Shopify vs. Square: Which Is Better for Your Business?
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Square and Shopify offer comprehensive solutions for businesses venturing into e-commerce, encompassing a wide array of tools for online store management and POS functionality. Yet, when it's time to choose, understanding your business's unique needs is paramount.
Join us as we navigate through a detailed comparison of Square vs. Shopify, shedding light on their differences to assist you in selecting the optimal platform for your e-commerce needs.
Shopify vs. Square: At a Glance
Launched in 2006, Shopify is a leading e-commerce platform renowned for its comprehensive suite of features. It enables businesses of all sizes to effortlessly create and manage online stores, offering tools for website building, payment processing, inventory management, and marketing. With its user-friendly interface and extensive app ecosystem, Shopify caters to a wide range of businesses, from small startups to large enterprises.
Established in 2009, Square started as a mobile payment company but has since evolved into a versatile financial services provider. In addition to its core payment processing services, Square offers a range of tools including POS systems, invoicing, payroll services, and e-commerce solutions. Square's offerings are designed to help businesses streamline operations and accept payments seamlessly, both online and offline.
While both Shopify and Square provide comprehensive solutions for businesses, they differ in their areas of focus and target audiences. Shopify is best suited for businesses primarily focused on e-commerce, offering a robust platform for online store management. In contrast, Square offers a broader range of services tailored to various business needs, making it ideal for businesses looking to streamline operations across multiple aspects of their business.
Shopify vs. Square: Which should you choose?
Choosing between Shopify and Square ultimately depends on your specific business needs and priorities.
Consider choosing Shopify if:
- You prioritize online sales and need a comprehensive e-commerce platform.
- You want flexibility in scaling your business with customizable pricing plans.
- You value a wide range of integrations and apps to enhance your online store functionality.
- You prefer 24/7 customer support and an active community for assistance.
Consider choosing Square if:
- You primarily focus on in-person sales and need a reliable POS system.
- You prefer transparent pricing with no monthly fees, and you're comfortable with transaction-based pricing.
- You want a simple and user-friendly interface for managing your in-person transactions.
- You need a solution that offers additional services like invoicing, payroll, and inventory management alongside your POS system.
Ultimately, evaluate your business requirements, budget, and growth plans to determine which platform aligns best with your goals.
Shopify vs. Square: Quick comparison
|
Feature |
Shopify |
Square |
|
Plans and Pricing |
Subscription-based plans, starting from $5/month. |
No subscription fees for the basic POS system. Transaction-based pricing. |
|
Hardware |
Available through third-party providers. |
Offers a range of proprietary hardware options. |
|
Customer Support |
24/7 customer support via phone, email, and live chat |
Phone (limited support hours), email, live chat, and social media. |
|
E-commerce |
Strong e-commerce platform with extensive features. |
E-commerce solutions integrated with POS services. |
|
Software |
User-friendly interface, extensive app ecosystem |
Free POS software with optional add-ons. |
|
Inventory and Shipping |
Advanced inventory management tools, seamless shipping integrations |
Inventory and shipping management features are available |
|
Integrations |
Over 6,000 third-party integrations |
Wide range of integrations, but not as extensive as Shopify |
|
International |
Supports sales in multiple currencies and countries |
Limited international support |
|
Security |
Secure payment processing, SSL encryption |
Secure payment processing, PCI compliance |
|
Marketing |
Various marketing tools available, including email campaigns and SEO optimization |
Marketing features are available, but not as robust as Shopify |
|
Sales |
Comprehensive sales reporting and analytics |
Sales reporting tools available |
In summary, while both Shopify and Square provide valuable solutions, Shopify excels in e-commerce management, integrations, and international support, whereas Square offers versatile payment processing solutions for online and offline needs. Choose based on your business's primary focus and requirements.
Shopify vs. Square: Detailed comparison
Plans and Pricing
|
Feature |
Shopify |
Square |
|
Monthly Cost |
Basic: $25/month Shopify: $65/month Advanced: $399/month |
Free: $0 + processing fee , Plus: $29/month + processing fee Premium: Custom Pricing + processing fee |
|
Annual Cost |
Basic: $19/month Shopify: $49/month Advanced: $299/month |
No |
|
Transaction Fees (Online) |
Basic: 2.9% + 30¢, Standard: 2.6% + 30¢, Advanced: 2.4% + 30¢ |
2.9% + 30¢ per transaction |
|
Transaction Fees (In-Person) |
Basic: 2.7%, Standard: 2.5% Advanced: 2.4% |
2.6% + 10¢ per transaction |
|
Manually entered |
No |
3.5% + 15¢ per transaction |
|
Payment Gateway Fees |
Integrate with over 100 other payment With Shopify Payments: 0% Basic: 2%; Shopify: 1% Advanced: 0.5% |
Allow customers to pay their bills online, in person, or from their phone using a credit card, Apple Pay, Google Pay, or ACH bank account transfer. 3.3% + 30¢ per transaction |
|
Additional Cost |
|
|
Shopify is perfect for online-focused businesses with its extensive e-commerce tools and scalable pricing plans, while Square is better for businesses with in-person sales, offering a free entry point and affordable add-ons. Choose based on your business model and specific needs.
Hardware
|
Feature |
Square POS Hardware |
Shopify POS Hardware |
|
Hardware Cost |
|
|
|
Functionality |
Swipes magstripe cards and connects to smartphones for payments. |
Compact reader for tap, insert and swipe payments, connects to a smart device via Bluetooth. |
|
Compatibility |
Varies; designed for smartphones. |
Requires Bluetooth connection to compatible iPhone or iPad. |
|
Additional Features |
|
|
When comparing Square and Shopify POS hardware, both offer a range of options suitable for various business needs. Square provides more diverse options, including a free magstripe reader, while Shopify offers simplicity and compatibility with its hardware solutions.
Software
|
Feature |
Shopify |
Square |
|
POS Lite/Pro |
Included in all e-commerce plans, is $89 per location for a POS Pro upgrade |
No monthly fee $0 for POS software, transaction-based pricing |
|
Platform Access |
Smart devices (iOS, Android) and desktop |
Smart devices (iOS, Android) and desktop |
|
Base Features (POS Lite) |
Sell through Shopify Payments, accept in-person payments, create invoices, view financial reports, manage orders and products, issue gift cards, create customer profiles, split bills, create discounts, QR code details for products |
Accept major credit cards and digital wallets, no monthly fee, process transactions, send email/SMS/print receipts, create discounts, manage customers, accept online transactions, customize/export sales reports, manage inventory, third-party app integrations |
|
Additional Features (POS Pro) |
Schedule local pickup/delivery, create purchase orders, receive low stock alerts, analyze inventory, create detailed reports, manager approvals, staff permissions, custom-printed receipts, run daily sales reports |
Loyalty rewards, email marketing, payroll management (contractors and/or employees), reporting, team management, inventory management, third-party app integrations |
|
Pricing Model |
Subscription-based plans with additional transaction fees |
Transaction-based pricing with optional paid add-ons |
Both Shopify and Square offer robust POS software solutions. Shopify's subscription-based model provides predictability in costs and is tailored for e-commerce businesses. Square's transaction-based pricing, without monthly fees, suits businesses with variable sales volumes and emphasizes in-person sales.
E-commerce - Shopify Win
Both Shopify and Square offer comprehensive solutions for e-commerce businesses, but they have distinct strengths.
Shopify stands out with its excellent shopping cart software, easy website setup, custom domain options, and robust order management features. It also boasts a wide range of third-party integrations, enhancing flexibility and functionality.
On the other hand, Square provides a multifaceted solution encompassing payment processing, e-commerce, and POS functionality. It offers web hosting, diverse e-commerce integrations, inventory and order tracking, management tools, and insightful reporting dashboards.
Customer Support - Square Win
Shopify offers 24/7 customer support via live chat, email for all pricing plans, and phone when choosing the Plus plan. Additionally, it offers extensive documentation, tutorials, and a vibrant community forum for self-help.
Square also offers strong customer support through a variety of channels, including phone, email, and social media. However, its support hours may vary by plan and region. Square offers a comprehensive knowledge base and community forum for support.
In short, both platforms offer solid customer support options. However, phone support, even if limited in hours, is still better and more effective. That's why Square wins in this feature.
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