Table of Contents
- Introduction
- Understanding the Layers of Shopify Fees
- Does Shopify Take a Percentage of Your Sales?
- Breaking Down Shopify Subscription Plans
- Payment Processing Fees vs. Transaction Fees
- Real-World Scenario: The Math of Scaling
- How to Minimize the Cut Shopify Takes
- Moving Beyond Physical Goods: The Digital Advantage
- The Tevello Difference: 0% Transaction Fees for Your Courses
- The Power of Native Integration
- Building Recurring Revenue Stability
- A Checklist for Your Shopify Success
- Investing in Infrastructure, Not Just Paying Fees
- Conclusion: Take Control of Your Margins
- FAQ
Introduction
Did you know that the average e-commerce store owner spends nearly 30% of their revenue on logistics, shipping, and inventory management before they even account for digital overhead? In an industry where margins are the difference between a thriving brand and a struggling side hustle, every percentage point matters. When merchants first launch their storefronts, the most common question isn't about design or marketing—it's a fundamental query about the bottom line: does shopify take a percentage of your sales?
The short answer is yes, but the long answer is far more nuanced and, ultimately, more encouraging for your business's health. Shopify’s fee structure isn't designed to be a "tax" on your success; rather, it's a tiered ecosystem where you pay for the infrastructure, security, and payment processing power that allows your store to scale globally. Understanding how these fees fluctuate based on your plan, your payment gateway, and your product type is the first step toward reclaiming your margins.
In this comprehensive guide, we are going to pull back the curtain on Shopify's financial model. We will explore the difference between subscription fees and transaction fees, how to avoid unnecessary "cuts" from your revenue, and how transitioning into the world of digital products can effectively zero out many of the costs that traditional physical merchants face. Our mission at Tevello is to turn any Shopify store into a digital learning powerhouse, and part of that mission involves helping you keep more of what you earn.
By the end of this article, you will have a clear, numbers-based understanding of Shopify's pricing and a strategic roadmap for maximizing your profitability.
Understanding the Layers of Shopify Fees
To answer the question of how much Shopify takes, we must first distinguish between the three primary layers of costs. Many new merchants see a charge on their statement and assume it’s a single "sales tax" from the platform, but it is actually a combination of distinct services.
1. The Subscription Fee
This is your "rent" for using the platform. It is a flat monthly or annual fee that gives you access to the website builder, hosting, security, and the administrative dashboard. Whether you sell one item or ten thousand, this base price remains constant within your chosen plan.
2. Payment Processing Fees (Credit Card Rates)
Every time a customer uses a credit card to buy from you, there is a fee to move that money from their bank to yours. This is not unique to Shopify; whether you use a physical card reader in a brick-and-mortar shop or an online checkout, the financial networks (Visa, Mastercard, etc.) charge a fee. Shopify negotiates these rates on your behalf, and they get lower as you move to higher-tier plans.
3. Transaction Fees (Third-Party Provider Fees)
This is the "cut" that most merchants want to avoid. If you use Shopify’s own payment system—Shopify Payments—this fee is 0%. However, if you choose to use an external gateway, Shopify charges a transaction fee (ranging from 0.5% to 2%) to cover the cost of integrating that third-party service with their platform.
Does Shopify Take a Percentage of Your Sales?
When people ask "does shopify take a percentage of your sales," they are usually referring to the variable costs associated with each order. To give you a direct answer: Shopify does not take a royalty or a flat "commission" on your revenue, but it does charge per-transaction fees for processing payments.
If you are using Shopify Payments, the "percentage" taken is strictly the payment processing fee. For a standard merchant on the Basic plan, this is typically 2.9% + $0.30 for online orders. As your business grows, this percentage drops. For example, on the Advanced plan, the rate falls to 2.4% + $0.30.
While 2.9% might seem like a small amount, it represents $2,900 for every $100,000 in sales. This is why high-volume merchants eventually find it more cost-effective to pay a higher monthly subscription fee in exchange for a lower transaction percentage.
Breaking Down Shopify Subscription Plans
Choosing the right plan is the most effective way to manage the percentage Shopify takes from your sales. Let's look at the current 2024/2025 tiers and how they impact your margins.
Shopify Basic: For the Emerging Entrepreneur
The Basic plan is designed for individuals and small businesses getting their footing.
- Monthly Cost: $39 (or $29 if billed annually).
- The Cut: 2.9% + $0.30 per online transaction.
- Third-Party Fee: 2% (if not using Shopify Payments).
This plan is excellent for testing proof of concept. However, if you find yourself doing more than $5,000 to $8,000 in monthly sales, the "percentage" you are paying in credit card fees starts to eclipse the cost of the next plan up.
The "Shopify" (Grow) Plan: For Scaling Brands
This is the "sweet spot" for most established small businesses.
- Monthly Cost: $105 (or $79 if billed annually).
- The Cut: 2.6% + $0.30 per online transaction.
- Third-Party Fee: 1% (if not using Shopify Payments).
By moving to this plan, you save 0.3% on every single sale. On $10,000 of monthly revenue, that is a $30 saving. While it doesn't cover the entire subscription jump from the Basic plan, the additional features like better reporting and more staff accounts often bridge the value gap.
Shopify Advanced: For High-Volume Sellers
- Monthly Cost: $399 (or $299 if billed annually).
- The Cut: 2.4% + $0.30 per online transaction.
- Third-Party Fee: 0.5% (if not using Shopify Payments).
For stores processing $20,000 or more per month, the Advanced plan is almost always the most profitable choice. The lower transaction rates can save you hundreds of dollars monthly, effectively making the "expensive" plan the cheapest option for your specific volume.
Payment Processing Fees vs. Transaction Fees
It is vital to understand the "hidden" 2% fee. We often see merchants who prefer to use their own third-party payment gateways because they have a special legacy rate with a different bank. However, Shopify applies an additional transaction fee to these orders to maintain the integration.
- Scenario A: You sell a $100 product using Shopify Payments on the Basic plan. You pay 2.9% + $0.30. Your total fee is $3.20.
- Scenario B: You sell a $100 product using a third-party gateway on the Basic plan. You pay the gateway's fee (e.g., 2.9% + $0.30) PLUS Shopify’s 2% transaction fee. Your total fee is $5.20.
In Scenario B, the platform is effectively taking an extra $2 from your pocket. We always recommend using Shopify Payments whenever possible to keep your transaction fees at 0%.
Real-World Scenario: The Math of Scaling
Consider a merchant selling organic coffee beans. On the Basic plan, every $50 bag of coffee sold online costs the merchant $1.75 in processing fees (2.9% + $0.30). If that merchant sells 500 bags a month ($25,000 revenue), they are paying $875 in processing fees.
If that same merchant upgrades to the Advanced plan, their rate drops to 2.4% + $0.30. Now, each bag costs only $1.50 to process. That 25-cent difference per bag adds up to $125 in savings per month. When you combine those savings with the lower third-party app costs and better shipping rates available on higher plans, the "percentage Shopify takes" becomes a manageable lever you can pull to increase your ROI.
If unifying your stack is a priority, start by a simple, all-in-one price for unlimited courses.
How to Minimize the Cut Shopify Takes
While you cannot avoid credit card fees entirely (as the banks must get paid), you can certainly optimize your store to ensure Shopify takes the smallest percentage possible.
- Use Shopify Payments: This is the single easiest way to eliminate the additional 0.5% to 2% transaction fee.
- Annual Billing: Switching from monthly to annual billing for your subscription can save you up to 25% on your base platform costs.
- Monitor Your Plan ROI: Once your monthly sales volume hits a certain threshold, the savings from lower credit card rates will exceed the cost of the subscription upgrade. Perform a "fee audit" every quarter.
- Reduce Chargebacks: Every chargeback costs you a flat fee (usually around $15) plus the lost revenue. Using robust fraud prevention tools helps protect your margins.
- Audit Your Apps: Many merchants forget they are paying for monthly apps they no longer use. These "hidden fees" often take a larger percentage of your profit than Shopify itself.
Moving Beyond Physical Goods: The Digital Advantage
One of the most effective ways to combat the "percentage of sales" problem is to look at your business model. Physical products come with a heavy "cut" beyond Shopify's fees: shipping, manufacturing, storage, and returns.
At Tevello, we believe the future of e-commerce is hybrid. By adding digital products—like online courses, memberships, or community access—to your existing Shopify store, you create a revenue stream with near-zero marginal costs. When you sell a digital course, you don’t have to worry about shipping labels, weight-based carrier fees, or physical inventory shrinkage.
For a merchant selling fitness equipment, creating a "12-Week Home Transformation" video course is a high-margin upsell that requires no shipping boxes. By using Tevello, you can keep these digital experiences on your own URL, ensuring that you own the customer data and the brand experience from start to finish. We focus on a unified login that reduces customer support friction, allowing your customers to access their physical order history and their digital courses with a single account.
The Tevello Difference: 0% Transaction Fees for Your Courses
While many e-learning platforms and Shopify apps charge their own "success fees" or take a percentage of every course sale, we take a different approach. We believe that merchants should keep 100% of what they earn from their digital content.
Our pricing model is designed for transparency and scalability. Instead of a complicated tier structure that penalizes you as you grow, we offer The Unlimited Plan for $29.99 per month. This plan is a game-changer for merchants who are tired of seeing their profits eaten away by variable fees.
With Tevello, you get:
- 0% Transaction Fees: We never take a cut of your sales.
- Unlimited Everything: Host unlimited courses and enroll unlimited students without worrying about per-user fees.
- Unlimited Video Hosting: We handle the bandwidth so you can focus on the content.
- Native Shopify Integration: Your checkout remains 100% Shopify, meaning you still use the payment gateways you trust, but without extra app-level fees.
By integrating digital products that live directly alongside physical stock, you can significantly increase your Customer Lifetime Value (LTV). A customer who buys a $20 yoga mat might be worth $5 in profit. But a customer who buys that mat and a $100 "Yoga for Beginners" course—hosted on Tevello—becomes a high-margin advocate for your brand.
The Power of Native Integration
Many merchants make the mistake of using third-party platforms for their courses, which redirects customers to a different URL (e.g., yourbrand.teachable.com). This fragmentation leads to lower conversion rates and higher support tickets when customers can't remember which site they used to buy what.
Our "Native Shopify Integration" ensures that your courses and community features live right on your Shopify store. This keeps the customer on your domain, which is essential for brand trust and SEO. This is exactly how we helped brands like Charles Dowding succeed. By migrating over 14,000 members and reducing support tickets, they were able to solve the login issues that plague fragmented systems.
Unifying a fragmented system into a single Shopify store isn't just about convenience; it's about profitability. When your community, your physical products, and your digital learning materials are all in one place, your marketing efforts become exponentially more effective.
Building Recurring Revenue Stability
The "percentage of sales" conversation usually focuses on the cost of a sale. But what about the stability of your revenue? Relying solely on one-off physical product sales can be a rollercoaster.
By utilizing Tevello’s community features—including member directories, social feeds, and profiles—you can build a membership model. This transforms your Shopify store from a transactional shop into a recurring revenue engine. Instead of asking "does shopify take a percentage of your sales" once, you are building a system where a flat predictable pricing without hidden transaction fees allows you to scale your membership to thousands of users without increasing your software overhead.
We have seen incredible examples of successful content monetization on Shopify where merchants have transitioned from struggling with physical margins to thriving with a "digital-first" mindset. For instance, you can see how merchants are earning six figures by simply bundling their expertise with the products they are already selling.
A Checklist for Your Shopify Success
To ensure you are maximizing your profits and minimizing the "cut" Shopify takes, follow this actionable checklist:
- Switch to Shopify Payments: Eliminate the 0.5% - 2% transaction fee immediately.
- Analyze Your Sales Volume: If you are consistently over $5k/month, run the numbers on moving to the "Shopify" (Grow) plan. If over $20k, look at "Advanced."
- Consolidate Your Tech Stack: Are you paying for a separate course platform? Start your 14-day free trial and build your first course now on Tevello to bring everything under one roof.
- Check Your International Fees: If you sell globally, be aware of the 1% to 2% additional fee for international cards and currency conversion.
- Audit App Subscriptions: Delete apps that charge a % of sales unless they provide massive, measurable ROI.
- Focus on LTV: Use Tevello to create a membership or course that encourages repeat visits and builds brand loyalty.
Investing in Infrastructure, Not Just Paying Fees
It is helpful to reframe how we think about Shopify's percentage. If you were to host your own store on a self-hosted platform, you would still pay 2.9% + $0.30 to a payment processor. On top of that, you would pay for:
- Dedicated hosting that can handle traffic spikes.
- SSL certificates for security.
- PCI compliance audits.
- Developer fees to fix site crashes.
- Security software to prevent fraud.
Shopify bundles all of this into their "percentage." When you pay that fee, you are paying for the peace of mind that your store will not crash on Black Friday and that your customers' data is safe. It is an investment in a "digital learning powerhouse" that grows with you.
By choosing the right tools, like Tevello, you amplify the power of that infrastructure. You can seeing how the app natively integrates with Shopify to provide a world-class student experience without the enterprise-level price tag. Our flat-rate plan that supports unlimited members ensures that as you become more successful, your software costs stay exactly the same.
Conclusion: Take Control of Your Margins
In the competitive world of e-commerce, understanding the financial mechanics of your platform is non-negotiable. While Shopify does take a percentage of your sales through payment processing, this cost is a scalable investment in a robust, secure, and world-class selling environment. By utilizing Shopify Payments, choosing the correct subscription tier, and diversifying into high-margin digital products, you can significantly reduce the impact of these fees on your bottom line.
At Tevello, we are committed to helping you keep 100% of your earnings from digital content. Whether you are a fitness coach, a master gardener, or a boutique owner, your expertise is your most valuable asset. Don't let third-party platforms or "success fees" take a bite out of your hard work. Our Unlimited Plan at $29.99 per month offers you a clear path to growth with no hidden transaction fees and no limits on your ambition.
Take the first step toward a more profitable, unified business today. You can build your entire curriculum, set up your community, and organize your digital products during our 14-day free trial—all before paying a single cent in subscription fees.
To build your community without leaving Shopify, start by reviewing the Shopify App Store listing merchants install from.
FAQ
1. Can I completely avoid the percentage Shopify takes from my sales?
While you cannot avoid the credit card processing fees charged by banks (typically 2.4% - 2.9% + $0.30), you can completely avoid Shopify's additional 0.5% - 2% transaction fees by using Shopify Payments as your primary gateway. Additionally, using Tevello for your digital products ensures you pay 0% in app-level transaction fees.
2. Does Shopify take a cut of my shipping costs?
Shopify calculates its percentage based on the total transaction value, which includes the product price, taxes, and shipping fees. To minimize the impact on your margins, many merchants choose to "hide" shipping costs in the product price or offer free shipping over a certain threshold to increase the Average Order Value (AOV), making the fixed $0.30 fee a smaller portion of the total.
3. If I sell a course on Tevello, do I pay Shopify fees?
Because Tevello integrates natively with the Shopify checkout, your course sales are processed just like any other product in your store. You will pay the standard Shopify credit card processing fee associated with your plan level, but Tevello will never charge an additional "success fee" or commission on top of that. This allows for predictable pricing without hidden transaction fees.
4. Is the $29.99 Unlimited Plan really "unlimited"?
Yes. At Tevello, we reject complicated tier structures. Our Unlimited Plan includes unlimited courses, unlimited students, and unlimited video hosting. Whether you have 10 students or 10,000, your price stays at $29.99 per month with 0% transaction fees from our side. This is designed to help you scale your business without the fear of rising software costs.


