How Much Does A Web Site Cost?

Posted by: Terry Oehrke in StrategyEcommerce on

This should be a simple question but unfortunately there isn't an answer to this question. When someone asks us this question we try to associate a process that they may be familiar with in order to understand where we're coming from. We tell the the person that it's similar to asking a builder, "how much does a house cost."

Just like the builder needs to know a lot of information about you and your family (how many kids do you have, what ages are your kids, do you want tile floors, walk-out basement, etc.). You can build a house for $10,000 in Africa or millions of dollars on the shores of the French Riviera.

Web sites are the same. You can build a very simple 5 page Web site with a template for $1,000 using a college student, jack-of-all-trades type person to build it. You can also build a behaviorally driven 1,000 page Web site, with a specific photo and video shoot with a World-Wide Agency for $10,000,000.

Our answer to the question of "How much does a Web cost?" is it depends on how important your Web site is to the overall sales of your business. If your overall sales is $20,000,000 and only 10% of your sales come from your Web site you shouldn't spend $1,000,000. One thing to keep in mind, the days of redesigning your Web site once every two years are gone. Your prospects and customers expect to see your online branding change frequently. That doesn't mean you change your logo but you want your prospects and customers to visually see on your Web site that things are on the move. For that reason you should at least budget the same amount for annual updates as you do to rebuild your Web site.

Another thing we believe in, partly due to the previous statement, is that you shouldn't try to implement the Holly Grail of Web sites all at once. We always push back on our clients if the functionality they want to add is going to take more than 5 months to launch. We push back by prioritizing the functionality and implementing the majority in the first phase and the rest in the second phase. This shows your visitor that new things are being added as well as getting your site up quicker. We've found that if the project takes too long, things change and end up driving up the cost of implementation because new items are added, old items are no longer needed, etc.

So how much does it cost to build a Web site? It depends. It depends on your budget and the importance the Web site has on the overall business. We help our clients understand how to take their budget and put it towards ideas on the Web site that will increase sales for the business.

If you have any questions give us a call or go to our Web site at www.ontargetinteractive.com.


Comments (3)add
VP Marketing
written by Brad , June 05, 2008
Hmm -- the better question is how much is NOT having a website or having a crappy one COSTING you / your company?
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Terry is right
written by lisa , June 09, 2008
The conversion of that crappy Web site can be painful, and I'm still surprised that today there are people in business, academia and non-profits that don't understand how to leverage the power of the Web for their business.

good article, Terry, and very true!
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Great Post!!!
written by Matt , July 02, 2009
I hate reading forum/blog posts of people that can not quite conceptually grasp the economic meaning of "Cost" when posting about website development. They spit out a crude price of $1## to $3## which is nowhere near the full cost of having a system that is dynamically driven, implemented properly, and secure. From the processes that execute on the server to the system/application to accuratly and percisly track customer/visitors while protecting end user privacy.

I would have liked to see a few more numbers in what your estimatations would be for specific parts of a web site (e.g. SEO, design, server side scripting costs, etc. for a small business.)
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