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James |
Since Shopify was launched, more and more people have been telling us that they love what they see, but the unfortunately the price is a deal breaker because the transaction fee is too high. We are excited to announce that Shopify now has a number of pricing options available, all with lower transaction fees than the original 3% plan that everyone had to use up until now. We also have a free trial plan that lets people get a feel for Shopify and do some designing without entering any credit card information and without any pressure to upgrade right away. Active shops can stay on with the plan their owners signed up for, or upgrade to one of the new plans through the administration interface. Inactive shops are moved to our free trial account automatically. More details about the rollover to the new plans can be found on our shiny new informational site. ...That’s right, we’ve got a new site to show off! We’re really proud of the new design and there’s a whole whack of new content there for visitors to peruse. One thing that I love about the new site is the page showcasing great examples of Shopify storefronts. For a while I’ve found that when people ask me about Shopify I often just point them directly to our shop of the moment feed, because I think the best way of showing off this product is with the great array of beautiful and well-designed shops that are built with it. Now that feed is mirrored directly on the examples page and I think it fits in beautifully. One thing that might seem strange at first is the domain name we’ve got for the new site: shopify.info. Because shopify.com gets so many visitors every day, we decided that instead of continuing to use it as a brochure site we should use it to drive traffic directly to our users’ shops. The Shopify Marketplace will let customers globally search through products from all participating Shopify stores and will act as a platform for shop promotion in other ways as well. We are extremely excited about the potential for this new aspect of Shopify, and you’ll hear more about it really soon. |


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Comments (33)
July 31st, 2007 at 01:35 PM
July 31st, 2007 at 04:23 PM
July 31st, 2007 at 05:24 PM
July 31st, 2007 at 06:56 PM
July 31st, 2007 at 08:31 PM
July 31st, 2007 at 09:30 PM
August 1st, 2007 at 09:11 AM
August 1st, 2007 at 11:01 AM
August 1st, 2007 at 01:09 PM
August 1st, 2007 at 01:31 PM
August 2nd, 2007 at 10:12 PM
August 3rd, 2007 at 02:59 AM
I also had recommended Shopify to a friend wanting to start a store, and she was very keen on Shopify. But, as this is her first foray into online commerce, I doubt that the new pricing scheme won't keep her from going somewhere else. What a shame!
You're allowing exisiting customers to use their original price plans. Please give the everyone else the opportunity to choose as well.
More feedback
Denying discount codes and domain names for Free accounts is just lame:
- If someone wants to test out the system, why limit features? You expect them to market their store with your domain and then switch to their own later? What a pain! Think about it: marketing, search engines, linking!
- Not allowing discount codes is just hurting the new user. Allowing discount codes helps them promote their store. Are you guys trying to help or hinder the new user?
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The basic account is simply way too expensive for the new user. Look at Brandon's chart, using t-shirts as an example, since that's a very popular item to sell via Shopify. If you sell them for $15 a piece, and manage to move 7 shirts in a month, you get kicked up into the Basic account. Your revenue is $105, but you have to pay about 26% (!!!) of that to Shopify, not counting the cost to produce the shirts!Looking at it from the % perspective, the person starting out small is really getting shafted, when they're the ones who should get the biggest boost.
Come on Jadel Pixel. Don't be so 'jaded'. Let's see some flexibility here.
August 3rd, 2007 at 11:30 PM
August 4th, 2007 at 12:01 AM
August 4th, 2007 at 12:35 PM
August 6th, 2007 at 10:30 AM
August 6th, 2007 at 12:06 PM
August 6th, 2007 at 11:17 PM
August 7th, 2007 at 01:57 AM
August 7th, 2007 at 09:53 AM
Sorry for not getting back to you earlier here. We used our forums as main means of communication so far.
First of all, there was no announcement because it was not practical in our situation for two reasons:
a) There is no change to any of our existing customers. The only thing which changes to people who use Shopify is that the signup page of our brochure page quotes a different pricing structure. We grandfathered every one of our existing customers for lifetime. This includes people who were in the middle of setting up a store and had no prior sales yet. It did not however include people on demo accounts ( the ones which say that they are automatically deleted ). However we have grandfathered everyone who send us an email with a demo account if the store was about to be launched.
b) Because shopify is free in signup we could not announce this change because it would have meant that people would have set up hundreds of accounts to be grandfathered which they could then sell later on to people who feel that the old pricing system was better.
Speaking of which, i know that the feedback here on the blog is pretty negative but this is by no means a fair reflection of the feedback we are receiving here at jadedPixel. A lot of our customers are saving a good deal of money and expect to save even more when they grow bigger. The only pricing model was prohibitory expensive to some of our clients and this had to be addressed.
That being said, we are incredibly sorry about the inconveniences the switch may have caused to our designers, advocates and pitchers out there. We are establishing a new communication channel with our affiliates so that such changes can be announced in a controlled manner. Not that there are any more such changes in the pipeline, mind you.
Thank you for understanding. We launched with a pricing scheme which was unsustainable in the long run and had to correct the problem. We believe that the shopify software delivers value far greater then its cost and we hope you think the same, especially with the new pricing system.
August 7th, 2007 at 12:29 PM
Tobi, thanks for the comments. I had been watching the forums as well. I’m more looking for a response to those wondering if you’ll go back to offering the 3% account, or an option cheaper than the $24 / month. I guess it’s obvious that it’s a “no”.
it’s strange to me that you’re trying to me the people here feel better about the price change because you’re saving some of your customers a good deal of money.
if I were in your shoes, letting people set up hundreds of accounts to get the 3% account option would have been ok. particularly anybody that had been planning on using the site at that account level. you could have given us a cut off date to create stores that we’re planning for. maybe get more strict with when a store was de-activated so the stores wouldn’t just sit around.
what’s a few hundred accounts (if that would have happened) out there that do make you money and would have saved you from some ill will? particularly in the long term.
August 7th, 2007 at 01:23 PM
I agree that would have been a better way to handle the situatio. We all learned a lot about this in the last few days.
Just to give an official line on this: The 3% / 0$ plan will not come back in the near future.
August 7th, 2007 at 01:59 PM
oh but you could still re-open the gates and give a cut off date. I appreciate your attitude while interacting with your customers, but the apology doesn’t alleviate my disappointment with having to find another system to use that isn’t as fun to use as Shopify. :)
August 7th, 2007 at 02:17 PM
This is what I dont understand Tobi, you guys keep saying that alot of your customers are saving money, but definitely only those who are already earning a good deal. What you dont understand is that the 3% plan was such a huge part of your marketing. The most difficult thing for a company to do is to atleast get people to step in the door, from there on its easier. Why you would not want to make it easy as cake for people to pull the trigger on signing up makes no sense, you are actually turning away the very people who in the future would grow their business to the point where they would not want the 3% anymore due to it being expensive. Why not offer both, and have a crossover point where the customer has to switch over to the new pricing model after a certain amount of income.
Sometimes I just don’t get businesses, they shoot themselves in the foot to get a bug off their shoe. Have fun paying for marketing.
August 7th, 2007 at 09:54 PM
I also am hugely disappointed. No longer is Shopify going to work for us. We’ve even quoted clients and started designing concepts but we can’t now turn to them and tell them there is suddenly a minimum monthly charge of US$24. It’s a real real shame.
If anything, it’s motivated us to finally start working on our own in-house system. I’m sure we’ll see several alternatives to Shopify start to spring up around the place.
I’ve been really impressed with you guys and, contrary to some of the messages here, have found your response times and standard of replying to be exceptional. I have no hard feelings at all but am sad that we won’t be able to use Shopify for clients in the future I don’t imagine.
Good luck with it all and I look forward to continuing to work with you on the sites we already have.
Cheers, Galen
August 9th, 2007 at 05:20 AM
In short: Shopify is waltzing the politicians way. Reduce prices for big players and rise them for the infantry. The mass is paying for the benefits of a privileged society. Or Hobbit, you’re crap; Princess Avarice may I kiss your feed?
I’ve to admit that I’m a bit disappointed, because now the break-even for sale is nearly three thousand bucks per month. Or in other words, by far over one hundred, rahter high priced, sold T-Shirts. Compared to former pricing. Which means the deathblow for future small by side sellers. But perhaps that’s intended to elope with oh, so lovely Princess.
In the end the pricing advantage for by side sellers or startups e.g. compared to BigCartel is definitely blown away now. Somehow that hurts.
August 9th, 2007 at 11:18 AM
Everything that has previously been stated I agree with. I just wanted to throw my hat into the ‘Bad move Shopify!’ ring. This seriously sucks.
August 9th, 2007 at 08:02 PM
I hope you’ll reconsider and allow users to start at 3% / $0 and then move to the monthly plan if their sales warrant it. I for one is looking elsewhere.
August 10th, 2007 at 02:33 AM
I picked Shopify because of the pricing plan. Seemed to make sense. If you wanted to switch to another subscription type model, then by all means.
Oh yeah, kudos for not letting us independent consultants know about the upcoming change. Thanks a hell of a lot. I don’t think I’ll be using your bug ridden service any more.
August 12th, 2007 at 07:23 PM
This is really disappointing. I just signed on to setup a shop for my friend and went to show him the pricing (thinking it was still the 3%). Needless to say, I’ll be coding up a shop by hand for him now. I was really looking forward to using your shops.
I guess this opens the door for someone to make a shop system priced like the one you used to have.
August 17th, 2007 at 02:07 AM
Bad move. Maybe I’ll go with Yahoo now. The pricing is about the same and traffic is higher.
You have intentionally driven away the small businesses with low volume.
One suggestion: change the pricing plan to give us start-ups a break.
Try 3% of sales up to $750 (the break even point for small businesses), and then $24 + 2% etc.
OR LISTEN UP EVERYONE: Go find one of those 20,000 shops that have been grandfathered in and buy the store from them. OK? Nothing like and after-market!! Actually, maybe it already exists…where can I find it?
August 17th, 2007 at 05:03 PM
All I can say is that I’ve been giving many alternate e-commerce solutions a 4-month-long, discerning, objective look—comparing notes, features, options, etc.
You’ve made my decision a lot easier, now, with this new pricing schedule. I can cross Shopify off my candidate list.
August 17th, 2007 at 06:53 PM
Sorry, comments are closed for this article.