Amazon vs. Shopify: Which Is the Best Platform for eCommerce in 2025?

Written by Shahid R. Khan
Reviewed by Andrew L. Adler & Jonathan M. Adler

Choosing between Amazon and Shopify is one of the most critical decisions for eCommerce entrepreneurs. Your choice impacts profit margins, branding, marketing strategy, and long-term growth.

• Amazon offers a built-in customer base of 300M+ users, but sellers must comply with strict marketplace rules and fees.
• Shopify gives you full control over branding and customer relationships, but requires marketing efforts to attract traffic.

This guide compares Amazon vs. Shopify across costs, features, audience reach, and business growth potential to help you decide which platform (or combination of both) best suits your business goals.

Amazon vs. Shopify

Feature	Amazon	Shopify
Business Model	Marketplace (sell on Amazon’s platform)	Own website (fully customizable store)
Traffic Source	Built-in (300M+ active users)	Requires external marketing
Setup Time	Quick & easy	Requires store setup
Fees & Costs	Referral fees, FBA fees, PPC ads	Subscription fees, payment processing fees
Brand Control	Limited (Amazon owns customer data)	Full control over branding & customer data
Marketing Effort	Lower (Amazon’s SEO helps)	Higher (requires paid ads & organic marketing)
Fulfillment	FBA (Fulfilled by Amazon) or FBM (self-fulfilled)	Shopify Fulfillment Network or third-party logistics

What Are the Pros and Cons of Selling on Amazon?

Why Should You Sell on Amazon?

✅ Instant Access to Customers: Amazon has over 300 million active buyers, meaning ready-made traffic without additional marketing.

✅ FBA (Fulfilled by Amazon): Amazon handles storage, packing, shipping, and customer service, allowing for scalable fulfillment.

✅ Built-in Trust & Credibility: Many shoppers prefer Amazon due to fast shipping and buyer protection policies.

✅ Algorithm-Driven Growth: Amazon rewards best-selling products with higher search rankings, creating a positive sales loop.

What Are the Disadvantages of Selling on Amazon?

❌ High Fees: Sellers pay 8-15% referral fees, FBA fees, storage fees, and PPC advertising costs, which eat into profits.

❌ Limited Branding & Customer Data: Amazon controls customer emails and branding, making it harder to build loyal customers.

❌ Intense Competition: Many categories face price wars and copycat products, requiring aggressive pricing and ads.

❌ Amazon’s Policy Risks: Account suspensions, listing removals, and sudden policy changes can disrupt your business overnight.

What Are the Pros and Cons of Selling on Shopify?

Why Should You Sell on Shopify?

✅ Full Ownership & Brand Control: Customize your website, pricing, and customer experience without platform restrictions.

✅ Higher Profit Margins: Shopify charges lower transaction fees than Amazon, allowing for better long-term profits.

✅ Direct Customer Relationships: You own customer data, allowing you to build email lists, retarget, and create loyalty programs.

✅ Flexible Customization: Shopify offers thousands of apps to enhance your store with subscriptions, upsells, and automation tools.

What Are the Challenges of Selling on Shopify?

❌ No Built-in Traffic: You need to invest in SEO, ads, and content marketing to drive visitors to your store.

❌ Upfront Costs: Shopify subscriptions, premium themes, and essential apps can be costly before making your first sale.

❌ Handling Fulfillment: You must manage shipping yourself or use a third-party fulfillment service.

Amazon vs. Shopify: Cost Comparison

How Much Does It Cost to Sell on Amazon?

• Professional Plan: $39.99/month
• Referral Fees: 8%–15% per sale (varies by category)
• FBA Fees: Based on size & weight
  • Standard size: $2.92 – $5.42 per unit
  • Oversize items: $8.76 – $137.32+ per unit
• Storage Fees: $0.83 – $2.40 per cubic foot (higher during Q4)
• Advertising Costs: Amazon PPC ads are often necessary (10-30% ACoS)

How Much Does It Cost to Sell on Shopify?

• Subscription Plans:
  • Basic Shopify: $39/month
  • Shopify: $105/month
  • Advanced Shopify: $399/month
• Transaction Fees:
  • 2.9% + 30¢ per transaction (Shopify Payments)
  • Additional 2% if using third-party payment processors
• Additional Costs:
  • Premium Themes: $100-$180 (one-time)
  • Apps: $10-$100/month
  • Marketing Expenses: Google/Facebook ads, SEO tools, influencer partnerships

Which eCommerce Platform Is Right for You?

When Should You Choose Amazon?

✅ You want instant access to a massive audience.
✅ You prefer hands-off fulfillment (Amazon FBA).
✅ Your products have strong demand in competitive categories.
✅ You’re comfortable with Amazon’s policies and fees.

When Should You Choose Shopify?

✅ You want complete brand control and customer data access.
✅ You’re building a long-term business (not just chasing quick sales).
✅ You’re willing to invest in marketing to drive traffic.
✅ You need customized product pages, bundles, or subscriptions.

Can You Sell on Both Amazon and Shopify?

Yes! Many successful sellers use both platforms to maximize profits.

🔹 Amazon for visibility: Get exposure and use FBA for hassle-free shipping.
🔹 Shopify for branding: Build a loyal customer base and increase profit margins.
🔹 Drive Amazon buyers to Shopify: Use product inserts and email marketing to encourage repeat customers.
🔹 Leverage Amazon’s fulfillment for Shopify orders: Amazon FBA can ship both Amazon and Shopify orders (via Multi-Channel Fulfillment).

Best Hybrid Strategy for eCommerce Success

1️⃣ Start on Amazon to validate product demand and gain early traction.
2️⃣ Launch a Shopify store to build a brand and own customer relationships.
3️⃣ Diversify marketing efforts (SEO, social media, paid ads) to reduce dependence on Amazon.
4️⃣ Use Shopify’s Amazon Integration to manage inventory and orders in one place.

Final Verdict: Is Amazon or Shopify Better for eCommerce?

Best for…	Amazon	Shopify
Quick Market Entry	✅ Yes	❌ No
Brand Control	❌ No	✅ Yes
Higher Profit Margins	❌ No	✅ Yes
Marketing Ease	✅ Yes (built-in traffic)	❌ No (requires paid ads & SEO)
Long-Term Business Growth	❌ No	✅ Yes

Bottom Line:

• Amazon is ideal for fast sales, proven product categories, and easy fulfillment.
• Shopify is better for brand building, customer retention, and higher profit margins.

Best strategy? Start with Amazon, then expand to Shopify for long-term growth.

💬 Which platform do you prefer—Amazon, Shopify, or both? Drop a comment below!