Is Shopify Legit? 6 Shopify Scams to Watch Out For

technologhy
Jun 11, 2023
12m
Anna Pham

owThere is a fact that Shopify has become a well-known platform for those starting their online enterprises in the field of eCommerce. But there are issues with its legitimacy that actually cause concern.

This article towards the goal of finding the most complete answer to the question, "Is Shopify legit?" and point out 6 scams you need to avoid building a successful Shopify store.

What is Shopify and How Does It Work?

What is Shopify?

Shopify is an eCommerce platform, which help build, run, and expand your online stores.  Due to the fact that eCommerce is borderless, you may open a Shopify website and begin selling internationally without having a physical location. Without experiencing the growing pains related to growing your outlet network, you may boost sales and reach.

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How does Shopify work?

It's easy to start an online business using Shopify. It works by integrating your offline and internet sales onto a single platform. Operations like marketing, payments, shipping, and inventory may all be connected with Shopify. You may streamline your business by automating management, which also helps to cut costs overall.

In addition, Shopify is a cloud-based application that can be used from any internet-capable device. Furthermore, as it is a fully hosted eCommerce solution, you are free from the hassle of hosting your Shopify Stores.

Now Shopify has a great offer with only $1/month for the first 3 months. Take the opportunity to start your business with a Shopify store.

Is Shopify Legit? 4 Reasons You Should Trust Shopify

In the ever-expanding world of eCommerce, choosing a reliable platform to build and manage your online catalog and store is paramount. With numerous options available, one platform that has gained significant attention is Shopify. 

However, you may be wondering, "Is Shopify legit?". In this section, we will explore 4 main reasons why you should trust Shopify as a legitimate and trustworthy platform.

#1. Shopify provides a safe and secure platform for selling

Security is of the utmost importance while conducting business online. This worry is recognized by Shopify, which places a high priority on user security. Both sellers and consumers are safeguarded by the platform's strict security procedures. 

  • Implementing SSL Certificates across all Shopify online stores is one essential component. The safe transmission of client data, including personal data and payment information, over the Internet is ensured by an SSL (safe Sockets Layer) certificate. This encryption helps build confidence between the customer and the online company by preventing illegal access.
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  • Shopify is a level 1 PCI DSS compliant. A security standard that is widely accepted for the secure processing of credit card information is the Payment Card Industry Data Security Standard (PCI DSS). By meeting this requirement, Shopify displays its dedication to upholding strict security guidelines, safeguarding confidential payment information, and lowering the likelihood of data breaches.
  • To remain on top of emerging threats, Shopify continually updates and checks its security systems. They hire a group of security specialists and make investments in cutting-edge technologies to find and fix flaws. 

You can rest easy knowing that your online store is protected by Shopify because it was developed on a secure platform.

#2. Shopify offers transparent pricing plans with no hidden fees

Another reason to believe Shopify is a legitimate platform, in our opinion, is Shopify's open transparent pricing structure. 

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  • Shopify offers clear pricing plans that make it easy for you to comprehend and correctly estimate your budget. The pricing plans are designed to fit companies of various sizes, from small start-ups to huge corporations.
  • Shopify offers an in-house payment solution called Shopify Payments, which eliminates these transaction fees. You may reduce transaction expenses and streamline your money administration by utilizing Shopify Payments.
  • It's significant to remember that while transaction fees apply to external payment gateways, Shopify is open and honest with customers about these costs.

So you can properly plan and manage your company's finances thanks to this transparency, which ensures there are no unexpected fees or costs.

#3. Shopify Payments is highly secure

Shopify Payments, as was previously mentioned, is a payment option Shopify offers. For your customers, a seamless and secure checkout process is provided by this integrated payment gateway. 

  • Shopify Payments is run by Stripe, a well-known international payment processor renowned for its strong security framework.
  • Your consumers' shopping experience will be streamlined if you accept credit cards right on your website using Shopify Payments. 
  • The same high-level security precautions discussed before, such as SSL encryption and PCI DSS compliance, are applied to transactions processed through Shopify Payments.
  • Convenience is another benefit of Shopify Payments. Managing your cash flow is made simpler because the money from your sales is instantly put into your bank account.
  • Shopify Payments supports a variety of currencies, enabling you to grow your business internationally and accept payments in the currency that your clients choose.
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#4. Shopify only allows trusted third-party apps to appear on their App Store

What makes Shopify stand out when it comes to enhancing the functionality of your Shopify business is its dedication to assuring the caliber and reliability of the applications offered on Shopify app store.

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  • The Shopify team of specialists conducts a thorough assessment of each app or plugin before listing it on the Shopify App Store. Functionality, security, and user experience are all evaluated during this evaluation process. Only plugins that adhere to Shopify's stringent criteria are approved and featured. These include SEO, security, and accessibility apps.
  • Shopify guards against potential scams and malicious software by carefully selecting the apps available on the Shopify App Store. The plugins that are made available for download are safe, dependable, and compatible with the Shopify platform thanks to the meticulous screening procedure.
  • Shopify welcomes user comments and app reviews for those it has listed. By doing so, the community of Shopify merchants is given the opportunity to exchange experiences and evaluate the effectiveness of the plugins they have used. You may decide which apps to integrate into your businesses with the help of these ratings and Shopify reviews, which give an extra degree of transparency.

By maintaining a curated Shopify App Store and placing a priority on the security and quality of plugins, Shopify gives you the assurance you need to use third-party plugins without jeopardizing the security and functioning of your Shopify stores.

6 Shopify Scams You Need To Watch Out For

ECommerce environment contains opportunities but also challenges, it is crucial to be aware of potential scams that could deface your financial security and obstruct your success.

Watch out for the following scams and take the appropriate steps to safeguard your business and yourself.

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#1. Shopify Store Duplicator Schemes

One scam to be aware of is dishonest people or organizations setting up fake Shopify stores to trick unwary clients. These con artists sell fake or inferior goods while imitating the look and feel of reputable online retailers. They could entice clients with alluring prices or marketing offers and vanish when once the payment is made

Always check for customer reviews, ensure secure payment choices, and validate the store's contact information to confirm the integrity of an online store in order to prevent falling for such frauds.

#2. Triangulation Schemes

Triangulation schemes take arise when a fraudster makes use of a trustworthy online marketplace, like Shopify, to carry out fraudulent transactions. The scammers use a ruse in this plan to sell well-known items at absurdly low costs. When a buyer places an order, the con artist buys the item from a different website using credit card data that has been stolen and ships it straight to the customer. Despite receiving the merchandise, the consumer is unaware of the unlawful activities that took place behind the scenes. 

Triangulation schemes can be avoided by buying products from reputable merchants, doing extensive research on the shop and seller before making a purchase, and being wary of extremely low prices.

#3. Fake Return Ticket

Some scammers pose as unhappy customers that request exchanges or refunds. They can ask for a return and say they received an item that was damaged or inaccurate.

In this scam, the perpetrator sends an empty package to your store location or gives you a fake return tracking number to fool you into issuing a refund without really returning the item

Set up a clear return policy, demand legitimate tracking numbers for returns, and thoroughly check returned things before giving reimbursements to safeguard yourself from bogus return scams.

#4. Direct Client Scheme

In this situation, scammers get in touch with you while posing as prospective clients or wholesale purchasers. They say they want to become partner with your companies or place big orders. 

However, their goal is to get free products or samples without paying for them or to persuade the vendor to offer credits or discounts without ever making the promised transaction.

Avoid falling for this deception by being cautious when working with new clients, checking the credentials of prospective buyers, and establishing safe payment conditions and procedures.

#5. Switching Scheme

In this switching scheme, scammers who appear to be making lawful transactions. They use credit card data that has been stolen. They call you after getting the products and complain that they are flawed or damaged

Not only that, they suggest returning the products, but they send back less expensive items. The con artist keeps the original goods while obtaining a return in this manner. 

Consider meticulously documenting product information, taking pictures of the products before shipping, and putting strict quality control measures in place after receiving returned goods to reduce the danger of switching frauds.

#6. Fake Purchase Orders

Scammers may submit fake purchase orders, especially to suppliers or dropshipping businesses. They pose as legitimate customers or businesses, providing detailed order information and requesting immediate shipment. 

However, the payment they provide, such as a fraudulent check or stolen credit card information, fails to clear or is later reported as unauthorized. 

To protect yourself from fake purchase order scams, verify the authenticity of the order by conducting due diligence on the customer or business, confirm payment before shipment, and be wary of rushed or unusually large orders.

By familiarizing yourself with these common scams and implementing precautionary measures, you can safeguard your Shopify stores and mitigate the risks associated with online.

Final thoughts

In conclusion, Shopify is legit and trustworthy eCommerce platform that gives online businesses a secure environment. You may strengthen your security procedures, safeguard your consumers against frauds, and securely traverse the world of eCommerce on Shopify by implementing the five suggestions offered in this article. Keep an eye out, educate yourself, and take advantage of a safe and prosperous online business.