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How To Calculate Magento Web Development Cost Yourself?

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Over the last 5 years, Magento has empowered thousands of brands over the world with the best e-commerce platform to rapidly innovate and grow. Because of that, a great number of businesses want to invest in Magento web development.

But it’s always hard to know where to start.

One of the most crucial things that merchants worry about is whether they are afford the high cost of Magento web development project.

How to know magento web development cost
To deal with this, there are 3 solutions:

The 1st solution: You can find the information of Magento development cost available on Google and other search engines for reference.

  • Advantage(s): Fast and Easy
  • Disadvantage(s): Too much information, may be not updated and inaccurate.

The 2nd solution: Instead of finding the cost of Magento web development instantly, you have to find a list of Magento e-commerce development companies first. Then, you can contact them directly to ask for their cost of service.

Since the price range of Magento web development is wide, you should contact at least 10 companies in different regions to get the average price of the market. If you just get in touch with several agencies in the same location (in UK for example), you might lose some great opportunities to partner with prestigious firms in other countries with more competitive Magento pricing.

  • Advantage(s): Accurate information of Magento cost.
  • Disadvantage(s): Very time-consuming, easy to miss out good opportunities.

The 3rd solution: The last method to know the Magento web development cost is to estimate yourself based on this comprehensive guide. By this way, it’s convenient for you to get the overall price for your project before approaching a specific Magento company.

  • Advantage(s): Fast, Easy, relatively Accurate result.Good for whom who consider between Magento and other platforms. Knowing the price before asking the quotation of certain companies.
  • Disadvantage(s): Still the estimate. It would help us to know the “entry cost” of Magento web development rather than get to know an accurate cost.

In this blog post, we will show you how to make an estimation yourself, which means the third solution.

how much does a magento website cost


  • Step 1: Define the time spent for Magento website design and Magento setup
  • Step 2: Define the average Magento hourly rates for different regions
  • Step 3: Calculate the cost for hiring a Magento web development agency based on step 1 & 2
  • Step 4: Define other involved costs
  • Step 5: Calculate the total cost for your Magento projects

Step 1: Define the time spent for Magento website design and Magento setup

Buy a ready-made theme: If you build a new website based on a ready-made Magento theme, it would take about 5 hours to implement that theme and set up a basic Magento website. Moreover, you also have to customize/ make some changes to make the template match your brand (e.g.: change logo, banner, colors, layout, …), which will take 15-20 hours.

Design a new theme from the scratch: In case that you want to have a unique design, you can hire a Magento agency or just a website designer to create a new one as your requirements. In order to do that you have to spend at least 1 month for both design and coding (approx. 160 hours).

magento design development cost
Magento 2 Migration:
It’s worth noting that for Magento migration project (from Magento 1 to 2), you also have to spend at least 24 hours for data migration (products, customers, orders, categories,…). Additionally, you should concern about time for migrating extension (3 hours for 1 extension installation and configuration on average). Since it’s impossible to move any Magento 1 extensions to your Magento 2 store, you have to find similar extensions for Magento 2 version. Although this process might take time but is not included in the cost because you can do it yourself without delegating for the agency.

magento 2 migration
Last but not least, your project will take about 24 hours for feedback and deployment on the live site.

Step 2: Define the average Magento hourly rates for different regions

From our research, there is a huge gap between the hourly rates of developed countries like US, UK, Australia and developing countries like India, Vietnam, Malaysia,… due to the difference in labor cost.

While it costs you $75-150/hour for hiring a Magento developer in UK, you have to pay just $25-50/hour for having your work done by a Magento coder in Vietnam but the quality of your project might be the same.

magento hourly rates
Probably you may wonder why some people still choose to partner with a UK Magento agency instead of going for an outsourced company to get the much cheaper price and the same product quality, aren’t you?

The reason is simple, it’s obviously more convenient to communicate with a local firm with the same timezone and language and easier to meet face-to-face.

However, more and more people now prefer working with an outsourced Magento companies in Vietnam and India. Owing to modern technologies, they can contact easily through video conferences or via emails so the previous communication barrier was removed. Also, most of developers and staffs of these firms are trained carefully not only about technical skills but also English so you don’t have to worry about not sharing the same language.

Step 3: Calculate the cost for hiring a Magento web development agency based on step 1 & 2

To calculate this cost, you just have to do a simple formula:

Estimated Cost for hiring Magento agency = Total Estimated Time x Magento hourly rate

how much does it cost to build a magento websiteFor example, I will buy a ready-made theme and let the agency implement & customize it in 20 hours. Besides, I need to migrate the database (24 hours) and 10 extensions (3 hours/ extension). Especially, I would like to co-ordinate with a reliable Magento agency in Vietnam ($30/working hour), so here is the cost I have to pay:

Estimated cost for my project (VN) = (20 + 24 + 10 x 3 + 24) x 30 = 2.940 ($)

On the other hand, if I want to conduct the same project with a US agency ($75/working hour), the estimated cost would be:

Estimated cost for my project (US) = (20 + 24 + 10 x 3 + 24) x 75 = 7.350 ($)

Apart from these costs, it depends on the agency you work with that you will be charged for the support after the site goes live or not.

Step 4: Define other involved costs

Before working with the Magento agency, you will have to prepare some “materials” for your new e-commerce website.

what is magento costFor instance:

– Magento theme: If you don’t have enough time and budget for designing a new site from scratch, buying a ready-made Magento theme is an ideal solution. A good theme’s price is from $100-200.

– Magento extensions: In general, the Magento stores have to install several extensions to enhance its functionality and performance. The average of a module on the market is $80-100.

– Website domain: The cost for registering a domain is $5-20/year.

– Hosting: It would cost $77-200/year for the hosting fee. Since Magento has a lot of complex features, it requires a powerful hosting server to run smoothly.

For example, I have to pay $100 for the theme, $800 for 10 extensions, $15 for the domain and $80 for the hosting, the total “material” cost would be $995.

Step 5: Calculate the total cost for your Magento projects

Now, you just have to add up the cost in step 4 to step 3 to get the total estimated cost for your Magento web development project.

From 2 previous example, the total estimated cost for the whole project would be nearly $4,000 (for Vietnamese agency) and double price – more than $8,000 (for US agency).

Noting that these costs are just for reference. Depending on your specific needs and requirements that the cost might be lower or higher.


We have shown you an easy way to calculate your Magento web development cost yourself  before approaching any Magento agency.

On the one hand, you can base on this estimated cost to decide whether to go for Magento or not. On the other hand, it would be useful for you when negotiating the cost with the agencies.

In general, the cost for developing a Magento website is higher than building a new site on other platforms. However, there is no e-commerce platform that provides a lot of useful functions and gets support easily like Magento.

Tigren’s Magento Web Design & Development Service

With more than 5-year experience on Magento e-commerce, Tigren is confident to help you build awesome websites – both functionalities and design.

Moreover, with the competitive advantage is the relatively low labor cost, we are able to offer the best price on the market while product quality is guaranteed.

Especially, we provide 3-month FREE support to make sure that you are 100% satisfied with the site after it goes live.

Contact us now to get free quotation and consultation for your Magento project!


Read More:

How To Fix The Magento Error: Google Shows Wrong Meta Description?

How To Deal With Slow Load Speed Of Magento E-commerce Website?

How To Install Magento Supee-10570 With and Without SSH (5 minutes)

[Hot Release] Magento 2 Reseller Plugin – A Perfect Tool To Manage Resellers

Magento 2 Migration: Why does it matter?


April LeeHow To Calculate Magento Web Development Cost Yourself?

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