*As of January 6, 2025, Amazon Pay is no longer available on Shopify. New applications also stopped being accepted as of November 21, 2024.
Amazon Pay is a payment service loved by many online shoppers that lets them check out quickly and securely using their existing Amazon account information. Adding this payment method to your Shopify store can bring a range of benefits, including improved customer convenience and a lower cart abandonment rate. This article covers what Amazon Pay is, how to set it up on Shopify, its benefits, and related FAQs.
What Is Amazon Pay?
Amazon Pay is a payment service that lets customers pay for products and services using the shipping address and credit card information already registered to their Amazon account. By adopting Amazon Pay, customers can skip the hassle of creating a new account and entering their address and credit card details, while stores benefit from an improved conversion rate.
Amazon Pay Fees
| Item | Fee Rate |
|---|---|
| Payment processing fee | 3.9% (non-digital content) 4.5% (digital content) |
| Transaction fee | 0.5%〜2.0% |
The transaction fee varies between 0.5% and 2.0% depending on your Shopify plan. The article below explains the differences between Shopify plans, including transaction fees.
Benefits of Adding Amazon Pay to Your Shopify Store
Higher conversion rate (for the store)
According to case studies of Amazon Pay adoption, some stores saw a 20% increase in conversion rate simply by adding Amazon Pay.
Helps reduce cart abandonment (for the store)
According to a survey by Baymard Institute, a limited selection of payment options is the 10th most common reason for cart abandonment. If a product is only available through your Shopify store and the customer is determined to buy it, not offering their preferred payment method may not be a major problem. However, if the product is available elsewhere, or the customer's intent to purchase isn't fully solidified, it can send them to another store or another product instead.
As a countermeasure against cart abandonment, it's worth adding more payment options wherever you can.
The article below introduces other ways to reduce cart abandonment on Shopify beyond adding payment methods.
Easy to set up (for the store)
Adding Amazon Pay to your Shopify store only takes a few steps, making it very easy to set up. The low setup effort required is one of the great things about Amazon Pay.
Helps prevent fraudulent orders (for the store)
As explained on Amazon's official page, Amazon Pay is protected by Amazon's world-class security, which also helps guard against fraudulent orders.
Saves customers the hassle of creating an account or entering information (for the customer)
By adding Amazon Pay, customers can skip the hassle of creating an account and entering their address and credit card details.
How to Add Amazon Pay to Shopify
(Step 1) Create an Amazon Pay account
To use Amazon Pay on your Shopify store, you must apply for an Amazon Pay account in advance and complete the pre-approval review.
If you haven't registered for an account yet, sign up using the "Amazon Pay | Application Form" link below.
* Amazon Pay will send an email to your account email address once the review is complete
(Step 2) Enable Amazon Pay from the admin
Detailed steps with screenshots are available on Shopify's official blog, so please refer to it.
How to Use Amazon Pay on Your Shopify Store｜Shopify Blog
A Shopify App That Automatically Hides Amazon Pay
After adding Amazon Pay, you may run into situations where you want to hide it, such as "I want to hide Amazon Pay for digital products because the fees are high" or "I want to hide Amazon Pay when a preferred delivery date is set."
In this section, we introduce a Shopify app that lets you hide Amazon Pay under any condition.
RuffRuff Order Limits
RuffRuff Order Limits is fully localized in Japanese and is Japan's first Shopify app built on the Cart and Checkout Validation API.
By using the Cart and Checkout Validation API, order-limiting logic that used to be handled only on the front end can now run server-side. This makes it possible to build far more robust order limits that are much harder to bypass compared to existing order-limiting apps.
A single app lets you enforce quantity limits, amount limits, bundling restrictions, customer restrictions, and payment method hiding.
With this app, you can achieve things like the following:
・Hide Amazon Pay once the cart total reaches ¥3,000 or more
・Hide Amazon Pay when the cart contains a digital product
・Hide Amazon Pay only for guest customers
Amazon Pay FAQ
Can Amazon Pay be added to an individual's Shopify store?
Amazon Pay is only available to registered corporations based in Japan.
Are there products or services that can't be sold with Amazon Pay?
Products and services listed under the "Prohibited Business Categories / Prohibited Products" in Amazon Pay's Terms of Service cannot be sold using Amazon Pay.
Check the "Terms of Service" below to confirm that the products or services you sell aren't included in the "Prohibited Business Categories / Prohibited Products."
Does Amazon Pay require applying in advance?
To use Amazon Pay on your Shopify store, you must apply for an Amazon Pay account in advance and complete the review process.
You can apply for an account using the "Amazon Pay | Application Form" link below.
Can payment methods other than credit cards be used with Amazon Pay?
In addition to credit cards, Amazon Pay also supports payment via Amazon gift cards and Paidy's buy-now-pay-later service.
The article below introduces Paidy as well as other buy-now-pay-later services besides Paidy. Please use it as a reference.
In Conclusion
Adding Amazon Pay to your Shopify store can bring benefits such as:
- Higher conversion rate
- Lower cart abandonment rate
- An easy setup process
- Prevention of fraudulent orders
- Improved customer convenience
On the other hand, keep the following points in mind:
- Only available to corporations
- Not usable for some products and services
- Requires an advance review
Because Amazon Pay uses account information from Amazon, a service trusted by many users, it's a payment method customers feel comfortable using. That said, when adopting it, it's important to confirm that your products and services are eligible and to complete the necessary procedures. In addition, using an app that lets you control when Amazon Pay is shown or hidden based on your situation allows for more flexible operation.
As you look to further grow your Shopify store and improve customer satisfaction, adding Amazon Pay is an option worth considering.
