Ecommerce Platform Match-Up: Shopify vs. Magento

Alex ForbessEcommerceLeave a Comment

This may be old to say, ‘business is booming in ecommerce.’ Yes, everyone can open up an e-shop. But it takes some research to know which ecommerce platform is best-suited to store customer data, provide a unique user experience and, mostly importantly, integrate seamlessly with automated dispute management software.

We are going to help you get an idea which one is best for you and your customers. Today’s post will showcase two of the most well-known ecommerce platforms: Shopify and Magento. Let us see how these platforms are similar, different and everything in between.

Shopify: Omnichannel Ecommerce Platform

Shopify’s mission has been the same since it started as an online store for snowboard equipment. This ecommerce platform gives merchants the control to earn revenue and sell across different channels for future and recurring customers alike.

Shopify intends to put a merchant’s store at center of consumers’ purchasing behaviors, whether it be online, in-store or on-the-go. It does so by having the ecommerce platform tailored to a merchant’s given stage of growth. Here is how Shopify nurtures merchants and help them grow their business as an omnipresent powerhouse.

Early-Stage with Shopify Lite

This lite version of Basic Shopify (see below) allows merchants to immediately sell on social media, in-person or on an existing website. Shopify Lite relies on external sites for merchants to showcase their products, such as the Shop section on Facebook. But this service gives early-stage merchants enough tools to accept payments and create invoices for their customers.

All Shopify Lite merchants will receive 24/7 support from customer service, DataSync across all channels and some free resources to help their business grow.

Growing Stages with Basic Shopify, Shopify and Advanced Shopify

Shopify’s ecommerce platform has three tiers within the SMB stage. Merchants will still have the mobile features from Shopify Lite, but now each tier allows them to operate an online store. But unlike Shopify Lite, all merchants will have their own blog to further expand its marketing strategies.

Each tier will share similar features, but each will be upgraded as merchants switch from Basic Shopify to Advanced Shopify. Here is what you can expect when your ecommerce platform is either Basic Shopify, Shopify or Advanced Shopify.

Basic Shopify

For new businesses and startups


For merchants to start growing their business

Advanced Shopify

For merchants ready to scale


Staff accounts




Gift cards






Advanced report builder


3rd party calculated shipping rates



Shipping discounts

Up to 64%

Up to 72%

Up to 74%


Online credit card

2.9% + 30¢

2.6% + 30¢

2.4% +30¢

In-store credit card

2.7% + 0¢

2.5% + 0¢

2.4% + 0¢

Additional fees for using payment providers other than Shopify Payments




Scale Enterprises with Shopify Plus

Shopify Plus is ideal for SMEs and enterprises. This ecommerce platform equips them with more analytical tools to grow and scale their business to an official enterprise. Merchants will still have the same customization and omnichannel support. The big difference is that enterprises will be able to automate more tasks and update product displays without handling code. Some examples will help automate:

  • Campaigns
  • Product drops
  • High-demand sales
  • Repetitive tasks, such as chat support

Fortunately, Shopify provides some flexibility for merchants to make their own customizations to the ecommerce platform itself. This includes, but not limited to:

  • The storefront
  • Checkout
  • Backend systems

And finally, Shopify Plus’ API integrates with all major technology partners. This is a perfect opportunity to integrate your internal solutions for automated dispute management.

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Bottom Line

Shopify works well for merchants who are omnipresent online, in-person an mobile. Its customization is perfect for merchants who have a keen eye for design. But they will face some limitations when they want to make adjustments to its code. Fortunately, that may not be a problem as its different tiers help merchants grow their business.

How Does Chargeback Help Shopify Merchants?

An omnipresent ecommerce platform has its benefits. But it also creates potential for customers to chargeback revenue from in-store, online and mobile purchases. Merchants will need dispute management software that has the holistic support as its ecommerce platform. This is where the Chargeback App fulfills this need.

Once merchants integrate Shopify to Chargeback’s web portal, the App can alert merchants of incoming disputes and whether it is related to CP (card-present) and CNP (card-not-present) transactions. The App will automatically extract the customer’s data via Shopify, along with all transaction data that originates from your processor and payment gateway.

The main benefit our clients earn is preventing chargebacks before they become disputes. We call this benefit Real-time Resolution, and it is the first line of defense to instantly disprove disputes involving a Visa transaction. You can learn more about the technical aspect right here.

Magento: A Cloud-Based Platform Built to Scale

Magento is probably best known for two features: a cloud-based ecommerce solution and an open source for SMBs and learning developers. While Shopify showcases its platform to be omnipresent in commerce, Magento’s ecommerce platform is promoted for its integration capabilities. Some of the most well-known vendors are considered API-friendly to Magento Commerce, whether it be PayPal or Chargeback.

Along with its integrations, Magento offers additional products that extend its support to its flagship product, Magento Commerce. Like Shopify, Magneto caters to SMBs, SMEs and Enterprises alike. Here is what you can expect from each product.

Magento Commerce

Magento categorizes its benefits into three categories when describing Magento Commerce. Merchants will have a variety of features focused on Rich Commerce Experiences, Scalable & Secure Infrastructure and Extensible by Developers. Here is a sample of what each benefit will bring to the table:

Rich Commerce Experiences

  • Business Intelligence: Your demands to customize UX will be more accurate with this feature. It analyzes data across your integrated sources in order to provide a thorough understanding of your customers.
  • Instant Purchase: You will be able to boost your conversion rates with this one-tap checkout option.
  • Elasticsearch: Typing errors and query searches will be less of a problem with this feature. As you scale, so will Magneto’s ability to spot these errors.

Scalable & Secure Infrastructure

  • Global Infrastructure: Magento Commerce runs on Amazon Web Services (AWS), and customers can choose to deploy their production site at any of its centers. So, far the only exceptions to its reach is China and GovCloud.
  • Read Only File System: Hackers will only be able to view our code if they manage to enter Magento Commerce. That means any harm from PHP or Javascript code will range from minimal to non-existent.
  • Server Environment Isolations: All of your customer’s data will not be consolidated to one server. Instead, each customer will be in its own server. This will separate them from other related data if a server has been compromised. Basically, it helps decentralize and protect your customers within Magento Commerce, let alone the cloud.

Extensible by Developers

  • Rich APIs: Developers and code-savvy merchants can create widgets in the storefront or the Magento admin panel.
  • Magneto Services: You will have an implementation team at your disposal in order to familiarize yourself with Magento Commerce.
  • Magento U: The educational resource helps merchants get out of a tight jam when managing their platform. Additionally, you will have the opportunity to become a certified professional by enrolling in its courses.The certificates will help groom team members to become more efficient developers and solution specialists.

Order Management

Magento Order Management works well when manual-driven spreadsheets have reached its peak. It will automatically record orders across channels and help you track when and where products are being shipped. Here are some key features that you can expect with this service.

Distributed Order Management

Some features allow merchants to reroute orders, authorize pre-sales and initiate returns wherever appropriate.

Omnichannel Fulfillment

Magento Commerce will allow customers to buy wherever they are—and pick up the goods wherever they want. This gives merchants the opportunity to turn partners, stores and suppliers into mini-distribution centers. That will benefit mobile shoppers, especially when they make an in-app purchase and want to pick up the goods en route to their final destination.

Global Inventory Management

All vendors within your network can be monitored through Order Management. This gives merchants an accurate account to what items are out of stock, what supplies are needed and what vendors are falling short with inventory.

Customer Service

This provides the resources needed to inform customer about matters like order details and refunds. Team members within customer services will also be able to update and enhance workflows where appropriate.

Business Intelligence Pro

Magento Business Intelligence Pro gives merchants more control to analyze and visual their data. This product has built-in integrations in order to provide a seamless connect between Magento Commerce, Business Intelligence Pro and other third party data source. Marketing and sales team will have more freedom to model their data and define KPIs to meet their future goals.

Extensions Marketplace

Magento Extensions Marketplace has the same purpose as the Shopify App Store: to integrate third-party solutions from vendors across industries. Here, you will have a selection of extensions and partner portfolio to choose from and strengthen your business.

Bottom Line

Magento is the go-to platform for merchants who want more flexibility with its platform. That not only include the customized web pages and templates like Shopify. It also has flexibility in code to make specific updates to your storefront.

Merchants of all sizes and code proficiency will be able to familiarize themselves with Magento. But those who can engage in its open source will have the upper hand in areas like user experience and checkout.

How Does Chargeback Help Magento Merchants?

An API-friendly platform such as Magento will have much to benefit from the Chargeback App. Merchants can integrate their Magento account to our software in order to benefit from automated dispute management. Like Shopify, the App will automatically aggregate sales data, order details and shipping information into one response document.

You will also have more control in how you reroute orders, initiate refunds and deactivate gift cards belonging to suspicious customers. This will not only help merchants lower their dispute ratio; it will also help them improve their win rate and save lost time from representment.

Final Thoughts

Hopefully this will help you make an informed decision on which ecommerce platform works for you. But no matter which platform you decide, the Chargeback App will be able to assist you with internal dispute management.

Feel free to contact us to learn how you will benefit from Real-time Resolution. You can also view pricing to know your tailored price and what it is included in your agreement. And finally, you always welcomed to request a demo. There is a new era of automated dispute management—and it revolves around you.

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