Having an online store set up is just a small piece of the puzzle. Since there are millions of online stores today, online business owners must look for ways of differentiating themselves. User experience is a great place to begin, especially when it comes to payments. Online shoppers love fast, simple, secure, and cheap payment options. Shop Pay is one of those options.
What is Shop Pay?
Shop Pay by Shopify (formerly Shopify Pay) is simply an accelerated checkout that helps online shoppers save their email addresses, credit cards, shipping, and billing information. This, in turn, saves customers unmatched time during checkout, especially if they have already selected Shop Pay as their preferred mode of checkout on all Shopify stores.
Shop Pay also has other features and benefits. For instance, it’s also a buy now pay later online store payment method. Shopify store buyers can enjoy Shop Pay installments. So, you may be wondering what’s the difference between Shop Pay and Shopify Payments, and how to use it on your Shopify store? Let’s find out!
Shop Pay VS Shopify Payments
Shop Pay and Shopify Payments are both by Shopify but have notable similarities and differences. For instance, Shop Pay is an accelerated checkout (customer-facing service) that allows customers to save their payment information in exchange for a quicker checkout process. Shop Pay also offers installment payments (Shop Pay Installments)
Shopify Payments is more of a payment processor (merchant-facing) that helps Shopify merchants accept payments from customers. Shop Pay can only be used with Shopify Payments enabled.
For a more in-depth comparison, let’s discuss the main features, pros, and cons of each before discussing how to set up Shop Pay.
Main Shop Pay Features
Shop Pay stands out for the following;
- Accelerated checkout: As mentioned, Shop Pay is an accelerated checkout system. It offers one-tap payment, which has notable benefits like reducing shopping carts abandonment and boosting sales.
- Secure payments: Shop Pay utilizes industry-led security i.e., tokenization, for protecting customer data.
- Global reach: Shopify Pay currently serves over 100 million+ registered users globally.
- Flexible pricing: Shop Pay has many pricing plans that fit a variety of business needs. Merchants can pay flat monthly fees, a % of each transaction, or combine both.
- Shop Pay installments: Shop Pay also has a buy now pay later option for users in the US.
- Shop Pay In-Store: This feature allows merchants to receive payments from clients using smartphones.
In a nutshell, Shop Pay is a powerful checkout system/processing solution that helps Shopify merchants boost their checkout experience and turnover.
Shop Pay Pros
There are several key reasons for using Shop Pay. The most notable include;
- Faster checkout: In just two taps, customers can check out. A faster checkout process translates to higher conversion rates.
- Convenience: As mentioned, Shop Pay is available for users of everyone regardless of the computing device you are using.
Shop Pay Cons
The main cons include
- Limited availability of Shop Pay Installments: While Shop Pay can be used by consumers everywhere, the buy now pay later option for Shop Pay is only applicable to customers in the US.
- Privacy data concerns: Shop Pay requires customers to save payment information which creates data privacy and security concerns regardless of how secure the system is.
Should Your Business Use Shop Pay? Shop Pay Reviews
YES! Especially for merchants who want to offer their customers faster checkout. Since customers can opt to use Shop Pay or not, it is a great addition. Considering many online stores have a problem with cart abandonment linked to repeated actions like submitting payment information every time you buy something, Shop Pay is a great solution.
How to Use Shop Pay? How Do I Enable Shop Pay Instalments?
To activate Shop Pay account, follow the following steps;
Step 1. Head to Settings
Go to Shopify admin and select payments under the settings tab as shown below;
Step 2. Activate Shop Pay for Shopify Store
Proceed and manage Shopify Payments by clicking “manage” then check Shop Pay in the Shop Pay section. Don’t forget to save changes.
Conclusion
Since customers abandon carts due to long checkout processes, Shop Pay is a great way of improving the speed of checkout for your Shopify store customers. This will, in turn, boost your sales by a significant percentage (approximately 18% as per Shopify statistics). While there may be concerns on privacy, Shop Pay reviews and Shopify indicate that the method is secure.
Considering it offers buy now pay later for US-based customers, it comes highly recommended for Shopify store owners with a US-based clientele. Otherwise, you can still use Shop Pay alongside another buy now pay later option like AfterPay. Discover more in-depth information about AfterPay on Shopify store.
FAQs About Shop Pay
How Does Shop Pay Work?
As mentioned, Shop Pay allows customers to save their payment information and checkout faster than they would in typical cases. Once the checkout is made available in a store, customers simply get the opportunity to save their information securely and pay in a two-step fast process for repeat purchases.
Can I Trust Shop Pay?
Yes! Shop Pay is by Shopify, so you can expect the highest levels of data privacy and security. However, there’s no single online payment method that can be deemed 100% safe from security, data, or privacy breaches now and in the future.
Why Shop Pay Installments Stopped Working? Shop Pay Installments Not Showing up
The reasons can range from poor internet connection to changes in payment details or updates. It could also be related to changes in regions/countries where Shop Pay Installments works. As mentioned, the method only works for the US only. If you move outside the US, it will stop working. You can check with support or your email address to troubleshoot Shop Pay-related issues quickly.