Fintech & Ecommerce

Shopify Launches Rewards Program for Users of Shop Pay

Shopify announced the launch of a new rewards program for Shop Pay in the USA.

Shopify Launches Rewards Program for Users of Shop Pay

The new program is called Shop Cash. As part of this commercial offer, customers who make purchases receive a refund of 1% of the order value as a reward. The funds received as a bonus can then be used in the Shop application. The relevant information is contained in the Shopify press release, which was published on Friday, June 2.

Company President Harley Finkelstein said that the new commercial solution is the next stage in the development of the Shop application. According to him, within the framework of this financial offer, independent brands are connected with a large consumer audience. Buyers in the format of such relationships with firms are rewarded for customer loyalty.

The press release indicates that the launch of Shop Cash in the United States took place on Friday, which is of particular importance since it is traditionally on this day that companies and sellers distribute more than $ 1 million in cash in stores.

During the launch of the new commercial solution, sellers share user links on their social media channels that allow customers to use cash in the store when making purchases in the Shop app. Also, hundreds of brands offer financial interaction options that can increase benefits to consumers.

Finkelstein called the launch of the new program a coming-of-age moment for the Shop app. According to him, the new solution has made the digital platform a virtual space in which users can get acquainted with the products of new brands, place orders for the purchase of goods with one touch, and track the process of fulfilling these orders in real-time.

Shop Pay, which is an option for Shopify’s accelerated checkout and allows buyers to store their data with sellers, receives an increasing share of the gross value of the goods (GMV). Finkelstein said this during the quarterly earnings report in February this year. As of that time, 100 million people used the one-touch checkout function.

Shop Pay also unlocks the Buy Now, Pay Later product — installment payment in the store — for consumers as the highest conversion when placing an order.

By launching a new commercial solution, Shopify joins several other companies that have implemented reward systems. For example, the TGI Fridays restaurant chain launched a bonus program on May 15, which provides a wide range of methods for accrual and repayment of rewards. A week earlier, Mastercard and Expedia Group jointly launched the Travel with Rewards solution. This program allows Mastercard cardholders to use bonus points in the process of booking trips using Expedia.

As we have reported earlier, Shopify Adds Melio’s B2B Embedded Finance Offering to Commerce Platform.

Serhii Mikhailov

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Serhii’s track record of study and work spans six years at the Faculty of Philology and eight years in the media, during which he has developed a deep understanding of various aspects of the industry and honed his writing skills; his areas of expertise include fintech, payments, cryptocurrency, and financial services, and he is constantly keeping a close eye on the latest developments and innovations in these fields, as he believes that they will have a significant impact on the future direction of the economy as a whole.