To What Extent Does a Magento Website Cost to Develop?

Creating an online store can be conveniently achieved with platforms like Magento. Especially for businesses that lack an in-house development team, as the cost for licenses is fairly moderate, integrating such platforms could prove to be a significant advantage for any e-commerce project.

To determine the total expenditure involved in building a Magento website, there are a multitude of aspects to take into account. This post aims to elucidate the key factors that should be considered, along with the possible supplementary expenses that may arise during the website’s lifetime. Let’s dive in.

How much does it cost to initiate an e-commerce store with Magento?

To arrive at a precise estimate for the cost of a Magento website, it is crucial to take into consideration the following particulars:

1. Magento Pricing for Online Stores

The cost of using Magento is likely to be your primary concern. This question seems basic, but it can be quite perplexing.

Earlier, Magento had an intricate pricing system that comprised of three distinct components:

  • Magento hosting that was free and open-source.
  • The Magento Commerce Professional plan had a range of extensions, but hosting was included exclusively within the vendor’s domain.
  • Magento Commerce Cloud is an advanced cloud-hosted e-commerce solution, developed on the Magento open-source platform. The pricing for Magento’s Cloud offering is marginally higher than the standard commerce edition, as it offers supplementary features.

Presently, Magento (previously known as Adobe Commerce) is available as a comprehensive solution called Commerce Pro. The pricing strategy is malleable and can be customised to fit the specific needs of each customer.

A noteworthy instance is cloud hosting. Previously, users had to obtain it as a separate package, but now it can be combined with AWS and Azure as part of the Commerce Pro plan for an added charge.

The major difference is that the Open Source approach is no longer accompanied by a no-cost option. There is no information available to the general public concerning pricing for single features or for the Commerce Pro plan, but going by past licensing figures, it is approximated to be valued between £17,000 and £150,000.

The customary approaches to calculate this figure utilised the overall sales revenue of your store as the input parameter.

Total Income From SalesThe Budget
$0 – $1,000,000$22,000
From $1M to $5M$32,000
$5-10 million$49,000
10-25 million dollars$75,000
Between Twenty-Five and Fifty Million Dollars$125,000

The expense of the Cloud service would also increase depending on this figure, which could range from about $18,000 to $65,000.

2. Offering a Platform

If you do not wish to avail Magento’s Cloud service, you will have to pick a hosting provider to host your website.

The monthly prices can vary from $0.90 to $80.00, while the average cost is roughly $2.99. This implies that the overall expense for the year would fall between $10.80 and $960.

3. The Website Address

Obtaining a domain name for your e-commerce store is crucial to ensure its visibility upon launch. The typical expense for website hosting is between £10 and £20 per year.

4. Key Considerations When Selecting an SSL Certificate

It is crucial to safeguard customers’ personal and financial data. An SSL certificate can aid in guaranteeing that data provided by customers through your website is codified before being transferred to your server.

Various types of SSL certificates comprise:

  • This type of protection is appropriate for deployment on a single domain, as well as its subdomains. Pricing starts from $5 per annum.
  • This wildcard shields a single domain and all of its top-level subdomains. Pricing starts from $30 per annum.
  • This feature can secure multiple domains and subdomains. The yearly cost starts from $60.

SSL certificates consist of validations as a subcomponent.

  • This phrase refers to verifying a domain’s ownership. If you don’t need any personal information from your website users, this is the preferred approach. A higher level of validation is typically required for an e-commerce store. The annual cost for this service starts from $70.
  • To ensure adequate protection for online stores, organisations must validate their domain name and other critical information. The cost starts from £35 per month or £1,000 per year.
  • To confirm the existence of a business entity both in name and in actuality, rigorous verification is necessary. This is usually the most intricate and expensive option. An annual membership begins at $.

If your website requires high-security standards (which is probably the case, considering the sensitive data your customers must provide), an SSL certificate may cost more than a thousand dollars per year.

5. Design and Development of the Front-End

Customising Magento’s front ends with skins is a common practice. A pre-made theme can be chosen and then tailored to the company’s specific needs, or a bespoke design can be created for the business.

Magento shop or third-party designers offer both free and paid themes. The prices of themes vary from £39 to £499, providing flexibility to fit any budget.

The creation of a custom theme can be more expensive due to the requirement for external assistance, such as freelancers or consultancy services. Developing a single theme usually takes up to four weeks to finish. With an hourly rate of £46-£62, the estimated cost of a tailored theme ranges from £5,600 to £9,600. Working with a consultancy may result in higher costs.

When it comes to a message, the interior is more critical than the exterior. However, storefront pages must also be created, particularly:

  • Homepage
  • List of Products Available for Purchase
  • Listing of Products
  • Screen for Checkout
  • Confirmation of Internet Order

Initially, a budget of approximately £1,872 to £2,496 is required to cover the basic necessities for a week of front-end development work. This budget may need to be altered to include branding expenses.

Therefore, we are now able to offer satisfactory solutions to two pressing concerns:

  • The duration needed to construct a Magento site is uncertain, but typically lasts between 4 and 5 weeks.
  • The estimated expense of a Magento developer varies depending on the project’s specifics, with prices ranging from $2,440 to $16,000 or higher, and the average hourly rate ranging from $61 to $80.

6. Expanding Modifications

To enhance the functionality of their online stores, Magento extensions are necessary, providing a vast range of features and benefits.

  • Funds and Accounts
  • Support for Customers
  • Sales
  • Marketing
  • Payment Methods and Security
  • Shipping and Order Fulfillment
  • Customizations and Content
  • Analysis and Reporting
  • Effective Site Enhancement

The price of add-ons may range from zero to as much as $15,000, based on the necessary features. Unfortunately, without knowing the precise specifications of each specific store, giving an accurate estimate is difficult.

7. Clearly Identifiable

For companies that provide niche goods or services, having an online presence is critical. Both search engine optimization (SEO) and online advertising strategies must be employed to guarantee that your content is easily accessible to customers. These two factors are critical to enhancing visibility and attracting potential clients.

Usually, the annual cost for search engine optimization ranges from $6,600 to $10,400.

Digital advertising comes in various types, each with its own cost:

  • Pay-per-click marketing: $108k-$120k per year
  • Online newsletters: $0 – $20,000 annually
  • For social media marketing, the cost ranges from $10,800 to $240,000 per year
  • The expenses linked with content promotion vary from $20,000 per year to more than $200,000

Determining the most effective form of digital advertising for your company is crucial. If there is any doubt about the efficiency of a particular strategy, experimenting with it on a trial basis may be advantageous.

8. Charges for Remittances

There are no upfront costs; however, in order to cover their own expenses, most payment processors will subtract a small percentage from each sale. This article delves into three of the most prevalent and frequently used online payment methods.

How much does it cost to build a website?

  • PayPal:

    3.49 percent plus $0.49 for each transaction
  • Stripe:

    2.9% plus 30 cents for every transaction

    An annual charge of $300, in addition to 2.9% + $0.30 for each transaction.

Total Cost

Licensing$22,000 – $190,000+ / year
Hosting$10.80 – $960.00+ / year
Domain$10 – $20+ / year
Secure Socket Layer$205 – $1,000+ / year
Prototyping and Development for the Front End$2,440 – $16,000+
ExtensionsPricing Ranges from $0 to $15,000 per Renewal
Discoverability$6,600 – $540,000+ / year
Finance Chargesapprox. 2.9% + $0.30 /transaction

What is the Average Monthly Cost for a Magento Online Store?

Building an online store is merely the start. The cost of running a Magento e-commerce platform includes both front-end and back-end services, as well as routine store maintenance.

If you are not careful, those fees can accumulate quickly, so the crucial question is, “What is the cost to develop a website of Magento?” You must also take them into account.

Listed below are additional yearly service fees (based on the rates mentioned earlier) that were not previously mentioned:

ItemTotal Annual Expenditures
Version upgrades for Magento (including extensions)$1,525 – $2,000
Fixing flaws$1,220 – $1,600
Advances in the creation of new functions$6,710 – $8,800
Maximum efficiency$1,525 – $2,000


Our intention was to provide you with a complete picture of the costs associated with using Magento. While the precise cost of your Magento business may differ, we anticipate that this will serve as a valuable starting point for budgeting and planning purposes.

If you require experienced Magento developers for your eCommerce store, Works can assist you. We recognize that each business has its own distinct set of requirements and can link you up with the ideal expert for your project, regardless of your budget or preferred work style. If you wish to learn more, please contact us right away.

Join the Top 1% of Remote Developers and Designers

Works connects the top 1% of remote developers and designers with the leading brands and startups around the world. We focus on sophisticated, challenging tier-one projects which require highly skilled talent and problem solvers.
seasoned project manager reviewing remote software engineer's progress on software development project, hired from Works blog.join_marketplace.your_wayexperienced remote UI / UX designer working remotely at home while working on UI / UX & product design projects on Works blog.join_marketplace.freelance_jobs