- Shopify has announced the launch of Shop Cash, a new rewards system that allows Shop app users to earn Shop Cash on any purchases made through the app.
- The Shop app is a system that brings together hundreds of Shopify vendors with Shopify’s payment system, Shop Pay, allowing customers to shop and checkout all in one place.
Although the Shop app has been around for a while, Shopify’s new customer incentive, Shop Cash, is a recent development. Designed to reward customers for shopping and checking out through the app, Shopify’s newest innovation allows users to earn 1% Shop Cash on purchases made directly through the app. Fully funded by Shopify, these rewards are then redeemable against future Shop purchases.
To celebrate the official rollout of Shop Cash, Shopify hosted an inaugural Shop day on June 2nd. The ecommerce website builder partnered with dozens of its most prolific merchants, such as Mr Beast and Monday Swimwear, to give away over $1 million in Shop Cash. In addition to this, hundreds of other Shopify vendors ran exclusive Shop Cash offers, giving customers the chance to boost their Shop Cash earnings.
Although an attractive incentive for customers, the introduction of Shop Cash is also a powerful tool for Shopify merchants, too. The Shop app is Shopify’s gateway to more convenient shopping, making it simple for customers to find what they’re looking for and make a purchase. It also makes it much easier for users to return to their favorite shops, and recent findings by Shopify revealed that 35% of the purchases made on the app are from repeat customers.
It also pushes Shopify’s own payment processor, Shop Pay, into the spotlight. As the only checkout route on the app, Shop Pay will benefit from the influx of new users that come for the rewards that Shop Cash offers. No doubt this will result in an increase of Shopify merchants committing to the payment gateway, too, especially with Shopify’s own research revealing that Shop Pay can boost conversions by up to 50% compared to guest checkouts.
Harkley Finkelstein, President of Shopify, branded this as a “coming of age moment for Shop.” He highlighted the focus on building customer loyalty, going on to say, “Shop Cash represents the next evolution of Shop, connecting independent brands to more shoppers, and rewarding those shoppers for being loyal fans.”
With the announcement, Shopify stated that the rewards program will be available immediately on all eligible Shop Pay purchases from US-based merchants and shoppers. The launch coincided with Shopify’s 17th birthday, the platform having been founded in 2006 by Tobias Lütke, Daniel Wienand, and Scott Lake.