How much does a Shopify store cost? Cost breakdown and tips for saving
Setting up an online store on Shopify is a way for both small and large businesses to be exposed to a variety of business opportunities, but before jumping into the water, it's important to know how much all this goodness costs. Beyond the monthly subscription fees of the plan you choose, there are additional costs that you will need to consider and see if they are worth it to you. Here we will talk about the cost structure of a Shopify store, detail the differences between the different plans, and provide tips that will help you save and see profitability and success in your store.
How much does it cost to set up a store on Shopify? Overview of plan prices
Shopify has four main plans for setting up an online store for your business, with each plan offering different levels of tools, support, and transaction fees. .
· Basic Shopify : A program that provides the basic tools for setting up an online store – Website, blog, and simple inventory management. Monthly price is $39, discounted price with annual payment in advance is $29 per month, and there is Commission on transactions with an external supplier worth 2%.
· : Shopify (Standard) The standard plan for growing businesses. Includes more advanced tools such as professional reports, coupons, gift cards and more. . The monthly price is $105, the discounted price with annual payment in advance is $79 per month, and there is a commission on transactions with an external provider worth 1%.
· Advanced Shopify : A plan for large businesses or those that require advanced analytical and automation capabilities. Also includes advanced shipping calculations . The monthly price is $399, the discounted price for annual payment in advance is $299 per month, and there is a commission on transactions with an external provider of equal 0.6%.
· Shopify Plus : Premium plan for large businesses. Includes personal support, API access Advanced, multi-store management and custom features . Monthly price is $2,500, discounted price with annual payment in advance is $2,300 per month, and there is a commission on transactions at a flat rate of 0.2%.
What are the main differences between the programs? ?
· Price of the service – the differences are obviously noticeable in the price – starting at $29 per month for an annual subscription. Basic and up to $2,300 per subscription Shopify Plus Annual. The price also varies depending on the payment method (monthly or annual).
· The range of features you get – With the price differences come differences in the range of features you get. With the Basic subscription you get the simple tools for managing your store, with the Standard subscription You get more options and tools like professional reports and gift cards, and with the Advanced subscription Along with all of this, you also get features like advanced automation. Those who decide to use the heavy guns and choose Shopify Plus receive dedicated, personal support as well as access to the code and API.
· Transaction fee – the more advanced the plan – the lower the commission rate you pay. For example, users Basic users pay 2% on transactions with an external payment provider, while Advanced Pay only 0.6%. Users Shopify Plus members enjoy a reduced fee of 0.2%. .
Which plan is right for you? ?
If you have a small business with a few products, the Basic plan will definitely provide you with everything you need to build a Shopify store that is fun to browse and buy products from, and also easy and simple for you to manage. If you have a medium-sized business or larger, the Shopify Standard plan can be suitable, and the more complex your business is and the larger its transaction volume, you can also use the Advanced Shopify service. and take advantage of all its features. The Shopify Plus plan is especially suitable for large and complex businesses, such as international chains or B2B brands. That they have a scope of activity of millions or tens of millions of shekels.
Clearing fees and payment services – how much does it really cost? ?
When running a Shopify store, it's important to be aware of the costs associated with payment and settlement services. Beyond the cost of the subscription itself, there are various settlement fees charged on each transaction. These fees vary depending on the settlement provider you choose, the type of credit card the customer will use, and the volume of activity of the store.
Shopify has a payment plan called Shopify Payments. , but it is currently not available in Israel. This means that you will be charged a transaction fee depending on your platform subscription type, and there is also a credit clearing fee depending on the payment service you choose to implement in your store. Before you choose a clearing provider, it is recommended to compare prices and examine all the associated costs, including transaction fees, monthly fees and other matters. Ultimately, clearing costs add up to several thousand shekels for a small business, and as the business grows, the fees increase (even if you are ultimately charged a smaller commission percentage).
The hidden costs of building a Shopify store – expenses that are important to consider
· Purchase a domain and hosting – The domain (website address) and hosting service are mandatory costs that every website needs to be accessible to the general public. The price of hosting depends on the volume of information in your store, and these are annual expenses that are important to keep in mind.
· Premium Design and Templates – Shopify has pre-made templates that are completely free, but at some point you may feel that they are too “banal” and turn to creating your own unique design. This is a service that costs money and requires professional work from designers.
· Paid plugins and apps – Shopify also has a lot of free features, but you may find out pretty quickly that it’s not enough and you need more. Any plugin and app that isn’t free on Shopify will be a paid service through the platform itself or by using the services of relevant professionals who will build the plugin for you.
· External services (designers, developers, content writers, and marketing managers) – Not every business has an in-house team of professionals who can turn their store into a well-oiled machine, and for that, you can hire the services of these people. Designers and developers will make sure your store runs smoothly and looks good, and content and marketing people will help you increase brand exposure, but sometimes it’s easy to forget to include the cost of their work in the overall calculation.
How to reduce costs and start smart ?
The best way to properly manage your investment in an online store is to start with the basic store – initially, invest the minimum, and upgrade only after you see results on the ground and know exactly what improvements and features you want to introduce into the store to improve its management and the experience it provides.
It is recommended to use free templates first before deciding to invest in a custom design, test free plugins before moving on to paid solutions, compare clearing fees, and choose a cost-effective provider. This also applies to your marketing strategy – start with a small amount of funding to see what works and what doesn’t, and test marketing and promotion options in different channels.
It is also recommended to join Shopify communities to get tips and recommendations from people who are or have been in your shoes – they know what needs to be done and how you can improve to see profitability and results on the ground.
In conclusion
Shopify is a great platform for online commerce, but it's important to plan your budget in advance and be aware of all the associated costs before you get started, such as registration, clearing fees, domain purchase, custom design and plugins, and of course, marketing your store. However, it's definitely not the only platform to do this, and you can read more information in our article on choosing to manage a Shopify or WordPress store in the article in the link.
Our recommendation is to start small with minimal investment, and upgrade later as needed. Feel free to contact us at Wedev To find customized solutions for your store that will promote it and turn it into a business whose products or services everyone wants to use.
