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E-commerce · Sales channels

Your own store or a marketplace: how to decide

Marketplaces bring buyers. Your own website brings margin, data and repeat customers. Most brands do best with both, in the right roles.

Marketplaces for reach

Your site for margin and data

Blend them on purpose

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The short answer

A marketplace such as Amazon, Etsy, eBay or Walmart gives you instant access to buyers, but you pay a cut of every sale, follow their rules and get little customer data. Your own ecommerce website costs less per order and lets you own the brand, the customer list and the repeat business, but you have to bring the traffic yourself.

For most growing product businesses the answer is not either-or. Use marketplaces to reach new buyers and test demand, and build your own store as the place where customers come back, where margins are better and where the relationship belongs to you. Online buying keeps growing: the US Census Bureau estimates ecommerce was 17.1% of US retail sales in the second quarter of 2026, and that demand is spread across both marketplaces and brand sites.

Ecommerce website vs marketplace at a glance

Marketplace

Built-in traffic and trust. Per-sale fees, strict policies, price competition next to rivals, and the marketplace owns the customer relationship.

Your own website

Lower cost per order and full control of design, pricing, content and data. You pay for the site and for marketing to bring visitors.

Fees: what each really costs per order

Amazon, as of 2026: sellers choose the Individual plan at $0.99 per item sold or the Professional plan at $39.99 a month. On top of that, Amazon charges a referral fee on each sale that varies by category. In Amazon’s published fee table, many categories are charged between 8% and 15% of the total price, some are higher, and most have a minimum per item, commonly $0.30. Fulfillment by Amazon, storage and advertising are extra.

Etsy and other marketplaces charge their own combinations of listing fees, transaction fees, payment processing and, in some cases, fees on sales from ads the marketplace runs for you. Check each marketplace’s current fee page before you price products, because fee schedules change.

Your own Shopify store, as of 2026: the Basic plan is $39 a month ($29 billed yearly), with standard Shopify Payments online card rates of 2.9% plus 30 cents. Grow and Advanced plans cost more per month but charge lower card rates.

An illustrative example. On a $50 item in a category with a 15% referral fee, Amazon’s fee is $7.50 before fulfillment or ads. On your own Shopify Basic store, card processing on the same sale is $1.75. The difference, $5.75 per order in this example, is what you have available to spend on getting that customer to your site through search, ads and email. If you can acquire customers for less than that, or they come back to buy again, your own store wins.

Control and brand

  • Design and content. On your site you decide how products are presented, what stories you tell and how the checkout works. On a marketplace you fill in their template.
  • Pricing. Marketplace listings sit next to competitors, which pushes prices down. Your site shows only your products.
  • Rules. Marketplaces can change fees, policies and search rankings at any time, and can suspend listings or accounts. A single policy issue can stop your sales overnight.
  • Reviews. Marketplace reviews belong to the marketplace. Reviews on your site stay with you.

Customer data: the biggest long-term difference

When someone buys on a marketplace, the marketplace owns the relationship. You get what you need to fulfill the order, but marketplace rules limit how you can market to that buyer afterward. When someone buys on your website, they become your customer: you can welcome them, ask for a review, recommend related products and invite them back.

That matters because repeat customers are usually the most profitable ones. An email list built from your own store, run through a platform such as Klaviyo or Mailchimp, turns one sale into many. Our comparison of Klaviyo, Mailchimp and HubSpot covers which suits a store.

Deciding where to sell?

Book a free 30-minute call. We look at your products, margins and current channels with you and tell you what we would build or change first. No obligation. Pick a time.

When a marketplace makes more sense

  • You are testing a new product and need to know whether anyone will buy it, quickly.
  • Your products are commodities that people search for on Amazon first, such as replacement parts or everyday supplies.
  • You do not yet have a budget for marketing a website.
  • Your items suit a niche marketplace audience, for example handmade or vintage goods on Etsy.
  • You want fulfillment handled by someone else, such as Amazon’s fulfillment network.

What running your own store adds to your workload

Owning the channel means owning the jobs a marketplace does for you. Customer service, returns, fraud checks and delivery promises all become yours. On shipping, the FTC’s Mail, Internet or Telephone Order Merchandise Rule requires a reasonable basis for any shipping time you state, or shipment within 30 days if you state none, and prompt refunds if a customer cancels over a delay. Budget staff time, or a support partner, for these tasks before you move volume off a marketplace.

When your own website makes more sense

  • Your products have a strong brand story, need explaining, or are customized.
  • Customers buy again and again, so lifetime value matters more than the first order.
  • Your margins cannot carry marketplace fees on every sale.
  • You sell wholesale or B2B, with customer-specific pricing and terms.
  • You want to build an asset you can grow and eventually sell, with traffic and a customer list you own.

A blended approach that works

  1. Make your website the home base. Full catalog, best content, the newest products and the strongest offers for returning customers.
  2. List a focused range on one or two marketplaces. Best sellers and entry products that introduce new buyers to your brand.
  3. Keep inventory in sync. Use a single inventory source so you do not oversell across channels.
  4. Make the brand visible. Consistent product names and packaging so marketplace buyers recognize and search for you later, within marketplace rules.
  5. Invest in search for your own site. Category and product pages written to rank, plus guides that answer buyer questions. See our SEO services.
  6. Measure contribution margin by channel. After fees, fulfillment, ads and returns, not just revenue.

Questions to ask before you decide

  • What is my margin per order on each channel after every fee?
  • How much would I need to spend to bring a buyer to my own site, and how often do customers reorder?
  • What happens to my business if my marketplace account is suspended for a month?
  • Who on my team will run each channel, and how many hours a week will it take?
  • Is my product data clean enough to feed several channels from one source?

Our web design team builds stores on Shopify, BigCommerce, WooCommerce and other platforms, with redirects and SEO handled so the site can earn its own traffic. If you are choosing a platform, start with Shopify vs WooCommerce.

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Questions we hear

Is it better to sell on Amazon or your own website?

Amazon brings ready buyers but takes a referral fee on every sale and owns the customer relationship. Your own site costs less per order and builds repeat business, but you must bring traffic. Many brands use both.

How much does Amazon charge sellers?

As of 2026, Amazon charges $0.99 per item on the Individual plan or $39.99 a month on the Professional plan, plus a referral fee per sale. Amazon’s fee table shows many categories between 8% and 15%, with some higher. Fulfillment and ads cost extra.

Do I get customer data from marketplace sales?

Only what you need to fulfill the order, and marketplace rules limit how you can market to those buyers. On your own website, buyers become your customers and can join your email list.

Should a small business start on a marketplace?

A marketplace is a fast way to test demand with little upfront cost. If customers reorder or your margins are thin, build your own store early so repeat sales happen where fees are lower.

Can I sell on my website and marketplaces at the same time?

Yes. Keep one inventory source to avoid overselling, list a focused range on marketplaces and keep your full catalog and best offers on your own site.

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