Magento vs Shopify: A Comprehensive Comparison for Australia

Company Overview

Understanding the backstory and current status of Magento vs Shopify is crucial before committing to a long-term business relationship with them.

Magento: 

Magento is an open-source product, freely downloadable and customizable, but requires significant coding expertise to fully utilize. This often leads merchants to hire third-party developers for eCommerce store development. 

It’s essential to choose experienced Magento developers when outsourcing this service. Magento Commerce and Magento Commerce Cloud are commercial offerings aimed at enterprise-level merchants, requiring payment for use.

Shopify: 

Shopify, a commercial and hosted solution, hosts eCommerce stores on its platform for a monthly fee. Unlike Magento, Shopify allows users to launch stores without coding knowledge. However, for advanced customization, additional plugins and developer assistance are necessary. 

Shopify restricts direct access to its source code, expecting familiarity with its proprietary code language, “Liquid,” for any code modifications. Shopify Plus caters to enterprise users with expanded features and support

⇒ Watch more: Magento Open Source Vs Adobe Commerce: Pros & Cons

Market Share in Australia

When comparing Magento and Shopify for investment decisions in Australia, understanding their market share and local presence provides valuable insights:

Magento:

Market Share: Magento ranks as the second most popular ecommerce platform in Australia, with approximately 3,604 active web stores under the .au top-level domain. This figure is significant given Australia’s smaller population compared to the UK, indicating a strong adoption rate.

Regional Interest: Google Trends show that Victoria and New South Wales display the highest interest in Magento within Australia. “Magento Australia” is a frequently searched keyword, suggesting a demand for local Magento expertise and support services.

Shopify:

Market Growth: Since 2019, the number of active Shopify stores in Australia has grown significantly from 46,000 to 151,179 Websites using Shopify Australia.

Sector Focus: Around 24.4% of Shopify stores in Australia specialize in selling apparel products.

Enterprise Adoption: There are 1,673 Shopify Plus stores in Australia, indicating its popularity among larger enterprises.

Top Apps: Key apps such as Product Reviews, Geolocation, and Klaviyo are widely installed across Shopify stores in Australia, highlighting essential tools for optimizing business operations and customer engagement.

These insights into Magento and Shopify’s market presence in Australia help businesses make informed decisions based on platform popularity, sector alignment, and local market trends.

Cost Structure for the Australian Market

Understanding the cost structure of Magento vs Shopify in Australia is essential but can be complex without expert guidance.

Magento: 

Magento Open Source is free to download and use, but it requires a significant initial investment in third-party development. Hosting costs vary between $4 and $300 per month, depending on the required capacity. 

Themes include free options, with the ability to customize or purchase paid themes. Not all modules and features are included in the free version; extensions are available for purchase on Magento Marketplace, allowing for customized expenses based on specific needs.

Shopify: 

Unlike Magento, Shopify does not offer a free version but provides a 14-day free trial. It offers three main packages priced at $29, $79, and $299 per month. Transaction fees apply for both online and in-store credit card purchases, ranging from 2.9% + 30c to 2.4% + 30c. 

Additional fees apply if using a payment provider other than Shopify Payments, available in 17 countries including Australia. There are 9 free themes and 64 paid themes to choose from. Each tier of Shopify unlocks more features. For enterprises, Shopify Plus starts at $24,000 annually, offering advanced capabilities and support.

Usability

This area often sparks misconceptions, particularly concerning Magento vs Shopify. Evaluating usability requires examining both the ease of setting up and managing your online store.

Magento: 

Without coding knowledge, creating and launching a Magento store independently is impractical; hiring an experienced service provider is essential. Once operational, Magento’s admin panel is user-friendly and highly customizable to suit specific user needs.

Shopify: 

Creating a basic Shopify store without coding knowledge is feasible. However, for advanced customizations and integrations, hiring developers proficient in CSS, PHP, and Liquid is necessary. Shopify offers a standard admin panel that is user-friendly but lacks customization options, sometimes necessitating adjustments to align with Shopify’s CMS standards.

Customization for the Australian market

Customization is crucial for addressing specific business scenarios and differentiating your brand in the Australian market. Especially when comparing Magento vs Shopify for this market

Magento: 

Magento excels in customization, offering extensive options for both front-end and back-end modifications. For instance, if you receive product images from multiple suppliers in varying sizes, Magento allows you to customize backend processes to automatically resize these images upon import into your online store.

Shopify: 

While Shopify provides a user-friendly platform, its customization capabilities are more limited compared to Magento. Shopify offers a standard online store setup, which means that if you receive product images from suppliers in different sizes, you may need to use third-party applications to resize these images before importing them into your Shopify store.

Scalability for the Australian market

For businesses in Australia looking to scale their operations, both Magento vs Shopify offer scalability features tailored to different needs and preferences:

Magento:

Magento offers extensive scalability options tailored for growing businesses in Australia:

• Integration Flexibility: Supports seamless integration of business-critical tools and automation, often requiring extensions available for purchase.
• Global Expansion: Handles local and international growth effectively, allowing management of multiple online stores from a single Magento instance.
• International Capabilities: Flexible for international shipping, supports multiple languages and integrates local payment options for enhanced customer convenience.

Shopify:

Shopify provides scalability features with considerations for businesses in Australia:

• Integration Ease: Offers user-friendly integrations with options for paid extensions, which can add to operational costs (e.g., Shopify POS integration costs $89 per month).
• Store Management: Each Shopify instance manages a single online store, which may require multiple instances for expanded operations or necessitate migration to a different platform for larger-scale operations.
• International Operations: Facilitates international shipping and is particularly user-friendly for businesses operating from regions like Australia, the USA or Canada.

Customer Experience

Creating a seamless omnichannel eCommerce experience is crucial for converting leads online, and integrating all sales and marketing channels to work harmoniously.Each eCommerce platform, such as Magento vs Shopify, offers distinct advantages in crafting and optimizing customer journeys.

Magento: 

With Magento, you have complete control over your customer experience, allowing you to optimize it for a unique online journey that distinguishes your brand. You gain access to comprehensive reporting functionalities that provide insights into performance metrics, enabling informed decision-making.

Shopify: 

Shopify offers a standardized customer experience optimized according to industry best practices. While it provides customer data and insightful reporting, access to the full reporting stack is limited in the basic $29 package, potentially necessitating higher-tier plans for more detailed analytics capabilities.

⇒ Watch more: Why and How to Hire Shopify Experts Developers?

Product Type

When selecting the eCommerce platform Magento vs Shopify for the Australian market, it’s crucial to ensure it can accommodate the complexity of your product offerings as your business grows.

Magento:

Magento offers extensive flexibility in product offerings, allowing merchants in Australia to sell any legally permissible product type without restrictions. It supports six different product types: simple, configurable, virtual, grouped, bundle, and downloadable products. 

There are no limits on product variants or attributes, providing businesses with the capability to offer products with extensive customization options tailored to Australian market demands.

Shopify:

Shopify imposes more stringent controls over the types of products Australian merchants can sell, especially concerning items with higher risk or controversial nature. While Shopify supports simple and downloadable products, it may not fully meet the expanding needs of growing businesses in Australia. 

Shopify limits products to 100 variants per item, with a restriction of three variant levels or attributes. This means products with more than three attributes, such as size, color, print, and material, must be streamlined or consolidated to fit within Shopify’s operational framework.

Compliance and Security

Magento vs Shopify handle online security and compliance in distinct ways:

Magento: 

As an open-source solution, Magento places the responsibility for security and compliance on the merchant. This typically involves regular updates managed by developers to ensure the store’s security.

Shopify: 

In contrast, Shopify manages security updates and patches internally, ensuring that online stores remain PCI compliant without requiring direct intervention from merchants or developers.

SmartOSC – Leading eCommerce Solutions Provider for Magento vs Shopify

With over 19 years of industry experience, SmartOSC is a trusted strategic partner for both Magento vs Shopify platforms.

As Magento’s official enterprise solution provider, we have been hosting Meet Magento events across Asia since 2017, sharing our extensive knowledge with developers worldwide. Additionally, as a leading Shopify Plus Agency and certified partner, we harness cutting-edge technology and analytics to optimize businesses’ infrastructure assets.

Our comprehensive services span consulting, design, development, and management across both Magento and Shopify platforms. Specializing in scalable eCommerce systems, SmartOSC integrates robust features with user-friendly interfaces, leveraging our deep expertise.

Having successfully delivered over 300 eCommerce projects globally, we are dedicated to helping businesses achieve their digital commerce goals effectively. Our tailored solutions are designed to foster growth and success in the competitive online landscape, empowering businesses on Magento and Shopify platforms to thrive.

Conclusion

Each platform, Magento vs Shopify, has its pros and cons. Ultimately, the right choice depends on your business’s specific needs and goals.

If you’re unsure, contact us – SmartOSC for expert guidance. With over 19 years of industry experience and a global team of 1000+ IT experts across 11 offices, SmartOSC is here to support your eCommerce journey with digital commerce solutions for both platforms Magento and Shopify. Discover how our technical expertise can drive success for your business in today’s digital landscape.