Are Shopify Stores Legit? 5 Common Shopify Scams and How to Avoid Them

Shopify ensures all stores are secured with SSL certificates, keeping transactions safe and secure. SSL encrypts sensitive data like credit card information, giving both buyers and sellers peace of mind.

Shopify complies with PCI DSS (Payment Card Industry Data Security Standard). This means that all Shopify stores follow strict guidelines to keep payment data secure. Sellers don't need to worry about mishandling sensitive information, as Shopify has already taken steps to protect it.

Shopify continually updates its platform to stay ahead of security threats. Plus, their 24/7 support team is always available to help sellers. This gives store owners confidence that their business is being protected behind the scenes.

However, while Shopify is a secure platform, scammers are always finding new ways to trick sellers. Let's discuss the five common Shopify scams you should watch out for and how to avoid them.

• Double-check emails: Always verify the sender’s email address. Shopify and payment processors won’t ask for sensitive information like passwords through email.
• Two-Factor Authentication: Enable two-factor authentication (2FA) on your Shopify account to add an extra layer of security.
• Stay Updated: Be aware of common phishing tactics and regularly review Shopify’s security guidelines.
• Avoid Clicking Links: Never click on unfamiliar links in emails. Instead, go directly to the Shopify website or a trusted source through your browser.
• Check for Typos: Phishing emails often have small spelling or grammar mistakes. Legitimate businesses will rarely send out emails with these errors.

• Regularly Search for Your Brand Name: Do a quick Google search of your store name to see if any duplicates pop up. This can help you spot a fake store early.
• Report the Fake Store: If you find a copy of your store, report it to Shopify immediately. They will take steps to shut it down.
• Trademark Your Brand: Registering a trademark for your brand can give you legal protection if someone tries to copy your store.

• Use Shopify’s Fraud Analysis Tools: These tools flag suspicious orders and help you decide whether to process or cancel them.
• Require CVV and Address Verification: These extra security steps can help ensure that the used credit card matches the buyer’s information.
• Be Cautious with Large Orders: Orders that seem too good to be true or come from new customers in bulk could be a red flag.
• Require Verification for High-Risk Orders: Consider adding extra verification steps for large or unusual orders, like verifying the buyer’s phone number or address.
• Monitor Chargeback History: Keep an eye on any patterns of chargebacks to catch potential triangulation fraud early.

• Clear Return Policy: Have a well-defined return policy that includes return conditions, such as requiring original packaging and product inspections.
• Use Return Shipping Labels: Provide prepaid return shipping labels so you can track the item’s return and ensure it comes back to you.
• Inspect Returned Items Carefully: Before issuing a refund, carefully check the returned product to ensure it’s the same item and in the same condition you shipped it.
• Require Proof: Ask customers to provide photo evidence of the issue before accepting a return request.

• Request Payment Upfront: Always ask for partial or full payment before processing large or custom orders, especially if the customer is new.
• Verify the Business: Take time to research the buyer or company, especially for large orders. Check their business history, reviews, or even call them directly.
• Be Cautious with Discounts: Don’t offer significant discounts or favorable payment terms until you confirm the legitimacy of the customer.
• Use Secure Payment Gateways: Make sure all payments go through secure and trusted gateways to avoid processing fraudulent transactions.