The Ultimate Guide to B2B eCommerce Platform Costs

How much can a B2B ecommerce solution cost? And which B2B ecommerce platform pricing model is the most optimal? The simplest answer would be that it depends on numerous factors, including the current state of your online business, company size, and the complexity of business operations.

Generally speaking, B2B digital commerce solutions cost more than B2C. A future-proof enterprise-grade ecommerce platform is likewise more expensive than those serving small to medium-sized companies.

Virto Commerce experts composed a comprehensive guide to help decision-makers tackle the complex topic of B2B commerce platform costs and understand what goes into solution expenses. In this guide, we present a breakdown of the costs associated with B2B ecommerce software development and implementation and explore B2B commerce platform pricing models with real-life examples and best practices to optimize your B2B platform costs.

1. WHY DOES A B2B ECOMMERCE PLATFORM COST MORE THAN A B2C ONE?
2. WHAT’S INCLUDED IN B2B ECOMMERCE PLATFORM COSTS?
3. BEST TIPS TO OPTIMIZE YOUR B2B ECOMMERCE PLATFORM COSTS

Generally speaking, B2B ecommerce platforms can be more expensive than B2C because of the diversity and richness of business scenarios a B2B solution must handle. The B2C model has a relatively straightforward shopping cart process, while B2B multi-vendor marketplaces, for instance, require advanced features to manage numerous suppliers, role-based access control, contract-based catalogs and pricing rules, and so much more. The B2B solution should also be robust enough to handle significantly larger order sizes with real-time inventory management and precision.

The B2C model allows businesses to take maximum advantage of standard out-of-the-box features from all-in-one platforms with little to no additional costs spent on adapting their business processes. The complex B2B model, however, requires a solution tailored to the unique needs of the business. In other words, for maximum efficiency, the B2B platform must adapt to the business, not the other way around.

In general, business owners need to consider the following B2B commerce platform costs. We grouped the most common of them in the list below. We avoid adding a simplistic price range under each category as the costs are not fixed and can vary greatly depending on operational demands, business size, customization requirements, and more.

Most B2B ecommerce platform vendors have a recurring monthly or annual license fee to own a copy of the software and use out-of-the-box features provided by the platform over a specified time frame. The list of features can vary depending on the contract, and some vendors require subscription fees for using additional but necessary plugins and extended functionality on top of basic features.

Besides payments to an ecommerce platform vendor, the license costs can include subscription fees for functionalities and add-ons provided by third-party vendors. For instance, if a company uses third-party services for personalized product recommendations, their cost should be included as well.

License fees can vary from contract to contract and offer a different B2B commerce platform pricing approach to meet business requirements at various growth stages: transaction volume-based pricing model, user count-based model, GMV-based model, or revenue-based ecommerce platform pricing model.

The transaction volume-based and user count-based pricing models can be the best options for small businesses to keep expenses under control. In contrast, large enterprises may find it more fitting to explore a GMV-based pricing approach with appropriate platform vendors to ensure scalability.

The deployment and platform hosting costs also depend on whether the solution is cloud-based or on-premises. It is worth noting that cloud solutions (PaaS and SaaS platform vendors) often combine license and hosting fees into a single item of expenditure.

On-prem deployment implies the company, and not the platform vendor, is responsible for installing and hosting an ecommerce solution. The main misconception we see from B2B companies considering on-premises deployment is that they often assume that it is done simply by deploying a platform as is by following simple instructions provided by a vendor. However, modern B2B ecommerce solutions encompass numerous independent packages that deliver tailored solutions for business needs. These can include specific search engine software, PIM solutions, CMS or CRM systems, and more.

When deploying on-premises, a company must consider all the software that must be installed independently from a platform and usually at a higher price compared to a packaged deal by a cloud-based platform vendor.

From our experience, on-prem deployment and data hosting is a viable option for very niche markets and companies under strict regulatory compliance requirements. The pharmaceutical and biotechnology industries are a great example of this. Due to very strict data privacy laws, pharma companies can require on-prem software that gives them full control over sensitive information and allows them to determine who and when has access to data.

Most modern businesses already have some functioning digital ecosystem. So, when assessing B2B ecommerce platform costs, many enterprises are not necessarily looking to build a solution from scratch but rather to replatform or migrate from one software platform to another to improve the performance, scalability, and cost-effectiveness of their ecommerce solution. In this case, companies must account for data migration costs associated with replatforming.

To run an effective B2B ecommerce website with seamless product data and inventory management across multiple warehouses, companies must consider the expenses associated with third-party integrations, e.g., connecting the solution to existing or new ERP and CRM systems, logistics providers, payment gateways, marketing and analytics, and PIM systems.

These expenditures often fall on the business and are not explicitly stated nor included in B2B commerce platform pricing by vendors. The main factors affecting such costs include but are not limited to the integration approach (e.g., code-based connectors or API-driven), the complexity of data flows, and the level of customization.

Although blindly copying B2C functionalities and pasting them to a B2B ecommerce store might be a bad idea, enhancing the user experience of your website is still a crucial task for companies serving B2B customers.

For instance, the website’s ability to launch self-service portals and progressive web apps (PWAs) as part of an ecommerce solution gives a competitive edge for offline-first markets where Internet connectivity is not always a given. HEINEKEN is one of the brands that proves the power of such technologies for B2B customers.

When evaluating the B2B ecommerce platform costs, companies should also take into account training sessions with business employees on using an ecommerce platform. Depending on the level of platform customization, companies may also consider preparing in-depth guides for internal use for onboarding new employees and users working with the platform.

The responsibility of onboarding clients joining your B2B store and associated costs lies with the business launching an ecommerce solution (outside the vendor’s typical scope) and must be accounted for separately.

The B2B ecommerce platform development and implementation are never the final stage of your journey with an ecommerce platform. Running a high-performance B2B ecommerce website requires regular updates in response to feedback from platform users on the business side and end-customers.

Platform maintenance is an ongoing process, and the costs associated with handling maintenance and support, in-house or with the help of your vendor and service providers, are a significant cost to consider.

In addition to the major costs listed above and platform maintenance, it is important to emphasize that arguably the most expensive component of B2B ecommerce platform costs is, in fact, the cost of innovation, i.e., all costs associated with customizing and modifying the solution after its implementation. The cost of innovation is an ongoing expenditure that can grow exponentially with platforms that act as a complete all-in-one, one-size-fits-all solution. Virto Commerce coined the term static platforms to describe such solutions.

With adaptable platforms, on the other hand, the cost of innovation can be manageable and predictable, as these platforms are designed to easily adapt to rapidly changing market conditions and business scenarios. More on that – in our dedicated article and a comprehensive guide on the Total Cost of Ownership of ecommerce platforms.

A strategic approach to evaluating B2B platform costs and pricing models can keep your expenses under control and save your business from a trap of constant replatforming in the future. Here are a few practical tips to do so.

This is a crucial step at the beginning of your platform surfing and throughout your business’s entire ecommerce journey. Not all the challenges can be predicted in advance, especially when scaling your business. However, regularly assessing your ecommerce solution, monitoring ongoing software expenses, and knowing what works best for your business’s ecommerce needs is an edge in itself.

From inventory management to order processing and, sometimes, even customer services, the future of B2B ecommerce is automated and smooth. The practical applications of AI in these matters can facilitate the automation of your business processes, and platforms that can provide such tools will give you a competitive advantage.

Choosing a proactive and supportive platform vendor that invests their time to understand the unique needs and ecommerce strategies of your business is vital. Prioritize a vendor that can give your technical teams architectural guidance and full access to its inner workings, allowing them to contribute freely and innovate at predictable costs. These can speed up your digital transformation and increase your business’s time-to-market.

A platform vendor with an active user community, comprehensive documentation, and a self-service knowledge base can often indicate proactive and responsive support.

As we mentioned at the beginning, initial ecommerce platform costs and B2B website development costs are not the only metrics to take into consideration here. The total cost of ownership throughout the platform’s lifecycle must be accounted for, especially the often-overlooked cost of innovation. A solution that looks affordable now might turn into a costly burden in the long run.

The higher investments in a robust B2B ecommerce platform are justified by the complexity of B2B operations and the need for flexibility and adaptability to handle diverse business scenarios and enrich the platform with new functionalities. The total cost structure for B2B platforms includes but is not limited to platform licensing and subscription fees, deployment and hosting, costs associated with data migration and third-party integrations, user experience development, training, and ongoing maintenance.

A critical aspect of B2B ecommerce platform costs is the often-overlooked hidden cost of innovation, the expenses associated with changing and customizing the platform to meet unique business needs.

To optimize B2B ecommerce platform costs effectively, businesses should regularly assess their ecommerce needs, embrace automation opportunities where possible, and partner with proactive vendors who provide comprehensive support and architectural guidance. Perhaps most importantly, decision-makers should look beyond initial price tags and consider the total cost of ownership throughout the platform’s lifecycle.

The choice of a B2B ecommerce platform is not merely a matter of finding the lowest initial cost but rather identifying a solution that can scale with your business, adapt to changing market conditions, and support innovation without causing exponential and unpredictable accumulating costs.