How to Choose the Right E-commerce Platform for Your Business
In today’s digital-first world, selling online is essential for growth. But with so many platforms available from Shopify and WooCommerce to BigCommerce and Squarespace choosing the right e-commerce platform can feel overwhelming. The right choice can simplify your operations, boost sales, and scale with your business, while the wrong one can create costly headaches.
In this guide, we’ll walk you through the factors you need to consider when selecting an e-commerce platform for your UK business, with practical insights for 2025 and beyond.
1. Understand Your Business Needs
Before comparing platforms like Shopify, WooCommerce, or BigCommerce, it’s essential to take a step back and assess your own business requirements. The right platform for one company may be completely unsuitable for another, so clarity at this stage will save time, money, and frustration later.
Business size and growth plans
- Start-ups and micro-businesses – If you’re just starting out or testing an idea, a low-cost, user-friendly solution such as Squarespace or Etsy may be sufficient. These require minimal setup and allow you to launch quickly.
- Established retailers – As your business scales, you may need advanced features like multi-channel selling (Amazon, eBay, social media shops), inventory management tools, and customer relationship management (CRM) Platforms such as Shopify Plus or BigCommerce are often better suited for high-growth businesses.
- Future-proofing – Even if you’re small now, think ahead. Migrating platforms later can be expensive and disruptive. Consider where your business could be in 3–5 years and choose accordingly.
Type of products
Different platforms are better tailored to certain product types:
- Physical goods – Shopify and BigCommerce are designed for traditional retail and logistics.
- Digital products (e.g. courses, downloads, memberships) – Platforms like WooCommerce with extensions, or Kajabi, may offer more flexibility.
- Subscriptions – If your business is based on recurring revenue, check whether the platform natively supports subscriptions or requires add-ons.
Budget
It’s easy to focus only on monthly subscription costs, but the true expense of an e-commerce platform includes:
- Transaction fees (some platforms charge a % of every sale, others do not)
- Payment gateway charges (Stripe, PayPal, WorldPay, etc.)
- Add-ons and apps – For example, advanced reporting, SEO tools, or integrations with accounting software often come at an extra cost
- Development and support – Self-hosted platforms like WooCommerce can be cheaper upfront but may require technical expertise or developer support over time.
Tip: Create a simple 12-month cost forecast that includes platform fees, payment charges, and any add-ons you expect to need. This will give you a realistic picture of total cost of ownership and help avoid surprises.
For further guidance on setting budgets and forecasting, see GOV.UK – Business Planning.
2. Ease of Use
For many small business owners, the ease of setting up and managing an online store is just as important as the features themselves. Unless you have in-house developers, you’ll want a platform that lets you launch quickly and update easily without technical headaches.
What to Look For
- Simple setup wizards – Platforms like Shopify and Squarespace guide you step by step through domain setup, product listings, and checkout configuration. This can get a new business selling online in hours, not weeks.
- Drag-and-drop design tools – A user-friendly editor allows you to build professional-looking pages without writing code. This is ideal if you want control over branding but don’t have web design skills.
- Built-in payment options – Native integrations with major gateways (e.g. PayPal, Stripe, Apple Pay) streamline checkout setup and reduce reliance on third-party plugins.
Platform Comparisons
- Shopify – Widely regarded as one of the most user-friendly platforms. The intuitive dashboard makes it accessible for beginners, while still offering scalability for larger businesses.
- WooCommerce – A powerful WordPress plugin that gives you full control and flexibility. However, it requires more technical knowledge, especially for hosting, security, and updates. This makes it a better option if you already use WordPress or have technical support.
- Squarespace – Known for beautiful templates and a simple, design-led interface. A great choice for creative businesses but less flexible for scaling complex product lines.
- BigCommerce – Slightly less beginner-friendly, but excellent for businesses that are already planning to grow.
Expert Tip
Ease of use isn’t just about setup it’s about day-to-day management. Think about:
- How easy is it to add new products, change prices, or update stock?
- Can you automate VAT calculation for UK and EU customers?
- How well does it integrate with your accounting software (e.g. The Balance App, Xero, or FreeAgent)?
Tip: Before committing, take advantage of free trials. Both Shopify and BigCommerce offer trial periods so you can test how intuitive the platform feels for your business.
Resource: GOV.UK – Selling Online and Distance Selling outlines your responsibilities when trading online.
3. Payment Options and Fees
One of the most critical factors when choosing the right e-commerce platform is how it handles payments. Customers expect a smooth, secure checkout experience, and businesses need payment options that are cost-effective and easy to manage.
Popular Payment Gateways
Most leading platforms integrate with trusted gateways such as:
- PayPal – Recognised worldwide, offering buyer protection and quick setup.
- Stripe – Popular with online retailers for its flexibility, subscription support, and ease of integration.
- Apple Pay and Google Pay – Increasingly important for mobile-first shoppers.
- Worldpay – Widely used in the UK and offers tailored business solutions.
What to Compare
- Transaction fees – Some platforms charge additional fees on top of the gateway’s standard rate. For example, Shopify charges a fee unless you use Shopify Payments, whereas WooCommerce lets you choose your gateway without extra platform charges.
- Supported currencies and regions – If you plan to sell internationally, ensure your platform supports multiple currencies, tax calculations, and compliance with VAT rules in the UK and EU.
- Payout schedules – Check how quickly you receive funds. Stripe and PayPal generally settle within 2–7 working days, but some gateways may hold funds longer.
- Accounting compatibility – Look for platforms that integrate directly with accounting software, so payments, refunds, and fees automatically flow into your bookkeeping.
Hidden Costs to Watch For
- Currency conversion fees if selling outside the UK.
- Chargeback fees when customers dispute transactions.
- Premium plugin costs for advanced checkout features (especially on WooCommerce).
Expert Tip: Always link your e-commerce platform with accounting software like The Balance App, Xero, or QuickBooks. This ensures:
- Automated reconciliation of sales and fees.
- Real-time VAT tracking, crucial for Making Tax Digital (MTD)
- Clear profit reporting, so you know your true margins after fees.
Resource: FCA – Authorised Payment Institutions lets you check whether a provider is regulated in the UK. Always use trusted, FCA-registered payment processors.
4. Customisation and Flexibility
Your online store is more than just a checkout page it’s the digital face of your brand. If branding, user experience, and scalability are priorities, you’ll want an e-commerce platform that gives you control over design, customer journey, and integrations.
What to Look For
- Themes and templates – Platforms like Shopify and Squarespace offer a wide range of professional themes, but some are free while others come with premium costs. WooCommerce, built on WordPress, gives you access to thousands of third-party templates.
- Customisable checkout – The checkout experience can make or break a sale. Look for platforms that let you:
- Add your logo and brand colours
- Customise form fields
- Enable features like guest checkout or one-click payment
- Marketing integrations – Modern e-commerce depends on more than just products. Ensure your platform integrates with:
- Email marketing tools (e.g. Mailchimp, Klaviyo, HubSpot)
- SEO features such as editable meta titles, alt text, and clean URLs
- Analytics platforms (e.g. Google Analytics 4) for data-driven insights
Platform Comparisons
- WooCommerce – Highly flexible, open-source, and ideal if you want full control. You can integrate almost any feature via plugins, but it may require technical support.
- Shopify – Offers a balance of flexibility and ease, with hundreds of apps to extend functionality. However, some features require paid add-ons.
- BigCommerce – Built for scaling retailers. Strong customisation without needing as many third-party plugins, but a steeper learning curve.
- Squarespace – Excellent for visual branding and creatives who value design. Limited in back-end flexibility compared to WooCommerce or Shopify.
Expert Tip: Flexibility isn’t always about adding features sometimes it’s about removing friction. For example, an overly complex checkout process can increase cart abandonment rates. Tools like Shopify Checkout Optimisation or WooCommerce’s Checkout Field Editor can help simplify the customer journey and boost conversions.
Resource: Baymard Institute – Checkout UX Research offers data-driven insights into optimising checkout flows.
5. Scalability
When choosing an e-commerce platform, it’s important not just to think about where your business is today but also where it will be in three to five years. The right platform should grow with you, supporting higher volumes of sales, more complex operations, and new sales channels without forcing you into an expensive or disruptive migration later on.
Key Questions to Ask
- Can it handle a larger product range?
If you plan to expand from 50 products to 5,000, check whether the platform can handle bulk uploads, advanced product categorisation, and flexible inventory management. - Will it support increased traffic?
Seasonal peaks like Black Friday or Christmas can strain servers. Cloud-hosted platforms such as Shopify and BigCommerce typically handle spikes automatically, while self-hosted solutions like WooCommerce may require extra investment in hosting and site optimisation. - Does it integrate with major marketplaces?
Multi-channel selling is now the norm. Look for built-in or app-based integrations with Amazon, eBay, TikTok Shop, and social commerce platforms like Facebook and Instagram Shops.
Platform Comparisons
- Shopify Plus – Designed for high-growth brands, it offers robust infrastructure, unlimited bandwidth, and advanced automation tools.
- BigCommerce – Strong scalability features, especially for businesses managing multiple storefronts or international sales.
- WooCommerce – Scales well with the right hosting, but requires more technical management. Hosting costs can rise sharply as traffic grows.
- Squarespace and Etsy – Better suited for niche or lifestyle brands with smaller catalogues. They are less equipped for large-scale product ranges or multi-channel expansion.
Expert Tip If international expansion is on your roadmap, check whether your platform supports multi-currency pricing, international tax rules (including VAT), and localisation options (such as language and shipping integrations). Failing to plan for this early can create barriers when scaling into EU or US markets.
Resource: GOV.UK – Selling goods online into the EU offers guidance for UK businesses planning to expand internationally.
