Reissue guide
Store credit on Shopify: native credit or gift cards
How Shopify's native store credit works, what it needs (new customer accounts), how it compares with gift cards, and which to use for trade-ins and returns.
Short answer: Shopify has native store credit: a balance on the customer's account that they can apply at checkout, online and in Shopify POS. It works on stores that use new customer accounts. Stores on legacy customer accounts can't use it and usually give gift cards instead. For trade-ins and returns, native store credit is easier for customers because there's no code to keep track of.
How native store credit works
- Credit is added to a specific customer's account, by staff in the Shopify admin or by an app.
- The customer sees the balance when they sign in, and can apply it at checkout.
- It can also be used in person through Shopify POS when the customer is attached to the sale.
- Credit can be given an expiry date if your policy needs one.
What it needs
Native store credit only works on stores using new customer accounts. If your store still uses legacy customer accounts, switch in the Shopify admin under Settings, Customer accounts before relying on store credit, and check that your theme and other apps support the change. Shopify's own help center has the current steps and any plan requirements.
Store credit or gift cards?
| Native store credit | Gift card | |
|---|---|---|
| Tied to | The customer's account | A code anyone can use |
| Customer has to keep | Nothing; it's in their account | The code or email |
| Works in POS | Yes, with the customer on the sale | Yes, with the code or card |
| Needs new customer accounts | Yes | No |
| Can be passed to someone else | No | Yes |
Use native store credit when you can, because it's harder to lose and it brings the customer back to their own account. Use gift cards when your store is on legacy accounts, or when the credit is meant as a gift.
Keeping the books straight
Credit you've issued but customers haven't spent is money you owe them. Track credit issued, credit spent and the outstanding balance each month, and ask your accountant how to record it. For trade-ins, also track what the credit brought in: sales on orders that used it, and what the traded-in items resold for.
For the full setup of a trade-in program, see how to start a trade-in program on Shopify. Reissue is being built to issue native store credit automatically after each trade-in is inspected, with gift cards for stores that can't use it yet.