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- E-commerce, Digital Transformation
- E-commerce, Digital Transformation
New Ways to Receive Shopify Payouts
- Martin Harper
In November of 2021, Shopify began implementing their new payout methods for their partners. This gave app developers, theme developers, experts, affiliates, and agency partners more options to avail of for payouts.
Shopify also updated their revenue share plan in part so all of their partners could have more potential to thrive on their platform. This new update made it so that partners received the full 100% of their revenue on their first $1 million per year. This update, however, was much more than that.
This article will focus on the Shopify payout methods and how this update benefits partners both small and large and how this update can save valuable resources and provide a better experience overall.
Hyperwallet Changes Shopify Payouts
Shopify teamed up with Hyperwallet so that more flexible payout options would be available for their partners. These new methods can be accessed through the Partner Dashboard. There are more perks than just having more options. Partners can also benefit from more competitive industry-leading pricing and fees. Not only that but the new update introduced more coverage for regions and countries that previously couldn’t avail of these new methods .
More Flexible Payouts
Shopify’s partners made it known that they had a desire for payout flexibility, and Shopify listened. Through their partnership with Hyperwallet, new local region-dependent payout methods were introduced. Aside from payouts via PayPal, these methods included local bank transfers and wire transfers to name a couple.
Shopify made it so that partners receive their payouts in a currency of their choice depending on their region. They also made sure to secure competitive foreign exchange rates. Every little saving is valuable and this is one way to ensure partners can keep what they have earned.
Partners can update and save these changes via the Partner Dashboard.
These payment method updates proved to be quite effective. Shopify partner Invenire’s founder, Arve Sølland, was quite pleased with how much his team benefited from the new methods. He said that the new methods saved him money because he was no longer dealing with fees associated with transferring funds from his Paypal to his bank account. He also claims that it saves him the trouble of logging in and manually doing the transfer.
This is only one partner’s experience. Partners of all sizes benefit from these “small” time and money savings. Smaller partners in particular can allot their resources more effectively enabling them to focus on growing their business. When looking at it through both lenses of larger and smaller partners, this update shows itself to be more than just a convenience.
Industry-Leading Fees
With Hyperwallet, the transaction fees are more competitive. Specific fees may change depending on your payment method and region. This is another area where Shopify wanted to ensure partners were given more control over their earnings.
Another of Shopify’s partners, Lizuna, developed an app called Beacon Fraud Protection. This app helps merchants across the globe detect fraudulent orders, reduce how often they occur, and prevent them, all the while making sure legitimate customer orders still get through.
Having the option to get payouts in one’s local currency can be extremely helpful in cutting some of the hassle. Jason Sio, co-founder and CEO of Lizuna, said it “greatly simplifies the payout process and financial record keeping.” He no longer had to spend time logging into his PayPal account, converting currency, paying minimum fees or spending time doing bank transfers.
This is not exclusive to Jason Sio either. It would be safe to say that Shopify partners would likely enjoy a more convenient payout experience that saves valuable time, money, and effort.
Expanding Regional Coverage
Shopify’s update addressed a problem that some partners had regarding not being able to receive their payouts. The issue was that some partners did not have PayPal available in their region. These partners previously had to go through convoluted ways of sending payouts through intermediate systems or associates. This meant that they couldn’t get paid right away. Not only that, but when they did receive their payouts, it would also be shrunk down because of all the additional charges that racked up along the way.
Shopify’s new payout methods added inclusivity and accessibility for many merchants in many more regions. This also meant that merchants could do away with intermediaries and developers could have a simpler time building for Shopify.
Yellow.E.Stores, a Shopify Partner and a Shopify Expert, said that it has saved them from “costly third-party commissions”. They have also expressed how they receive their payouts faster than before without having to put in as much effort.
What Partners Need to Do
As mentioned earlier, these new methods of payments are available in the Partner Dashboard. Additionally, partners in specific regions may need to complete identity verification to meet local regulatory requirements. Partners to whom this may apply can access the dashboard for more information and instructions.
Updated Documentation for Additional Support
Additionally, partners can access the Getting Paid page of Shopify’s partner documentation for more information and help regarding these updated payment methods. On this page partners can also see how Shopify calculates earnings.
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