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Ecommerce Website Cost in India: What You'll Really Spend in Year One

What an ecommerce website really costs in India in its first year: build, hosting, platform and payment fees, maintenance and GST, with three worked examples and a checklist for judging any quotation.

By Debashree, founder of WebneticUpdated 14 min read

A shopper holding a bank card at a laptop, surrounded by icons for online payments, delivery and shopping

When business owners ask what an ecommerce website costs, they usually mean the development quote. That's only part of the answer. Over the first year you'll also pay for hosting, payment processing on every online order, maintenance, and, depending on the platform, a monthly subscription and extra transaction fees. Two quotes that look far apart can end up costing much the same once those running costs are counted. Two that look alike can end up very different.

This guide explains every cost you can expect, shows which costs apply to which kind of store, and works through three example budgets with the arithmetic visible. It ends with a checklist for judging any quotation you receive, from us or anyone else.

The short answer: your first-year cost = one-time build cost + hosting and domain + platform fees + payment charges on your online sales + maintenance + any optional services you choose. Only the build is fixed upfront. Most of the rest grows with your sales.

Two kinds of cost: one-time and ongoing

Cost When you pay Grows with sales?
Design and development Once, at the start (usually in stages) No
Hosting and domain Yearly, or monthly with some hosts Only if you need bigger hosting
Platform subscription Monthly or yearly (subscription platforms only) Higher tiers suit higher sales
Platform transaction fees Per order (some platforms only) Yes
Payment gateway charges Per online payment Yes
Maintenance and support Monthly or yearly Mostly no; grows with complexity
Optional services (shipping tools, messaging, premium extensions) Per use or per year Often yes
GST On taxable services and fees Follows the amounts above

Keeping the two halves separate makes quotes comparable. A low build price with high running costs can cost more by the end of the year than a higher build price with lean running costs.

Which costs apply to your kind of store?

Not every cost applies to every store. The three most common routes in India work differently:

Cost WooCommerce (WordPress) Shopify Custom (e.g. React / Next.js)
Build Yes Yes (theme setup or custom theme) Yes, usually the largest
Platform licence None: WooCommerce is free, open-source software (WooCommerce (opens in a new tab)) Monthly plan fee None for the code itself
Hosting You pay a hosting provider Included in the plan You pay for hosting, often for several services
Platform transaction fee None Applies when you use a third-party payment provider (see below) None
Payment gateway charges Yes Yes Yes
Maintenance WordPress, theme and plugin updates, security, backups Fewer server tasks; apps and theme still need care Code, hosting and security upkeep
Extensions and apps Optional paid plugins Optional paid apps, often monthly Built or integrated as needed

What this means: WooCommerce and custom stores have no platform fee, but you take on hosting and upkeep. Shopify bundles hosting into the subscription but can charge on each order. Which works out cheaper depends on your sales volume, as the examples below show.

The build: what you're actually paying for

Development quotes differ mainly because the scope differs. A store build typically includes:

  • Design: adapting a ready-made theme, or designing your brand's pages from scratch, especially the product, category, cart and checkout pages.
  • Catalogue setup: product types, variations (size, colour, weight), categories and filters, and how many products are entered for you.
  • Payments and checkout: connecting a payment gateway, cash on delivery rules, coupons and tax settings.
  • Shipping: delivery zones, charges and a courier integration.
  • Integrations: accounting, inventory or ERP, CRM, messaging, marketplaces.
  • Custom features: subscriptions, B2B pricing, custom checkout logic, multi-vendor marketplaces.
  • Testing, launch and training: checking payments and devices, then teaching your team to run the store.

A quote that names each of these is far easier to compare than a single figure.

At Webnetic, we publish two starting points:

  • WooCommerce Store, from ₹25,000: up to 40 product listings, with payment gateway and shipping integration, live chat and social media integration.
  • Custom Ecommerce (React / Next.js), from ₹60,000: up to 100 product listings, with payment gateway and shipping integration, live chat, social media integration and an SEO-ready ecommerce structure.

Larger catalogues, marketplaces and bespoke features are quoted on scope. See our ecommerce website development page for what each includes.

Hosting and domain

  • Domain: your web address, renewed every year. Register it in your business's name so you control it, whoever builds or maintains the site.
  • Hosting: where your store runs. A small WooCommerce store can start on modest managed hosting. A growing catalogue or heavy traffic needs more capacity. A custom headless store may need separate hosting for the storefront, the backend and the database.

Prices vary a lot between providers and plans, so get them in writing before you commit. Shopify includes hosting in its monthly plan. For custom stores, as one example, Vercel, a widely used host for Next.js, states that its free Hobby plan is "for personal, non-commercial use", and lists its Pro plan at $20 per developer seat per month (Vercel pricing (opens in a new tab)). A store's backend and database are usually billed separately.

Payment gateway charges: the cost that grows with every sale

Every online payment passes through a payment gateway, which charges a percentage of each transaction. Rates differ between gateways and between payment methods, so check the current pricing page of the gateway you'll actually use.

As an example of how the terms work, Razorpay's published standard pricing (page last updated May 2026) lists (Razorpay pricing (opens in a new tab)):

  • a 2% platform fee on domestic cards, net banking, wallets and UPI. For UPI and RuPay debit cards it notes "zero MDR" and says the 2% is a platform fee
  • 2.15% for corporate or business credit cards
  • up to 3% for international cards
  • 18% GST on the fee
  • no setup fee and no annual maintenance charge

Other gateways publish different structures. Cashfree, for instance, lists separate rates by method and, at the time of writing, a time-limited offer for new merchants (Cashfree charges (opens in a new tab)). High-volume businesses can often negotiate rates, but negotiated rates aren't published, so plan with the standard rate.

How to calculate it (worked example): 2% fee × 1.18 (to add 18% GST on the fee) = 2.36% effective cost on each standard online payment. At ₹2,00,000 a month in prepaid online sales: ₹2,00,000 × 2.36% = ₹4,720 a month, or ₹56,640 a year.

Cash on delivery orders don't pass through the gateway. They have their own costs, such as courier collection charges and returned parcels, which depend on your courier agreement.

Platform subscription and transaction fees (Shopify)

Webnetic builds on WooCommerce and custom React / Next.js, not Shopify. We include Shopify here because it's a common alternative, and its costs work differently.

Shopify India's published pricing (Shopify pricing (opens in a new tab)):

Plan Price billed yearly Price billed monthly Extra fee with a third-party payment provider
Basic ₹1,499 / month ₹1,994 / month 2%
Grow ₹5,599 / month ₹7,447 / month 1%
Advanced ₹22,680 / month ₹30,164 / month 0.6%
Plus from ₹1,75,000 / month not shown 0.2%

That extra fee is charged on top of your gateway's own charges whenever you use a third-party provider such as Razorpay. Shopify notes that it isn't charged on manual payment methods such as cash on delivery (Shopify Help: manual payments (opens in a new tab)). We couldn't find official confirmation that Shopify's own payment service is available to Indian stores, so check your eligibility directly with Shopify. The pricing page also doesn't say whether these prices include GST.

When does a higher Shopify plan pay for itself? (our calculation from the published yearly prices)

  • Basic costs ₹17,988 a year (₹1,499 × 12) and charges 2%. Grow costs ₹67,188 a year (₹5,599 × 12) and charges 1%.
  • Grow becomes cheaper once the 1% saving exceeds the ₹49,200 difference in plan fees: ₹49,200 ÷ 1% = ₹49.2 lakh a year in third-party-processed sales (about ₹4.1 lakh a month).
  • Advanced (₹2,72,160 a year) overtakes Grow only above (₹2,72,160 − ₹67,188) ÷ 0.4% = ₹5.12 crore a year.

Maintenance and support

An ecommerce store has moving parts: software updates, security patches, backups, payment and shipping integrations that change, and new products and offers. Neglected maintenance tends to surface as a broken checkout or a security problem, usually at the worst moment.

What maintenance involves depends on how the store is built:

  • WooCommerce: WordPress core, theme and plugin updates, compatibility testing, security monitoring and backups.
  • Shopify: no server upkeep, but apps, theme changes and content still need managing.
  • Custom: dependency updates, hosting and database care, and code changes when integrations evolve.

That's why maintenance is priced by technology. Webnetic's website maintenance services are quoted according to whether your store runs on WordPress / WooCommerce or is custom-coded, after we've reviewed it.

Optional and ongoing operating costs

These depend on how you run your business, so we don't put numbers on them. Ask for each provider's current pricing:

  • Shipping aggregator or courier fees, per shipment
  • SMS, WhatsApp or email notifications, usually per message or monthly
  • Premium plugins or apps, often yearly or monthly licences
  • Accounting, inventory or ERP connectors
  • Marketing and advertising, usually your largest growth cost, and not a website cost at all

GST on development

Development services usually attract GST, so ask every developer whether their quote includes it or adds it on top. If your business is GST-registered, check with your accountant whether you can claim the GST on the invoice as input tax credit.

Three worked first-year budgets

These are illustrations, not quotes. Each states its assumptions so you can swap in your own numbers.

  • Payment charges use Razorpay's standard published rate (2.36% including GST on the fee) and assume every order is paid online. Real stores usually have a mix of prepaid and cash on delivery orders.
  • H = hosting and domain (from your chosen provider). M = maintenance (quoted for your stack).

Scenario 1: a WooCommerce launch store

  • Assumptions: up to 40 products, standard features, ₹2,00,000 a month in online sales (₹24 lakh a year).
Cost Year 1 How it's derived
Build (Webnetic WooCommerce Store) ₹25,000 + GST if applicable Published starting price
Hosting and domain H Your provider's quote
Platform licence ₹0 WooCommerce is free software
Payment charges ₹56,640 ₹24,00,000 × 2.36%
Maintenance M Quoted for WordPress / WooCommerce
Year 1 total ₹81,640 + H + M + GST on build Sum of the above

For comparison, the same sales on Shopify Basic using a third-party gateway:

  • ₹17,988 plan
  • ₹48,000 extra Shopify fee (₹24,00,000 × 2%)
  • ₹56,640 gateway charges

That's ₹1,22,628 a year before any build cost or apps, and the platform part of it recurs every year.

Scenario 2: a custom React / Next.js store for a growing brand

  • Assumptions: up to 100 products, custom design, ₹8,00,000 a month in online sales (₹96 lakh a year).
Cost Year 1 How it's derived
Build (Webnetic Custom Ecommerce) ₹60,000 + GST if applicable Published starting price
Hosting H Storefront plus backend services; your provider's quote
Platform licence ₹0 Custom code
Payment charges ₹2,26,560 ₹96,00,000 × 2.36% (standard rate; negotiated rates may be lower)
Maintenance M Quoted for a custom-coded stack
Year 1 total ₹2,86,560 + H + M + GST on build Sum of the above

For comparison, Shopify's plan fee plus third-party fee at this sales level (gateway charges excluded, since they apply either way):

  • Basic: ₹17,988 + ₹1,92,000 = ₹2,09,988
  • Grow: ₹67,188 + ₹96,000 = ₹1,63,188
  • Advanced: ₹2,72,160 + ₹57,600 = ₹3,29,760

At this volume Grow is the cheapest Shopify plan, consistent with the break-even point above. A custom store pays none of these platform charges; the trade-off is hosting and upkeep.

Scenario 3: a complex store beyond 100 products

  • Assumptions: a large or B2B catalogue, custom checkout logic and integrations, ₹25,00,000 a month in online sales (₹3 crore a year).
Cost Year 1 How it's derived
Build Quoted on scope Depends on catalogue, integrations and custom logic
Hosting H Several services; scaled for traffic
Platform licence ₹0 Custom code (WooCommerce would also be ₹0)
Payment charges ₹7,08,000 at the standard rate ₹3,00,00,000 × 2.36%; at this volume it's worth negotiating
Maintenance M Quoted for the stack

Custom stores make sense when your business needs logic, speed or integrations that a plugin-based store can't deliver cleanly, not just to avoid fees. See our custom React & Next.js stores for what's involved.

How to read an ecommerce quotation: a checklist

Before you compare prices, make sure each quote answers these questions:

Scope

  • How many products will be entered for you, and how many variations?
  • Is the design custom or theme-based? How many revision rounds are included?
  • Which payment gateway and shipping integrations are included, and which features are excluded?

Ownership

  • Will the domain, hosting and payment gateway accounts be in your business's name?
  • Do you own the code and content after final payment?

Running costs

  • What will hosting and the domain cost each year, and who arranges them?
  • Which paid plugins or apps are needed, and what do they cost each year?
  • What maintenance is offered, what does it cover, and how is it priced?

Terms

  • Is GST included or added on top?
  • What's the payment schedule? At Webnetic, for example, work starts with a 25% advance.
  • What's the timeline, and what does it depend on from your side, such as content and product data?
  • How long is support included after launch?

Red flags: a single price with no breakdown, a domain registered in the developer's name, unstated renewal or plugin costs, and "unlimited" anything without definitions.

Does your city change the price?

Not much. Most ecommerce builds are planned, designed and reviewed online, so you can work with a developer anywhere in India. Price differences come mainly from scope, the platform and the provider's team and overheads, not from where you're located. Choose on the clarity of the proposal and the quality of the work you can see.

How to keep costs under control without cutting quality

  • Launch with what you need to sell well, and add advanced features once real orders show what customers want.
  • Choose the platform for your next two years, not just your launch. Moving platforms later costs more than choosing well now.
  • Budget for maintenance from day one. It's cheaper than repairing a neglected store.
  • Prepare your product data early. Missing photos and descriptions are a common cause of delays.
  • Review payment charges once your volume grows. At higher volumes, negotiated gateway rates or a different Shopify plan can change your running costs noticeably.

Frequently asked questions

What are ecommerce website charges in India? There are two parts: a one-time build cost and ongoing costs (hosting, payment charges, platform fees where applicable, and maintenance). Webnetic's WooCommerce stores start from ₹25,000 (up to 40 products) and custom React / Next.js stores from ₹60,000 (up to 100 products). Running costs depend on your platform and sales, as the examples above show.

Can I build an online store for under ₹30,000? Yes. A WooCommerce store with a focused catalogue can be built in that range, including ours from ₹25,000 for up to 40 products. Remember to budget separately for hosting, the domain, payment charges and maintenance.

What does a WooCommerce store cost to run each year? WooCommerce itself is free. You pay for hosting, the domain, any premium plugins, maintenance and payment gateway charges. There's no platform transaction fee.

Is GST charged on website development? Development services usually attract GST. Ask whether your quote includes it, and check with your accountant whether your business can claim it as input tax credit.

How much do payment gateways charge? It varies by gateway and payment method. For example, Razorpay's standard published rate is 2% (2.15% for corporate cards, up to 3% for international cards) plus 18% GST on the fee. Always check your chosen gateway's current pricing.

Is Shopify cheaper than WooCommerce? Shopify includes hosting but adds a monthly plan fee and, with third-party gateways, a fee on each order. WooCommerce has neither, but you pay for hosting and upkeep. Run the numbers on your expected sales using the examples above.

Planning your store?

Share your product count, the features you need and how you plan to take payments. We'll send a clear, itemised quote covering the build, the running costs to expect and what's included, so you can compare it fairly with any other.

Request an ecommerce quote · Compare our ecommerce packages

Prices and fees in this guide were checked against official sources on 28 October 2026 and can change. Confirm current rates with each provider before you decide.

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