Alternative Payment Methods: Flexibility at Checkout for Global Shoppers
Alternative payment methods (APMs) in Shopify let customers pay using non-traditional options like digital wallets, buy-now-pay-later, and crypto.
What Are Alternative Payment Methods in Shopify?
Alternative Payment Methods (APMs) refer to payment options beyond standard credit and debit card transactions. In Shopify, APMs provide greater flexibility and accessibility for customers by supporting diverse payment preferences across regions and buyer demographics.
These methods include:
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Digital wallets like Apple Pay, Google Pay, and Shop Pay
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Buy Now, Pay Later (BNPL) services like Afterpay, Klarna, and Affirm
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Bank transfers and local methods like iDEAL (Netherlands), Bancontact (Belgium), or Sofort (Germany)
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Cryptocurrency options like Coinbase Commerce and BitPay
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Cash on Delivery (COD) in select markets
Shopify supports APMs either natively through Shopify Payments or via third-party gateways and apps. These methods can be activated in the Payments section of the Shopify admin. The availability of APMs may vary depending on the merchant’s country, customer location, and the selected payment provider.
For stores targeting international customers, offering localized payment methods dramatically improves the chances of conversion by aligning with user expectations.
Why Alternative Payment Methods Matter for Shopify Merchants
Offering multiple payment options isn’t just a convenience—it’s a strategic advantage. With more payment variety, merchants can reduce cart abandonment, increase customer trust, and tap into global markets more effectively.
1. Reduce Cart Abandonment
One of the top reasons customers abandon carts is the lack of preferred payment options. APMs help reduce this friction by offering familiar and secure alternatives.
2. Expand Globally with Localized Payments
Each region has its favored payment systems. For instance, customers in Germany often prefer Sofort, while Dutch users lean toward iDEAL. Offering these builds trust and improves conversion rates in global markets.
3. Enhance Mobile Checkout Experience
Digital wallets like Apple Pay and Google Pay enable one-tap payments, especially useful on mobile devices. This creates a seamless, quick checkout that boosts sales on smartphones.
4. Improve Cash Flow with BNPL
Buy Now, Pay Later services let customers split payments, increasing the average order value (AOV). Shopify merchants receive full payment upfront while the BNPL provider collects from the customer over time.
5. Align with Future Trends (e.g., Crypto)
Accepting cryptocurrency positions your brand as forward-thinking and tech-savvy. Though not yet mainstream, crypto adoption is growing, especially in certain niche markets.
