On Thursday, Shopify informed users in Europe that Amazon Pay will no longer be an available payment option starting August 6, 2024. In response, Amazon notified its merchants that due to the expected decline in transactions, there may be a higher reserve amount imposed on their accounts. This situation echoes the 2022 disagreement between Amazon and Visa, but it’s unlikely that Shopify and Amazon will permanently sever ties globally due to the significance of Buy with Prime.
If Amazon Pay is your only payment method on Shopify, you’ll need to find an alternative by August 6. Post-deactivation, past order information for Amazon Pay will be accessible via Amazon Seller Central. Merchants are encouraged to contact Amazon Support for further assistance, a strategy that might pressure Amazon to reconsider the discontinuation.
From June 27, 2024, merchants may also see an additional reserve amount based on their recent refund and dispute rates. While this move is logical to cover potential refunds, it’s expected to be unpopular among merchants losing Shopify-driven revenue. For more information, merchants should reach out to Amazon Pay Merchant Support.
Source: ChannelX
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