Magento is a platform built – in PHP, which helps programmers create eCommerce websites. It was released on March 31, 2008, by Varien and developed on Zend Framework.
Up to this time, 250,000 businesses are using this platform to start their online store including big ones like Nike, Samsung, etc. Magento has been listed as 1 of 10 leading eCommerce platforms for 2021 worldwide by Techliance.
With a 9% market share in the eCommerce industry, Magento quickly grew and became one of the most popular eCommerce with the most users in the world.
Magento is a platform where everyone can customize whatever (function, themes,..) in their store. Thus, Magento is personalized for each business and suitable for all kinds of businesses.
With the special properties of Magento, for those who want to establish their online store, they will wonder how much it will cost to run a Magento store in 2021?
The cost to run a Magento store is not fixed. It depends on the edition, domain, hosting, themes, functions,… you choose.
To understand the pricing of Magento, this article will dig into it.
Magento License Pricing
There are three licenses in the Magento platform, these are Magento Open Source, Magento Commerce, and Magento Commerce Cloud.
- Magento Open Source, previously Magento Community Edition, is an open-source eCommerce platform that allows you to build a unique online store from the ground up. Magento Open Source free as – is.
- Magento Commerce (Magento Enterprise) is an eCommerce platform as a service. It will be suitable for large businesses and businesses that want to customize their store. This edition is not free but has more features and functionality.
Magento Commerce pricing is based on your gross sales revenue. This is the pricing table of Magento Commerce that you can consider before choosing this edition.
|Average Gross Sales Revenue||Magento Commerce Cost|
|$1,000,000 – $5,000,000||$32,000/year|
|$5,000,000 – $10,000,000||$49,000/year|
|$10,000,000 – $25,000,000||$75,000/year|
Magento Commerce Cloud, previously Magento Enterprise Cloud Edition, is a web-based business site platform. Side-by-side comparisons of Magento Commerce, Magento Commerce Cloud has more features such as Cloud to back up all your data and a hosting plan. It will be convenient for you because there is no extra cost for these features.
Magento Commerce Cloud is a wise choice for large businesses handling huge amounts of sales. You need to identify your requirements and to relate them to the capabilities for each edition to choose the most suitable edition. Below is the pricing table of Magento Commerce Cloud that you can refer to.
|Average Gross Sales Revenue||Magento Commerce Cloud Cost|
|$1,000,000 – $5,000,000||$55,000/year|
|$5,000,000 – $10,000,000||$80,000/year|
|$10,000,000 – $25,000,000||$120,000/year|
Magento Domain Name Pricing
When referring to an Internet address, Domain is the location of a website. If your business has an easy-to-remember domain name. This is advantageous because it helps everyone to easily search about your business. unlimited domain price, depending on the requirements of your business about the popularity of domain names, you can purchase domain names from several tens of dollars to millions of dollars. And, the annual domain name prices will vary. But, normally the pricing of Magento Domain Name is:
- For a brand new domain: $10 – 20 per year
- For expired domains: $20 – 400 per year
Magento Hosting Pricing
Magento hosting is an account on a computer that can store and serve website files via the Internet. Using hosting will help your store have more control over and many benefits like security, data recovery, SEO ranking, data management, reality,…
Before choosing web hosting you should review the Magento version you have selected because Magento Commerce Cloud has hosting included.
However, for Magento Commerce and Magento Open Source you can consider 4 types of web hosting: Shared Hosting Service, Virtual Private Server (VPS), Dedicated Server Hosting, and Cloud.
Magento’s hosting price will depend on your requirements and hosting provider. It can start at $10 – 1000$ per month.
Rely on many factors of your business like finances, requirements, demand,… You need to consider choosing the right hosting and hosting provider. This is so important to make sure your customer can see your business quickly and seamlessly.
Magento Theme Pricing
If the license, hosting, domain are the things that keep the store running, then the theme is the face of your business. You need to consider many factors such as Products or services, insight of customers when they are shopping online, affordability of your company,…
With someone using Magento, you have 2 choices of Magento themes: Free and Paid. For paid, It ranges from $3 to $400.
Unlike many eles eCommerce, Magento allows you to customize your storefront. If you choose this option, you will pay more money and depending on your requirement, the Magento web designer you hire,… You can even pay $10,000 for a Magento theme.
Magento Extension Pricing
Besides features supported by Magento, if your business wants to extend and use more functionality. Surely, you have to add Magento extensions for the store to help buyers have a positive online shopping experience. To understand what Magento Extension is and where you can find Magento Extensions, please check out the Top 9 Magento Extension Providers in 2021.
You have a lot of choices for Magento Extension with tons of functionality. There are almost free Magento extensions available. For a paid Magento extension, it ranges from $50 to $3000.
Magento Development Pricing
As you know, Magento is a platform that is complex to use. When you wanna fix something in the store or update features,… You have to need the help of developers who have knowledge about websites. To improve your store, and also customize it to fit your requirements, you need to spend money on developers.
Normally, the time to complete the job of a developer depends on their experience. Thus, the more experienced, the higher the salary. The average salary of a developer is $51 – $58 per hour.
If you want to save money and have a flexible store you should hire a full-time developer.
Aside from the factors mentioned above, Magento development pricing can change based on the size of your business. So, this price is not stable.
Overall Magento Launch Costs
Summary, the total cost to run Magento store depends on the requirements of your business, the Magento license you chose, the popularity of the domain name, the strong hosting, friendly and interface style of your theme, or many functionalities of Extension you bring to the store.