Yes, it may sound easier to build your business using Amazon or Shopify. But there are some major drawbacks that almost no one tells you about. Amazon
In recent years, Amazon has become inundated with sellers who don't follow the rules. Because of this, Amazon has had to become more strict in allowing who can sell, and what can be sold.
For example, sellers must be approved to sell clothing, shoes, handbags, automotive items, and many more types of products. The list of categories requiring approval keeps growing, and getting approved isn’t easy.
Secondly, Amazon owns the customer. This means you cannot market to new customers you acquire in the future.
On top of this, your products can become restricted and unsellable at any time. Amazon works closely with manufacturers and brands. If a brand decides they don't want third-party sellers listing items on Amazon, they can deem them restricted at any time. This means a significant amount of your income can disappear overnight.
When you’re selling through Amazon, you also have no price control. By building your business on Amazon, you risk getting caught in pricing wars because customers can check out your competitors on the same site.
This is a problem because you won’t always be able to compete on price with other sellers. That or, if you do win, you will have lowered the price to the point where you make little to no money on it.
Shopify has a good reputation, a slick marketing campaign and lots of high-profile endorsements.
The biggest problem with Shopify is the monthly cost, which can quickly put you in a hole when you are just starting out.
Did you know that Shopify actually has its own App Store?
There were numerous occasions where I wanted to do something pretty basic with my Shopify store, and I was required to pay for and install a third party app from their App Store.
Don’t get me wrong, I love tools that can make my life easier, but the fact that Shopify is lacking in such basic functionality, to begin with, is a MAJOR red flag for me… and it should be for you, too.
Here’s an example of what some of these apps cost: