2024 Guide to the Best Ecommerce Platforms for UK Businesses

• Reading Time: 7 Minutes
• Published: September 19, 2024
• Last Updated: February 6, 2025

In the fast-paced world of online retail, choosing an ecommerce platform is more than a technical decision—it is a strategic move. This move can either accelerate your growth or slow you down. It forms the foundation of your digital storefront, influencing everything from customer experience to sales conversion. For UK businesses, this choice carries even more weight. With the need to comply with specific regulations like VAT (Value Added Tax) and GDPR (General Data Protection Regulation) and cater to the distinct preferences of UK consumers, finding the best ecommerce platforms is not just important—it is essential.

But selecting the best ecommerce platforms is not something you have to do alone. Ecommerce accounting experts play a vital role in this process, offering insights into the financial implications of each platform, ensuring that your choice supports not only your sales goals but also your financial health. This blog is here to guide you through the crowded ecommerce landscape, breaking down the best ecommerce platforms that are not only tailored to your business needs but also aligned with the advice of expert ecommerce accountants. Whether you are an emerging entrepreneur or a seasoned retailer ready to scale, this guide will help you find the perfect platform to fuel your business success in the competitive UK market. So, let us dive in!

What is an E-commerce Platform?

An ecommerce platform is software that enables users to create and manage their online stores. It is the engine that drives everything from product listings and customer transactions to inventory management and analytics. Whether you are selling physical goods, digital products, or services, an ecommerce platform provides the tools you need to operate online in an effective manner. However, the success of your ecommerce business also depends on accurate financial management, making the role of ecommerce accounting professionals crucial. Let us dive deeper to learn how these experts help in choosing the right ecommerce platform.

Role of Ecommerce Accountants

When it comes to selecting an ecommerce platform, ecommerce accountants are invaluable. They help businesses understand the financial implications of different platforms, such as transaction fees, tax calculations, and scalability costs. Ecommerce accountants often recommend platforms that integrate well with the top cloud-based accounting software in the market, ensuring seamless financial management alongside business operations.

Types of E-commerce Platforms

1. Software-as-a-Service (SaaS) Ecommerce Platform:

   Software-as-a-Service (SaaS) are cloud-based solutions that provide businesses with a complete, ready-to-use online store. These solutions offer scalability, integrated tools, and regular updates, making them one of the best ecommerce platforms for small to medium-sized businesses. Accounting experts often recommend this as a one of the best e-commerce platforms for their ease of use, built-in compliance features, and seamless integration, making them ideal for businesses looking to streamline their operations while maintaining financial accuracy.

   Platform-as-a-Service (PaaS) Ecommerce Platform: Platform-as-a-Service (PaaS) ecommerce platforms offer a more flexible and customisable solution compared to SaaS. While SaaS provides a complete, out-of-the-box solution, PaaS gives businesses the underlying framework upon which they can build and customise their own ecommerce platform. Accountants for ecommerce emphasise the importance of considering the potential costs of custom development and ongoing maintenance when choosing a PaaS solution, as these can significantly impact your overall budget.

2. On-Premise Ecommerce Platforms:

   On-premise platforms offer full control by hosting the software on the business’s own servers, requiring significant IT resources. These are considered the best ecommerce platforms for large enterprises needing high customisation and security. Ecommerce accounting experts value these platforms for their deep integration capabilities with existing financial systems.

3. Open-Source Ecommerce Platforms:

   Open-source platforms provide free access to source code, enabling complete customisation for businesses with technical expertise. These are among the best ecommerce platforms for those seeking full control and flexibility.

4. Headless Ecommerce Platforms:

   Headless platforms separate the front-end from the back-end, allowing businesses to deliver content across multiple channels. These are some of the best ecommerce platforms for companies focused on a multi-channel strategy.

Key Considerations When Choosing an Ecommerce Platform

1. Scalability:

   Your ecommerce platform should be able to scale as your business grows. The best ecommerce platforms are designed to handle increased traffic, inventory, and transactions without compromising performance. As your business expands, managing this growth effectively becomes crucial, and this is where ecommerce accountants play a vital role. They stress the importance of choosing a scalable platform to avoid the disruptive process of migrating to a new system later on. By selecting a platform that can grow with your business, you can ensure smooth expansion while maintaining financial efficiency.

2. User-Friendliness:

   A user-friendly platform is essential for both merchants and customers. Another key feature to look for in best ecommerce platforms is intuitive interface, simple customisation, and easy navigation. This not only improves the shopping experience for customers but also makes managing your store easier. Accountants for ecommerce often recommend platforms that simplify financial integration, enhancing overall efficiency.

3. Payment Gateways:

   Seamless integration with popular payment gateways, like PayPal and Stripe, is essential for smooth and secure transaction processing. The best ecommerce platforms offer flexible payment options to cater to diverse customer preferences, ensuring a hassle-free checkout experience. However, managing the financial side can be complex, especially as your ecommerce business grows. This is where integrating your platform with ecommerce accounting and bookkeeping services becomes crucial. These services help automate and accurately record each transaction, ensuring that your financial data is consistently up-to-date and that your business runs efficiently.

4. Compliance with UK Regulations:

   Compliance with VAT and GDPR is a must for UK businesses. An ecommerce platform should include features for VAT calculation and GDPR compliance to protect your business from legal issues. You can rely on expert accountants for ecommerce businesses to ensure your platform is set up to meet these requirements so you can focus on growing your business confidently.

5. Customer Support:

   Lastly, reliable customer support is critical, especially for UK businesses. The best ecommerce platforms provide 24/7 support and has teams familiar with UK-specific needs. Ecommerce accounting experts recommend choosing platforms with strong support to quickly resolve issues related to VAT, GDPR, or payment gateways, minimising disruptions to your business.

Hidden Costs to Know Before Choosing an Ecommerce Platform

When selecting an ecommerce platform, it is easy to focus on the upfront costs, but there are several hidden expenses that can impact your bottom line. Being aware of these potential costs will help you make a more informed decision and better manage your finances. Here is what you need to keep in mind:

1. Transaction Fees and Payment Gateway Charges:

   Many of the best ecommerce platforms charge transaction fees on each sale, which can vary depending on the platform and payment gateway used. These fees, combined with charges from payment gateways like PayPal or Stripe, can eat into your profits. Therefore, it is advisable to carefully review these costs to ensure they align with your financial goals and do not erode your margins.

2. Maintenance, Upgrades, and Customisation Costs:

   Ongoing maintenance and upgrades are essential to keep your platform running smoothly, but these can come with additional costs. Whether it is for routine updates or customising your site to meet specific needs, these expenses can add up. To overcome such costs, you can consult accounting professionals. Experienced accountants for ecommerce suggest planning for these costs in your budget to avoid unexpected financial strain and to ensure your platform remains functional and up-to-date.

3. Add-Ons and Plugins:

   To enhance your store’s functionality, you may need to invest in add-ons or plugins. While these can provide valuable features, they often come with extra costs that can accumulate over time. Even among the best ecommerce platforms, these additional costs can quickly add up, so it is crucial to keep track of them to ensure they do not disrupt your budget and that you are getting the best value for your investment.

4. Licensing Fees:

   Certain features or integrations may require licensing fees, which can be ongoing and vary in cost. These fees are particularly common with premium plugins or specialised tools. Ecommerce accountants advise businesses to monitor these fees closely to ensure they stay within budget and continue to provide necessary value to the business.

5. Migration Costs:

   Switching to a new ecommerce platform in the future can involve significant migration costs, including data transfer, redesign, and reconfiguration. These processes can be complex and costly, but with proper planning, the transition can be managed effectively. Outsourced ecommerce accounting and bookkeeping services play a crucial role in this planning process by helping you anticipate and budget for these expenses. Their expertise guarantees that the financial aspects of your migration are meticulously handled, minimising disruption to your operations and maintaining financial stability throughout the transition.

Understanding these hidden costs is just the start. For a more detailed insight into ecommerce hidden costs, check out our blog on Hidden Costs Related to Ecommerce Businesses.

Top 9 Ecommerce Platforms for UK Businesses

1. Shopify:

   Shopify is a globally recognised as one of the best ecommerce platforms known for its comprehensive set of features, including support for unlimited products, extensive themes, and 24/7 customer service. It is designed to scale with your business, offering everything from integrated payment processing to advanced SEO tools. However, managing the financial side of your Shopify store, including transaction fees and the costs associated with apps and premium features, can become complex as your business grows. To ensure that your financial management is as robust as your ecommerce operations, our guide, “Mastering Accounting and Bookkeeping on Shopify”, offers detailed strategies for keeping your finances in order.

2. Wix:

   Wix is a versatile and beginner-friendly platform that offers over 500 customisable templates and an intuitive drag-and-drop editor, making it perfect for small businesses and individuals new to ecommerce. It allows for quick setup and offers 24/7 customer support, ensuring users can easily create and manage their online store. However, the free plan includes ads, and once a template is selected, it cannot be changed without re-entering content, which may limit flexibility for growing businesses.

3. Squarespace:

   Squarespace stands out for its focus on sleek, modern design, offering users a powerful style editor and mobile-ready templates that ensure a polished and professional online presence. It is an excellent choice for businesses that prioritise aesthetics and want a cohesive, visually appealing store. However, it lacks a mobile editor and telephone support, which could be a drawback for users needing more flexibility and real-time assistance. For those looking to balance design with cost-effectiveness, understanding the platform’s limitations is crucial when considering the best ecommerce platforms for your business needs.

4. BigCommerce:

   BigCommerce is another highly customisable platform that caters to online businesses, offering a wide range of conversion rate optimisation (CRO) tools and no transaction fees, which can significantly enhance profitability. It is ideal for businesses looking to scale, though the annual sales limits may necessitate plan upgrades as the business grows. Additionally, while the platform is easy to sign up for, premium templates can be expensive, which might be a consideration for those on a tighter budget.

5. Adobe Commerce (formerly Magento):

   Ideal for large enterprises, Adobe Commerce offers unmatched customisation and flexibility. It is a powerful, non-hosted solution that requires a high level of technical expertise, making it suitable for businesses with dedicated development teams. Although it offers robust features, the platform’s complexity can be daunting for smaller businesses.

6. WooCommerce:

   As a free, open-source plugin for WordPress, WooCommerce is perfect for those already familiar with WordPress. It provides a broad range of integrations, enabling extensive customisation. However, users must manage hosting, security, and various plugins, which can become complex as the business scales.

7. Big Cartel:

   This platform is designed specifically for artists, makers, and small businesses looking for a simple, no-frills solution. Big Cartel offers an easy setup with a free plan for up to five products, making it an excellent choice for creatives. However, its simplicity also means it lacks advanced ecommerce features, limiting its scalability. While it may not rank among the best ecommerce platforms for larger operations, it serves its niche well by providing an uncomplicated, straightforward service for those who need it.

8. Square Online:

   Square Online is tailored for small businesses that already use Square for in-person payments. The platform seamlessly integrates with Square Payments, offering a straightforward and cohesive online presence. While it is user-friendly and affordable, it lacks some of the advanced features found in more robust ecommerce platforms, making it more suited to small-scale operations.

9. Shift4Shop:

   Formerly known as 3dcart, Shift4Shop is a versatile platform that caters to small to medium-sized businesses. It offers a comprehensive set of features, including SEO tools and a mobile-friendly design. Businesses using Shift4’s payment processor can use the platform for free, which could make it an attractive option for cost-conscious entrepreneurs. However, the lack of advanced personalisation options and additional costs for premium features might limit its appeal to those looking for more customisation. Ecommerce accountants often advise carefully assessing these potential costs to ensure they align with the business’s financial goals and growth plans.

Future of Ecommerce

The ecommerce landscape is continuously evolving, driven by advancements in technology and changing consumer behaviours. To stay competitive, businesses must be prepared to adapt to these trends and leverage new opportunities. Understanding the future of ecommerce is crucial for businesses that want to maintain their edge in the market. The best ecommerce platforms are those that not only meet current needs but are also designed to evolve with emerging trends. For deeper insights into how these trends can impact your business, check out our blog on “E-commerce Trends for Ensuring Faster Business Growth,” where we explore key developments that can help you stay ahead in this dynamic environment.

What’s Next?

As the ecommerce landscape evolves, businesses must stay ahead of emerging trends to remain competitive. The future will be shaped by greater personalisation, where ecommerce platforms leverage data to create tailored shopping experiences that meet individual customer needs. To succeed in this dynamic environment, it is vital to adopt the best ecommerce platforms that not only offer current functionality but also anticipate future demands.

Seamless integration with financial tools will become increasingly important, allowing businesses to automate processes, minimise errors, and gain real-time insights into their financial health. Ecommerce accountants will be vital in guiding businesses through these changes, ensuring that financial data is accurate and aligned with business goals.

By staying informed and adapting to these trends, your business will be well-equipped to navigate future challenges and capitalise on new opportunities, allowing you to grow and thrive in the constantly evolving world of ecommerce.

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