Shopify runs from $29 to $299/month plus transaction fees. We break down what each plan actually delivers, who it's the right platform for, and when free or cheaper alternatives are sufficient.
Shopify is the best standalone e-commerce platform available - but "best" doesn't mean right for everyone. At $29–$299/month plus transaction fees, it's priced for businesses with meaningful sales volume. For a side project or small catalog, free tiers on other platforms make more financial sense to start.
| Plan | Monthly (annual billing) | Transaction fee (non-Shopify Payments) | Staff accounts |
|---|---|---|---|
| Starter | $5/mo | 5% | 1 (link-only selling) |
| Basic | $29/mo | 2% | 2 |
| Shopify | $79/mo | 1% | 5 |
| Advanced | $299/mo | 0.6% | 15 |
| Plus | $2,300/mo | 0.2% | Unlimited |
The table above is annual billing. Month-to-month costs are 25–30% higher. Most serious Shopify merchants commit annually to save $100–$900/year depending on plan.
Shopify's transaction fees apply when you use a payment processor other than Shopify Payments (their own checkout). If you use PayPal, Stripe, or another processor, Shopify charges 2% on Basic, 1% on Shopify plan, and 0.6% on Advanced - on top of whatever your payment processor charges.
On $10,000/month in sales, the Basic plan's 2% fee = $200/month in extra transaction costs, turning $29/month into an effective $229/month. The math strongly favors using Shopify Payments (if available in your country) or upgrading plans if you're doing meaningful volume.
The upgrade math: if you're on Basic ($29/mo) with $10,000/month in non-Shopify-Payments sales, switching to the Shopify plan ($79/mo) saves 1% in transaction fees = $100/month saved, for a net gain of $50/month by spending $50 more on the plan.
Shopify's new merchant offer: 3 days free, then $1/month for the first 3 months on Basic or higher. Best entry offer available.
| Platform | Cost | Best for | Trade-offs |
|---|---|---|---|
| Shopify Basic | $29/mo | Serious online stores, growth-focused | Transaction fees without Shopify Payments |
| WooCommerce | ~$10–30/mo hosting + free plugin | WordPress users, maximum flexibility | Requires technical setup and maintenance |
| Squarespace Commerce | $28/mo | Design-forward stores, small catalog | Less powerful than Shopify at scale |
| Etsy | $0.20/listing + 6.5% transaction | Handmade, vintage, digital goods | Built-in audience but high fees at volume |
| Big Cartel | $0–$19/mo | Artists, small catalogs (up to 500 products) | Limited features for scaling |
| Gumroad | 10% transaction (no monthly fee) | Digital products, creators | Not for physical goods |
Worth it for: Any business doing $3,000+/month in online sales who wants reliable infrastructure, professional checkout, and room to scale. Businesses selling physical goods who need inventory management, shipping integrations, and multi-channel selling (Shopify integrates with Amazon, Instagram, TikTok shops natively). Entrepreneurs who want their store to be a serious business from day one.
Start cheaper if: You're testing a product idea and don't know if it'll sell. You have fewer than 20 SKUs and don't anticipate scaling. You're selling digital products (Gumroad at 10% transaction, no monthly fee, is cheaper until $290/month in sales). You're primarily selling on Etsy and only want a secondary presence.
The clearest upgrade signals to Shopify: you've validated product-market fit on Etsy or Instagram and want better checkout, branding, and analytics. You're hitting Squarespace Commerce's limitations in product variants or checkout customization. You're doing $2,000+/month and the professionalism and features justify $29/month.
The clearest "stay cheap" signals: you're pre-launch or pre-revenue. You have one product. Your audience is built on a platform that already has commerce built in (TikTok Shop, Instagram Shopping). You're a service business, not a product business.
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