When Do You Need Shopify Plus?

2024 Update: Shopify recently announced that there will be a new pricing model and contract terms, including a 25% price increase on Plus plans.

Choosing the right platform and determining the opportune moment to transition to a more sophisticated solution is a challenge that many flourishing ecommerce businesses struggle with. Shopify is without a doubt the best platform for ecommerce.  In the world of Shopify, there are actually 2 separate platforms – Shopify (with 3 different plans available) and Shopify Plus.

For enterprises seeking an elevated ecommerce experience tailored to their scale, Shopify Plus emerges as a compelling choice. In today’s post, we’ll explore the factors to consider when deciding if and when to upgrade, as well as provide tips to help you make the best decision for your business.

When deciding whether to upgrade to Shopify Plus, there are three key factors to consider:

Cost

One of the main factors to consider when upgrading to Shopify Plus is cost. The base fee is much higher with Shopify Plus, but the other associated fees are significantly less so there is a tipping point, which is not just about revenue but also the number of transactions. Shopify recommends that you consider upgrading when your monthly sales gross $800,000. If your business is seasonal and generates around 90% or more of your annual income in a 3-4 month period, upgrading may not make sense for you even if you are rapidly approaching 8 figures in revenue. This is because you would have to commit to the platform year-round, which may not be financially beneficial for your business.

Scalability

Another factor to consider when upgrading is scalability. If your site currently experiences a high volume of sales or you anticipate rapid growth in the near future, Shopify Plus may be the right choice for your business. This platform can handle high volumes of traffic and transactions, ensuring performance and stability even during peak times. The advanced customization options make it easier to scale your business quickly.

Functionality

This is where Shopify Plus really shines! We’ll break down the advanced features below. These options are not available on the standard Shopify platform, which could be holding your business back from fully optimizing online sales.

Key features of Shopify Plus:

• Customizable checkout: Shopify Plus allows merchants to customize the checkout process to better align with their brand and customer experience.
  
• Ecommerce automation: Shopify Flow allows businesses to automate a multitude of admin and marketing tasks with customizable workflows.
  
• Dedicated support: Shopify Plus customers receive priority support and a dedicated account manager to assist with any issues or questions ensuring priority assistance and faster resolution times. This level of support can be critical for large businesses where downtime or issues can have a significant financial impact.
  
• Shopify Functions: This feature allows for customizations using scripts written in Shopify’s proprietary scripting language, empowering businesses to implement specific functionalities tailored to their needs such as customized bundles, custom fulfillment and delivery strategies, payment customizations, and more. Shopify Functions is replacing Shopify Scripts, which will be supported until August 2025.
  
• Wholesale: Wholesale functionality is a popular feature of Shopify Plus that allows businesses to create a separate, password-protected storefront that is only accessible to wholesale customers. Businesses can offer different pricing and products to wholesale customers than they do to retail customers and set up tiered pricing for wholesale customers based on the quantity of products ordered. If wholesale functionality is the primary feature you’re looking for, there are a variety of ways to achieve this without necessarily upgrading and many shop owners find that a custom-built solution works best.
  
• Many more additional features: There are a lot of features available only on Shopify Plus such as unlimited staff accounts, exclusive apps and integrations, advanced analytics, international ecommerce capabilities, and more.

Tips to help you chart your course:

• Evaluate your business needs: Take a close look at your business needs and consider whether Shopify Plus can meet those needs. If you require advanced features and customization options, upgrading may be a good option. However, if you are just starting out and do not require these features, it may not be necessary to upgrade just yet.
  
• Consider your budget: Upgrading to Shopify Plus can be costly, so it’s important to consider your budget. If the cost is not within your budget, it may not be the right choice for your business.
  
• Think about future growth: Consider your plans for the future. If you anticipate rapid growth, upgrading to Shopify Plus may be a good investment.
  
• Conduct a cost-benefit analysis: Conduct a thorough cost-benefit analysis to assess whether the additional features and scalability provided by Shopify Plus justify the increased cost. Consider potential cost savings in terms of operational efficiency, reduced downtime, and enhanced customer experience.
  
• Consult with experts: If you are considering taking the leap, it is a good idea to consult with Shopify Experts who have a deep understanding of your unique niche to help you evaluate your business needs and determine whether Shopify Plus is the right choice for you.

If you’re ready to take the leap and upgrade to Shopify Plus, we can help! For the past 20 years, we have specialized in helping unique, design-focused businesses take their ecommerce to the next level.