SaaS vs On Premise

V5.0
MAGENTO OPEN SOURCE - A DISCUSSION OF LIMITATION

What you pay for with Magento Open Source

…is this:
● Extensions. Though many are free, you pay for the best.
● Development. Unless you’re tech savvy enough to put it together.
Prices vary across the globe as well as with various agencies
based on their size and experience.
● Beyond-the-plan expenses. Some unavoidable costs are outside
any plan. Whether you need content creation or data import, it
adds to the budget.
● Hosting. A website’s size and traffic determine the price you pay
for hosting.
● Maintenance and optimization. Regular updates are great for
security reasons. But that means ongoing odd jobs like site
updates, security patches, training, design work, extension
installation, etc.
MAGENTO COMMERCE - A DISCUSSION OF LIMITATION
Magento Commerce Cloud Starter
● Maximo 50.000 SKU efectivos
● Peak maximo de 30 Ordenes por hora
● Peak maximo de 50 compradores concurrentes
● Peak maximo de 5 usuarios admin concurrentes
● B2C + B2B: 10.000 vCPU Limit.

Magento Commerce Cloud Pro

● Maximo 500.000 SKU efectivos
● Peak maximo de 500 Ordenes por hora
● Peak maximo de 500 compradores concurrentes
● Peak maximo de 20 usuarios admin concurrentes
● GMV 1M: B2C + B2B: 12.000 vCPU Limit.
● GMV 5M: B2C + B2B: 15.000 vCPU Limit.
● GMV 10M: B2C + B2B: 25.000 vCPU Limit.
● GMV 25M: B2C + B2B: 60.000 vCPU Limit
BUSINESS DECISIONS WHAT DOES THE CLIENT NEED
VTEX has it all since VTEX ¿MULTI-EVERYTHING?
doesn’t have “Editions”.

Magento limit its functionalities

Yes No Yes?
based on the business needs,
which ends up increasing the
price

OPEN COMMERCE
SOURCE
 SaaS VS On Premise
Hosting
ON-PREMISES VTEX Development
Gateway
Monthly fee
SSL Certificate
PCI DSS
CDN
Setup
Hardware update
IT employees

Hosting
New features

Hardware Agency
update CDN

Agency IT employees

SSL
ERP Certificate
Gateway

All rights reserved | Proprietary and Confidential

 MAGENTO HIDDEN COST EXAMPLE

All rights reserved | Proprietary and Confidential

VTEX vs
MAGENTO
CLOUD Starting at $500/month

EDITIONS
MOBILE-FIRST

SmartCheckout™

Unique checkout
experience without
passwords

Certified:
VTEX VS MAGENTO OVERVIEW
3. Time to Market
1.
VTEX, our time to market is
an industry’s record one for
Tier 1 & 2 customers.
We have an average of three
and a half months “109
days”.
2.
Magento, has an average of
6 to 12 months, which is
almost double in their best
result, and more than four
times their latest one.
SUPPORT AND MAINTENANCE
1.
VTEX, offers a standard support without any
additional cost for our customers, and we
hear our customers and partners in order to
solve the problems they encounter or
updates they would like to see in VTEX
2.
Magento does not offer support for free,
everything comes with a price; and since the
customer is hiring a platform, not a software, they
normally end up interacting only with the agency,
and almost never with the Tech Vendor.
 VTEX VS MAGENTO OVERVIEW

B2B Marketplace User verification & Payment

confirmation

White List
PCI Gateway
Tax Hub

Order Placed goes to a GUI with

full autonomy and easy tool for
customer support
Discounts and Price
Verification

Rates & Benefits

My orders
Pricing
Place order
Search,
Navigate &
StoreFro Choose Products Cart SmartCheckout™
nt Customizable transactional e-mails
and feed to keep track of every
Our patented Password-free Omnichannel one of them
Checkout Inventory & Freight Confirmation

Product Catalog
Conversation Tracker
Logistics
Message Center
Order Management

Comprehensive marketplace data

Match Catalog
API / GUI
Matcher

Order and shipping data

Easy and quick
Admin team Bridge Check for duplicates
Network marketplace integration

Deduplicator

API / GUI Remove duplicates

Sellers
Seller
interface
 WHY VTEX VS. MAGENTO
Other reasons that differentiates VTEX
1 2
Time-to-market
Native comprehensive solution and open
APIs allow faster implementation (average
109 days).
4 5
Increased Marketing Efficiency
Over 5,000 promotional scenarios available
OOTB to customize programs, market to
customer clusters and drive revenue growth by
product and customer category.
Agile SaaS/PaaS technology
Proven true multi-tenant microservices
architecture seated on top of an
auto-scaling elastic cloud infrastructure.
Seamless checkout
SmartCheckout is a technology that
followed Baymard Guideline report with 63
usability recommendations for checkout,
following three factors: frequency, impact
and persistence. Online stores migrating to
the SmartCheckout saw a 21% conversion
rate increase on average.
3
Zero Cost Auto-upgrading
Transparent platform versioning with
continuous deploys and rolling upgrades
(over 12,000 deploys in the last 12 months).
6
Distribution Order
Management
Multiple fulfillment scenarios such as pickup
points and ship from store allow the company
delivery a better experience to their clients and
create a better strategies for Cross Docking,
Drop Shipping and Cross Border.
 WHY VTEX VS. MAGENTO
Other reasons that differentiates VTEX
7 8
Content Management System Artificial Intelligence
Create, organize and edit the content of your Algorithms that interpret customer interests
site with a drag-and-drop interface and and deliver more assertive search results as
delivery a better UX. VTEX native controls well as identifies individual navigation
render various useful and replicable features in profiles to create exclusive and unique
your site templates with low code. storefronts according to their behaviour and
interest.
10 11
Progressive Web Apps Become a Marketplace
Use modern web technology to deliver app-like Receive catalog, inventory and price from
experiences to users, right in their browsers. others site or providers and orchestrate the
orders. These gonna let you create new
categories without risk of inventory to
increase the recurrence of orders.
9
inStore
Increase inventory assortment and
availability with a wide view of all products
available to sell, even if they are in other
stores or distribution centers and turn your
brick-and-mortar stores into pick-up points
for e-commerce orders.
12
Cost Reduction
Clients migrating to VTEX have seen a 50%
cost reduction on average. Operating on a
“sweet-spot” compared to our main
competitors, our tiers and revenue share
provides a significant lower TCO.
SOFTWARE AS A SERVICE
Servers and applications monitoring
SECURITY &
TRANSPARENCY

Use our transparency in our favor, Health check monitor

specially against On-Premise
Magento solutions.

Online warnings. We are 100%

committed to solve the problem.
VTEX VS MAGENTO OVERVIEW
5. Innovation, Development & Updates
1.
VTEX is always updating it’s
platform, don’t forget to mention we
have over 14.000 updates per year!
Our model is a SaaS one, this give us
more responsibility on the updates
challenges.
2.
Magento has updates as well, but
not as much and as fast us VTEX,
since some of them are considered
not to be part of the platform itself,
since they are a PaaS company.
6. Extensions
1.
VTEX
we are transforming the company, not to an Open Source
one, but to a flexible one based on apps on our new VTEX IO
ecosystem, which stands out against open source
extensions as we certify and constantly review each one of
the developed apps.
2.
Magento
although this is one of their strengths,it
can be one of their biggest threats, since
Open Source may be flexible, but is not
always sustainable, and customer rely
almost a 100% on the companies that
developed each extension
PCI DSS Certified*

USD 2,5 Millions

invested

USD 500 K
annual maintainance
Thanks! Cristi Movila
cristi.movila@vtex.com