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What is the Real Price of a Magento Site?

  • 4 min read

About Magento Pricing


In an ideal world, your costs for running your business are transparent and bacon is healthy to eat. Sadly this isn't an ideal world: bacon can give you cancer and sometimes you end up paying way more than you were expecting for important business services and products such as eCommerce software. Luckily, at IWD Agency, we're upfront about our work and pricing, so you know exactly what sort of bang you get for your buck (but we can't do anything about bacon, sorry). This is a general breakdown of our Magento pricing and other costs associated with maintaining a store on the Magento eCommerce platform. As a bootstrapped business we share your common concerns about knowing not only your initial implementation costs, but also your long term maintenance costs as well. If you still have any questions about how pricing works or just want to say hello, don't hesitate to comment at the end of this article or send us an email! Magento Enterprise & Community Software Cost (one costs a bit more than the other):
  • Magento CE (Community) - Free!
  • Magento EE (Enterprise) - Starts at $22,000 per year.
  • Magento EE Cloud - Starts at $2000 per year (includes hosting)

Don’t worry if the cost of Enterprise Edition is a bit out of your price range; the Community Edition is very feature-rich and can be customized to include Enterprise functionality with extensions such as One Page Checkout or Olark live chat. On the other hand if you are a larger organization and your budget allows, Enterprise Edition is worth taking a serious look at. We will break down the additional features you get with EE, but one of the major benefits to the Full Monty version of Magento is direct access to Magento’s support team, which has received numerous accolades for outstanding service. A comprehensive list of all Magento CE & EE features are listed here: (The first six pages are all the Magento Community features and only the last three pages are Magento Enterprise features.)


Maria Molinero, Unsplash

Store Implementation Costs (hint: make sure your partner is Magento Certified):


Depending on the agency you work with, full store implementation costs vary widely. On average, most firms’ starting price for Magento design implementation begins at $50,000 for Magento CE and $100,000-$250,000 for Magento EE. We are a boutique firm, and with a smaller, more nimble team our approach is streamlined to allow far lower price points so that we can competitively service small to large store fronts (Read more about our Magento Services). When you are shopping around for different implementation partners it is very important to make sure the partner you choose is Magento Certified. This is very important due to the complex and ever-changing nature of Magento. While you might be able to take your car to a non-dealer certified garage to get it fixed, a custom-designed software program is a lot more complicated and delicate than your Subaru. We regularly have to redo websites due to flawed implementations from other development agencies. Just because developers are competent does not mean they know Magento!


Additional costs that can be added to any plan (gray hairs may or may not be included):


Custom logic not standard to Magento, such as custom shipping or order modules. Installation, theme adjustment, and modification of Magento extensions that best fit your needs. Inventory System or POS integration, which is super important if you have a brick and mortar location in conjunction with your online store. Data import in case you are switching over from a different host or a competitor’s platform. Content writing, because not everyone is a naturally-born copywriter. You can find great writers for a fair price on upWork, fiverr, or CloudPeeps. And of course, no matter what eCommerce platform you use, you might get a few gray hairs in the process of getting it all set up. We'll do our best to keep you from going gray, though :)


Site Hosting Costs (we have friends who can help):


Site hosting depends largely on the size of your site and the amount of traffic it receives. For both Magento CE and EE we have been working with Nexcess for many years and recommend them to all our clients. They are very in-tune with optimizing server configurations specifically for Magento websites. Pricing starts at $19.95 / month for shared hosting and $539.95 / month for dedicated servers. View a complete list of their pricing plans. There are other good hosting providers out there but this is the primary company we rely on and feel the most confident recommending for your hosting needs.


On-going Maintenance & Optimization Plan (because things always change):


Now that your store is on Magento, you may need some help with miscellaneous tasks such as site updates, security patches, training, design work, extension installation, SEO, and holiday promotions. Our simple Superhero Plans take the hassle of dealing with these issues off of clients’ minds. Directly after a new store implementation, the plan is just $145/mo, including one free hour of monthly service to cover technical help, design, training, or development.  We also have cheaper plans if you know you will be needing at least 20 hours of work done in a month. Instead of getting frustrated and wasting hours trying to figure out something simple like a promotional code, just call us and we will assist you. Additional hours are billed at a maximum rate of $145/hr.  Once again, it could be cheaper if you are on a higher tiered plan. If the site was not developed by us or there has been a significant time gap between when we built the site and started the Maintenance & Optimization Plan then there is a one-time account setup fee of $250. This allows us to create a dev environment for your site, as well, and review your code.