Adding Multiple Currencies or Dynamic Pricing on Shopify

As a mid-market brand looking to expand your reach globally, one of the most powerful features you can leverage is the ability to offer multiple currencies or dynamic pricing on your Shopify store. International customers expect a seamless shopping experience, and that includes seeing prices in their native currency or getting price adjustments based on various factors like location, demand, or product variations.

Why Add Multiple Currencies or Dynamic Pricing?

In today’s global economy, mid-market brands have the unique opportunity to reach customers around the world. But with this opportunity comes the challenge of dealing with currency conversions and localized pricing.

Here are some key reasons why you should consider adding multiple currencies or dynamic pricing to your Shopify store:

1. Improved Customer Experience: Allowing customers to view prices in their local currency builds trust and reduces friction at checkout, making it easier for them to purchase.
2. Increase Conversion Rates: When customers see the prices in their own currency, they’re more likely to complete a purchase—especially when combined with localized promotions or pricing.
3. Dynamic Pricing Flexibility: If you have different pricing for various regions or need to adjust prices based on demand, offering dynamic pricing lets you stay competitive while maximizing profits.

Now that you know why it’s important, let’s break down how to implement multiple currencies or dynamic pricing on your Shopify store.

How to Add Multiple Currencies on Shopify

Shopify makes it relatively simple to set up multiple currencies, especially for brands using Shopify Payments as their payment provider. By enabling Shopify Payments, you can automatically offer your customers the ability to check out in their local currency.

Step-by-Step Guide to Enable Multiple Currencies

1. Activate Shopify Payments: If you haven't already, the first step is to enable Shopify Payments. This allows Shopify to manage currency conversions automatically, making it easier for you to offer multi-currency functionality.To enable Shopify Payments:
   • Go to your Shopify Admin.
   • Click Settings > Payments.
   • In the “Shopify Payments” section, click Activate and follow the setup instructions.
2. Enable Multiple Currencies: Once Shopify Payments is active, you can enable multiple currencies.
   • Go to Settings > Payments.
   • Scroll down to the Shopify Payments section, and click Manage.
   • In the Currencies section, select Add currencies.
   • Choose the currencies you want to offer. Shopify supports over 130 currencies, and you can select the ones that make the most sense for your target markets.
3. Customize Currency Display: To create a seamless user experience, make sure your currency selector is clearly visible. Shopify allows you to customize the position and appearance of your currency selector, which you can place in your header or footer.
4. Currency Conversion Settings: Shopify will automatically convert currency based on the customer’s IP address. This means that international customers will see prices in their local currency, and Shopify will handle the conversion at checkout.

Bonus Tip: Use Shopify Markets for a Complete Global Expansion

For mid-market brands looking to optimize their international presence, Shopify Markets is a powerful feature. Shopify Markets allows you to manage your store in multiple regions, with automated currency conversions, language translations, and localized shipping options. It’s a comprehensive tool to handle global eCommerce without needing third-party apps.

How to Implement Dynamic Pricing on Shopify

Dynamic pricing refers to the strategy of adjusting prices in real-time based on various factors such as demand, location, competition, or even customer behavior. Shopify offers several ways to implement dynamic pricing to stay competitive and maximize profits.

1. Use Apps for Dynamic Pricing

One of the most effective ways to implement dynamic pricing is through apps available in the Shopify App Store. These apps can automate price adjustments based on rules you set. Here are a few popular apps for dynamic pricing:

• Dynamic Pricing by Plexins: This app allows you to create rules based on inventory levels, customer location, or demand. For example, you could increase the price of a product based on low inventory levels or adjust prices based on geographic location.
• Bold Custom Pricing: Bold’s app lets you offer wholesale pricing, tiered pricing, or volume discounts, helping you cater to different customer segments. You can create unique pricing strategies for different groups of customers, such as VIPs or loyal customers.

2. Set Price Rules Based on Customer Segments

If you want to offer dynamic pricing based on customer behavior or segment, you can create different customer groups and apply rules for each. Shopify’s Customer Segmentation feature allows you to target specific audiences, such as:

• Wholesale Customers: Offering special pricing for bulk orders.
• VIP Customers: Giving loyal customers discounts or exclusive deals.
• Regional Pricing: Adjusting prices based on location to account for different market conditions.

To set up customer segments:

• Go to your Shopify Admin > Customers.
• Click Create customer segment and choose your rules (e.g., location, order history, etc.).

3. Set Up Regional Pricing for Different Markets

For brands selling in multiple countries, regional pricing can be a game-changer. Shopify allows you to set different prices for different regions, ensuring that your prices reflect the local market conditions.

You can do this by:

• Enabling Shopify Markets and selecting regions where you want different pricing tiers.
• Using apps like Geo Pricing or Multi-Currency Dynamic Pricing that automatically adjust prices based on the customer’s location.

This feature ensures that your pricing is competitive in each market while maintaining profitability across the board.

4. Automate Price Adjustments with Discounts

Shopify also offers the ability to create automated discounts based on specific conditions. For example, you can set up discount codes that apply based on the total value of a customer’s cart or a specific product being purchased. This can be particularly helpful for driving sales or clearing excess inventory.

To set up automatic discounts:

• Go to Shopify Admin > Discounts.
• Click Create Discount and set the rules for when the discount will apply.

Conclusion: Expand Your Reach with Shopify’s Currency and Pricing Flexibility

For mid-market brands, offering multiple currencies and dynamic pricing on Shopify is a key strategy for expanding your reach and improving the shopping experience for international customers. By utilizing Shopify’s built-in tools and third-party apps, you can set up dynamic pricing and offer multiple currencies to cater to diverse markets.

Whether you’re looking to sell globally, optimize your pricing strategy, or offer a more personalized shopping experience, Shopify provides the flexibility you need to scale your brand successfully.

Get in touch with Domaine

If you need help setting up these features or developing a tailored pricing strategy, our Domaine, the world's largest Shopify design and development practice, is here to assist you in making your store as effective and competitive as possible. Contact us today.

FAQ Section

1. Why should I add multiple currencies to my Shopify store? Adding multiple currencies improves the customer experience by allowing international shoppers to see prices in their native currency. This reduces friction at checkout and can increase conversion rates, leading to more sales.

2. How do I enable multiple currencies on Shopify? To enable multiple currencies, you must first activate Shopify Payments. Then, go to Settings > Payments, click Manage under Shopify Payments, and select the currencies you want to offer. Shopify supports over 130 currencies.

3. What is dynamic pricing, and how does it work on Shopify? Dynamic pricing adjusts the price of your products in real-time based on factors like demand, customer location, or inventory levels. Shopify supports dynamic pricing through apps, customer segmentation, and regional pricing features.

4. Can I set different prices for different regions? Yes, you can set regional pricing through Shopify Markets or by using third-party apps like Geo Pricing. This ensures your prices are competitive in each market while maintaining profitability.

5. Are there apps to automate dynamic pricing on Shopify? Yes, apps like Dynamic Pricing by Plexins and Bold Custom Pricing allow you to automate price adjustments based on customer location, inventory, and demand. These apps provide flexibility to implement various pricing strategies.

6. How can I set up automatic discounts on Shopify? To set up automatic discounts, go to Shopify Admin > Discounts, click Create Discount, and set the conditions for when the discount should apply, such as cart value or specific products. This can help drive sales and clear inventory.