Shopify vs Amazon vs Etsy: Which Platform Should You Choose for Selling Online?

So you’ve decided to open your own online store? Congratulations! But which platform should you choose? With platforms like Shopify, Amazon, Etsy, and others vying for your attention, it’s easy to feel a bit lost. Each platform has its own strengths and weaknesses, and the best one for you depends on your business, products, and overall goals (yes, you want to sell, but there are other things too!) Here, I’m going to take deep dive into the three most popular online stores and this will hopefully help you make up your mind.

Selling on Shopify

Shopify is a fully customisable platform designed for building your own online store. Think of it as being like a virtual high-street shop. You’re in complete control of your branding, layout, and customer experience.

What’s great about Shopify?

Full Ownership: with Shopify, your store is truly yours. It’s unlikely to be randomly shut down, or have any new rules suddenly imposed (like on a third-party platform).

• Customisation: you can choose from hundreds of themes and apps to personalise your store’s look and functionality.
• Scalability: whether you’re a small business or a growing enterprise, Shopify can grow with you, handling everything from a few sales a week to thousands.
• Integrated Tools: Shopify’s in-built tools make it easy to manage inventory, shipping, and SEO to attract more traffic.

Challenges of Shopify

• Your marketing is all on you: since it’s your own store, you’re responsible for driving traffic through SEO, ads, or social media. It’s great for building a brand but requires effort and can be expensive if you outsource (which you probably should really).
• Costs can quickly add up: there is a monthly fee (currently starting at £29/month) plus transaction fees unless you use Shopify Payments. If you add premium apps, costs can rise.

Selling on Amazon

Amazon is the world’s largest online marketplace, and millions of people shop there daily. Selling on Amazon means plugging into a ready-made audience that is waiting to buy from you.

What’s great about Amazon?

• Huge Audience: millions of active buyers are already on Amazon, meaning you get to skip a lot of the marketing you will need to do with e.g. Shopify.
• Fulfilment by Amazon (FBA): FBA lets you send your products to Amazon’s warehouses, and they’ll handle packing, shipping, and even customer service (see my earlier blog post about this.)
• Trust factor: buyers trust Amazon, which can help new sellers build credibility faster.

Challenges of Amazon

• Limited branding: your store is just another listing on Amazon, making it hard to stand out or build a solid and recognisable brand.
• Competition is fierce: you’ll be up against thousands of sellers, including Amazon itself, for most products.
• Fees: Amazon takes a hefty cut, with referral fees, FBA costs, and more eating into profits.

Selling on Etsy

Etsy is the go-to platform for handmade, vintage, and unique products. If your goods are creative, niche, or artistic, Etsy could be your perfect home.

What’s great about Etsy?

• Built-in audience for niche products: Etsy shoppers are specifically looking for creative and handmade items, so your products are more likely to resonate with those buyers.
• Easy to set up: it’s pretty straightforward to create an Etsy shop, and you don’t need a lot of technical knowledge or experience (you do need a bit for, e.g. Shopify).
• Affordable starting costs: there’s no monthly fee, only a small listing fee (around £0.16 per product) and a transaction fee when you make a sale.

Challenges of Etsy

• Limited Customisation: your shop will have an Etsy-branded look, so you can’t make it feel or look entirely your own.
• Competition is growing: while Etsy is great for niche products, there’s an ever-expanding number of sellers who will be competing with you.
• Platform dependency: like with Amazon, you’re at the mercy of Etsy’s rules and algorithms, which can change unexpectedly.

Other Platforms to Consider

There are other platforms worth exploring depending on your goals and products.

• eBay: ideal for selling anything from collectables to everyday items. It’s auction-based or fixed-price, depending on your preference, but doesn’t offer much branding control. It’s also super-competitive and (in my opinion) perhaps not the great experience it was a few years ago.
• WooCommerce: this is a free WordPress plugin that lets you create a custom online store. It’s flexible but requires more technical know-how than Shopify.
• BigCommerce: similar to Shopify but with a stronger focus on large businesses needing advanced tools.

What’s the Right Choice for You?

The best platform depends on your priorities. These could be that:

• You want control and to build a brand: in this case, go with Shopify. It’s perfect for building a professional store and growing a standalone brand. You’ll need to market your store, but the payoff is worth it.
• You want quick access to millions of buyers; here you could choose Amazon. It’s ideal if you’re ready to compete and don’t mind sharing profits with the platform.
• You’re selling handmade or creative products; Etsy is likely your best bet. It’s easy to use, and your target audience is already shopping there.
• You’re a hobbyist (maybe an artist who wants to occasionally sell prints) or you’re selling a mixture of different products (say, dog bowls and fizzy drinks); here maybe consider eBay or another smaller platform. They’re straightforward, though less suited for long-term brand building.

Combining E-commerce Platforms

Who says you have to choose just one? Many sellers use multiple platforms to diversify their income streams and avoid having all the eggs in one basket. For example, you could use Shopify for your main brand store while listing some items on Amazon or Etsy to attract a wider audience. Bear in mind, however, that this can get a little complicated and/or expensive as you will have multiple fees, and you will need to be mindful of e.g. inventory management across platforms to avoid overselling.

Finally, selling online is more accessible than ever, and the right platform can make all the difference. Take some time to weigh the pros and cons, and don’t be afraid to test the waters with more than one platform. Most of the stores offer a free or low-priced trial for beginners so take advantage of it! After all, the online world is your oyster — why not make the most of it?

Which is your favourite platform for buying or selling?