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The article was initially published in WebMeridian blog
Magento was released in 2008. It is now among the most well-known platforms in the eCommerce market.
It is the platform of choice for over 250,000 companies worldwide, ranging from single-store owners to multinational corporations such as Samsung, Coca-Cola, Nike, and many others.
Business owners considering Magento as a new platform to expand and power their business have a decision to make. During this process, one of the crucial points of focus is choosing between Magento Open Source and Adobe Commerce.
This article is a comparison between Magento Open Source vs. Commerce to help you choose with ease. It highlights all the critical differences between the two editions regarding cost, features, flexibility, and stability.
But first, let’s get the naming right to avoid any confusion. Let’s dive in!
Magento Open Source Overview
The Magento Open Source edition is an open-source eCommerce software created by Varien Inc. It uses a flexible and modular architecture for a scalable and user-friendly experience.
The Magento Open Source eCommerce store suits small and medium-sized businesses that want complete control over their website design, content, and functionality.
They get:
Access to tools and resources to create custom extensions and the Magento Marketplace to download offerings from third parties
Mobile design capabilities
Strong security features
Marketing tools
Customer management and fulfillment
The open-source platform is a powerful and versatile way to launch and grow your online business. It has challenges and limitations because you must maintain, upgrade, and host it yourself, but it is a robust resource for SMBs.
Adobe Commerce Overview
Adobe Commerce, formerly known as Magento Commerce, may need to be clarified for some users. Though Magento powers it, Adobe Commerce is owned by Adobe and fully integrates with Adobe tools like Advertising Cloud, Marketing Cloud, and Analytics Cloud.
It includes all the features of Magento Open Source plus a host of exclusive features that can help scale your business and create unique customer experiences.
They include:
Cloud hosting and support.
Enhanced security and performance from features like CDN, SSL certificates, fast page loading, PCI compliance, DDoS protection, and more.
Seamless integration with other Adobe products (Adobe Analytics, Sensei, Target, and Experience Manager).
AI features (powered by Adobe Sensei).
B2B and B2C functionality.
Content staging and preview for creating content and editing it before publishing.
Customer segmentation and loyalty programs to better serve different demographics and anticipate needs.
An omnichannel experience that connects your online store and other sales channels. You can use features like returns management across multiple channels, in-store pickup, shipping from the store, managing inventory across multiple sources, etc.
Progressive Web Apps Studio to create fast and engaging web apps that offer a native app-like experience.
Headless commerce architecture for decoupling your front- and back-ends for more control and flexibility over how to deliver content and functionality across devices and channels.
As seen from the vastly longer list of features baked into the product, Adobe Commerce is a powerful and versatile eCommerce platform for large enterprises with complex processes that require support.
It is also worth noting that some limitations and challenges exist for Adobe Commerce users, including the high initial cost, the technical knowledge required to set up, configure, customize, and maintain, and the steep learning curve.
Magento Open Source vs Adobe Commerce: Features Comparison
In comparing Magento Open Source vs Commerce, you’ll notice that the main differences between the two options come down to the additional features and functionality offered by Adobe Commerce.
Given that it is the eCommerce platform’s paid tier, it offers an experience that would benefit bigger enterprises more than small and medium businesses.
Pricing/Costs
Regarding cost, Magento Open Source is a free version, while Adobe Commerce is paid for, depending on your desired features. However, this does not suggest that developing a Magento Open Source solution does not require capital.
If your choice is Magento Open Source, the company will still have to hire Magento developers to obtain a high-quality functional solution.
Our Magento 2 Open Source vs. Adobe Commerce comparison reveals the following about pricing:
- Initial Expenses
While Magento Open Source is free to download and use, it doesn’t come with technical support or security updates from Adobe. Be prepared to cover the cost of hosting, development, updates, and maintenance.
Adobe Commerce requires a license fee based on annual gross sales revenue. Subscribers get technical support, security updates, and advanced features and tools.
- Ongoing Cost
The open-source version may have lower initial costs but could incur more costs in the long run. You pay for hosting, which varies depending on traffic and website performance, development, maintenance, and updates.
Adobe Commerce might be expensive to start, but it could be cheaper in the long run. The option includes cloud hosting services for high availability, security, and scalability. That’s not to mention Adobe’s advanced tooling, technical support, and security updates.
- Return On Investment
Magento Open Source may have a lower ROI, as it could limit the growth and potential of the business. Performance issues and limitations due to growth or demand spikes may mean missed revenue and opportunities.
With Adobe Commerce, scaling up is easier and more flexible, meaning the ROI could be higher over time, depending on your business needs.
The pricing difference between Magento Open Source and Adobe Commerce means your business must do a cost-benefit analysis to make the best choice for the moment and in the long run.
Scalability
How well can your Magento 2 Commerce option handle increasing transactions, data, and traffic without affecting performance, functionality, or security? That’s what scalability is all about.
Our comparison between Magento Open Source vs. Commerce shows the former can handle a moderate amount of traffic and transactions but could face performance strains when the business grows or demand spikes. You have to manually scale up the website by adding more resources and servers, which can be time-consuming, complex, and costly.
The Adobe Commerce platform provides features to enhance scalability, including:
A drag-and-drop page builder for codeless content creation and editing with preview features.
Customer segmentation and personalization
Loyalty programs
A B2B module with the features we discussed above.
The open-source version presents a reasonable choice for businesses not expecting high traffic volumes. Larger enterprises may have to consider growth and expansion, necessitating the more flexible Adobe Commerce.
Hosting
Choosing a Magento 2 edition to use means factoring in server space and resources required to maintain your website.
Magento Open Source does not provide any hosting services from Adobe. You have to choose and pay for your hosting provider. You are also tasked with managing and configuring your hosting settings like backup, storage, bandwidth, server type, etc.
You must also ensure the hosting provider meets the system requirements and security standards Magento Open Source sets.
On Adobe Commerce (Magento), you are offered two hosting options:
Adobe Commerce Cloud — This service runs on AWS and has high availability, scalability, and security. It is included in the license fee and comes with features like Blackfire.io, Fastly CDN, New Relic APM, and more.
On-Premise — This option allows you to choose and pay for your own hosting provider like you would on Magento Open Source. It requires technical skills and resources to set up and maintain.
The choice comes down to which arrangement works best for your business and its unique hosting needs.
B2B and B2C Functionality
The capabilities of B2C and B2B functionality are a key difference between Magento Open Source and Adobe Commerce. Magento Open Source is primarily a B2C; thus, it doesn’t have specialized functionality for B2B platforms as Adobe Commerce does.
Both versions offer similar features for B2B and B2C eCommerce, including the product catalog, shipping, tax, shopping cart, customer account, reviews, checkout, etc. With Adobe Commerce, you get additional capabilities for B2B functionality, including:
- Quick Order
Adobe Commerce offers a faster checkout, which can shorten the B2B ordering process by using a wish list of products and a single click to add items to their shopping cart.
- Requisition List
Sellers can create requisition lists to make it easier to reorder items based on buyer intentions. You can flexibly create unlimited ticket lists and assign them to selected clients.
- Custom Catalogs And Pricing
Adobe Commerce lets users create and assign custom catalogs and pricing rules for different customer segments like distributors, retailers, and wholesalers to offer competitive and personalized prices to B2B buyers.
- Quote Management And Negotiation
Users can manage and negotiate quotes with B2B buyers, offering discounts, shipping options, or coupons to increase conversions and sales.
- Credit Limit And Payment Terms
Adobe Commerce lets users set credit limits and payment terms for B2B buyers, such as net 30 or 60. It is a flexible, convenient way to pay and adds to cash flow.
Adobe Commerce also provides the following B2C-specific features:
Customer segmentation and personalization based on location, gender, behavior, age, or purchase history.
Loyalty programs that reward customers for purchases, with settings for rules and rewards for different tiers and levels of loyalty.
Content staging and preview features to approve banners, products, or promotions and schedule and launch content changes at specific times.
The open-source version is more than enough for a business without too specific or complex B2C or B2B requirements, with the option to switch to the feature-packed Adobe Commerce.
Security
For any business operating online, security is not just a meaningful way to earn customers’ trust and avoid costs associated with security incidents but also a legal requirement.
On Magento Open Source, security is up to you. That means manually keeping up with and applying security patches and updates when Adobe releases them. You will also need to
Comply with PCI DSS standards for payment security
Use the HTTPS protocol, requiring the installation of an SSL certificate
Implement anti-virus and anti-malware software
Use firewalls to prevent brute force, e-skimming, or DDoS attacks…etc.
So, what do you get on Adobe Commerce vs. Magento Open Source?
Regular security patches and updates from Adobe are applied automatically to the website.
PCI-DSS compliance for payment security.
Credit card tokenization replaces sensitive information with a unique identifier to mitigate exposure.
Advanced payment security that integrates with services like PayPal, Amazon Pay, Braintree, and more for secure payments.
Two-factor authentication for logging into the Admin panel.
DDoS protection and content delivery network for faster and more secure data transmission.
Monitoring and optimization tools like New Relic APM and Blackfire.io.
Operating the open-source version will require your business to have the technical skills to know which security features are needed and implement them consistently over time.
When Does One Need to Upgrade from Magento Open Source to Adobe Commerce?
Upgrading to Adobe Commerce from Magento Open Source is sometimes necessary and the next natural step. Adobe Commerce features more comprehensive provisions that may have a higher initial cost but may be cheaper in the long run for many growing businesses.
Your specific goals, needs, strategies, and business resources should be considered when choosing either platform.
Switching to Commerce from open-source makes sense for businesses that:
Generate high levels of revenue per year
Experience performance issues or security breaches
Want to integrate with other Adobe products for advanced tooling and operations
While additional extensions or custom development can make Magento Open Source competitive, it may be a stumbling block for scalability to accommodate potential growth.
In such cases, upgrading to Adobe Commerce from Magento Open Source stands out as a sensible route to take.
Experience The Magnificence of Magento 2
Our Open Source vs. Commerce comparison shows the former is an excellent choice for a smaller business looking for an affordable and customizable solution.
However, for larger enterprises with ambitious goals and complex needs, Adobe Commerce offers comprehensive features and scalability.
We specialize in Magento development and can help your business thrive online. Your success is our priority. Get in touch today to explore your options.