When to use Shopify and when to build custom
Choose Shopify if you are selling physical or digital products through a standard online store. It is faster, cheaper, and handles hosting, security, and payments out of the box. Choose custom e-commerce (Rails, Next.js) only when Shopify cannot handle your business model — multi-vendor marketplaces, complex B2B pricing, custom subscription logic, or tight integration with internal systems.
| Shopify | Custom Built | |
|---|---|---|
| Time to Launch | 1-4 weeks | 8-16 weeks |
| Cost (Year 1) | $3K-$30K (plan + theme + apps) | $20K-$100K (development) |
| Customization | Limited by platform | Unlimited |
| Transaction Fees | 0.5-2% (unless Shopify Payments) | Only payment processor fees |
| Scalability | Excellent (Shopify handles it) | Depends on architecture |
| Maintenance | Low (Shopify handles updates) | Medium-High (your responsibility) |
| Best For | Standard e-commerce, DTC brands | Marketplaces, custom workflows, B2B |
For the first 1-2 years, almost always yes. A Shopify store costs $3K-$30K to launch vs $20K-$100K for custom. However, at scale (>$1M/year revenue), custom can be cheaper due to eliminated transaction fees and app subscription costs.
Not natively. Multi-vendor marketplaces need custom development (Sharetribe, Rails, or a Shopify Plus custom build with apps). Standard Shopify is designed for single-seller stores.
When Shopify app fees exceed $2K/month, when you need workflows Shopify cannot support, or when transaction fees become a significant cost at high volume.
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