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Magento 2 – Is It A Good Fit For Your Next Ecommerce Platform?

March 23, 2023 By JL Paulling Leave a Comment

Adobe Commerce (formerly known as Magento Commerce) has demonstrated to be a favored pick for large-scale online shopping companies. Salmon claims that Magento has a presence of 31.4% among the top 100,000 eCommerce websites.

But as medium and large companies feel the strain of operating in the Internet of Things (IoT) age, choosing an enterprise eCommerce platform should be evaluated on more than just its features. This article examines some essential points to take into account before committing an extensive amount of money to Magento Commerce.

Magento open source vs. Adobe Magento commerce

Firstly, it is important to understand the difference between Magento Commerce and Magento Open Source.

  • Magento Opensource: Formerly known as Magento Community, Magento Opensource The free version of Magento that can be downloaded, customized, and self-hosted.
  • Magento Commerce: Formerly, Magento Commerce came in two versions, Magento Enterprise and Magento Enterprise Cloud. Those two versions have been unified, leaving us with Magento Commerce, a premium version of Magento Opensource that includes cloud-hosting as part of the subscription fee.

Magento Opensource can be downloaded at no cost to anyone. This platform is freely available and allows for unlimited modification and customization. Additionally, Open source software users can utilize a wide variety of plug-ins and designs and are promoted by an ever-increasing group of people.

Magento Commerce is the more expensive version of the program and is valued at a minimum of $22,000 yearly for Magento 2 users. If your firm’s total sales exceed one million dollars, the fee will increase.

As anticipated, Adobe Magento Commerce provides more capabilities such as sophisticated marketing functions, customer loyalty programs, and customized campaigns. Plus, you get 24/7 support from Magento’s technical team.

Those who have Magento Commerce can select either a local installation solution or a cloud-based solution. The latter option comes with a much higher cost, but it provides a cloud-based setup that lets you take advantage of the advantages of using a Software as a Service (SaaS) eCommerce platform.

Despite the advantages of using Magento Commerce, there are certain negatives that any growing business should take into account.

The Disadvantages of Magento as an eCommerce platform

In a hurry? Here are 5 points to take into account prior to employing Magento as an enterprise eCommerce system.

  1. Ongoing costs

Although there is no need to pay any minimum annual charge of $22,000 with Magento Opensource, the platform needs to be regularly updated, developed and incorporated into other systems. You must also remember to include the additional charges that are not initially visible when running a website on-site.

Magento routinely releases fixes and protection upgrades that must be manually installed. I assure you, the process involved in setting up this manually is not as simple as you’d hope. It could be beneficial for you to obtain assistance in order to oversee and install the updates, however this would require some expense. It would be necessary to employ Magento experts or to seek help from Magento’s official support service, which can be costly.

  1. Needy technology

Do you want to manage technology, or use it? If you employ the Magento Commerce version, it is clear that its origin is the outdated “download and customize” methodology. That may require a significant amount of money and take a long time if you want a custom eCommerce experience that meets high standards.

Magento’s strategy also diverts your focus and energy away from the things that could help you develop your business. Instead of focusing on other tasks, you will need to worry about controlling the technology and performing updates whenever they are necessary.

  1. The support sinkhole

Magento has 1,300 open and ongoing support tickets. If you have any difficulties, it is likely you will be in line for a long period of time before you can get the issue resolved.

If you don’t use official Magento support services, the cost of any ongoing maintenance you need will be even higher, as services from private Magento support experts will require substantial fees.

  1. Magento is just an eCommerce solution — but that’s not enough for an enterprise

It is significant to remember (before it is too late) that this is usually disregarded.

Adobe Magento is an exceptional eCommerce platform, however, that is the only angle it covers. For modern eCommerce, having an eCommerce platform alone is not enough if you intend to compete against the likes of Amazon.

Current customers are not content with just an item page and some feedback on the site. They seek a surfeit of material before they will contemplate buying. They want to be walked through products, watch unboxing videos, read documentation, see third-party reviews, and view other types of content. Bottomline, they want an omnichannel experience. It has been highlighted by MineWhat.com that a huge majority of customers (81%) look into products on the internet prior to making a purchase.

You’ll have to keep track of the analytics for your website, store customer info in a CRM, generate special pages for advertisements, and send out marketing emails on a frequent basis. Magento was built to do none of the above.

  1. It’s open source

Let’s quickly go over the argument of open source versus closed source once more.

Magento, being an open source platform, allows users to modify the coding to suit their preferences. It may appear to be a good idea to begin with, however, the problem which has already been referred to as #5 states that having a highly personalized and tailor-made back-end system would cause additional hiccups for you when it comes to migration or re-platforming.

If you start to use themes and add-ons that haven’t been approved by experts or approved for convenience, there is the potential for your online store to stop working properly.

  1. Updates, migrations and headaches

Having Magento involved necessitates going through a perpetual progression of updates. Carrying out these upkeep activities is not a simple process, as was mentioned previously. Eventually, you need to switch over to the most up-to-date version of Magento when they make it available. For instance, Magento 1 customers are having difficulties transitioning to the new Magento 2 platform.

It was revealed that Magento 1 will not be maintained after June 2022 (this had originally been set at November 2018), which necessitates existing users to migrate to Magento 2 or switch to an entirely different platform.

It is not a simple nor inexpensive undertaking to move. Comments from developers who have made the transition to Magento 2 have revealed that it can be a challenging process, as the themes and extensions from Magento 1 cannot be used with the newer version.

What Is Magento 2?

What are the primary distinctions between Magento 2 and Magento 1? What new features does it offer? Does the switch to Magento 2 really solve the issues that Magento 1 had enough to make it worth it?

Let us begin by looking at some of the drawbacks associated with Magento 1. The platform was designed to be flexible. This is a major factor contributing to Magento’s popularity. Despite the versatility given by the platform, developers who choose to both work on and customize it can unintentionally muddle up the user interface and make it harder to navigate. The performance of the website may also be affected due to the modifications.

In addition to its difficulty to master and the possibility of being slow, Magento 1 is also not up to date with what its competitors offer, such as being mobile friendly.

Magento 2 addresses many of these issues. Here are some of the key differences:

  • Supports the latest PHP versions which can affect site speed.
  • Supports CSS3, HTML5, and MySQL
  • Offers faster (on average 20%) page load speed over Magento 1.
  • Is mobile friendly
  • Has a better admin interface for a better user experience for non-technical staff
  • Simplifies the checkout process from six stages on Magento 1 to two stages on Magento 2.

It ought to be remembered that Magento 2 is available in three unique variations.

  • Magento 2 Open Source (formerly known as Community Edition): This is a free product anyone can download from the Magento website. The user can then install Magento, but is responsible for hosting, support, and development costs.
  • Magento 2 Commerce (on-prem) — This on-premise premium option comes with added features and support. It is usually only adopted by larger businesses because the monthly costs can be steep. (More on costs below.)
  • Magento 2 Commerce Cloud — A cloud-hosted version provides the same features of the on-premise Enterprise Edition but eliminates the need for self-hosting.

It is essential to understand that the Magento Commerce Cloud does not use the Software as a Service model, but implements the Platform as a Service approach.

Rather than SaaS, you may still be accountable for paying licensing fees, repairing security flaws, and automating system updates (more data about the difference between SaaS, PaaS, and IaaS can be accessed here). This can be a substantial lift. In 2019, Magento released security fixes and released three versions of their platform (2.3.1 to 2.3.2 to 2.3.3). Merchants desiring to remain in the newest – and safest – variant would have had to apply six distinct security updates in 2019 and an extra three over the course of this year.

Is It Mandatory To Migrate To Magento 2?

Have you arrived at this point in your understanding of why it is very important for you to migrate from Magento 1, since it is not being backed up anymore? Does that imply that you ought to shift to Magento 2?

No, not at all. In reality, numerous businesses are making use of the necessity to migrate away from Magento 1 as an occasion to look at other opportunities.

Migrating from Magento 1 to Magento 2 will not be a straightforward process. It is a full replatform.

The work of the developer and designer, the look of the store, and multiple elements of the store have to be re-done on Magento 2.

How Much Does Magento 2 Cost

As previously stated, there are a variety of Magento 2 that have prices that vary drastically. This text is providing a summary of pricing, so you can comprehend how much extra you might be paying by changing to Magento 2.

  • Magento 2 Open Source (formerly known as Community Edition): This product is free to license and anyone can download it from Magento’s website. That said, the cost to actually run the site is far from free. You will have hosting, development, and design costs which can add up quickly. The feature set is also more limited.
  • Magento 2 Commerce (on-prem)— According to Magento partners, the paid addition of Magento starts at around $22,000 per year just for licensing fees, and that’s for businesses making less than $1 million GMV. . How does that compare to the cost of Magento 1? One source cites the starting cost for Magento 1 at around $18,000. Of course the actual quote will depend on your business size and complexity, but expect to pay more by switching to Magento 2.
  • Magento 2 Commerce— Because it includes hosting, the cost of the cloud edition of Magento is more than the on premise version. Licences start at around $40,000 yearly and can be as expensive as $190,000.

And remember, licensing will not be your only costs. You also need to think about:

  • Infrastructure: Web/app servers, databases, firewalls, and load balancers.
  • Development costs: Programming, design, and app integration costs.
  • Managed support: Fees to manage updates, troubleshooting, bug fixes, patches, and training.
  • Technical staff: Employee or team on staff to manage the software.

If you are using Magento 1, then you understand the cost associated with development and upkeep. Think about the effort you’ve put into designing and constructing your Magento 1 site, and realize that the same work will have to be done all over again.

Magento Partners estimate that creating a minimal Magento Open Source shop using a pre-crafted theme and no additional tools can range from $20,000 – $45,000. An enterprise-level store on Magento Commerce? That can easily cost six figures and the price increases as the intricacy increases.

If you decide to use a Software as a Service (SaaS) platform, your hosting, upkeep and safety will already be factored into the regular monthly payment.

Things To Know About Migrating To Magento 2

No migration project is completely without risk or hassle. Changing from Magento 1 to Magento 2 (or any other system you decide to move to) is the same.

As previously noted, changing to Magento 2 from Magento 1 requires a complete overhaul rather than just an easy data transfer. The reason for this is that Magento 2 has a fresh structure and database plan.

These are some details you should be aware of before you attempt to relocate.

  1. Magento 1 themes can’t be moved to Magento 2. 
  2. Magento 1 extensions won’t work on Magento 2. 
  3. Some of your data will need to be moved manually. 
  4. You may have image migration issues. 
  5. You may soon need to migrate again. 

Conclusion

Should Magento 2 be the platform you select for your next project? Only you can make that decision for your business. You may be finding it hard to switch away from the dated Magento 1, however, don’t worry as there’s more than one option available to you.

Investigate your options, reduce the selection, and select the path that will most promote innovation and expansion of your online store.

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