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How Anua Unlocked 5X AOV Growth with iCart’s Smart Cart Features

delivery customization Challenges Solutions drive results Scale business delivery customization Challenges Solutions drive results Scale business delivery customization Challenges Solutions drive results Scale business delivery customization Challenges Solutions drive results Scale business Anua is a globally recognized Korean skincare brand known for its minimalist philosophy and focus on gentle yet effective formulations. Built on the idea of simplifying skincare routines, Anua develops products that deliver visible results while avoiding harsh or irritating components, making them suitable for sensitive skin types. Initially using a traditional full cart experience, Anua transitioned to iCart’s side cart solution in August 2025, to create a more seamless and engaging shopping journey. This shift allowed customers to easily explore complementary skincare products without disrupting their browsing flow, making it more intuitive to discover items that fit into a complete routine. By surfacing relevant recommendations directly within the cart, the brand enhanced product visibility across its range. Challenges Before implementing iCart’s side cart solution, Anua faced limitations with their existing full cart experience, which created friction in the customer journey. The traditional cart setup redirected users away from product pages, interrupting their browsing flow and reducing opportunities to explore additional products. As a skincare brand built around routines rather than single-item purchases, this made it difficult to effectively showcase complementary products and encourage customers to build complete regimens. Additionally, the lack of in-cart personalization and strategic upsell opportunities meant that customers were often unaware of related products that could enhance their skincare results. This limited the brand’s ability to increase average order value (AOV) and fully leverage its diverse product range. Anua needed a more dynamic and intuitive cart experience that could seamlessly introduce relevant recommendations while maintaining a smooth and engaging shopping journey. ❌ Cart Value Barriers Low average order value (AOV) due to single-item focus Most customers completed purchases with one primary product instead of building multi-step routines. Cart abandonment near shipping thresholds Customers were not clearly informed or motivated to reach free shipping or discount thresholds. Missed savings opportunities Customers were unaware of potential value in purchasing bundled routines or multiple complementary products. ❌ Absence of Progress-Based Incentives No free shipping or discount progress bar Customers were not motivated to increase their cart value due to lack of visible incentives. Missing tiered rewards system There were no structured milestones (e.g., “Spend more to unlock offers”), reducing upsell opportunities. ❌ Ineffective Cart UI/UX (Pre-Side Cart) Full-page cart disrupted shopping flowCustomers had to leave their browsing journey, increasing friction and drop-offs. No quick add/remove functionality Users couldn’t easily modify their cart or add suggested products without navigating away. Solution To overcome these challenges, Anua implemented iCart’s side cart solution to transform their traditional cart into a high-converting, interactive experience. By replacing the full-page cart with a seamless side cart, the brand ensured that customers could continue browsing while viewing their cart, significantly reducing friction in the shopping journey. Additionally, features like product recommendations & progress bars for free shipping and discounts motivated customers to increase their cart value. By combining personalization, incentive-driven messaging, and a user-friendly interface, Anua successfully turned their cart into a powerful revenue-driving touchpoint rather than just a checkout step. To maximize their cart effectiveness, they implemented two powerful features: ✅ Progress Bar with Multi-Reward Incentives Implemented a tiered progress bar to encourage higher cart value Customers are guided with a clear message like “Add $3.10 to unlock secret offer,” motivating them to continue adding products. Generated over $5M+ in revenue through incentive-driven cart progression Used product-based rewards to align with customer intent Instead of generic discounts, Anua incentivized purchases with relevant skincare items like Dark Spot Pads and mini serums. Built visual motivation for routine expansion As customers add products, they can clearly track progress toward unlocking multiple rewards, encouraging them to build a complete skincare routine. ✅ Product Recommendations Implemented “Frequently Bought Together” recommendations Customers adding a single product (e.g., toner) are shown complementary items like serums, moisturizers, or pads to complete their routine. Generated over 275K revenue through in-cart recommendations Encouraged full skincare regimen building Instead of isolated purchases, the cart suggests step-by-step product combinations aligned with common skincare routines. Increased product discovery at the final stage By surfacing relevant items directly in the cart, Anua ensured customers explore more of their catalog without leaving the checkout flow. Results Achieved in Last 180 Days 22932 Total Store Orders 45101 Total iCart Orders 5X iCart Generated AOV 65.70% Upsell Affected Conversion Rate These improvements reflect a clear shift in customer behavior on Anua’s store. Cart abandonment reduced as shoppers discovered complementary skincare products and felt encouraged to build complete routines. Engagement also increased, with customers interacting more with in-cart recommendations and exploring relevant product pairings. Results & Impact And...Results is Our Main Clarification By implementing iCart’s cart drawer, product recommendations, and progress bar, Anua transformed its cart into a high-performing conversion touchpoint. Shopping Experience Enhancement The improved cart experience encouraged customers to discover complementary products and understand the value of sustainable beauty routines. For instance, the clear presentation of subscription savings alongside one-time purchase options helped customers make more informed decisions about their long-term hair care needs. As Anua continues to optimize its cart experience, the brand is closely monitoring: Routine-based purchasing behavior - tracking how customers move from single items to multi-step regimens Engagement with in-cart recommendations - measuring interaction with suggested products Cart value progression - analyzing how incentives influence higher spending [related_cases_slider] Ready to Write Your Success Story? Try icart App Join successful businesses like Anua and Master your delivery scheduling Delight customers with precise timing Grow your special occasion orders Expand your delivery reach

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8 Min • 31 July 2026

Complete Guide to Shopify Inventory Forecasting to Manage Cash Flow (+ Tools)

Shopify inventory forecasting is the process of estimating how much stock each product will need and when it should be reordered using sales history, supplier lead times, promotions, and current inventory levels. Accurate forecasting helps merchants avoid stockouts, reduce excess inventory, and keep more cash available for business expenses. Tools such as Sidekick, Prediko, Inventory Planner, and Assisty can automate inventory forecasting. If your ROI feels lower even when sales are good, your stock is usually the reason. Cash you've spent on inventory is cash you can't spend on ads, payroll, or the next order. Shopify inventory forecasting is working out how much stock you need and when to order it, so less of your money sits on a shelf. One thing worth knowing before anything else: Stocky, the free forecasting and purchase order app that came with Shopify POS Pro, stops working on August 31, 2026. If you order stock through Stocky, you've got a few weeks to sort out a replacement. What is Shopify inventory forecasting? Shopify inventory forecasting means predicting how many units of each product you'll sell over a future period. You use your sales history, supplier lead times, and whatever promotions you have planned. What you're after isn't the forecast itself. It's a list of purchase orders with dates and amounts against them. A forecast that never turns into an order hasn't done anything for you. Forecasting is really a cash question This is my philosophy: Stock is the biggest cheque you write and the slowest one to come back. You pay a deposit today, pay the balance six weeks later, pay duty when it lands, and only then do the units start selling. Every forecasting choice you make is a choice about how long your money is stuck. Two numbers tell you whether that's under control. Your cash conversion cycle The cash conversion cycle counts the days between paying your supplier and getting paid by your customer. CCC = Days Inventory Outstanding + Days Sales Outstanding − Days Payables Outstanding Days Inventory Outstanding is (Average inventory ÷ COGS) × 365. If you hold $120,000 of stock on average against $480,000 of annual COGS, that's 91 days. Days Sales Outstanding is quick for a normal Shopify store, since Shopify Payments in the US settles in about 2 to 5 business days. It climbs once you add wholesale on Net 30 or marketplaces with their own payout cycles. Days Payables Outstanding is how long your supplier lets you wait. On Net 30, that's 30. So: 91 + 3 − 30 = 64 days. Your money is tied up for a bit over two months on every dollar you put into stock. Most DTC brands land somewhere between 60 and 120 days, and under 60 is doing well. Pull these reports before you do anything else Go to Analytics > Reports and filter by Inventory. I look at four main reports here for forecasting. ABC product analysis grades every variant by how much revenue it brings in. A-grade products are the ones making up 80% of your revenue, B-grade the next 15%, C-grade the last 5%. It's worth knowing that the window is fixed for the last 28 days and you can't change it. If you sell seasonal products, run it at a few different points in the year instead of trusting one snapshot. Products by days of inventory remaining gives you days of stock left per variant, worked out from your average daily sales over the last 28 days. This is the best way to spot what's going to run out before your next delivery lands. Products by sell-through rate shows what share of available stock you sold in a period. There's about a two-day processing delay on it, so the newest data you can see is never today's. Month-end inventory value multiplies cost per item by ending quantity, which gives you your inventory cash position over time, and it's the number you need for the DIO calculation above. For a full walk-through of every report and what the columns mean, see my guide on how to pull a Shopify inventory report in 2026. How to do a Shopify inventory forecast? Clean up your sales history first Sales history and demand history aren't the same thing. Take out days when a product was out of stock, because zero sales that day tells you about your supply, not your demand. Check your product codes while you're in there. If one product exists under three different SKUs because of an old migration, you're splitting one demand pattern into three weak ones, and every forecast after that will be wrong. My guide on setting up SKUs in Shopify covers a naming system that survives growth. Split the catalogue with ABC Don't treat every product the same. Pull the ABC report and give each grade a different level of attention. A-grade products get looked at weekly and get tight reorder points. B-grade products get a monthly check. C-grade products get simple rules and a look every quarter. Create cash calendar Here’s something I do. Take each purchase order you're planning and put its payments on a calendar with real dates against them. An overseas order has four separate payments going out: the supplier deposit, often 30% up front, the balance when it ships, the freight, and then duty and customs when it lands. Lay twelve weeks out in a spreadsheet, one row per payment, and put your expected Shopify payouts in as money coming in. If any week goes red, you move an order, split it, or go back to your supplier about terms. Doing that once a month heads off nearly every cash crunch I see. Pre-orders flip the timing in your favour, since you're collecting money before you place the supplier order. You also get a real demand signal instead of a guess, which is worth almost as much. My walkthrough on setting up pre-orders on Shopify covers the setup and the apps. AI inventory forecasting on Shopify AI inventory forecasting on Shopify uses machine learning to find patterns across your sales history and outside signals that a spreadsheet formula would miss. It handles hundreds of products at once, retrains itself as new sales come in, and picks a different model per product without you telling it to. A model can spot that a product spikes three weeks after a particular campaign, or that two of your products eat into each other, without you knowing to look for it. Where I see it failing is bad data. Feed it sales history full of stockout periods, untracked variants and missing cost figures, and you'll get numbers that are wrong. Clean the inputs first. Sidekick sits in your admin. It can answer stock questions, flags what needs reordering and drafts the PO. It won't replace a proper demand planning tool if your forecasting is genuinely complicated. Inventory forecasting tools worth looking at in 2026 Prediko is a Shopify-native tool with SKU-level twelve-month forecasts, a buying table that tells you what to restock, a purchase order calendar and raw materials tracking. Pricing scales with your GMV from around $49 a month. Good fit for growing DTC brands. Inventory Planner This is a free-to-install app by Sage with usage-based pricing after that. It is strong on multi-location planning and automated replenishment. Cogsy This app is built around scenario modelling rather than one forecast. You can see where your stock lands under different growth assumptions. Assisty Assisty has AI forecasting and automated PO generation. Often the pick for people who want something that works without a long setup project. My guide to building a Shopify tech stack covers how the inventory category fits in your app stack. Where to start with forecasting in 2026 Shopify inventory forecasting gets much less complicated once you stop treating it as a math problem. Pull your ABC report and your days-of-stock report. Work out your cash conversion cycle. Redo safety stock on your ten biggest products. Most stores free up a decent chunk of money from that alone. FAQs 1. How to fix inventory not tracked in Shopify? Open Shopify Admin > Products, select the product or variant, and enable Track quantity in the Inventory section. Assign the correct stocking location, enter the available quantity, and save. For multiple products, use Products > Inventory or the bulk editor to enable tracking. 2. How do I add inventory to my Shopify store? Go to Products > Inventory, choose the relevant location, and enter the stock amount using Set to or Adjust by. You can also update quantities from an individual product or variant page, or import inventory in bulk using a CSV file. 3. Which is the best Shopify forecasting app? Prediko is currently a strong all-round option for growing Shopify brands, offering AI sales forecasting, purchase orders, inventory transfers, bundle planning, reports, and integrations with warehouses and 3PLs. Assisty is another great option with forecast demand with AI to predict future sales. 4. How much does Shopify forecasting cost? Shopify’s native demand-forecasting assistance through Sidekick costs nothing because Sidekick is included with Shopify plans. However, features and usage limits can vary. Dedicated forecasting apps cost extra; for example, Prediko currently starts at $49 per month, while simpler tools such as Assisty start at $19 per month. 5. Is Shopify good for inventory management? Yes. Shopify is suitable for most small and growing retailers. This is because it supports inventory tracking, location-based stock levels, adjustments, transfers, purchase orders, suppliers, sell-through reporting, and inventory-remaining insights.

10 Min • 12 August 2026

PIM for Shopify: Benefits, Costs & Best Tools for Merchants

PIM (Product Information Management) for Shopify is a centralized system that helps merchants manage, enrich, and distribute accurate product data across Shopify, marketplaces, and other sales channels. It improves data consistency, reduces missing product information, supports faster catalog updates, lowers return risks, and strengthens multi-channel selling. Popular PIM options for Shopify include Plytix, Sales Layer, Apimio, Jasper PIM, Akeneo, Salsify, inRiver, and Pimcore. Most Shopify stores lose sales because the information around their products is inconsistent or confusing to customers. A PIM for Shopify fixes that by giving you one clean source of info for every title, spec, image, and attribute, then pushing it out everywhere you sell. Better product data helps you get more revenue, fewer returns, and products that actually show up when a shopper asks an AI what to buy. I'll walk you through what a PIM really does for a Shopify store, whether you need one yet, and what the good options cost in 2026. What is a PIM for Shopify? A PIM (product information management) system is a central hub where you create, enrich, and manage all your product data. For a Shopify store, a PIM sits alongside your admin and gives clean, complete, consistent product content into Shopify and out to marketplaces, feeds, and AI channels. Shopify already stores product data. A PIM is different because it's built for scale and structure. You get flexible attribute models, validation rules that catch missing or wrong fields, and digital asset management for images and videos. The reason store owners search for a PIM is that their catalog has grown, the channels multiplied, and keeping product data accurate has become difficult. How does better product information turn into more sales? 1. Fewer returns and refunds Returns are one of the first places where inconsistent product data starts eating into margins. The National Retail Federation estimates the average retail return rate at nearly 17%, with returns costing retailers close to $850 billion annually. Accurate sizing, specifications, images, and product descriptions reduce the gap between what customers expect and what they actually receive. 2. Higher conversion and less abandonment Incomplete product information can send shoppers directly to a competitor. Akeneo found that: 70% of consumers would choose a different product when information is missing. 65% would abandon the purchase completely. This is where a Product Information Management (PIM) system becomes useful. A PIM can enforce mandatory product attributes before a SKU is published. For example, every product can be required to include: Dimensions Materials Care instructions Product specifications Multiple product images Instead of relying on someone to notice missing information manually, the system helps prevent incomplete product listings from reaching the storefront. 3. Better Visibility in AI Shopping Channels In 2026, consistent product data matters beyond your Shopify storefront. It also affects how products appear in AI-powered shopping experiences. Shopify has expanded product discovery through channels such as: ChatGPT Perplexity Microsoft Copilot Google AI Mode These systems rely heavily on structured and complete product information to understand what a product is, who it is suitable for, and when it should be recommended. A product with: A vague description, missing GTIN, limited specifications, and a few structured attributes gives an AI shopping assistant far less information to work with. For a deeper understanding of how to rank in AI engines, read my breakdown on best practices for AEO in Shopify stores in 2026. Do you actually need a PIM for Shopify yet? A lot of Shopify stores don't need a standalone PIM. If you sell a few hundred products on one or two channels and your data is manageable, Shopify's native tools should be your choice. Shopify's metafields and metaobjects are the reason. Metafields let you add structured custom fields to products, variants, collections, and more, so you can store specs, size guides, and warranty details that Shopify's default fields don't cover. Metaobjects let you build reusable content objects, like a brand or a care guide, and connect them across many products. If you're not using them yet, here are a few of my guides and articles you can go through. Shopify metafields guide How to add product metafields Shopify metaobjects guide What to look for in a PIM for Shopify? Focus on five things: How does it connect to Shopify? How flexible is its data model? How well does it handle assets? How does it syndicate to channels? How does it keep data clean? Connection comes first, and it splits into two camps. Some PIMs offer a native Shopify integration or a listed Shopify app, so product data flows straight into your store with minimal setup. Others connect through a middleware layer or a third-party connector, which works but adds a moving part to maintain. If you search "PIM for Shopify app," you're looking for that first camp, and it's the smoother path for most stores that don't have a developer on call. Check the current Shopify App Store listing and recent reviews before you commit, since integrations and pricing change often. Beyond the connection, here's what actually matters: A flexible data model and taxonomy, so you can define the exact attributes your products need and enforce them. Data validation and governance, so incomplete or malformed data can't reach your storefront. Digital asset management for images and video, ideally with variant-level control. If you want icons and trust badges on product pages, our guide on displaying images with metafields shows the native version of the same idea. Channel syndication and localization, so one enriched record can publish to Shopify, marketplaces, feeds, and AI channels in the right format each time. Automation and AI enrichment to fill gaps, generate copy, and score data quality, which saves the most tedious hours. If a tool nails those five and connects cleanly to Shopify, it'll serve you far longer than one that just has a long feature list. A PIM Is Only as Good as Its Integration The value of a PIM also depends heavily on how well it connects with Shopify and the rest of a merchant's technology stack. When a native connection does not cover the required workflow, Identixweb develops custom Shopify integrations that help businesses connect product data and other systems around their specific operational requirements. Best PIM for Shopify in 2026 Plytix Plytix is a common starting point for growing brands because it offers a free tier for smaller catalogs and supports unlimited users. Its paid plans scale based on SKU requirements, making it suitable for businesses that expect their catalogs to grow over time. Akeneo Akeneo is designed for businesses that need advanced product information management across large catalogs, teams, markets, and languages. Salsify Salsify combines product information management with broader product experience and syndication capabilities, making it more suitable for brands distributing product data across multiple channels. Pimcore Pimcore supports sophisticated product data models and is often considered when businesses need greater flexibility around product information, digital assets, and other connected data. Sales Layer, Apimio, and Jasper PIM Sales Layer, Apimio, and Jasper PIM target a similar segment. They are generally suited to brands that need: Centralized product information Better product data consistency Multi-channel syndication Easier catalog management Shopify integration without a complex enterprise implementation What does a PIM for Shopify actually cost in 2026? PIM pricing in 2026 runs from free to well over $50,000 a year, and the plan name matters less than your catalog complexity. Most SaaS PIMs price by the number of SKUs, users, channels, and outputs, while enterprise platforms quote custom deals you won't see without a demo. Here's the rough shape of the market, based on current published pricing and PIM cost breakdowns from vendors like Plytix and Akeneo: Free and entry SaaS tiers cover small catalogs, often up to around 1,000 SKUs, with limited features. Good for testing the idea. Mid-market SaaS plans commonly start in the few-hundred-dollars-a-month range and scale with SKU count. Plytix, for example, publishes a Pro tier starting around $499 a month for larger catalogs, and other SaaS PIMs sit in a similar band. Enterprise platforms like Akeneo, Salsify, and inRiver don't publish full pricing. Budgeting guidance from these vendors points to five figures a year and up once services are added, and first-year totals can climb much higher with implementation. PIM for Shopify Plus and high-volume catalogs For Shopify Plus and high-volume stores, a PIM shifts from optional to close to essential, because the whole reason you're on Plus is scale, and scale is where manual product data breaks. The specific wins for a PIM on Shopify Plus: One source of truth across multiple Plus storefronts and regions, so a single edit propagates everywhere instead of being redone per store. Localization at scale, with translated attributes and region-specific data flowing to the right storefront automatically. B2B and wholesale support, where different buyers need different data, pricing, and catalogs from the same underlying products. Governance and workflows, so a team of merchandisers, marketers, and suppliers can all contribute without corrupting the catalog. How to roll out a PIM the right way? To close out this blog, here's the sequence I'd follow: Audit your current data first. Pull your catalog, find the gaps, the duplicates, and the inconsistencies. You'll fix these no matter which tool you pick, so do it before you buy. Design your attribute model before importing anything. Decide the fields every product must have, the allowed values, and the rules. A governed model is what keeps a PIM clean six months later. Start with a pilot, not the whole catalog. Migrate one category or your best-sellers, get the Shopify sync working end-to-end, and confirm the data lands correctly on your storefront and channels. Assign ownership. Someone has to own product data quality, or the system slowly drifts back to the mess you were escaping. Then scale. Roll out category by category, syndicate to your channels, and layer in automation and AI enrichment once the foundation is solid. FAQs 1. What is PIM for Shopify? A PIM system for Shopify is software that centralizes, organizes, and manages product data such as titles, descriptions, specifications, images, variants, and attributes before syncing it to your Shopify store and other sales channels. It is useful for merchants with large catalogs because it helps maintain accurate, consistent product information across channels. 2. Is Shopify a PIM system? No. Shopify stores and manages product data, and its metafields and metaobjects add structured custom fields, but it lacks the multi-channel syndication of a dedicated PIM. For a single store with a small catalog, native Shopify is often enough. For large catalogs across many channels, a PIM will help. 3. What is the best PIM for Shopify? For most small and mid-sized stores, Plytix, Sales Layer, or Apimio fit well and connect to Shopify easily. For large, complex catalogs, enterprise platforms like Akeneo, Salsify, or inRiver are a better choice. 4. Do I need a PIM system for Shopify multi-channel selling? If you have thousands of SKUs, multiple variants of products, and content that is localized and sold across global markets, you need a PIM system for Shopify multi-channel selling.

9 Min • 4 August 2026

Shopify Payments vs PayPal: Which One Will Cost You Less in 2026?

The difference between Shopify Payments and PayPal can look tiny on a pricing page. Across hundreds or thousands of orders, it can become a serious operating cost. I have seen merchants focus only on the processing rate while overlooking Shopify’s additional transaction fees, PayPal’s pricing structure, currency conversion, and dispute costs. This comparison breaks down the numbers that matter in 2026 so you can see which option protects more of your margin. Shopify Payments vs PayPal: The short answer Shopify Payments is cheaper per order in almost every scenario. It is also the only way to avoid Shopify's extra transaction fee. PayPal costs more but brings buyers who will not enter a card number in a store they have never heard of. This is how I always use both these options. Shopify Payments as your processor with PayPal switched on as a wallet option. Shopify Payments vs PayPal Comparison ComparisonShopify Payments: Card paymentsPayPal Wallet through Shopify PaymentsOnline processing rateStandard cards: 2.9% + 30¢ on Basic, 2.7% + 30¢ on Grow, and 2.5% + 30¢ on Advanced. Premium cards cost 3.5%, 3.3%, and 3.1% + 30¢, respectively. International cards add 1%.Starting at 3.49% + 49¢ on Basic, Grow, and Advanced.Additional transaction feeNone None when PayPal is offered through Shopify Payments. PayPal transactions are excluded from Shopify’s third-party transaction fee when Shopify Payments is active. Dispute or chargeback fee$15 USD, returned if the merchant wins the chargeback.$15 for a standard dispute and $30 for a high-volume dispute.Currency conversion1.5% for US Shopify Payments stores when the payment currency differs from the payout currency.3% for PayPal Wallet through Shopify Payments in the United States. “Around 3% to 4%” is unnecessarily vague for this specific integration.AvailabilityShopify’s current supported-country page lists 40 countries and regions, not 39.PayPal Wallet through Shopify Payments is available only in the United States and France. What Shopify Payments actually costs in 2026 Shopify Payments has no monthly fee and no setup cost. You pay a card processing rate that drops as you move up plans. Shopify Payments Fees Basic: From 2.9% + 30¢ Grow: From 2.7% + 30¢ Advanced: From 2.5% + 30¢ Plus: From 2.25% + 30¢ Chargebacks: Shopify Payments charges US merchants $15 when a customer files a chargeback. The disputed amount and fee are deducted from your account, but both are returned if the card issuer rules in your favour. Shopify lets you submit evidence through the admin, although the final decision is made by the customer’s bank, not Shopify. If you have not activated it yet, my walkthrough on setting up Shopify Payments covers the eligibility checks and bank verification steps. What PayPal actually charges? PayPal’s Fees PayPal and Venmo payments: 3.49% + $0.49 Cards through PayPal Checkout: 2.99% + $0.49 Expanded Checkout card processing: 2.89% + $0.29 PayPal Pay Later: 4.99% + $0.49 International commercial payments: Additional 1.5% Chargebacks and disputes: PayPal account and guest-checkout transactions generally carry a $15 standard dispute fee, which rises to $30 for merchants classified as high-volume dispute sellers. Unbranded credit and debit card transactions can instead carry a $20 chargeback fee, so the cost is not the same across every PayPal payment type. Shopify Payments vs PayPal credit card fees on a real order Let me explain this with a simple example. Take a $75 order, US buyer, US store, Basic plan. Through Shopify Payments: $75 × 2.9% = $2.18, plus 30¢, for a total of $2.48. You keep $72.52. Through PayPal Checkout: $75 × 3.49% = $2.62, plus 49¢, for a total of $3.11. You keep $71.89. The difference is only 63 cents, but if you run 1,000 orders a month, it is $630, or $7,560 a year. There is a scenario where PayPal is better on price, and it is narrow: high-value orders where the percentage matters more than the fixed fee, processed as cards through Expanded Checkout at 2.89% + 29¢. For most Shopify stores selling physical goods at normal price points, that is not the setup you are running. PayPal checkout vs Shopify Payments: Which is better for conversions? PayPal earns its fee with a specific type of buyer. Someone who has never heard of your brand, is shopping on a phone, and does not want to type a 16-digit card number into a store they found through an ad. For that shopper, the PayPal button is the reason the order happens at all. Shopify Payments has Shop Pay. This stores card and shipping details across the Shopify network and lets returning buyers check out in one tap. My guide to Shop Pay as a checkout solution goes deeper on how it fits alongside other wallets. What I would not do is treat the payment method as the only checkout variable. Most stores lose orders to unexpected shipping costs, forced account creation, and slow pages. If your abandonment rate is high, work through the common Shopify checkout mistakes before you start adding gateways. Payouts and cash flow Shopify Payments is faster and more predictable for most established stores. PayPal is faster if you have a PayPal balance and slower to your bank. Payouts will arrive in a Shopify Balance account within one business day of the transaction processing date. New merchants can wait up to five business days. Standard bank payouts run 2 to 5 business days in the US, longer in the UK and EU. PayPal money hits your PayPal balance immediately. Getting it to your bank takes another 1 to 3 days, or you pay a fee for instant transfer. New accounts are where both methods lag. A brand new PayPal account can hold funds for up to 21 days. A high-risk limitation can take 180 days. Shopify has a similar onboarding window. It takes up to 21 calendar days between your first sale and your first payout. My advice is to keep both active. Disputes and chargebacks Shopify wins this one clearly. It charges $15 per chargeback, and PayPal charges $20, and high-dispute accounts get bumped to $30 with no refund. Shopify Protect offers free chargeback protection against fraudulent and unrecognized chargebacks on eligible orders. When an order is marked "Protected," Shopify covers the disputed amount and the chargeback fee automatically, without you filing a response. The conditions are strict and worth reading before you count on it: US-based merchants using Shopify Payments only Shop Pay orders exclusively, not standard Shopify Payments checkout Physical products, fulfilled within the required window, with valid tracking from a supported carrier. It will not cover every dispute. It covers the expensive category well, and it costs nothing to turn on. PayPal counters with Seller Protection, and orders paid through PayPal Wallet on Shopify Payments are eligible for it. The dispute process runs differently, though. You get 20 days to resolve an inquiry with the customer directly before PayPal steps in funds are held during that window, and once a decision is made, you cannot appeal it. Payment Setup Is Part of the Bigger Picture Payment setup also needs to be considered as part of the wider Shopify store configuration. Identixweb helps merchants with Shopify store settings configuration, including payments, checkout, shipping and taxes, so these elements work together properly before the store starts processing orders. Where each one genuinely wins Shopify Payments wins on cost, chargeback, reporting, and operational simplicity. It is the right default for any store in a supported country. PayPal wins on reach. Shopify Payments covers 39 countries and regions. PayPal operates in over 200 countries. If your store is registered in India, Brazil, the UAE, Nigeria, Pakistan, or Indonesia, Shopify Payments wins easily. If you need a third-party gateway, PayPal is one of the stronger ones available. PayPal also wins on buyer familiarity in specific markets and categories. High-consideration purchases, first-time buyers from paid social, and cross-border orders all convert better when a recognised wallet is on the page. If neither fits your situation cleanly, our roundup of the best payment methods for Shopify merchants covers more options. FAQs 1. Does Shopify Payments accept PayPal? Yes, but the setup depends on your country. In the United States and France, PayPal Wallet is integrated directly into Shopify Payments. In other supported countries, PayPal is connected separately through PayPal Express Checkout. 2. Is PayPal better than Shopify? Shopify is an ecommerce platform with its own payment processor, while PayPal is primarily a payment provider. For most Shopify merchants, Payments works better as the primary processor because payments, payouts, disputes, and reporting stay inside Shopify. PayPal remains valuable as an additional checkout option for customers who prefer it. 3. How to add PayPal to Shopify Payments? For US and French stores using Shopify Payments, PayPal is available through the integrated PayPal Wallet rather than the Additional payment methods section. In other countries, go to Settings > Payments > Additional payment methods > PayPal > Complete setup, then sign in to PayPal and approve the connection. 4. How to collect PayPal payments on Shopify? Activate PayPal Wallet or PayPal Express Checkout, after which eligible customers can select PayPal during checkout and pay using their PayPal balance, bank account, or card. US and French PayPal Wallet transactions are managed and paid out through Shopify Payments, while PayPal Express transactions are managed through the connected PayPal account. 5. Is Shopify cheaper than PayPal? For US online payments, Shopify Payments is generally cheaper per transaction. Standard card rates currently start at 2.9% + 30¢ on Basic and decrease on higher plans, while PayPal Wallet rates start at 3.49% + 49¢. Shopify also charges a monthly platform subscription, so the lower-cost option depends on the store’s plan, payment mix, and sales volume. 6. How much does Shopify charge for Payments? For US stores, Shopify Payments’ standard online card rates are currently 2.9% + 30¢ on Basic, 2.7% + 30¢ on Grow, and 2.5% + 30¢ on Advanced. Shopify Plus receives negotiated or more competitive rates. There is no separate setup or monthly Shopify Payments fee beyond the Shopify subscription. 7. How do I avoid Shopify transaction fees? Use Shopify Payments instead of a direct third-party card processor to avoid Shopify’s additional third-party transaction fee. PayPal Express and manual methods are also excluded when Shopify Payments is active.