Magento Community Version VS Magento Enterprise Version Key Differences

Magento Community Version VS Magento Enterprise Version Key Differences

Should you use Magento Community Version or Enterprise Version?


Overview of Magento:

Magento is an open source e-commerce store development platform which comes handy if you are new into this business and looking for a user-friendly content management system to handle all the required functionalities for running your e-commerce project. There are various editions of Magento, and depending upon your budget and overall size of business, you can have the flexibility of choosing the best suit for you. Magento is coding-friendly, SEO optimized and mobile compatible. It also has a magical feature of “multiple store management” which makes it unique. Magento allows you to run multiple number of store fronts from a single backend system. This article discusses about two most popular versions of Magento namely the Community Version and the Enterprise Version respectively.

  What is Magento Community Version ? 

This is a free edition of Magento which is targeted for small sized e-commerce business with turnover below 1,000,000 euro. It has excellent functionalities like Catalogue Promotional Pricing, Multi-Tier Pricing, Flexible Coupons and Private Sales Help etc. Apart from the existing functionalities, there is a vast Magento Extension app store from where you can download all the apps for free as per your requirement. If you are new into e-commerce business, then this one is your choice to opt for.

What is Magento Enterprise Version? 

This is a paid edition of Magento which is targeted at medium and big sized e-commerce business with turnover above 1,000,000 euro. It has all the functionalities of Magento Community Version, and additionally, it has some advanced features like access control list, assisted shopping, customer segmentation and targeted offerings, secure payment gateways and loyalty benefits etc. This version also has access to Magento Extension app store to download all free as well as paid apps from there.

Similarities Between Magento Community Version and Magento Enterprise Version

  • Both Magento Community Version and Magento Enterprise Version are open source software. Hence, both are supposed to have the same coding and in-built algorithmic features.
  • Their way of parameter inputting, function calling and output producing are all the same. This is the reason why both of them allow their users to use webservers API (application program interface) while connecting to different sorts of databases like Oracle or MySQL.
  • This apart, both Magento Community Version and Magento Enterprise Version are compatible with downloading the required apps from “Magento Connect” which is an extension marketplace owned by Magento.

Difference Between Magento Community Version and Magento Enterprise Version

  • Cost: Magento Community Version is free. There is no license cost involved, you need to bear only a minimal hosting cost and implementation cost. Magento Enterprise Version demands you to pay $15,550 per year including license cost and hosting costs.
  • Security: Magento Community Edition does not have secured payment gateway, hence you may face difficulties using credit card for payment while purchasing any paid app in future.Magento Enterprise Edition uses PCI-DSS (Payment Card Industry Data Security Standard) for receiving all the payments with 14 key protection criteria, hence you do not have to worry about security while swapping your credit card through their payment bridges.
  • Performance: Magento Community Version works faster because it is compatible with running for lightweight projects with lesser number of modules. Magento Enterprise Version executes commands a bit slower since it deals with a large number of modules.
  • Functionality: Magento Enterprise Version has much wider range of paid functionalities rather than Magento Community Version. Advanced ACL (access control list), content management system, customer segmentation with targeted offerings, assisted shopping, loyalty rewards, full page caching, Apace SOLR platform are additional key functionalities offered by Magento Enterprise Version whereas Magento Community Version only sticks to basic functionalities only.

Which one to choose?


When to Choose Magento Community Version?

Usually, it is suggested to choose the free Magento Community Version first for testing whether it is fulfilling your business requirements for your e-commerce project or not. Then, it all depends on the size of your e-commerce business. If it is big sized which caters to more than 1000 visitors but less than 50,000 visitors per month, then Magento Community Version does ideally suit for your project. To be exact, if your business turnover hovers between the figures of 100,000 to 1,000,000 euro, in that case, choosing this free edition of Magento would be suitable for you. Even though the enterprise version comes with various additional functionalities, if there is no scope to utilize those functionalities in your existing miniscule project, then there is no point in spending much money on purchasing that.

When to Choose Magento Enterprise Version?

If you own a big sized e-commerce organization which has its own team of different verticals like: marketing, sales, analytics and business intelligence then choosing the Magento Enterprise Version would be the best thing for you. Your respective teams will analyse the performance of each vertical like sales and marketing and accordingly they can integrate ‘customer segmentation and targeted offerings’ feature which is available in Magento Enterprise Edition. This can channelize the resources among various types of segmented customers in a streamlined way, which in turn can trigger the source of income. You can also prevent customers’ unauthorized monetary transactions from malicious and unverified accounts through activating the ‘access control list’ feature which is available in this Enterprise Version of Magento. When you run a bigger e-commerce business, authorizing the sources of money becomes a necessity in today’s world where there is a chance of cyber-attack and the possibility of embezzlement at almost every single moment.


It is suggested by the experts that even if you own a big e-commerce business, you should first use the free version of Magento Community Edition first, just to get the idea of how to use which feature in an efficient way. Once you get familiar with all the key functionalities like integrating your website with databases and utilizing all the allied apps available at the extension store Magento Connect, afterwards you can opt for the paid version of Magento Enterprise Edition gradually.This gradual shifting will allow to give you enough time to grasp the functionalities in a more efficient manner, rather than just drastically land up to an unfamiliar zone even after paying a whole lot of money.