When choosing an eCommerce platform, it’s easy to look at the price tag and think you have your answer. But if you’re comparing Shopify and Magento, the real question isn’t just “Which is cheaper?”—it’s “What does it actually cost to run and grow my business on this platform?”
The true price of ownership includes more than subscription fees. It includes development, hosting, maintenance, customization, and even the people you’ll need to manage everything. In this guide, we’ll walk you through how Magento and Shopify differ when it comes to the full cost of ownership—so you can make a smarter, long-term decision.
1. Platform Fees: What You Pay to Get Started
Shopify operates on a straightforward subscription model. Shopify Plus, its enterprise plan, starts at around $2,000 per month. This includes hosting, security, and support. The pricing is predictable, which is a big advantage if you want to plan your costs ahead of time.
Magento
Magento Open Source is technically free to download and use, but the reality is that you’ll need to invest in hosting, security, and development from day one. If you go with Adobe Commerce (Magento’s enterprise version), licensing fees are based on your store’s annual revenue and can range from $20,000 to over $100,000 a year.
The Bottom Line: Shopify is simpler and more transparent. Magento’s costs vary based on how much customization and support you need.
2. Hosting and Infrastructure
Shopify
Shopify is a fully hosted platform. That means hosting is included in your monthly fee, and you don’t need to worry about server configurations, bandwidth, or uptime. Everything is taken care of behind the scenes.
Magento
With Magento, you’ll need to set up your own hosting environment. For a basic site, shared hosting might be enough. But for a large-scale or high-traffic site, you’ll need a dedicated server or cloud hosting, which can cost anywhere from $100 to $500 per month—or more if you need managed services.
The Bottom Line: Shopify handles everything for you. Magento gives you more control, but also more responsibility and higher potential costs.
3. Development and Customization Costs
Shopify
Shopify is built to be user-friendly. You can set up a store quickly without much technical knowledge. But if you want custom functionality or deep design changes, you may still need a developer. The good news is that development tends to be faster and less expensive compared to Magento.
Magento
Magento is highly customizable—but with that flexibility comes complexity. Most businesses will need a developer not only to build the store but also to maintain it. Whether it’s custom modules, theme changes, or performance optimization, Magento development takes time and expertise—and that translates to higher costs.
The Bottom Line: Magento offers more freedom but comes at a higher development cost. Shopify keeps things simple, which helps keep developer hours lower.
4. Apps, Extensions, and Features
Shopify
The Shopify App Store offers thousands of apps, most of which are easy to install. Many have monthly fees, and while they make customization easier, the costs can add up over time.
Magento
Magento has an extension marketplace as well, and many of the tools are one-time purchases. But integrating them often requires a developer. In some cases, you might need to build your own features if the extension you need doesn’t exist.
The Bottom Line: Shopify apps are easier to use but may come with ongoing fees. Magento gives you more advanced functionality but often requires more work (and budget) to implement.
5. Maintenance, Upgrades, and Security
Shopify
One of the biggest advantages of Shopify is that it’s hands-off. Updates, bug fixes, and security patches are all handled by Shopify. You don’t have to worry about managing versions or hiring someone to apply patches.
Magento
Magento puts the responsibility on you (or your team) to keep things updated and secure. Security patches and version upgrades must be applied manually. If ignored, you could face vulnerabilities or compatibility issues with your extensions and themes.
The Bottom Line: Shopify takes care of the technical side for you. Magento requires regular attention and upkeep, which often comes with additional costs.
6. Scaling Costs
Shopify
Shopify is designed to grow with your business. You can increase traffic, product volume, and sales without needing to upgrade your hosting or infrastructure. However, keep in mind that if you use third-party payment gateways, Shopify charges transaction fees unless you use Shopify Payments.
Magento
Magento can scale to meet complex business needs—especially for large product catalogs or global expansion. But scaling with Magento usually means investing more in infrastructure and developers.
The Bottom Line: Shopify simplifies scaling. Magento gives you control but scaling comes with a higher investment.
If you want a platform that’s easy to launch, maintain, and grow—with clear, predictable pricing—Shopify Plus is likely the better fit. It’s ideal for businesses that don’t want to deal with technical overhead and are happy to work within Shopify’s framework.
On the other hand, Magento is powerful and deeply customizable. If your business has complex workflows, unique requirements, or plans for custom global rollouts—and you have the budget and development resources—Magento offers the control and flexibility that Shopify doesn’t.
It’s not about which platform is cheaper. It’s about understanding where your business is today, where it’s going, and what kind of infrastructure and support you’ll need along the way. Connect for more!