Ecommerce Marketing Costs — Creating a Budget From Scratch

Guides & Advice
March 10, 2020
Guides & Advice
Ecommerce Marketing Costs — Creating a Budget From Scratch

Today, it’s incredibly easy to get into the ecommerce market thanks to hosted platforms that allow anyone (even with 0 technical skills) to start a business right away.

And a solid marketing strategy is one of, if not the most important aspects of any successful business efforts, project, or brand because if people don’t know about your store or products — they can’t find you. 

In this short guide, we’ll discover what ecommerce marketing costs are involved in owning and operating an online store.

Marketing expenses you should be aware of

You’ll see tons of abbreviations when you look up marketing expenses and customer acquisition costs. Things like SMM may sound familiar, but terms like PPC and SEO may sound funny. 

We’ll dive into all three and at the end of this article, you’ll have a much better understanding of what goes into each aspect.

HubSpot State of Inbound 2018


SEO stands for Search Engine Optimization. You don’t have to be an expert to have healthy SEO websites and high search rankings on Google. 

seo statistics
Source; Blue Corona

For good SEO, you need to make your website technically optimized for web-crawlers; pick keywords for every page, article, and piece of content on your store; build backlinks; analyze competitors’ SEO strategies, and do all of that on a regular basis. To get a better grasp of this, we’ve gathered all the pertinent info here: Magento 2 SEO Tips. 

One important note: SEO is an endless process and while this may sound daunting, nevertheless, you need to constantly monitor rankings and see what your competitors are doing and how you rank amongst them.


PPC = Pay Per Click. Just like the “pay per view” model for television, you pay for every time someone clicks on a link that leads to your website.

PPC campaigns can be costly depending on how competitive the keyword or phrase you’re trying to go for it, which makes it vital to keep track of your budget. The point is, you don’t have to spend more on PPC than the average customer acquisition cost for ecommerce.

pay per click statistics
Source: Blue Corona

There’s also retargeting, or remarketing. This is when you display ads to people who have already visited your website. This is possible with Google Ads, Facebook Pixel, and most social media platforms have retargeting tools as well.

The difference between retargeting and classic PPC is that retargeting allows you to convert more people over time. For example, for a number of reasons, customers might initially not be hooked by one of your ads, but as they see your brand and message pop up more frequently they’ll be more likely to click. For merchants, this is reflected in better engagement and conversion rate optimization.


Social Media Marketing, or SMM, is a digital marketing term for using social media to promote your website. Because social media is so massive these days, a good SMM expert and strategy can make the difference between high and low conversions.

The State of Paid Social 2019
The State of Paid Social 2019

The bottom line: Ecommerce Marketing Costs

After reading this (and googling questions like “how to calculate customer acquisition cost ecommerce”) we hope you are now more familiar with some of these common terms and concepts.

  • It’s hard to put a number on exactly how much ecommerce marketing costs because it’s not a one-trick pony. You can spend $0 and search for keywords and hashtags on your own, or you could spend thousands and theoretically get thousands and even millions in return.
  • Store owners can reduce their marketing costs by restricting the number of marketing strategies. For instance, you can focus on SEO over PPC to lower the costs.

If you’re a new merchant and you need more information, we recommend reading our full guide on ecommerce website development cost.

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