--- title: New Payment Options on Shopify in 2026 and How They Affect Conversions description: For merchants who want to make sure that the orders those optimised checkouts generate arrive correctly, Tacey monitors every order from the moment it is placed, catching address errors, fraud signals, and fulfilment exceptions before they become problems that negate the conversion gains. canonical: https://tacey.app/blog/new-payment-options-on-shopify-in-2026-and-how-they-affect-conversions published: 2026-04-20T15:54:00.000Z updated: 2026-09-20T08:25:45.308Z category: Sales & Conversion --- # New Payment Options on Shopify in 2026 and How They Affect Conversions For merchants who want to make sure that the orders those optimised checkouts generate arrive correctly, Tacey monitors every order from the moment it is placed, catching address errors, fraud signals, and fulfilment exceptions before they become problems that negate the conversion gains. How a customer pays has always mattered. In 2026, a Shopify store's payment options are a direct lever for improving conversion and average order value. These gains come without changing products, prices, or marketing copy. This guide covers the payment options that matter now and the practical decisions merchants need to make. The data is clear. [Accelerated payment methods can increase lower funnel conversion by over 50%, according to a BCG analysis.](https://www.shopify.com/news/what-a-billion-data-points-reveal-about-conversion-and-the-future-of-commerce) Just adding Shop Pay can lift conversion by 5%. [On mobile, the improvement is even greater, at 91% compared to guest checkout.](https://brentonway.com/blog/top-shopify-marketing-statistics) These are not small gains for any store. ## How do payment options affect my store's conversion rate? Payment options directly impact conversion by reducing checkout friction. A complex form asking for card and address details creates a mental load that causes abandonment. Single-tap options like Shop Pay remove this friction, making it easier for customers to complete their purchase and boosting your conversion rate. The default assumption is that a customer at checkout has decided to buy, but the data shows otherwise. Cart abandonment at checkout averages around 70%, with payment friction as a key cause. Reducing this friction is not just an operational choice. It is a direct and powerful conversion rate decision. ## What are the easiest payment options to add for a conversion lift? Enable all available accelerated checkout options like Shop Pay, Apple Pay, and Google Pay. They cost nothing to activate on Shopify Payments and process at standard rates. The conversion improvement is immediate, with some data showing a [10% to 15% increase in mobile conversion alone](https://easyappsecom.com/guides/shopify-ecommerce-statistics). [Shop Pay now has over 150 million users worldwide](https://brentonway.com/blog/top-shopify-marketing-statistics), and customers check out four times faster than with a traditional guest checkout. Its advantage comes from stored payment and shipping details. For first-time buyers who are already Shop Pay users, that benefit transfers immediately to your store, reducing friction and boosting sales. ## How does Buy Now, Pay Later (BNPL) increase average order value? BNPL increases AOV by reframing a large purchase as smaller, more manageable installments. A customer hesitant about a $200 price is more likely to buy when they see an option for "4 payments of $50". This lower psychological barrier encourages them to buy more expensive items or add more to their cart. Buy Now, Pay Later is now a standard feature for competitive checkouts. [Statista's 2026 data shows 42% of US consumers use BNPL annually.](https://tenten.co/shopify/bnpl-shopify-comparison-2026/) [BNPL is projected to grow to nearly 7% of global ecommerce payment volume by 2027.](https://testparty.ai/blog/buy-now-pay-later-shopify-trends) Data shows [BNPL typically increases AOV by 20% to 50%](https://easyappsecom.com/guides/shopify-payment-methods-guide), a significant lift for most merchants. | Provider | Best For | Key Feature | | --- | --- | --- | | **Shop Pay Installments** | US stores using Shopify Payments | Native integration with no extra app required. Merchant receives full payment upfront. | | **Klarna** | Merchants with a strong European customer base | High brand recognition in Europe. Displays installment pricing on product pages. | | **Afterpay** | Stores targeting Millennial and Gen Z shoppers in the US, AU, and UK | Strong brand loyalty with younger demographics. Higher fees often offset by AOV lift. | ### Shop Pay Installments [Shop Pay Installments is Shopify's native BNPL option](https://www.shopify.com/blog/bnpl-companies) for US stores on Shopify Payments. It offers four interest-free payments for orders between $50 and $999, or monthly installments for larger orders. The merchant is paid in full upfront. Its main advantage is seamless integration, though it is limited geographically. For example, [Dr. Squatch increased AOV by 60% with orders through Shop Pay Installments](https://www.shopify.com/blog/payment-flexibility). ### Klarna [Klarna is the most popular BNPL provider in Europe](https://easyappsecom.com/guides/shopify-payment-methods-guide) and is growing in the US. It offers several payment plans, including four interest-free installments. Klarna's widget can show the installment price on your product pages, making higher-priced items feel more affordable. For merchants selling in Europe, Klarna's brand recognition reduces buyer hesitation. ### Afterpay Afterpay is particularly strong with millennial and Gen Z shoppers in the US, Australia, and the UK. It offers four interest-free installments. [Afterpay charges merchants a higher fee of approximately 4% to 6% plus $0.30](https://easyappsecom.com/guides/shopify-payment-methods-guide). Most merchants find the conversion and AOV lift justifies this cost, but it should be measured. [Benchmark data shows BNPL can lift AOV by 12% to 18%](https://tenten.co/shopify/bnpl-shopify-comparison-2026/). ### Which BNPL provider should I choose? The right choice depends on your business. Consider your customers' location, your average order value, and your profit margins. For many, the answer is to offer more than one option. [Offering multiple payment options can reduce checkout abandonment by up to 30%](https://easyappsecom.com/guides/shopify-payment-methods-guide), making a strong case for a thoughtful BNPL strategy. ## Should I accept cryptocurrency on my Shopify store? You should accept crypto if your store sells to a crypto-native audience. For categories like tech products, gaming, or digital collectibles, it removes a barrier. For most other stores, it is not a priority. Integrations with [Coinbase Commerce](https://commerce.coinbase.com/) and [BitPay](https://bitpay.com/) make it easy to accept crypto without holding it, as payments settle in fiat currency. ## What payment methods do I need for international sales? For international sales, you need multi-currency display and local payment methods. [Shopify Payments can show prices in a customer's local currency](https://easyappsecom.com/guides/shopify-payment-methods-guide), which reduces uncertainty and abandonment. You should also offer the specific payment methods popular in your top markets, like iDEAL in the Netherlands, Bancontact in Belgium, or Sofort in Germany. ## How can I audit my store's payment options? A practical payment audit involves four steps. Check that accelerated checkouts are enabled. See if your AOV justifies testing BNPL. Track conversion rates by payment method. Finally, ensure you offer the preferred payment methods for your top five international markets. - **Enable accelerated checkouts.** Shop Pay, Apple Pay, and Google Pay should be active. Display dynamic checkout buttons on product pages, not just in the cart. - **Evaluate BNPL.** If your AOV is above $50, BNPL is worth testing. If it is above $100, it is likely worth offering permanently. - **Track payment method conversion.** Set up analytics to see which payment methods customers use and their specific conversion rates. This allows you to optimize based on data, not guesses. - **Localize for international markets.** Identify your top five international traffic sources and confirm you offer their preferred local payment methods. ## What is the final takeaway on payment optimization? Payment optimization is a multiplier, not a standalone fix. It compounds the benefits of all your other conversion efforts, like site speed and page design. A fast site with a great product page converts even better when it has a frictionless checkout. Each improvement multiplies the others. The merchants who are winning on conversion in 2026 treat payment as a product decision, not an administrative one. They ask which payment options reduce friction for their specific customers, test the answers, and measure the results in revenue rather than assumptions. For merchants who want to make sure that the orders those optimized checkouts generate arrive correctly, [Tacey](https://tacey.app) checks every order's address the moment it is placed and lets customers fix their own order before it ships, before a bad delivery undoes the conversion gains. ## Frequently asked questions ### How much can BNPL increase Average Order Value (AOV)? Buy Now, Pay Later services typically increase AOV by 20% to 50%. The exact lift depends on your products and customers. This happens because splitting a large price into smaller installments makes customers more comfortable with higher-value purchases. ### Which BNPL provider is best for selling in Europe? Klarna is generally the best choice for merchants with a strong European customer base. It is the most popular BNPL provider in Europe and has strong brand recognition. This trust reduces buyer hesitation for European customers at checkout. ### Does offering BNPL attract lower-quality customers? The data suggests the opposite. One benchmark study showed that customers using BNPL have 18% to 22% higher repeat purchase rates than those using credit cards. This challenges the assumption that BNPL only attracts one-time buyers. ### What are the fees for a BNPL service like Afterpay? BNPL providers charge merchants higher fees than standard card processors. For example, Afterpay charges a processing fee of approximately 4% to 6% plus a fixed $0.30 per transaction. Merchants must measure if the AOV and conversion lift justifies this higher cost. ### Do I need to hold cryptocurrency to accept it as payment? No, you do not need to hold cryptocurrency. Shopify's integrations with providers like [Coinbase Commerce](https://commerce.coinbase.com/) and [BitPay](https://bitpay.com/) allow you to accept crypto payments that settle in your local currency. This protects you from crypto price volatility. ### What is the easiest way to improve mobile conversion at checkout? Enabling accelerated checkouts like Apple Pay and Google Pay is the easiest way to boost mobile conversion. Data shows this can increase mobile conversion by 10% to 15%. These options are free to activate for stores on Shopify Payments. ### How does Shop Pay increase conversion? Shop Pay increases conversion by saving customer payment and shipping details across its network of over 150 million users. When a customer who has used Shop Pay before reaches your checkout, their information is pre-filled. This allows for a one-tap purchase that dramatically reduces friction.