Good day and hope my question will you.
I wanted to start by saying that we have already launched our own online clothing store for several months. And recently we connected a third party payment provider and did a purchase test and wanted to know how the process would go. Since our store is connected to Printful and the order was submitted for the amount of AED 230.94 dirhams and we received two different sms, where it is indicated that the purchase was made for the amount of AED 230.94 and the second SMS showed that the purchase was made for AED 113.54 for Printful. So from this remains AED 117.4 and where AED 8.00 goes to the payment provider and our income will be somewhere around 109 dirhams. But after 5 days we received a message from the payment provider about the transfer to our account in the amount of AED 222. We are a little surprised as we shouldn't receive so much, we contacted them and they said that we only accept payment (QUOTE: We as a payments company only deal with one business per account and we only enable to receive payments on behalf of the business and settle it to the business after deducting the transaction fee and VAT).
We are stumped now and I will be happy if you explain to me, how the payment process with a third party payment provider works?
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Congrats on the launch! Your payment provider does not have the ability to pay for the Printful order. The Printful order must always be a separate transaction. Any fees your payment provider will charge will likely be deducted at the time they deposit your funds, or in a lump sum. Shopify will also charge you a transaction fee per order.
I've provided an overview of the steps below when using a third-party payment provider and POD company.
1. Customer places the order through your store.
2. The funds for the total amount of the order are processed by your payment provider and deposited to you (minus any fees they may charge)
3. POD company charges you for the order (Done through Paypal, or credit card, or any other payment method they allow)
4. Shopify charges you 2% (or less based on plan) for the order total. Transaction fees are charged to you alongside your bill, or when your threshold is met, whichever comes first.
In summary: You get the full amount of the order deposited to you right away, but will also be charged for the cost of the order in a separate transaction as the customers' funds can't directly pay for the fulfillment. You still earn the same amount of profit (based on currency exchange).
Dear Trevor, thank your kind reply and explanation.
I am still confused, how do we know about our profit and how can we get them back into our account?
I would also like to know what if the client will receive two simultaneous SMS after confirming the payment? One of which comes from a third party payment provider and the other from Printful. For example: I made a purchase in the amount of USD100, and received an SMS saying that you made a purchase in the amount of $ 100 and then the second SMS comes and it shows your purchase in the amount of USD 50 from Printful. I also attached a sms screenshot where two different sms were received.
As I already said, we received such an SMS when we made a test purchase from our website.
To track your profit, you can either add a value in "Cost per Item" for each product/variant within the Shopify admin or you can use an accounting app to manually track your profit.
In terms of the text messages, it looks like these are sent to you by your bank as they include your total balance. These texts are not sent to you from Shopify or Printful (all though it is possible to have SMS updates enabled when processing a purchase in the Shopify checkout. More on that here). That said, your customer would not receive texts from Printful as they do not contact your customers.