products and set up your own online store.
Shopify dropshipping is basically you create an online storefront with Shopify you create products usually we would create products that are geared towards a specific niche or a specific category okay from then you will order the product only after someone purchases it okay so, in theory, there’s really no startup costs because you’re only ordering products when a customer actually purchase it.
Pros In Shopify
- Low Startup Cost:-
Pro is that initially, you have a low startup cost, okay so you’d only be paying for your Shopify Shopify store which is about thirty dollars a month.
- Easy To Build A Brand:-
It’s a lot easier to build a brand on Shopify and it’s because you can collect customers emails.
- Social Traffic:-
It’s you can have an Instagram account for it you can have a Facebook account you can drive the traffic through there.
- Provide Customer Service:-
It’s just a lot easier to you know provide customer service with your customers with Shopify dropshipping or having a Shopify store in general.
Cons In Shopify
- Zero Customers Base In Beginning:-
First, the con is that you have zero customers at the beginning once you open the store not a single soul unless in this world knows you have a Shopify store unless you told your girlfriend or your boyfriend or your parents that you have a Shopify store.
- Pay Money For Advertising On Facebook:-
The biggest con for me personally is that you have to learn about Facebook ads and you have to pay for all your Facebook ads to continuously drive traffic to your store.
- Testing For Products Or Find Products:-
Another con for me would be a lot of testing for products that sell well till you find a winning product or niche so it’s a ton of testing so yes initially it’s a little startup cost because you’re only paying for your Shopify store but the amount of testing that you have to do to find those winning products and to find a winning add-on fit for a winning Facebook ad it takes a lot of time and it takes a lot of money as well.
- Life Cycle Product:-
The last con is the life cycles or the life cycle of products are a lot shorter okay so usually when you find a winning product usually that product will do well for a while but after then usually, sales will start to decline a lot of people start to enter the market and just life cycles just become a lot shorter from there.
What Is Amazon FBA
What’s Amazon FBA FBA stands for fulfillment by Amazon you basically ship your inventory into an Amazon warehouse they pack it and they ship all your packages for you to your customers.
You don’t need to do anything all process or customer service and management all things are managed by amazon that it’s all we all know about amazon so don’t need to go in more detail so let’s go to the pros and cons section.
Pros Of Amazon FBA
- Largest Retailers In The World:-
First pro and probably the and my favorite pro or the best Pro is that there are 300 million active users on Amazon alright and it’s the biggest marketplace in the world there’s no doubt that I’m sure you guys know that.
- Less Risk:-
There is less risk as long as you do the proper product research upfront okay so if you do the proper product research upfront there’s almost you’re guaranteed to make money you know so long as you follow the product research criteria is etc.
- Don’t Have To Pay For Ads:-
You don’t have to pay for ads however you still can there is an advertising platform on Amazon that you that I recommend people use anyway but you don’t have to pay for Facebook ads you don’t have to pay for outside of outside traffic and stuff like that.
- Less Work:-
There’s a less work after you actually find your product so when you find your product on Amazon you guys don’t have to do anything else you wouldn’t see fine your product and it’s already ranking and your start rendering revenue the literally the only thing that you do is order more inventory when you start to run low on inventory.
Cons Of Amazon FBA
- Higher Startup Cost:-
Compared to drop shipping there’s a higher startup cost to shop to there’s a higher startup cost to Amazon FBA alright you need at least a $1000 to start I started off with $1200 I order 240 units initially so you could I have had people have started with eight hundred or a thousand dollars but just to be on the safe side I always say to have a little bit more than a thousand.
- Hard To Build A Brand:-
It’s hard to build a brand Amazon if you’re trying to look for good products all the time okay because look if you’re if you find out if you want to start a baby product you may find what like a good baby product to sell but if you find another product and it’s like in the sports department you can’t really merge those two products together when you’re a brand.
- More Research:-
The product research phase is pretty difficult for a lot of people but once you find that product you’re all gold and I tell people all the time you’re one product away from changing your life all you need is that one product you do your due diligence make sure you do your proper product research.
My Personal Opinion
There you’re all good to go which one do I like I gotta be honest with you guys Shopify vs Amazon and I’m gonna say that I like Amazon FBA so much better purely because of their marketplace like I said earlier Amazon with I mean with Shopify you’re starting with zero customers to start you have to drive all your traffic but with Amazon, you literally have 300 million active users it’s the biggest marketplace in the world so you could utilize that marketplace.
Shopify vs Amazon You know whatever your budget is or whatever you guys feel like would be of more interest to you it’s really up to you guys but at the end of the day like.
You have to take action you have to go in if you’re going to drop shipping go all-in on it learn it and execute if you’re gonna go on Amazon FBA learn it and execute a lot of times people just like juggling with these two business models or other business models online and they never really get anywhere so you’ve got to go all-in if you pick well with whatever business model you choose to go with.
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