02 May 2017
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Magento is the most popular eCommerce platform, with over 250,000 merchants currently using Magento, globally. It currently powers 28% of eCommerce stores on the Internet and hosts 16% of the world’s top one million ranked websites.
Magento attributes its large popularity to its usability and its flexibility toward customization.
Previously, acidgreen had written an article on the differences between Magento 1 Community and Magento 1 Enterprise. However, now that Magento 2 has stormed onto the market, in a BIG way, due to its increased performance functionality (estimated to be 20% faster than Magento 1), we feel eCommerce retailers need to know the key differences between Magento’s most recent eCommerce solutions; Magento 2 Community and Magento 2 Enterprise.
What are the drawbacks? And, more importantly: What are the key benefits?
Click here to find out exactly why you should be migrating to Magento 2.
The immediate benefits of using Magento 2 Community are obvious... It’s (a) free (open source solution). Virtually anyone can download and build their online store… start-up, low volume ecommerce players and small businesses can experiment and learn basic skills on how to build an effective eCommerce website. Magento 2 Community users can also take advantage of the Magento Extension Marketplace for enhanced functionality.
It is important to note however, my use of the phrase, ‘small businesses’.
If you’re a medium to large business that is continually growing and expanding, the benefits of Magento 2 Community may be minimal in contrast to other platforms/solutions.
That’s exactly why Magento 2 Enterprise exists. Whereas Magento 2 Community is free, M2 Enterprise will cost you a few bucks as it is the paid licence version. However, considering the amount of benefits and room for modification it offers, the price tag sort of blurs into the background when you take into account its abundant advantages. What’s more, the cost is determined by a percentage of your annual revenue - so you’re not paying the same amount as someone who is returning a fair sum more.
M2 Enterprise was built purely for stores that need advanced features and more customizable options. Magento 2 Enterprise allows users access to the ‘self hosted’ or ‘cloud’ versions. This just means a difference of where your files are hosted.
The cloud version also comes with ‘Business Intelligence’, Magento’s analytics software.
Here’s a quick rundown of Magento’s Business Intelligence: In mid 2016, Magento acquired RJMetrics (a leading provider of business intelligence software for eCommerce merchants). The software enables retailers to consolidate multiple data sources (including MySQL, Salesforce & Facebook Ads) into a single cloud-based database. This means merchants spend less time scrolling different databases to find different sources of information and more clarity on the bigger picture. On top of this, it gives more accurate and efficient insight into overall site performance.
It should be noted, whilst the Magento Business Intelligence is extremely advantageous, this is more of an added benefit rather than a feature.
Why else should you choose Magento 2 Enterprise?
You’re not only paying for a solution that is completely backed by the Magento team, you’re also paying for continuous security updates, special features as well as exclusive product enhancements.
Point blankly, if you’re expecting to exceed $1M per annum in online revenue, then you should seriously consider Magento 2 Enterprise. Plus, with the M2 Enterprise’ enhanced ‘out of the box’ functionality, sales are automatically increased enough to easily cover the cost of the Magento licence fee.
Both M2 solutions are open source. They both feature the same core features and are part of the one Magento ecosystem. Both also have the ability to take advantage of Magento Connect - the Magento Extension marketplace. That means they can both also use applications to enhance the overall functionality.
What’s more, M2 Enterprise and M2 Community both permit you to use web servers API (Application Programming Interface) to integrate with multiple databases.
The most obvious difference other than the cost is the advanced functionality of Magento 2 Enterprise.
For example, Magento Community does not have a credit card tokenization or a highly secure payment bridge. This becomes a problem when it is required by banks and/or credit card companies.
Magento 2 Enterprise is PCI compliant. It provides you with more powerful security features (PA-DSS).
Due to its simplicity, the Magento 2 Community edition is slightly faster. However, most businesses that need more modules will find they need to upgrade to the Enterprise edition in order for their online store to reach its fullest potential. With its faster checkout experience, more intuitive design, improved product importing and exporting as well as its enriched product merchandising, Magento 2 Enterprise pays for itself.
A list of Magento 2 Enterprise’ Advanced ACL Features:
Content staging and merging
Private sales, events and invitations
Automated email marketing reminders
Full page caching
Persistent shopping cart
Minimum advertised price
Making the decision on whether to go with Magento 2 Enterprise of Magento 2 Community should come down wholly to the level of functionality your online store requires. If you would like a free consultation with one of our certified Magento developers on which Magento platform is best for you, please don’t hesitate to contact us. We’d love to help you and your eCommerce store reach its fullest potential.
acidgreen is an award winning e-commerce agency specialising in Magento, Shopify Plus and digital marketing with over 15 years of industry experience. Our certified developers and digital marketers are highly qualified to create aesthetically pleasing Magento and Shopify Plus websites that generate the highest amount of conversions and provide the best ROI. Be sure to follow us on LinkedIn, Facebook and Twitter, or give us a call to learn more about our services.
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