What Is Ecommerce Development?

Ecommerce development refers to making preparation for companies to conduct business as online merchants. The establishment of a professional and secure web site that is enabled for ecommerce, also known as electronic commerce or Internet commerce, is the principal part of the technological process of ecommerce development. There also is the administrative process, which involves making decisions such as who in the company will be permitted access to customer records and orders. Virtually any product and many services can be advertised and purchased entirely online, making the establishment of an ecommerce website a primary goal of many businesses.

The creation and implementation of a website for ecommerce usually requires outsourcing or hiring qualified personnel who will be responsible for web design and ecommerce development duties. Web design refers to the creation of the visual aspect of a website, which includes designing a user-friendly interface and a virtual store for the presentation of products or services for sale. Programming for the web, also known as web development, refers to the website's behind-the-scenes applications that allow visitor interaction to be functional. Ecommerce development for a small business might be handled by an individual, and development for a very large business usually requires a team of web designers and developers working together.

Some companies incorporate shopping cart providers on their ecommerce website, which gives customers the ability to collect products and then purchase them as a group. The Internet services that provide shopping cart solutions for ecommerce websites typically benefit small companies that want ordering and payment systems that are secure but simple. The company is charged a payment-processing fee, usually based on a percentage of the purchase price. Hosted ecommerce solutions are hosted by a web provider and provide various customization options for a high-volume online store. For example, these types of websites usually have large product catalogs, shopping carts, transaction management systems and order management systems.

Ecommerce businesses that make more than $10 million US Dollars per year often utilize dedicated servers and comprehensive ecommerce solutions. These types of ecommerce websites can be customized to fit the company’s particular sales and product needs. The company hires an outside ecommerce expert company that typically designs the site and hosts the dedicated server. The ecommerce host company usually provides marketing assistance; customer support, such as a call center; and fulfillment solutions. The hosting company, however, typically requires a large upfront payment and takes about 20 percent of the profits from the ecommerce website.