Reasons to Choose Shopify Plus vs Shopify Advanced

Ecommerce is growing alarmingly. The global ecommerce market is expected to touch $8.1 trillion by 2027. More and more businesses are going online, making the selection of an ecommerce platform key to scaling efficiently. Shopify, with more than 4.5 million stores in operation globally, is counted among one of the most famous online business solutions.

However, most businesses settle on an advanced decision point regarding growth: Should they upgrade to Shopify Plus vs Shopify Advanced? To put it differently, deciding is not all about cash but about features, flexibility, and scalability. Knowing, understanding, and distinguishing these plans can help you form well-rounded business decisions that align with your future goals if you operate a growing online store.

In this article, we will be dissecting Shopify Advanced vs Shopify Plus by looking into pricing, features, and compatibility for business purposes to help understand which one is best for your given ecommerce store.

Overview of Shopify Advanced

Shopify Advanced is meant for businesses that have outgrown Shopify Basic vs Shopify but have not yet reached enterprise status. This plan is for mid-sized businesses that need a little more customization, analytics, and lower transaction fees.

Its key features include: 

1. Advanced Reporting – Get deep metrics and reports that track the progress along themes like sales, customer behavior, and profitability.
2. Low Transaction Fees – The Advanced Shopify plan provides lower credit card processing fees than lower packages.
3. Custom Calculated Shipping Rates – Deliver the rates for real-time shipping from a third-party carrier, as it would be more transparent and accurate.
4. Up to 15 Staff Accounts – Shared accounts would support a growing team that needed role-based permissions.
5. Third-Party App Integrations – It is a vital business application with tools for inventory management and accounting.

However, Advanced Shopify also has specific limitations, such as: 

• Single storefront – Advanced Shopify vs Shopify Plus, the former is limited to only one storefront, thus complicating its international expansion.
• Limited Checkout Customization – This platform allows some form of customization, but foregoes advanced scripting capabilities typical to Shopify Plus.
• No Dedicated Support – Instead, businesses would get by using regular Shopify support, without a dedicated account manager.

Who Should You Choose Shopify Advanced?

The Shopify Advanced plan is perfectly suited for enterprises with annual revenues between $1 million and $5 million. It optimally reports improvement and fee reductions but omits the complete combination of enterprise features. 

Examples of such businesses that successfully run on this plan include:

• Regional fashion retailers who are expanding into a nationwide market.
• Emerging DTC (direct-to-consumer) brands that sell expensive products.
• Middle-sized health and wellness brands enhancing their online presence.

Overview of Shopify Plus

The last option out of all the Shopify Plus plans is for a big enterprise that needs maximum flexibility, automation, and adaptability. It is ideal for brands witnessing increasingly heavy volumes of sales and sophisticated needs in moving commerce:

Shopify Plus key features include: 

• Dedicated Account Manager – This team will be allocated to the merchant to assist for strategy and troubleshooting purposes.
• Advanced API Integrations – This is good for backend operations that require complex integrations with ERP, CRM, and a third-party logistics (3PL) provider.
• Multi-Storefront Management – It can manage up to 10 stores on a single Shopify Plus account; this is ideal for global brands with region-specific stores.
• Shopify Scripts & Checkout Customization – Personalize your checkouts to a different level with excellent conversion and optimization for the buyer journey.
• Shopify Flow & Launchpad – Automating inventory updates, discount rollout, and product launches.
• Wholesale & B2B Capabilities – These B2B pricing schemes and portals are set up to simplify bulk purchasing for enterprise customers.

Its limitations are: 

• Higher-price tag – From USD 2,000 a month, Shopify Plus plans could be a relatively large investment for smaller businesses.
• Require more technical knowledge – Generally, when you want to customize Shopify Plus, you must spend a lot of development resources or devote an entire technical team.

Who Should You Choose Shopify Plus?

Shopify Plus company is designed for businesses with an annual revenue of over $5M and demanding advanced automation, scalability, and international storefronts. Shopify Plus thrives mainly in:

• Global fashion and apparel brands running several regional websites.
• High-volume electronics retailers working with highly complex supply chains.
• Subscription businesses need advanced automation to check optimization.

Allbirds (a sustainable footwear company) initially used Shopify Advanced. As their business scaled internationally and required more sophisticated features, they upgraded to Shopify Plus for multi-store management, advanced checkout customization, and automated inventory systems, which helped them improve their global ecommerce presence and streamline operations.

Key Differences Between Shopify Plus vs Shopify Advanced

Aside from these differences, one needs to focus on their influence on day-to-day operations. Businesses best suited for Shopify Plus require extensive customization and process automation. 

However, Shopify Advanced is fine for upstart brands that do not yet need full-scale capabilities. Businesses considering going international will benefit enormously from the multi-storefront and advanced multi-currency support available in Shopify Plus, which allows them to offer customer experiences specific to the region.

Pricing and Cost-Benefit Analysis

While the $399 Shopify Advanced subscription is cheaper, the transaction fees, automation ability, and advanced customization options that Shopify Plus offers could justify a monthly cost of $2,000.

Example Cost Breakdown: 

In the case of a business with a gross sales of $500,000 per month, the difference in transaction fees can be significant. 

• Shopify Advanced: charge transaction fees at 2.4% = $12,000                 
• Shopify Plus: charge transaction fees at 2.15% = $10,750

This translates into $15,000 of annual savings, enough to offset the $2,000 monthly fees for Shopify Plus that high-volume sellers might have trouble paying.

Which Plan is Right for Your Business?

The choice between a Shopify plan or another depends on lots of things. Such factors include the business model you want to adopt, the growth stages achieved so far, technical requirements, and scalability needs over the years. Therefore, the best way to finalize the selection is by clearly understanding your existing pain points and the level of customization and automation needed for your store.

Shopify Advanced is best for:

• Medium-sized ecommerce enterprises that develop and scale operations steadily.
• Businesses are in need of advanced reports to track their sales and customer insights.
• Companies want a low-cost solution that delivers considerable ecommerce capabilities but does not require an extensive checkout. 
• Store owners operate mainly in a single timezone, thereby not requiring multiple storefronts or any complex multi-currency capacities. 
• Retailers that handle a medium product catalog and customer base but do not deal with high-volume sales or enterprise-level transactions.

Shopify Plus is best for:

• High-sales multi-national companies that need advanced automation, customization, and integrations. 
• Businesses that are ready to go public and need multiple storefronts for different regions. 
• Brands with distinct checkout experiences to improve conversion rates and buyer journey. 
• Companies engaged in wholesale or B2B models requiring tailored pricing and portals. 
• Retailers need first-class support, dedicated account management, and technical onsite assistance to maximize their Shopify experience.

Conclusion

To decide between Shopify Advanced and Shopify Plus, one has to consider the size, complexity of the business, and future growth plans. Shopify Advanced is economical if scaling requires lower fees, better analytics, and improved reporting. Shopify Plus is the clear winner if one is interested in automation, managing multiple stores, and enterprise-level support.

Before choosing, assess current and projected sales volumes, technical requirements, and business goals. The right plan will support the business today and easily enable future scalability.

Still confused about which Shopify plan is right for your own business? Contact Elogic today for a personalized consultation, and let our experts help you make the most judicious and aligned choice of the best Shopify plan.