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Shopify Pricing Plans 2023: A Friendly Guide for New Users

Alexis

September 26, 2023

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Shopify Pricing: Quick Overview

Navigate Shopify pricing with our simple, user-friendly guide. Understand how to make the most of your budget while growing your online business.

When it comes to starting an online store, choosing the right e-commerce platform is key. Shopify is a popular choice for many online entrepreneurs, offering a range of features and pricing plans to suit different business needs.

However, with so many pricing options available, it can be confusing to understand which plan is right for you. In this article, we’ll break down Shopify’s tiered pricing and plans so you can make an informed decision.

First, let’s start with the basics. Shopify is an all-in-one e-commerce platform that allows you to create and manage your own online store. It offers a range of features such as inventory management, marketing tools, and payment processing. Plus, it’s easy to use and doesn’t require any prior coding or design experience.

Now, onto Shopify’s pricing plans. There are five plans to choose from, ranging from the affordable Shopify Starter plan at $5/month to the high-tier Shopify Plus plan at $2000/month. Each plan offers different features and benefits, so it’s important to understand how they are structured.

One thing to note is that Shopify offers both monthly and annual pricing options. Monthly plans are ideal for businesses that want more flexibility, while annual plans offer cost savings and other benefits.

As you explore Shopify’s pricing plans, you’ll come across terms like “tiered pricing” and “feature limitations”. This means that certain features may only be available on higher-priced plans. It’s important to evaluate carefully what features are important to your business before choosing a plan.

Overall, understanding Shopify’s pricing plans is crucial for any online entrepreneur. In the next sections, we’ll dive deeper into each plan and its features, as well as additional costs you may encounter when running a Shopify store.

So, let’s get started with Shopify’s pricing plans and find the best fit for your online business.

What is Shopify?

Shopify is an e-commerce platform that allows users to create their own online store and sell products or services. Its user-friendly interface and versatile features have made it a popular choice for businesses of all sizes.

With Shopify, users can design their own website or choose from a range of pre-designed templates. The platform also provides various tools to manage products, customers, payments, and shipping, making it a comprehensive solution for online businesses.

What sets Shopify apart from other e-commerce platforms is its ease of use and flexibility. The intuitive interface and drag-and-drop functionality make it accessible for beginners, while the wide range of design and customization options allow experienced users to create unique and professional-looking online stores.

Shopify Pricing Plans

Shopify pricing plans are designed to cater to the needs of different businesses. From startups to enterprise-level corporations, there’s a Shopify pricing plan for everyone. Shopify offers five pricing plans that differ in features and costs. To help you choose the right plan for your business, let’s dive into the details of each plan and compare their features.

When comparing Shopify pricing plans, it’s essential to consider your business needs. The Shopify Basic plan offers an excellent starting point for most small businesses, while premium features are available in upper-tier plans for high-volume stores. The Shopify Advanced plan offers enterprise-level features for businesses with large orders and high-volume traffic. Shopify plans come with free SSL certificates, unlimited bandwidth, and a content delivery network to speed up your online store.

Each Shopify pricing plan also comes with a 14-day free trial, so you can test-drive their features before committing to any plan. It’s crucial to note that Shopify charges transaction fees if you use a third-party payment gateway. These fees are waived if you use Shopify Payments as your primary payment gateway.

Overall, Shopify pricing plans offer robust e-commerce solutions for businesses of all sizes. Take your time reviewing each plan’s features and costs, and choose a plan that best fits your business needs.

Shopify Starter Plan ($5/month)

Shopify Starter is the most basic plan offered by Shopify. It is designed for businesses that are just starting and have a limited budget. This plan includes features such as:

• Access to the Shopify platform
• One staff account
• 24/7 support
• Online store with unlimited product listings

Shopify Starter does not include features such as gift cards, professional reports, or abandoned cart recovery. If your business requires these features, you may want to consider upgrading to a higher Shopify plan.

Shopify Starter is a good option for businesses that are just getting started and don’t need all the features offered by the other Shopify plans. If you are unsure if Shopify Starter is right for you, consider your budget and the needs of your business.

Pro Tip: Keep in mind that even though the Shopify Starter plan has a low monthly cost, transaction fees may still apply if you use a third-party payment provider.

Overall, Shopify Starter is a great choice for businesses that want a cost-effective way to start selling online. However, if your business grows and requires more features, you can always upgrade to a higher plan.

Shopify Lite Plan – $9 per month

If you’re just starting out with your online business, the Shopify Lite plan may be a great option for you. At just $9 per month, this plan offers basic e-commerce features to help you sell your products and services online.

One of the key benefits of the Shopify Lite plan is the ability to add a Buy Button to your existing website or blog. This allows you to turn any website or social media page into an online store, without the need for a full e-commerce site.

In addition, you can use the Shopify Lite plan to sell products in person with the Shopify POS (Point of Sale) app. This is a great option if you sell your products at markets, pop-up shops, or other in-person events.

With the Shopify Lite plan, you’ll also have access to 24/7 support, as well as the ability to manage your products and orders from the Shopify app.

While the Shopify Lite plan doesn’t offer all the features of the more expensive plans, it’s a great way to get started with selling online without breaking the bank.

Basic Shopify Plan – $39 per month ($29 per month, paid annually)

For small businesses with limited resources, the Shopify Basic plan is a great option to get started with. At $39 per month, it’s perfect for businesses that are just starting out and are not ready to commit to a higher-priced plan.

The Shopify Basic plan includes all the necessary features to run an online store, including unlimited products, 24/7 support, and a free SSL certificate. With the $29 per month paid annually option, you can save up to 25% of the total cost.

However, keep in mind that the Basic plan does not include some of the more advanced features offered by higher-priced plans, such as advanced report building and gift cards. So, if your business requires these features, you may need to upgrade to a higher-priced plan.

Overall, the Shopify Basic plan is an excellent option for small businesses looking to start selling online with a limited budget. And with the option to save up to 25% by paying annually, it’s an even more attractive choice.

Shopify Standard – $105 per month ($79 per month)

The Shopify Standard plan is designed for growing businesses that need more features and functionality than what the basic plans offer. This plan comes with all the features included in the Basic package, but with additional benefits such as:

• Gift cards
• Professional reports
• Advanced report builder
• Shipping discounts of up to 74%

Aside from the monthly fee, Shopify also charges a transaction fee for each sale made through your online store. The fee is 2.6% + 30¢ per transaction if you use the built-in Shopify Payments gateway or 2.9% + 30¢ per transaction if you use an external payment provider.

If you run a brick-and-mortar store in addition to your online shop, you may also need to consider the costs of using Shopify’s Point of Sale (POS) system. There are two options available: Shopify POS Lite, which is included in all Shopify plans, and Shopify POS Pro, which costs an additional $89 per month.

Advanced Shopify Plan – $399 per month ($299 per month)

For businesses with higher-volume sales, the Shopify Advanced plan may be the best option. At $399 per month, or $299 per month if paid annually, this plan includes all the features of the previous plans, plus:

• Advanced report builder for custom reports
• Third-party calculated shipping rates for accurate shipping costs
• Access to advanced Shopify apps, like Shopify Flow and Launchpad
• Up to 15 staff accounts for team management

Most businesses won’t need the Shopify Advanced plan, but it’s a great option for large companies with high sales volume and a need for custom reporting tools. However, for enterprise-level businesses, there’s Shopify Plus, which costs $2000 per month and includes additional features like:

• Priority customer support with a dedicated account manager
• Access to an enterprise-level API for custom integrations
• Unlimited staff accounts for large teams
• Customizable security measures for added protection

For businesses just starting out, it’s important to choose a plan that fits your needs and budget. As your business grows and your needs change, Shopify offers scalable options to fit any size business. Consider your options carefully and choose the plan that’s right for you.

Shopify Plus Plan

Shopify Plus is a premium e-commerce solution designed for large enterprises, catering to businesses with substantial operations. With Shopify Plus, you invest in enhanced features and robust website hosting to ensure your online store remains stable during traffic spikes.

This plan is tailored for businesses generating annual revenues of $1 million or higher, and it typically starts at $2,000 per month or more. To receive a personalized quote for Shopify Plus, you need to engage in direct communication with Shopify’s sales team; this option isn’t available on their standard pricing table.

Shopify POS Pro vs Shopify POS Lite pricing

Shopify POS Lite is suitable for small businesses with a limited budget. It allows you to accept payments, manage inventory, and handle your sales through a mobile device or tablet. Meanwhile, Shopify POS Pro comes with additional features such as:

• Unlimited staff PINs
• Advanced inventory management
• Custom sales and discounts

Overall, the Shopify Standard plan is a great option for growing businesses who need access to advanced features and benefits. If you run a brick-and-mortar store, you can also take advantage of Shopify’s POS system to streamline your sales processing and management.

Shopify Apps, Domain Name and Email Hosting 

1. Shopify Apps:
   • Shopify apps are third-party software extensions that can be added to your Shopify store to enhance its functionality.
   • These apps can help with various aspects of your e-commerce business, such as marketing, inventory management, customer support, and more.
   • You can find apps in the Shopify App Store and choose the ones that best suit your specific business needs.
2. Domain Name:
   • A domain name is the web address that customers use to find your online store (e.g., www.yourstorename.com).
   • Shopify allows you to purchase a domain name directly through their platform or connect an existing domain you own.
   • A custom domain name helps establish your brand identity and credibility.
3. Email Hosting:
   • Shopify does not provide email hosting services, which means you won’t get traditional email accounts (e.g., yourname@yourstorename.com) with your Shopify plan.
   • To set up email hosting, you’ll need to use a separate email service provider, like Google Workspace (formerly G Suite) or Microsoft 365, and configure your custom domain’s DNS settings accordingly.
   • This allows you to have professional email addresses associated with your domain for communication with customers and partners.

Additional Shopify Costs

Running a Shopify online store comes with additional costs beyond the monthly plan price. It’s important to be aware of these expenses before launching your store to avoid any unexpected surprises.

Shopify Payments

Shopify offers its own payment gateway, Shopify Payments, which allows you to accept credit and debit card payments directly on your website. Using Shopify Payments eliminates the need for a third-party payment processor, simplifying the checkout process for your customers. However, using this service comes at a cost: transaction fees.

Transaction Fees and Credit Card Fees

Every time a customer makes a purchase through your Shopify store, you’ll be charged a transaction fee. The fee varies depending on your chosen pricing plan and ranges from 2.4% + 30¢ to 0.5%. Additionally, credit card processing fees apply and vary depending on the payment gateway you use.

here’s a brief comparison of Shopify’s main plans in a table:

How Do Transaction Fees Work?

Transaction fees are a percentage of the order amount plus a fixed amount. For example, if your transaction fee is 2.4% + 30¢ and a customer places an order for $100, the transaction fee would be $2.70 (2.4% of $100 is $2.40 + 30¢). This fee is automatically deducted from the payment before it’s deposited into your bank account.

Is There Any Way to Remove Shopify’s Transaction Fees?

Transaction fees are a standard part of accepting online payments, and there’s no way to completely eliminate them. However, if you use Shopify Payments, you can reduce the transaction fee by using a higher-priced plan. For example, the transaction fee on the Basic Shopify plan is 2.9% + 30¢, but it drops to 2.6% + 30¢ on the Shopify plan and 2.4% + 30¢ on the Advanced Shopify plan.

Transaction Fee Summary

Shopify Point of Sale

If you plan on selling products in-person using Shopify’s Point of Sale (POS) system, there are additional fees to consider. The cost of using the Shopify POS system starts at $29 per month and varies depending on the features you need. Additionally, using the Shopify POS Pro version incurs an extra $89 per month on top of your chosen monthly pricing plan.

It’s important to factor in these additional costs when deciding on which Shopify plan is best suited for your business needs. By understanding and planning for these expenses, you can avoid any surprises and budget your online store accordingly.

Alternatives to Shopify

While Shopify is a popular choice for building online stores, it’s not the only option available. Here are some alternatives to Shopify that you may want to consider:

Each of these platforms offers unique features and benefits that may better suit your business needs. Before making a decision, it’s important to do your research and compare the options available.

• WooCommerce: If you already have a WordPress website or blog, WooCommerce could be a great option as it integrates seamlessly with WordPress.
• BigCommerce: This platform offers multi-channel selling and responsive templates, making it a great choice for businesses looking to reach customers on multiple channels.
• Squarespace Commerce: If you’re looking for an easy-to-use website builder that offers professional templates, Squarespace Commerce is a great option.

Ultimately, the platform you choose depends on the unique needs of your business. Take the time to research and compare different options to find the best fit.

Shopify Fees (Pricing) vs Competitor Pricing

I can provide you with a sample chart comparing the pricing models of Shopify and some common e-commerce competitors. Please note that you should verify the most up-to-date pricing details on the respective websites of these platforms or by contacting their sales teams for accurate information.

Shopify Store 

A Shopify store is an online retail platform created using Shopify, a popular e-commerce software solution. Shopify stores enable businesses to sell products and services over the internet. They are characterized by several key features:

1. Online Presence: Shopify stores provide businesses with a digital storefront on the internet, allowing customers to browse and purchase products from anywhere in the world.
2. Customization: Store owners can choose from a variety of professionally designed themes and customize their store’s appearance to align with their brand identity.
3. Product Listings: Shopify stores allow businesses to list and categorize their products, including detailed descriptions, prices, and images.
4. Secure Checkout: Shopify provides secure payment processing and checkout options, ensuring that customer transactions are safe and protected.
5. Inventory Management: Store owners can efficiently manage their inventory, track stock levels, and receive alerts for low inventory.
6. Order Management: Shopify stores offer tools for order processing, tracking, and fulfillment, streamlining the sales and shipping process.
7. Marketing Tools: Businesses can use Shopify’s marketing features, including email campaigns, social media integration, and SEO optimization, to attract and engage customers.
8. Analytics: Shopify provides insights and analytics to help businesses track performance, monitor sales trends, and make data-driven decisions.
9. App Integrations: Shopify offers a wide range of third-party apps and integrations to enhance store functionality and customize the shopping experience.
10. Customer Support: Shopify provides customer support options, including documentation, community forums, and live chat support, to assist store owners with any issues or questions.

Overall, a Shopify store serves as a comprehensive platform for businesses to establish an online presence, sell products or services, and manage various aspects of their e-commerce operations efficiently. It’s a versatile solution suitable for businesses of all sizes, from small startups to large enterprises.

Shopify Themes

Shopify themes are pre-designed templates that determine the look and layout of your online store. They allow you to quickly and easily customize the appearance of your store without the need for extensive coding or design skills. Shopify offers a wide range of themes, both free and paid, catering to various industries and styles. You can choose a theme that aligns with your brand, and then personalize it by adding your logo, changing colors, and customizing fonts to create a unique and visually appealing online store. Themes are a crucial element in creating an attractive and user-friendly e-commerce website on the Shopify platform.

Shopify Free Trial 

Shopify gives a 14-day free trial that allows users to explore and set up an online store without any initial cost. During this trial period, you can test Shopify’s features, add products, customize your store’s design, and get a feel for how the platform works.

However, after the 14-day trial expires, you will need to choose and subscribe to one of Shopify’s paid plans to continue using the platform. It’s an excellent opportunity to assess whether Shopify is the right e-commerce solution for your business before making a financial commitment.

Conclusion

Choosing a pricing plan for your Shopify store can seem overwhelming, but by understanding the options available, you can make an informed decision.

Start by considering your budget and business needs. The Shopify Basic plan is a good starting point for most small to medium-sized businesses, but larger businesses may benefit from the Advanced or Plus plans.

Don’t forget to factor in additional costs, such as transaction fees and credit card fees, when choosing a plan.

If Shopify isn’t the right fit for your business, there are alternative platforms available, such as WooCommerce and BigCommerce.

Ultimately, the key to success with Shopify is building a strong online presence and providing exceptional customer service. No matter which plan you choose, always focus on delivering a great experience for your customers.

With this friendly guide to Shopify pricing, you are now equipped with the knowledge to choose the right plan and build a successful e-commerce business.

FAQs

Q: What is Shopify?

A: Shopify is an e-commerce platform that allows businesses to create online stores and sell products or services.

Q: What are the different pricing plans offered by Shopify?

A: Shopify offers several pricing plans, including Shopify Starter, Shopify Lite, Shopify Basic, Shopify Standard, and Shopify Advanced.

Q: What are the features and benefits of the Shopify Starter plan?

A: The Shopify Starter plan offers basic features for businesses just starting. It includes a website and blog, unlimited products, and 24/7 support.

Q: What is included in the Shopify Lite plan?

A: The Shopify Lite plan allows businesses to sell products on existing websites or social media platforms. It includes a Buy Button, Facebook integration, and manual order creation.

Q: What features and benefits come with the Shopify Basic plan?

A: The Shopify Basic plan includes a fully functional online store with unlimited products, a blog, and access to various payment gateways and shipping providers.

Q: What is the cost of the Shopify Standard plan, and what is the additional cost of using Shopify POS Pro?

A: The Shopify Standard plan is priced at $105 per month ($79 per month if paid annually). The additional cost of using Shopify POS Pro depends on the pricing of the POS plan you choose.

Q: What are the features and benefits of the Shopify Advanced plan?

A: The Shopify Advanced plan offers advanced features for growing businesses, including advanced reporting, third-party calculated shipping rates, and lower transaction fees.

Q: What are the additional costs associated with running a Shopify store?

A: Additional costs may include transaction fees, credit card fees, subscription fees for certain apps or themes, and other expenses related to running an online store.

Q: Are there any alternatives to Shopify?

A: Yes, there are alternative e-commerce platforms available, such as WooCommerce, BigCommerce, and Magento, that offer different features and pricing options.

Q: What should I consider when choosing a Shopify pricing plan?

A: When choosing a Shopify pricing plan, consider your business needs, budget, and expected growth. Evaluate the features, benefits, and costs of each plan to find the best fit for your online store.