You may have possibly landed here as you are in the process of developing a Magento eCommerce website. Are you ready with your site plan? Or looking to devise and implement your idea in a more modern way?
With over 240,000 worldwide users, Magento has exploded in popularity in the eCommerce industry. And there’s no doubt that it’s because of its rich features and extensive customization options.
Often, the real concern lies in our customer’s budget for the whole Magento project. While we love talking about our friendly project managers and our fantastic Magento designs, sometimes our customers just want to know one thing: What’s the price?
Thus, to help you better, here are some insights into Magento pricing and service.
Magento is the worldwide leader in digital commerce innovation.
Not just a promotional one-liner, but the leading eCommerce brands on the planet advocate why most online businesses rely on Magento – Rosetta Stone, Daddies, Mothercare, Alex and Ani, HallHuber, Bvlgari, Nike, Easton, Liverpool FC, Rebecca Minkoff, Pepe Jeans, Zoetis, Olympus, Nicole Miller, Kurt Geiger and so on. The list is endless.
Technically, Magento offers everything an eCommerce site demands to display an infinite catalog of variable products, an easy and simple checkout, smooth navigation, quick page loading and what not. From user dashboards to inventory management to a personalized CMS to advanced shipping to a cutting-edge product bundling, your website is a complete package when built on Magento platform.
Alongside, Magento’s extensible API makes it easy to integrate third-party apps and to customize your eCommerce store as per the products and services you offer. It is inherently fast in loading website pages, retrieving data from large databases, processing queries providing an exceptionally effortless user experience.
Open-source and SEO-friendly, this eCommerce platform allows you to run multiple websites on the same common backend system and control all of them via a single unified admin panel.
Since now you better know the undisputed benefits of using Magento, let’s us further know how the costing varies with your website requirements.
Magento Community is the most popular version of Magento. It is open source and free to download. To set up a store merchants need to contract a Magento developing company or a single developer. Businesses using Magento CE to run their stores don’t have access to technical support for this software. Answers to many technical questions are available on the Magento user forum.
Provided that you have found a Magento developer or a Magento agency, there are endless possibilities of customizing the store with additional features and functionality by installing extensions from the Magento Connect marketplace or other third party companies who specialize in Magento Extension development.
How much does it actually Cost?
It is to be noted that before the development process, clients do buy a Magento theme for their website, which includes an additional investment apart from the development cost a company estimates. There are a lot of online vendors that sell innovative and modern Magento themes.
A Magento e-commerce website development company encompasses the cost of workforce manpower of Developer, Designer, Project Manager, Quality Analyst and other overhead expenses of important tools, electricity and maintenance costs.
The Million Dollar Question – How Much Will A Magento Website Cost Me?
We’ve found the most frequent question from our customers is the cost or pricing strategies for building a Magento website. There are numerous factors that determine the cost. One of the many factors is your business size. Depending on your business need, you could choose basic Magento, Community edition or an Enterprise edition.
Here’s the pricing for the three Magento services.
1. Basic Magento Website Cost: $20,000- $40,000
This option is for companies who are moving from a hosted platform or starting up from scratch. If you’re someone who’s looking to build a generic Magento website, then you should go for the basic Magento. Individuals and small businesses prefer basic Magento because it gets them up and running fairly quick. The cost for a basic Magento website starts at $20,000. This could go up to $40,000. There are two ways that you can get a basic Magento website started. The first is by choosing a prebuilt theme, which is cheaper but some time limiting as to how much customization can be done on the theme. We will not get into details here because this can be its own article. The second option is converting a PSD design into a Magento store which doesn’t limit you on how your website should look and functionality wise. Nonetheless, both options require a good deal of time to set up, configure, customize and test. Hence the above cost. Because it’s a basic site, you’ll be limited to the following:
- Under 6000 SKU’s
- Install the Latest Community Magento Edition
- Integrate/Install a chosen Theme into the latest stable version of Magento
- Simple Design Implementation
- Set up Transactional Emails with Logo
- Inventory System or POS Integration
- Integrate Payment Processor such as Authorize.net and alternative payment methods from PayPal, Amazon, Google etc.
- SSL Set Up
- Product and Category Setup and Configuration
- No Integration with Back Office Systems
- Basic Shipping & Tax Configuration Set Up
- Internal quality assurance (QA) to ensure cross-browser compatibility and functioning of all features
2. Custom Magento Website Price: $40,000 to $100,000
If you’re an established retailer looking to upgrade or migrate from another eCommerce platform, then you want a Magento custom website. It provides a complete solution to online selling and with a business continuity plan in place for growth. The cost ranges from $40,000 to $100,000. Here, you enjoy extra benefits like,
- More than 6000 SKU’s
- SEO Advanced Package
- SEO Starter Package
- Inventory System or POS Integration
- Multilingual Store Front
- Advanced 301 Redirects
- Custom Home Page Design, Check Out Page, Product Landing Page Etc
- Custom Banner/Graphics
- Different Pricing for Wholesale, Partners, and Retail Customers
- One Page Checkout
- Address Validation at Checkout
- Advanced Reviews
- Auto-Complete Search
- Gift Registry
- WordPress Blog Integration
- Social Media Sharing Option
- Facebook Login
- Connection With Back office Accounting Systems, Sales Force, Rewards Program, and Other Affiliate Marketing Systems
- Testing/ QA
- Code Documentation
- Warranty and Support
- Data Migration
- Advanced Shipping Configuration
3. Magento Enterprise Website Price: $100,000-$250,000 and Up
Along with all the features included above in the Custom Magento website cost, Magento EE comes with the following additional features. Magento Enterprise edition is for large businesses, allowing them to utilize the complete Magento features. Moving to Magento Enterprise will cost you $100,000-$250,000 and Up. The best part is you can sit back and relax while Magento takes care of your eCommerce sales. From order to shipping, Magento Enterprise has all the bells and whistles that you’ll ever need. Some of the additional benefits include:
- Built-In Modules
- Mobile Friendly
- Multiple Stores
- Full Page Caching
- Free Professional Customer Support
- A large Amount Of SKU’s
- Hosted By Magento
- Search Engine Optimization
- Customer Segmentation
- Targeted Promotions & Merchandising
- Custom Coupons
- Integration With Shipping Providers
- Social Media Integration
- Training And Much More
Magento Development Hourly Rates:
The hourly rates for Magento development vary from the experience level of the developer. However, on an average, a quality Magento developer will cost between $50 to $250 per hour.
What Are Some Of The Other Important Elements That Can Affect The Pricing?
It’s good to know some of the important elements which can turn your budget topsy-turvy for implementing Magento. Here are a few that could throw a wrench into your digital plans:
- Magento Version
- Server Cost
- Designing and Development Cost
- Magento Theme
Here is a fact to check on Magento pricing:
1) Designing, building and configuring a Magento website requires time and advanced PHP development knowledge. If somebody tells you they can do it in a week, it probably won’t happen.
2) These numbers refer to what the industry prices for a Magento website run on average. Take in to consideration that proper web design companies have overhead and full-time intelligent people with salaries who will work on your project.
3) If the price of a Magento website sounds too good to be true, it probably is. Remember the saying “You get what you pay for”.
4) A college student or just a PHP developer alone can not build a Magento website. Such a project requires multiple people with different technical skills such as SEO, Analytics Expert, Web Design, Graphic Artist, Front and Back End Development.
5) Offshore developers can certainly create your website for much cheaper. When will the website be completed and will it be completed as promised is a matter of hit or miss.
6) Come up with a budget and a project scope or RFP before requesting a quote. Submit it to multiple companies and then compare apples-to-apples.
7) Building a Magento website and thinking that it will magically layout golden eggs is not a norm. As in the real world, selling on the web is very competitive. You need to constantly update and put a tremendous amount of work on the website in order to get a return on your investment.
8) You need a serious company that will stand behind what they do and become your long-term partner.
9) Hourly rate for Magento development can range from $50 – $250.