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Choosing the Right Shopify Plan – What Are the Key Differences?Basic Plan: Best for Beginners and Side BusinessesShopify Plan: Best for Larger Operations With Greater DemandAdvanced Plan: Best for Large-scale E-commerceWhat About Shopify Plus?What Additional Fees Does Shopify Charge?Not Sure Shopify is Right for Your Business? Here Are the Best Shopify AlternativesShopify Gives You Great Value at Every Price PointFAQ
Choosing the Right Shopify Plan – What Are the Key Differences?
Shopify offers three standard plans and two “alternative” ones: Starter and Plus. Starter lets you create a simple e-commerce website and allows you to sell through social media channels for just $5 a month. It’s a viable option if you’re just looking to sell one or two products on the side, but it won’t be enough for a fully-fledged e-commerce business.
On the other end of the pricing scale is Shopify Plus, Shopify’s solution for enterprise-level businesses, offering bespoke features and first-priority support. It won’t be the ideal plan for most merchants, but it has done wonders for larger brands in the past. Click here for more info on Shopify Plus.
The three standard plans are Basic, Shopify, and Advanced. Every one of these plans gives you enough features to create a wholesale online store. Regardless of the plan you choose, you’ll get access to 24/7 customer support, a free SSL security certificate, fraud analysis tools, and even advanced e-commerce features such as gift cards, discounts, and abandoned cart recovery.
Any standard Shopify plan comes with a 3-day free trial, so you can give it a quick test before you fully commit. If you decide that the Basic plan is the one for you, you’ll only have to pay $1 per month for the first 3 months.
You can create a fully-featured, high-quality e-commerce store with any of Shopify’s standard plans, but there are still some key differences between each plan. For a quick overview of how the plans compare to one another, take a look at the table below:
Basic | Shopify | Advanced | |
Monthly price* | $29.00 | $79.00 | $299.00 |
Unlimited products | ✔ | ✔ | ✔ |
Online transaction fees | 2.9% + 30¢ | 2.6% + 30¢ | 2.4% + 30¢ |
Shipping Discount | Up to 77% | Up to 88% | Up to 88% |
E-commerce automations | ✘ | ✔ | ✔ |
Shipping insurance | ✘ | ✘ | ✔ |
Sales Reports | Basic | Standard | Advanced |
Staff Accounts | 2 | 5 | 15 |
Basic Plan: Best for Beginners and Side Businesses
Due to its mix of affordability and features, Shopify’s Basic plan is the ideal entry point to get a functional online store up and running. There are some e-commerce platforms that offer starting plans for less (Square and Ecwid’s free plans come to mind), but in terms of value for money, Shopify Basic is one of the best options you’ll find. The basic plan offers enough resources to design and run a professional e-commerce site, and it’s my top recommendation if you run a small business or don’t have previous e-commerce experience. It’s also a great plan for starting a side venture. With its unlimited product capacity, four inventory locations, and basic marketing and sales reports, it gives you everything you need to sell your homemade products or run a successful dropshipping business. In fact, unless you absolutely need some of the extra features available on Shopify’s more expensive plans, I’d even recommend this plan for medium-sized businesses. All in all, despite being much cheaper, the basic plan offers more value than many $100+ e-commerce plans on the market. That said, if you run a larger or more specialized shop, the Shopify and Advanced plans offer certain premium features that could take your sales to the next level.Shopify Plan: Best for Larger Operations With Greater Demand
As your business grows and demand for your products increases, you’ll need to dedicate a larger portion of time to your online store. That’s where Shopify’s eponymous plan comes in. The Shopify plan comes with a slew of features to help you manage a busy online store and offer quality service 24/7. With the Shopify plan, you’ll get access to beginner-friendly automated e-commerce processes that take much of the work of managing your store off your shoulders. You won’t need any technical skill to auto-generate tailored customer recommendations, set up abandoned cart recovery, configure manual tasks into workflows, and more. As your store grows, you’ll probably want to hire more people to help you keep it running smoothly. The Shopify plan supports a growing business by giving you access to up to five staff accounts. Unfortunately, the Shopify plan doesn’t come with the extra staff included, but hey, no plan is perfect! As your traffic grows, many Shopify plan features will help you save more money. You’ll have access to a variety of shipping discounts, lower processing fees, and more advanced analytics. Overall, it’s a great plan to accommodate a small team – and great for keeping up with growing traffic.Short on time?
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Advanced Plan: Best for Large-scale E-commerce
The first thing to notice about the Advanced plan is that it comes with a sharp increase in price. If you’re handling a large-scale e-commerce enterprise, however, it could end up costing you far less than the alternatives. With the Advanced plan, you get the highest possible shipping discount, and the lowest transaction fees overall. And while the Shopify plan also offers shipping insurance, its the Advanced plan that makes better use of it. As you handle larger sales volumes, it’s more likely you’ll run into complications, and Shopify’s shipping insurance is applied per package. Though most of this plan’s benefits come in the form of lower fees, it also offers unique features that make it ideal for international businesses. The Advanced plan unlocks estimated duties and import tax fees at checkout, so your international customers know exactly how much they’ll be paying. Finally, the advanced plan lets you add up to 15 staff accounts for teams working around-the-clock (and across time zones), and you’ll be able to generate in-depth analytics to help optimize the shopping experience for different demographics.What About Shopify Plus?
Shopify Plus is a fully managed alternative for enterprise-level businesses, offering specialized features for regionalized content, B2B selling, advanced store editing, and support from dedicated marketing experts. It’s used by conglomerates like GymShark, Heinz, and Staples. The price of a Shopify Plus plan varies depending on each specific customer and their needs, but the average sits around $2000 per month.
Check out our detailed comparison of regular Shopify vs Shopify Plus to discover if Shopify Plus is worth it for your business.
What Additional Fees Does Shopify Charge?
Besides the monthly cost of your plan, there are some additional expenses you need to take into account. These vary in their rate of recurrence (one time, yearly, or monthly) and overall cost. Some are completely optional, while others might be imperative for the success of your store. Either way, there are some unavoidable costs you’ll need to keep in mind when calculating your budget.Custom Domain
Your domain name is arguably the most important aspect of your digital presence. It determines where your customer will reach you, and it’s tightly linked to your brand. The right domain can make or break the success of your business, and while not everyone’s a domain name expert, you only need a half a second to tell that hotcoffee.com is a better domain than verygoodtastycoffee.website.xyz.org. Shopify offers free custom subdomains (yoursite.shopify.com), but to be completely honest, I don’t recommend this option for anyone. Whether it be from Shopify or any other platform, a subdomain makes your website hard to find, and it yells unprofessionalism. The other (and better) option is to buy a custom domain directly from Shopify or a third-party seller, which will usually require you to pay an annual fee. It’s an important expense to take into account, and prices can vary greatly. Depending on your desired name and which service you buy it from, you could pay as little as $0.99 or as much as $99 per year. If you want more information about domain names, you can check out our in-depth guide to choosing a domain name in 2024.Themes
One of Shopify’s best features is its wide selection of themes for every type of business, from restaurants and entertainment to business supplies. Some of the best themes even come with built-in features that cater directly to a specific industry, such as menus for restaurants or event calendars for seasonal brands. The right theme can give you a huge leg up when it comes time to set up your ideal e-commerce site. Unfortunately, Shopify only offers 11 free themes (at the time of writing), and the most interesting designs are locked behind a paywall. Most of Shopify’s themes incur a one-time expense of $200 to $300, though there are some outliers. Shopify is also one of the few website builders to support third-party templates, so there’s a good chance you’ll find something that suits your needs through digital asset services like Envato or TemplateMonster.Payment Processing Fees
Like any other service that allows you to process credit cards, Shopify takes a small percentage of the total value of each transaction. The exact value of these fees varies significantly depending on which plan you choose and the type of transaction being processed. If you already have a preferred credit card processor, Shopify still keeps a percentage – albeit a considerably smaller one – of each transaction amount, which is something you’ll need to consider on top of the usual fees charged by your preferred credit card processor. Shopify does offer a proprietary payment processor called Shopify Payments. The benefit of using Payments is that you can set it up as soon as you create your site, and you won’t be charged any third-party transaction fees. It’s also a requirement if you want to make use of Shipping insurance. Below, you’ll find a quick breakdown of Shopify’s transaction fees.Fees | Basic | Shopify | Advanced |
Online transactions | 2.9% + 30¢ | 2.6% + 30¢ | 2.4% + 30¢ |
Online international | 3.9% + 30¢ | 3.6% + 30¢ | 3.4% + 30¢ |
In-person or debit | 2.7% | 2.5% | 2.4% |
Third-party fees | 2% | 1% | 0.5% |