Best E-commerce Tech Stack for Your Online Business

As the e-commerce industry evolves, choosing the “perfect” e-commerce tech stack that will work seamlessly and allow you to scale your business as it grows is no easy feat.

Your tech stack will save you and your team multiple hours every month. It will serve as your store’s backbone, influencing everything—from operational efficiency to consumer experience and the sanity of your team. Building the wrong combination of tools can stifle growth, drain resources, and ultimately damage your bottom line.

This comprehensive guide will explore the critical components of a well-rounded e-commerce technology stack and how to adapt them to your company's specific needs.

TL;DR - Top E-commerce Tech Stack Options

Want to build the best e-commerce tech stack for your business without being overwhelmed by all the available options? Don't worry; we’ve got you covered. Here are the best tools for your online store’s tech stack that you should consider using:

1. Link My Books
2. Quickbooks
3. Shopify
4. BigCommerce
5. WooCommerce
6. SkuVault
7. ShipBob
8. ShipStation

Say yes to streamlined, automated accounting and higher efficiency with Link My Books. Book a demo to see how we can help you. Read along to learn more about building a tech stack for your online store.

E-commerce Tech Stacks Explained - 5 Benefits

An e-commerce tech stack integrates technologies that power your online store. It includes multiple software and tools such as e-commerce store-building platforms, payment processors, inventory management systems, and marketing automation tools.

Here are five reasons why an e-commerce tech stack is so vital to business growth and success:

1. Enhanced Efficiency

A well-designed tech stack optimizes your workflow by integrating many applications and automating laborious activities. This minimizes errors, saves time, and lets you concentrate on key growth efforts. For example, synchronizing your e-commerce platform with accounting software means - no more manual data entry.

2. Improved Scalability

A flexible e-commerce tech stack can adapt to your company's evolving needs. As your product offerings and client base expand, your IT stack should adapt to growing traffic, data volume, and complexity. The best stack ensures smooth operations and prevents costly disruptions caused by old/incompatible tools and technologies.

3. Reduced Costs

It can lower long-term operational costs, even with initial investments. This is why: accurate e-commerce bookkeeping, automated tasks, and streamlined workflows altogether contribute to lowering expenses. Not to mention, open-source/subscription-based technologies can be more cost-effective than standard software licenses.

4. Data-Driven Decision-Making

A robust tech stack offers useful insights through analytics and reporting tools. Users can make smart decisions based on real-time data—consumer behavior, product performance, and marketing campaign efficacy. This data-driven strategy leads to better resource allocation, smarter marketing strategies, and higher profits.

5. Enhanced Consumer Experience

A user-friendly online business is your best asset for customer satisfaction. That said, your IT stack is key to creating a pleasant customer experience. Integration with payment gateways, order tracking systems, and communication tools offers a smooth and fast purchasing experience. Convenient features like these foster client loyalty and repeat business.

Components of an E-commerce Technology Stack

A good e-commerce technology stack has two major components: front-end and back-end technologies. Each plays a unique role in providing a seamless user experience while also managing critical business operations.

Front-end Technologies

These tools control your online store's user interface (UI) and user experience (UX). They shape the visual aspects, website structure, and customer contact with your brand. Key components include:

• HTML, CSS, and JavaScript; these computer languages lay the groundwork and interactive aspects of the website store.
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• Front-end frameworks for development and UI consistency (AngularJS or React).
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• Content Management Systems (CMS) systems, like WordPress or Drupal, for easy maintenance and editing of product descriptions and other website content.

Back-end Technologies

These tools work behind the scenes. It handles data processing, business logic, and critical activities such as order processing, inventory management, and payment gateways. Here are its main components:

• Server-side languages like Python, PHP, and Java to create e-commerce applications and manage server logic.
• MySQL or PostgreSQL to store product information, customer data, and transaction details for secure and rapid retrieval.
• E-commerce platforms like Shopify and Magento (including pre-built functionality) for product listings, shopping carts, and checkout processes.
• API connectors to exchange data seamlessly with other tools, like payment gateways, delivery suppliers, and marketing platforms.

E-commerce Tools and Technologies that Complete Your Tech Stack

Trying to find the best, most flexible, and budget-friendly tools and technologies that complete your e-commerce tech stack? Your search ends here.

E-commerce Accounting Software

Many software programs provide features and integrations that are especially suited to the accounting needs of e-commerce companies. Choosing the right e-commerce accounting software can impact your business significantly. Here are our top picks:

1. Link My Books

Link My Books is our top choice among e-commerce bookkeeping tools. It works smoothly with popular sales channels (like Amazon and eBay) and accounting software (like Xero and QuickBooks). This automation removes manual data entry chores, saving time and lowering errors.

The platform automatically applies correct tax rates based on product location and seller jurisdiction. Thanks to this, the worries about regulatory compliance and reducing overpayment risks are now a thing of the past.

With the platform's extensive COGS tracking features, merchants can make well-informed pricing decisions and gain in-depth insights into their products’ profitability. Link My Books also offers e-commerce businesses and accountants easy-to-navigate dashboards summarizing critical financial indicators. Sign up for a free trial today!

2. Quickbooks

Quickbooks integrates with e-commerce platforms, including Shopify, BigCommerce, and Amazon, allowing smooth data import and transaction categorization. It computes sales tax depending on your location and product categories, ensuring correct tax reporting and compliance. Overall, it lowers the chances of human error, saving time.

Users can monitor inventory levels and manage the cost of goods sold (COGS). They can also receive low-stock notifications to improve inventory management and avoid stockouts. Generating detailed sales, expenses, earnings, and other critical reports to acquire useful insights into your company's success also becomes easier.

However, Quickbooks has a longer learning curve than other simpler accounting software. People with zero familiarity with accounting terms can find it challenging to navigate.

Note - If you run an Etsy store, refer to our blog on the best accounting software for Etsy to get a more comprehensive idea.

Online E-commerce Store Builder

Now, let’s move on to our top three e-commerce store builder software choices, best suited for small to medium-sized businesses.

1. Shopify

Shopify is a prominent all-in-one solution known for its user-friendly interface and ease of use. The platform includes numerous built-in features, including - marketing tools, payment processing, inventory tracking, and product administration.

While less customized than other solutions, Shopify excels at providing a simple setup and scalability for small and medium-sized enterprises.

2. BigCommerce

BigCommerce is a solid and flexible platform that caters to businesses of all sizes. Compared to Shopify, it offers more flexibility, customization, and better integrations with multiple third-party tools and apps.

It’s more suited for bigger, more advanced online enterprises due to its robust B2B features and integrated SEO tools.

3. Woocommerce

WooCommerce is an open-source plugin that transforms WordPress sites into fully working online stores. It provides complete flexibility and control to the user.

The tool integrates smoothly with other WordPress plugins and themes, but installation and maintenance need technical knowledge.

WooCommerce is best suited for tech-savvy entrepreneurs and businesses with self-hosting settings.

Inventory Management Tools

Last, here are our top choices for companies looking to integrate inventory management tools into their tech stack:

1. SkuVault

SkuVault, a cloud-based platform, includes features like multi-channel syncing, purchase order management, barcode scanning, and real-time inventory tracking.

It also offers extensive reporting and analytics capabilities that help organizations better understand their inventory performance and make educated decisions. SkuVault can be integrated with numerous e-commerce platforms and accounting software. That’s why it’s a viable choice for companies of all sizes.

2. ShipBob

While ShipBob's fulfillment services include integrated inventory management, the solution is not one-size-fits-all. Businesses benefit from real-time tracking, automation, and insights, but the customization choices are restricted. It shines for those looking for essential inventory management and extensive fulfillment. However, detailed planning or direct control requirements would require dedicated software.

3. ShipStation

ShipStation, our final pick, lets you track inventory levels across many connected sales platforms, including Amazon and eBay. This gives you a centralized view of your inventory, which helps minimize overselling and ensure smooth order fulfillment. ShipStation can also send purchase orders directly to suppliers, saving time and effort.

Users can access basic information on inventory levels, sales trends, and stock movement to understand their stock performance better. However, their reports need in-depth analysis and insights from specialized inventory management solutions.

Enjoying this article? Consider saving these for later:

• The Future Of Bookkeeping: How Automation Is Changing The Industry
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• The Benefits of Real-Time Accounting for E-commerce Businesses
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• How to Streamline Your Process As an E-commerce Account 

How to Build Your Own E-Commerce Stack

Now that you’re ready to build your own e-commerce tech stack, here’s our five-step guide on how to execute it like a professional:

1. Choose Tools and Platforms

First, choose a platform that correctly fits your business model, budget, and scalability requirements. Analyse product variety, target demographic, and desired features (such as marketing tools and inventory management) to build a solid tech stack. Popular choices include BigCommerce, WooCommerce, and Shopify. If you need blog features or dynamic content production, use a CMS like WordPress or Drupal that integrates smoothly with your platform.

2. Integrate Multiple Payment Solutions

Next, select a reliable gateway that accepts multiple payment methods (credit cards, e-wallets, etc.) and charges reasonable transaction fees. Ensure PCI compliance for secure data management.

To gain a competitive edge, focus on catering to ever-evolving client preferences and maybe increase conversion rates. For example, try adding alternative payment methods like buy-now-pay-later services or cryptocurrency (Bitcoin, Ethereum, etc.).

3. Consolidate Inventory and Supply Chain Tools

Set up a system that monitors stock levels across channels, automates reordering, and delivers real-time inventory data.

Make sure to streamline communication and collaboration with suppliers. Use tools that provide sales order management, automation, and performance tracking.

4. Unify Customer Data with Advanced CRM

First, choose a CRM that connects easily with your e-commerce platform and is the central repository for all customer data.

Next, capture and manage contact information, purchase history, preferences, and support interactions to provide a complete picture of each customer. Use contact segmentation to target certain groups with targeted campaigns and offers.

Businesses can also build more personalized customer relationships using CRM tools. For example, create personalized messages based on client data and preferences using CRM's built-in communication features or by integrating with email marketing providers.

Go one step ahead and automate birthday greetings, abandoned cart reminders, or post-purchase follow-ups. The possibilities are endless.

5. Leverage Comprehensive Analytics Tools

Third-party analytics tools provide vital insights into website traffic by showing where visitors come from, what pages they engage with, and how they progress through your sales funnel. Besides, many e-commerce systems provide native analytics tools that provide granular data about your store's success.

However, is simply collecting data enough? Absolutely not, although it’s a good starting point. Monitor traffic trends to find high-performing landing pages and improve weaker ones. Understand client behavior to personalize product recommendations and enhance the user experience. Monitor campaign performance to identify what's working and what's not. Use this data to allocate your resources more effectively and maximize your ROI.

Frequently Asked Questions (FAQs)

Here are some of the most frequently asked questions about e-commerce tech stacks for online businesses:

What is the Marketing Stack for E-commerce?

The Marketing Stack for E-commerce combines software tools and technology to manage and optimize online marketing efforts. This stack usually includes tools for email marketing, social media management, advertising (paid search and social), analytics, content development, and customer relationship management (CRM).

How Do You Tell What E-commerce Platform a Site Is Using?

There are several ways to identify the e-commerce platform that powers a website. BuiltWith.com, for example, analyzes website code to discover underlying technologies like the e-commerce platform. Studying the website source code for specific platform-related tags or scripts could also provide clues. However, these approaches are not failsafe.

What Are Some of the E-commerce Development Tools? 

E-commerce development tools include numerous software and services for creating, customizing, and maintaining online stores. It's a broad range from website builders like Shopify and Squarespace to headless commerce platforms. Besides, development frameworks like Laravel and Magento are also helpful for complex shop features. Simply put, the e-commerce business's specific needs, technological expertise, and budget all influence the tools chosen.

What is Scalable E-commerce?

Here’s the thing: managing greater product stocks, processing more orders, and handling bigger traffic levels—everything relies on top-tier infrastructure and technology. That said, scalable e-commerce refers to an online store's ability to adapt and grow in tandem with rising business demand. It includes platform capacity, data management, payment processing, and server resources.

Conclusion

Remember, your needs will probably evolve as your firm grows. Prepare to adjust and develop your tech stack over time to ensure it supports business growth. Your business growth and success are guaranteed once you start viewing your e-commerce technology stack as a marathon rather than a sprint.

Ready to speed up your e-commerce bookkeeping and eliminate painful data entry? Link My Books seamlessly interfaces with top sales channels and accounting platforms, automating tasks and saving time.

Schedule a free trial and let us do the heavy lifting while you focus on growing your business.