New POS cost increase November 1 2020

MaineTopMill
Tourist
5 0 10

I just got an email from Shopify that on November 1 2020 I will have to Pay an additional $89 a month plus my monthly Shopify Subscription of $79 so my customers can pick up their orders (curbside pickup) at my physical location.

Can this be true?

I thought that during this Covid Crisis that has shut down so many retail businesses that offering Curbside Pickup was just another shipping option and charging another $89 per month is not very supportive of Shopify.

How many of you are OK with this?

Replies 21 (21)
TomAltOpt
New Member
2 0 5

Nope. It's going to triple my annual fee, or I can lose all of the features that made it attractive for my 2 brick and mortar shops. 

MaineTopMill
Tourist
5 0 10

So I am right Shopify is increasing our costs during this economic crisis that is crippling small business.

What can we do?

ConnectPOS
Shopify Partner
119 1 13

I don't think they are trying to increase costs. They made the app free for a long time and nothing can be free for ever (Shopify has bills to pay, too).

ConnectPOS - Shopify POS app for PC, Android, iOS, omnichannel retail, inventory control.
TomAltOpt
New Member
2 0 5

Well if someone is getting it for free it certainly isn’t  me. 

my annual subscription is just under 900 USD a year. I use that subscription to run 2 brick and mortar locations (no on-line sales). 

New plan? 1068 USD per B&M. 2136 USD. 

so let’s say they do scrap the subscription. My costs just doubled. 

If they don’t scrap the subscription my annual cost for POS services goes from 1175 CAD to 3996 CAD. 

I think the math pretty much sums up what I feel about it, and it won’t be hard to figure out what my next steps as a business owner are. 

MaineTopMill
Tourist
5 0 10

That is aweful.

Our concern is that providing Curbside Pickup through out Shopify website is now going to cost us an additional $89 per month to have that option in our shopping cart for customers.

 

ConnectPOS
Shopify Partner
119 1 13

Curbside pickup seems to be a thing these days. 

Was it that popular before the epidemic?

ConnectPOS - Shopify POS app for PC, Android, iOS, omnichannel retail, inventory control.
MAD2017
Excursionist
17 0 21

To think that Shopify is doubling our fees especially when so many small businesses are suffering economically during this pandemic is beyond words. We have not been utilizing Shopify Pro during this "free" test period and let me just tell you, if you don't elect to go with Pro, don't even try to call support! THEY WON'T ANSWER YOUR CALL!  Only those that subscribe to Shopify Pro are blessed with phone support. Those who fail to upgrade will only receive support via email or chat. Imagine having an emergency in your brick & mortar storefront and being #250 in a chat query!  My apologies, however, our store is only 350 sq.ft. in a very rural small town. Paying $168 a month just for a POS system is EXTREME at best!

MAD2017
Excursionist
17 0 21

YES! They are increasing costs by DOUBLE!

Hannahrip
New Member
2 0 3

I'm not okay with it, adding 1000+ to my payment, doesn't sit well with me. 

Has anyone used square for a pos and online store? If so how does it compare? 

 

KW3
Tourist
5 1 2

Agreed!! SO greedy and poorly timed and hard to understand. I wish I hadn't switched from Squarespace now. I had been really pleased with Shopify until this moment. How could they think of *doubling* the cost??

Hannahrip
New Member
2 0 3

For Shopify to increase the rates isn't honest. Like so many other small business, I signed up with them because they offered low rates with a system that connects online to a POS. If they want to add the new fees to new customers and are upfront about it that's fine, when they sign up. But to increase the rates on current customers after entering product and investing so much time changing systems isn't right. 6 months in and double the rate, what's next?

Is this a trustworthy company??? Look at their financial results! Why do they need to make the increase? Shopify makes enough from merchant services alone. 

Shopify Announces Second-Quarter 2020 Financial Results Second-Quarter Revenue Grows 97% on GMV Growth of 119% Year on Year

I don't think shopify is worried about paying the bills......Total revenue in the second quarter was $714.3 million, a 97% increase from the comparable quarter in 2019. • Subscription Solutions revenue was $196.4 million, up 28% year over year, primarily due to more merchants joining the platform. • Merchant Solutions revenue growth accelerated for the third consecutive quarter, up 148%, to $517.9 million, driven primarily by the growth of GMV.

I'm looking into Costco's merchant services, Elavon and squarespace, but really not sure what to do. 

MaineTopMill
Tourist
5 0 10

With so many Democratic Governors shutting down many many many small business owners who have Brick and Mortar Stores and/or are manufacturers that have their own Mill stores from having customers come to their stores except for those that can do Curbside Pickup it was a godsend that Shopify had a way to provide a shipping option that allowed for local pickup (curbside pickup).

In our case our sales come from attending Wool & Fiber Festivals where fiber artists can see feel and experience what we create. Without curbside pickup we cannot engage with our customers.

If we have to pay $89 per month to allow for customers to come to our Mill Store (shut down by our Democrat Governor ) for curbside pickup well can you say "restraint of trade" by imposing greater cost to our operations while sales are tanking. It is not fair and does not support small business.

MaineTopMill
Tourist
5 0 10

Well it looks like Curbside  Pickup will be done away with if one does not spend $89 a month per location starting on November 1, 2020.

We have decided to downgrade our current plan to Basic and look at 3rd Party APs to add the ability to have the option to add Curbside Pickup or Local Delivery if we choose to add that. (We do not see the benefit of the Shopify POS Plus Inventory management since it keeps breaking for us and sells items that we have marked "Do Not Sell" if out of stock. So loosing that feature (whatever it is) is no big deal).

So bye bye $79 per month now we will pay $29 per month and Shopify looses $600 per year from us because they got greedy during these times of crisis for small business. Paying .3% more for credit card sales is preferable during these times of crises than paying out $600 plus another $1,068 for a total per year of $1,608.

Maybe Shopify has outgrown having Small Bussiness as customers?

Matt37
Explorer
62 0 61

Just to let everyone know, you can add your own Curb Side Pick up as on option on your Shopify shipping options. 

It's not as fancy as instore pick up setting but it get's the job done.  What I hate is I can't test out the free version before November. I've asked, and they literally hung up on me.  

 

Steve123
Excursionist
21 0 50

Despite the fact that other pos exists with the same functionality and is free?

This is simply price gouging and nothing less.

They also state that it's a free trial - and ask you to choose your preferred option now - and promise that nothing will change until end of October. This is a blatant lie.

If you choose the Lite option all free trial evaluation for Pro are removed immediately.  

Matt37
Explorer
62 0 61
How do you try the lite option?

All I can do is go back to classic. I want to see if we can work with the
lite version.
MAD2017
Excursionist
17 0 21

Hannahrip - 

WOW!!! Thank you for sharing that! Sounds solely out of G R E E D!!!!!!  I had mentioned earlier in one of my posts that I considered it unethical and bad business practices. Wonder what the Feds would think of them taking advantage of small businesses during a pandemic by doubling their fees or lose your services!!!!

dannye770
Tourist
10 0 8

This is a money grab from already-hurting businesses. Having an option for in-store pickup (or curbside delivery, whatever you want to call it) should have been built into the basic version long ago. Calling it a premium feature is laughable. 

Not only that -- you know what else we're losing?

  • We can no longer do exchanges through the POS.
  • If someone buys online, guess what, can't return in store. (It appears even in-store purchases might not be returnable on the Lite app.)
  • We can no longer put your website or store hours on your receipt. --seriously???
  • And the list goes on...

I totally understand that some features with advanced functionality would require an upgrade, and sure, that should cost more. But sweeping BASIC features we already have access to into a premium version is an underhanded move. Bad form, Shopify. Bad form. 

Square is looking better and better every day. 

dannye770
Tourist
10 0 8

Curbside through shipping options is possible, but not at all ideal. I used it this way for about a year -- but it messes up local taxes (taxes are still based on the customer's delivery address, rather than pickup address) and makes it very difficult to modify notification templates so that they are accurate. It just pains me that they finally added this basic functionality by default, only to take it away.