What Is Shopify Store Credit App & How Does It Work?

What exactly is the Shopify Store Credit App? How does it work, and what is the top list of Shopify store credit apps? Keep reading for more information!

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Understand Shopify Store Credit In 3 Minutes 

Have you ever wondered about store credit on Shopify? This guide cuts through the fluff and gives you the need-to-know info in just 3 minutes!

What is Store Credit?

Think of store credit as a kind of in-store cash. It’s a value a store gives you to spend on future purchases instead of getting your money back right away. 

This is often used for returns or exchanges. Stores use it to keep money flowing in their business and hopefully encourage you to buy something else! Store credit can also be a reward for being a good customer.

Shopify Store Credit App

Can You Offer Store Credit on Shopify?

Unfortunately, Shopify itself doesn’t allow store credit for refunds. But fear not! If you have a Shopify Plus (their higher-tier plan), you can send gift cards instead. These work like store credit, but they have a fancy gift card code.

Store Credit vs. Discount Codes vs. Gift Cards: What’s the Difference?

Here’s a quick breakdown to clear things up:

FeatureStore CreditDiscount CodeGift Card
Who uses it?Business to Customer (B2C)Business to Customer (B2C)Customer to Customer (C2C)
Like what?In-store cashPrice cutPre-paid gift
Main GoalKeep customers coming backGet people to buy somethingShow someone you care
How to use it?At checkout, but not always for the full amount.At checkout, follow store rulesAt checkout, use the whole amount

The key differences are who uses them and why. Store credit and discount codes are tools the store uses to keep you happy and buying stuff. Gift cards are more like actual gifts you can give to other people.

What Are The Pros Of The Shopify Credit App?

While Shopify itself doesn’t offer built-in store credit for refunds, there are definite benefits to consider! Here’s why you might want to offer it (without any sneaking involved!):

  • Boosts Customer Loyalty: When customers receive store credit instead of a straight refund, they’re more likely to return to your store to use it. This builds trust and keeps them coming back for more.
  • Increases Customer Retention: By offering store credit, you incentivize customers to spend the money they were refunded in your store, keeping them engaged with your brand.
  • Encourages Higher Spending: Customers with store credit might be more likely to spend a little extra to reach a free shipping threshold or splurge on something new they wouldn’t have otherwise.
  • Improves Return Policy Perception: Store credit can make your return policy seem more customer-friendly. It shows you’re willing to work with customers and keep them happy, even if they need to return something.
  • Reduces Revenue Loss: Compared to full cash refunds, store credit keeps money circulating within your business. As customers use their credit, you might even see an increase in overall sales.

Important NoteWhile these benefits are great, remember that Shopify itself doesn’t directly offer store credit for refunds. We’ll explore alternative solutions in the next section!

Top The Best Shopify Store Credit App

These will be outstanding options you can consider!

FreshCredit

FreshCredit offers a unique approach to store credit management on Shopify, with a focus on customization and scalability. 

Shopify Store Credit App

Overall Rating:  Good (95 reviews, 4.3 star average)

Features

  • Complete Customization: Customize the look and feel of store credit pop-ups to match your brand.
  • Pre-Checkout Credit Usage: Allow customers to choose how much store credit to use before checkout.
  • Easy Credit Management: Create, edit, or delete customer store credit with ease.
  • Customer Incentive Pop-up: Display a pop-up encouraging customers to use their store credit.
  • Automatic Customer Updates: The app automatically syncs with your customer list.
  • Scalable Pricing: Pricing tiers based on your customer base size (5k, 20k, 50k customers).

Pros

  • Highly Customizable: Tailor the store credit experience to your brand.
  • Pre-Checkout Control: Empower customers to manage their store credit usage.
  • Effortless Management: Simple interface for adding, editing, and deleting store credit.
  • Customer Incentive Potential: Encourage customers to use their credit with a pop-up.
  • Cost-Effective for Smaller Stores: Lower pricing tiers for stores with smaller customer bases.

Cons

  • No Time Limit: Store credit doesn’t have an expiration date by default.
  • Limited Integration: Only works with the native Shopify checkout process (may not work with custom checkout solutions).

Recommendation: FreshCredit is a good option for stores that want a customizable and scalable store credit solution. The pre-checkout credit selection and customer incentive pop-up features can be valuable for customer engagement. 

However, the lack of built-in expiry dates and limited integration might be drawbacks for some. Consider your needs and budget before committing to a paid plan.

Rewardify

Rewardify offers a comprehensive store credit solution with loyalty program features and multi-channel support. 

Here’s a look at its key points:

Overall Rating:  Decent (30 reviews, 4.0 star average)

Features

  • Centralized Management: Manage store credit for online and in-store customers from a single location.
  • Shopify POS Integration: Apply and refund store credit directly through the Shopify POS app.
  • Loyalty Program: Integrates with a loyalty program, allowing customers to earn and redeem store credit as rewards.
  • Discount Management: Manually or automatically apply discounts at checkout.
  • New User Signup: Serves as a landing page for new customers to join your rewards program.
  • Rewards Management: Members can manage their points and redeem them for store credit.

Pros

  • Unified Management: Manage online and in-store store credit from one dashboard.
  • POS Integration: Convenient for managing store credit in physical locations.
  • Loyalty Program Integration: Combine store credit with a loyalty program for increased engagement.
  • Discount Management: Provides options for managing discounts alongside store credit.
  • New User Acquisition: Landing page functionality can help attract new customers.

Cons

  • Per-Interaction Charge: Charges a fee for each store credit interaction (may not be ideal for high-volume stores).
  • No Free Plan: No free tier is available for basic use.

Recommendation: Rewardify is a good option for stores that have both online and physical locations and want to combine store credit with a loyalty program. 

The POS integration and multi-channel support can be beneficial. However, the per-interaction fee structure might not be suitable for stores with high transaction volumes. Consider your needs and budget before committing to a paid plan.

CreditsYard

CreditsYard is another well-regarded app that helps you implement store credit functionality on Shopify.

Overall Rating:  Perfect Score (10 reviews, 5.0 star average) 

(Keep in mind that a perfect score with only 10 reviews might not be as statistically significant as the previous app with a higher number of reviews)

Features

  • Store Credit Issuing: Easily issue store credit to customers for refunds or rewards.
  • Refunds & Cashback: Process refunds and offer cashback programs using store credit.
  • Automation: Automate tasks related to store credit management.
  • Email Notifications: Keep customers informed about their store credit balance.
  • Custom API: Integrate CreditsYard with your existing systems using their custom API.

Pros

  • Increased Customer Loyalty: Encourage repeat business by offering store credit.
  • Reduced Revenue Loss: Keep money circulating within your store by using store credit for refunds.
  • Flexibility: Issue store credit for full or partial refunds.
  • Automation Benefits: Save time with automated workflows.
  • Customization (with Caution): Custom API allows for integration (though technical expertise might be needed).

Cons

  • Limited Free Trial: Only offers a 7-day free trial, no permanent free plan.
  • Unclear Pricing Tiers: The description doesn’t explicitly mention the benefits of each pricing plan (Basic, Standard, Advanced, Plus).

Recommendation: CreditsYard offers a compelling set of features, including automation and a custom API. However, the lack of clear differentiation between pricing tiers might make it difficult to choose the right plan. Consider requesting a free trial and exploring the different plans to see which best suits your needs.

Loop Returns & Exchanges

Loop Returns & Exchanges focuses on improving the returns experience for both you and your customers. While it offers store credit as a refund option, it’s important to consider its limitations before diving in.

Overall Rating:  Good (15 reviews, 4.5 star average)

Feature

  • Refunds as Store Credit: Offer store credit as an alternative to full cash refunds for returns.
  • Automated Returns: Automate the returns process for a smoother experience.
  • Inline Exchanges: Customers can easily exchange items directly during the return process.
  • Customizable Returns App: Create a branded returns app for your store.
  • Easy-to-Use Interface: Simple front-end experience for customers.
  • Advanced Back-End Tools: Provides tools for managing and customizing the return process.
  • Email Notifications: Keep customers informed throughout the return process.
  • Customizable Return Reasons: Customers can choose from various reasons for their return.
  • Comprehensive Reporting: Gain insights into your return data with robust reports.

Pros

  • Improved Return Experience: Streamline the return process for you and your customers.
  • Store Credit Option: Offer store credit as an alternative to full cash refunds.
  • Automation Benefits: Save time and effort with automated features.
  • Customer Engagement: A positive return experience can lead to happier customers.
  • Detailed Reporting: Track return trends and make data-driven decisions.

Cons

  • Limited Store Credit Option: Only supports one type of store credit (may not be customizable).
  • No Free Plan or Trial: No free tier or trial is available, making testing difficult before purchase.
  • Higher Pricing: Pricing starts at $59/month, which might be steeper than other apps.

Recommendation: Loop Returns & Exchanges is a good option if you’re looking for a comprehensive returns management solution with a store credit option. However, the lack of a free plan or trial and the limited store credit functionality might be drawbacks. 

Consider your needs and budget before committing to a paid plan. You might also want to compare it to other return-oriented apps with store credit features to see which offers your business the best value.

Shopwaive

Shopwaive is a more basic app compared to the previous two, but it might be a good fit for stores that need a user-friendly solution for managing store credit. 

Here’s a summary:

Overall Rating:  Average (3 reviews, 4.0 star average)

Features

  • Easy Store Credit Management: Add, edit, or remove customer store credit without needing to code.
  • Automatic Updates: The app automatically installs and updates itself as your customer base grows.
  • Email Notifications: Send automated email alerts to customers when they receive store credit.
  • Theme Compatibility: Works seamlessly with a wide range of Shopify themes.
  • Clean User Interface: Offers a user-friendly interface for managing store credit.

Pros

  • Simple Setup: No coding is required for installation or use.
  • Theme Friendly: Compatible with most Shopify themes.
  • Intuitive Interface: Easy to learn and use for managing store credit.
  • Automatic Updates: Saves time with automatic updates.

Cons

  • No Free Plan: No free tier is available for basic use.
  • Limited Reviews: Fewer reviews compared to other options, making it difficult to gauge overall user experience.
  • No Demo Store: No demo store is available to test the app’s functionality before purchasing.

Recommendation: Shopwaive is a good choice for stores that prioritize a user-friendly experience and don’t require extensive features. However, the lack of a free plan and a demo store might be a drawback for some. Consider your needs and budget before committing to a paid plan.

Gift Cards & Loyalty Program 

While Shopify itself doesn’t offer built-in store credit, apps like Gift Cards & Loyalty Program by Rise.ai can help you achieve that functionality. 

Here’s a breakdown of this popular app:

Overall Rating:  Highly Rated (912 reviews, 4.8 star average)

Features

  • Store Credit as Cash Back Refunds: Process refunds as store credit instead of cash.
  • Reward Programs: Create loyalty programs that reward customers with store credit.
  • Customization: Tailor the look and feel of your store credit and rewards to match your brand.
  • Easy Setup: Simple workflow settings make it user-friendly.
  • Gift Card Sending: Customers can send gift cards from various brands to others.

Pros

  • Most Extensive App: Offers comprehensive features for managing store credit and rewards.
  • Multiple Brand Gift Cards: Unique option to send gift cards from different retailers.
  • Customer Balance Reminders: Keep customers informed about their remaining store credit.
  • Customer Service Benefits: The app can help appease unhappy customers with store credit solutions.
  • Gift Card Personalization: Customers can personalize, exchange, or choose gift card designs.

Cons

  • No Free Plan: No free tier is available for basic use.
  • Pricing Gap: Significant price jumps between plans (Starter: $19.99/month vs. Premium: $599.99/month).

Recommendation: This app is a strong choice for businesses that want a feature-rich solution for store credit and rewards.  However, the lack of a free tier and the pricing gaps between plans might concern smaller stores. Consider your needs and budget before committing to a paid plan.

UpPromote

UpPromote is a bit different from the other apps we’ve discussed. It’s primarily an affiliate marketing app, but it also offers a unique way to use store credit as a reward for customer referrals. 

Overall Rating:  Excellent (2051 reviews, 4.9 star average)

Store Credit Feature

  • Reward Referrals with Store Credit: Incentivize customers to refer friends by offering store credit as a reward.
  • Easy Setup: Simple program rules make setting up your referral program easy.
  • Automated Notifications: Automated email notifications keep customers informed about their referral rewards.
  • Detailed Reports: Gain insights into your referral program’s performance with in-depth reports.

Pros

  • Unique Referral Incentive: Offers a different approach to referral rewards using store credit.
  • Easy Program Management: Simple setup and automated features save you time.
  • Performance Tracking: Monitor the effectiveness of your referral program with detailed reports.

Cons: Store credit functionality is only available on the Pro plan (not the free plan or Grow Affiliate plan).

Recommendation: UpPromote is a good option if you already use affiliate marketing and want to add a unique twist with store credit referrals. However, the store credit feature is only available on a paid plan. Consider your needs and budget before committing to a plan.

Important Note: While UpPromote has a very high rating and many reviews, it’s always a good practice to do your own research before installing any app on your Shopify store. Read additional reviews, compare features across different apps, and consider free trials to find the best fit for your business.

Wrapping Up

Choosing the right app depends on your needs and budget. Consider factors like:

Features: Do you need basic store credit management or advanced features like automation and customization?

Ease of use: How important is a user-friendly interface for you and your staff?

Pricing: Do the plans offered by the app fit your budget?

Free trials or plans: Are free trials or plans available to test the app before committing?

By carefully considering these factors, you can choose the best Shopify store credit app to help you achieve your business goals.

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