Yes, Shopify itself is safe and legit. Shopify is a world wide entity that is publicly traded and has invested heavily in software and security engineering. However, some of the sites or “stores” on Shopify are questionable and proper discernment should be considered when making transactions with the individual entities that populate the platform.
Shopify offers a safe and legitimate space, for safe and legitimate sellers to advertise, sell and receive payment for products
- If you are a legitimate vendor who is looking for a way to expand your business via e-commerce, then Shopify is a very valid option for you. You will be able to increase traffic to your site and reach millions of potential clients that would otherwise go unnoticed if you have a traditional storefront property.
- Shopify offers the speed and security that you would expect from a globally recognized e-commerce site that is comparable to Amazon, E-Bay, Zoolily etc.
- Credit card transactions are secure and processed extremely fast. All payments go through Shopify’s Payment processing system so the hassle and lag time associated with Third Party Payments are screened and validated through the platform. There is no need to be redirected to a separate payment page and all transactions are secured through the Shopify site itself.
Is Shopify Safe and Legit for Consumers? This can be Debated
According to ManyPixels there are 6 types of scams that are prevalent on Shopify as well as other similar e-commerce sites.
- Triangulation: The scammers create a Shopify store, purchase products from online suppliers, reject the transaction, then receive funds from a chargeback on Shopify. The online supplier loses the money and the product.
- Duplicator: A person opens a duplicate store to one that sells legitimate merchandise then the legitimate store suffers copyright infringement and loses customers.
- Switching: This scheme involves sending a fake PayPal notification to your sellers account saying that the funds are on hold until the product arrives, then the funds are never released because they were never on hold to begin with.
- Direct Client: The scammer will talk you into moving the business transaction away from Shopify to avoid paying the fees to the Shopify platform then once your payment details are procured, they use your credentials.
- Fake Return Ticket: The buyer requests a return ticket from you, the vendor. They then return a cheaper knockoff version of the product and keep the original legitimate product themselves.
- Fake Purchase order: A checkout sheet is copied and doctored to look legitimate which they then use to mark in a price of their choosing.
- Fakespot.com recently conducted a study that noted roughly 20% of Shopify sites are fake. The word “fake” in this context means that the sellers are hoping to exploit consumers by selling knockoff items that are commonly found on other Shopify sites, Amazon or similar trading platforms.
Shopify is safe and legit if you are running a safe and legit business model. There will always be people out in the world with malicious intent and it is up to you as a vendor or consumer to be careful with your information.