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Amazon vs. Shopify: Which is Best for Your Business 2025?

Amazon is a massive online marketplace where anyone can list and sell products, while Shopify is a platform that empowers businesses to build and manage their own online stores.

Gauneet wants to take its business online to expand its reach and attract more customers. As it explores options, it keeps coming across two popular choices: selling on Amazon or creating a store with Shopify.

So, which platform is the best for selling products online — Amazon or Shopify? In this post, we’ll break down the key differences, pros, and cons of each to help you make the right decision.

What’s the difference between Amazon and Shopify?

Both Shopify and Amazon allow you to sell products online, but they operate in fundamentally different ways.

The key distinction is that Shopify is an ecommerce platform, while Amazon is an online marketplace. With Shopify, you create a stand-alone online store, giving you full control over branding, design, and customer experience. It provides all the tools you need to build and manage your own ecommerce website.

On the other hand, Amazon is a marketplace where you list your products alongside millions of other sellers. Instead of building your own store, you gain access to Amazon’s vast customer base and leverage its established reputation.

So, which is the better choice for selling your products—Shopify or Amazon? Let’s explore the pros and cons of each to help you decide.

Amazon vs. Shopify: Pros, Cons & Fees Comparison

Feature Amazon Shopify
Pros
  • ✅ Access to millions of shoppers
  • ✅ No need to drive traffic – built-in audience
  • ✅ Fulfillment by Amazon (FBA) for logistics & shipping
  • ✅ Trusted platform with high conversion rates
  • ✅ Full control over branding & store design
  • ✅ No direct competition on your own site
  • ✅ Lower selling fees compared to Amazon
  • ✅ Flexible pricing & product listing options
  • ✅ Direct access to customer data for marketing
Cons
  • ❌ High selling fees & commissions
  • ❌ Intense competition with other sellers
  • ❌ Limited control over branding
  • ❌ Amazon owns the customer relationship, not you
  • ❌ Requires driving your own traffic
  • ❌ Takes time to build brand awareness
  • ❌ Monthly subscription fees
  • ❌ Must handle shipping & fulfillment (unless using third-party services)
Fees
  • 🛒 Individual Plan: $0.99 per item sold
  • 🏮 Professional Plan: $39.99/month + referral fees (8%-15%)
  • 🚚 Fulfillment by Amazon (FBA) fees vary by product size & weight
  • 🛒 Shopify Basic: $39/month
  • 🏮 Shopify Standard: $105/month
  • 🚀 Shopify Advanced: $399/month
  • 💳 Transaction fees (0.5%-2%) unless using Shopify Payments

Which Is Cheaper: Selling on Amazon or Shopify?

When deciding between Amazon and Shopify, cost is a major factor. While both platforms have different pricing structures, the cheaper option depends on your business model and selling strategy.

Amazon Costs

Amazon charges fees based on how you sell:

Amazon’s high fees can eat into your profit margins, especially if you sell lower-cost products. However, you gain access to a massive audience, which can lead to more sales.

Shopify Costs

Shopify has a fixed monthly subscription:

Shopify charges transaction fees (05%-2%) unless you use Shopify Payments. Unlike Amazon, there are no referral fees, which means you keep more of your profits. However, you’ll need to handle your own marketing, shipping, and fulfillment.

Which One Is Cheaper?

Amazon is cost-effective for beginners who want instant exposure without spending on marketing. However, its high referral fees can be expensive for high-volume sellers.

Shopify is cheaper for businesses that can drive their own traffic. With no per-sale referral fees, Shopify allows you to maximize profits in the long run.

👉 If you’re selling a few products occasionally, Amazon might be the better choice. But if you plan to grow your brand and sell consistently, Shopify can be the more cost-effective solution.

Can You Sell on Amazon and Shopify at the Same Time?

Absolutely! Selling on both Amazon and Shopify can be a smart strategy to maximize your reach and revenue. Relying on a single platform can be risky, so diversifying across multiple channels helps you tap into different audiences and reduce dependency on one marketplace.

With over 1.75 million merchants using Shopify, many sellers successfully operate on both platforms. Shopify even offers built-in tools to make selling on Amazon easier. For example:

By leveraging both Shopify and Amazon, you get the best of both worlds—Amazon’s massive customer base and Shopify’s control over branding and customer relationships.

How Does Amazon Shipping Compare to Shopify Shipping?

When comparing shipping options for Amazon and Shopify, there are a few key differences to consider. Shipping plays a significant role in the Amazon vs. Shopify debate, especially for sellers who prioritize fast delivery and ease of logistics.

Amazon Shipping Options

Amazon offers two main shipping choices:

  1. Fulfilled by Merchant (FBM): You handle all the shipping, storage, and fulfillment yourself.
  2. Fulfilled by Amazon (FBA): Amazon takes care of storage, packing, shipping, and customer service for your products. With FBA, your products are eligible for Amazon Prime, which can greatly increase your sales potential due to the appeal of fast, free delivery for Prime members However, FBA comes with additional fees for storage and fulfillment.

Shopify Shipping Options

Shopify provides more flexibility when it comes to shipping. You can set your own shipping rates, rules, weight-based pricing, and more. If you don’t want to handle fulfillment yourself, you can integrate your Shopify store with third-party fulfillment services like Amazon FBA or other providers. Alternatively, you can also consider dropshipping as an option, where you sell products without managing inventory.

Do Both Amazon and Shopify Offer Dropshipping?

Both platforms support the dropshipping business model, though in different ways:

Ultimately, both Amazon and Shopify offer strong dropshipping potential, but Shopify provides more freedom to customize your store and brand, while Amazon offers immediate exposure and an existing customer base.

How Do Shopify and Amazon Differ Regarding SEO?

When it comes to Search Engine Optimization (SEO), both Shopify and Amazon provide opportunities for visibility, but they work in different ways. Understanding how SEO works on both platforms can help you decide where to focus your efforts for maximum reach.

SEO on Amazon

Amazon is primarily a marketplace, and its search engine (A9) works differently than traditional search engines like Google. Amazon’s SEO focuses on product discoverability within the Amazon platform. Key factors include:

Pros of Amazon SEO:

Cons of Amazon SEO:

SEO on Shopify

Shopify, on the other hand, is an ecommerce platform, giving you full control over your website’s SEO. Shopify allows you to optimize not just your product listings, but also the overall structure and content of your online store.

Pros of Shopify SEO:

Cons of Shopify SEO:

Key Differences in SEO

Conclusion

If you want to tap into Amazon’s massive traffic and focus on product sales, its SEO can quickly boost visibility. However, if you’re looking to build a unique brand and long-term growth with Google traffic, Shopify offers more control with its SEO tools. Whether you’re selling on Amazon or Shopify, both platforms provide great potential for growth. Turn your Shopify and Amazon business into a profit-generating machine with Kleverish Digital Marketing Agency, specializing in SEO optimization, traffic generation, and increasing conversions for both platforms.

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