How Much Does it Cost to Start an Online Clothing Store?
Surely, clothing is a human need. We need clothes to protect ourselves against extreme weather conditions. No wonder people make a lot of money selling clothes and other clothing accessories.
Opening a boutique no doubt is a sure money spinner. The boutique industry has produced millionaires and even billionaires.
This explains the wealth and inherent profit that is in the boutique industry.
For many years, opening a boutique was done as a brick and mortar business, where we walked into our store or boutique of choice to buy the clothes and apparels we need.
But, today a lot of that has changed as people can now buy clothes online and even over the telephone. Today, a lot of the buying that is done is done from online boutiques.
The advent of technology in the 21st Century has given rise to a lot of buying and selling online and boutiques are not missing in the action.
The boutique business does not only deal with clothes but it also encompasses all the accompanying accessories which we can put on our body to complement our clothing such as wrist watches, bags, jewellery etc.
Talking about e-commerce and selling online, the online boutique business alone is worth hundreds of billions of dollars.
The global market for bags alone is worth more than $150 (U.S. dollar) and a good chunk of that value is transacted online.
This is a testament to the value that can be found in the online boutique business. That said, if you are considering the idea of starting an online boutique, you are thinking right.
Just like any other business, starting an online boutique comes with its own unique cost.
In this article, we are going to examine the cost implication of starting an online boutique and how much it costs to start an online clothing line.
STARTUP COSTS FOR AN ONLINE CLOTHING BUSINESS
The main costs of starting an online boutique which we are going to examine in this article are;
- Domain Name Cost.
- The Webhosting Cost.
- Website Development Cost.
- The Shopping Cart Installation.
- SSL Certificate Cost.
- Payment Processing Cost.
These are the cost which you must encounter in starting your online boutique. We shall now examine these costs in detail.
- Domain Name Cost
The first cost you are going to deal with when starting an online boutique is the cost of procuring the domain name for your online boutique.
To get your domain name, you would need to have an account with a domain name company. The cost for a domain name could range from $1.99 (U.S. dollar) to as high as $50.00 (U.S dollar).
The cost of the domain name would be dependent on the domain name company and the domain extension which you are using, whether it is a .net or a .com domain extension.
- The Web Hosting Cost
Another cost you would be encountering in starting your online boutique is the web hosting cost. The web hosting cost could be as low as $2.99 (U.S. dollar) a month. It is important to mention that most domain name companies or registrars offer a free domain name when you pay for web hosting.
- Website Development Cost
If you are using a professional website developer for your website development, the cost could range from $40 (U.S. dollar) to $150 (U.S. dollar) depending on your need and the experience of the web developer.
If you are developing the website yourself using a PHP platform like WordPress, this would be no cost, as WordPress is a free website development platform.
- The Shopping Cart Installation
The shopping cart installation is free. Since your online business is an e-commerce business, e-commerce websites come with a free shopping cart installation.
- SSL Certificate Cost
Your online boutique website would need an SSL Certificate to protect the financial information of your shoppers, who would be entering their banking, credit card and debit card details on your website.
An SSL Certificate provides a strong layer of security for data transfers and customer logins which your website would need. The cost for an SSL Certificate could come at $1.67 (U.S. dollar) per month.
- Payment Processing Cost
Your website would be accepting payment from customers, who would be the life wire of your business.
More than 90% of the payment on your website would be done through payment processors such as PayPal, Visa, MasterCard and other payment processing companies.
It is free to install these payment processor’s interfaces on your website, however, a transaction fee is charged.
Usually, these payment processors charge a payment processing fee of 2% to 3% per transaction.
From the information which we have provided in this article, we can see that the cost of starting an online boutique starts from $62.03 (U.S. dollar) and can go as high as $220.04 (U.S. dollar).
With the information which has been provided, you can now be sure that you understand the cost that is most likely going to come when starting your online boutique.
Note, however, that the above-mentioned cost does not include the cost of inventory. Ensure to keep the cost of your online boutique within your budget.