[HN Gopher] The dark side of Shopify
       ___________________________________________________________________
        
       The dark side of Shopify
        
       Author : danpalmer
       Score  : 687 points
       Date   : 2022-07-09 12:57 UTC (1 days ago)
        
 (HTM) web link (twitter.com)
 (TXT) w3m dump (twitter.com)
        
       | m0llusk wrote:
       | Also sad that Shopify isn't all that good. Their scale enables
       | them to have a community with helpful guides and videos and
       | stuff, but the actual product is arguably less sophisticated than
       | what competitors offer. What they have is a zinger of a name and
       | a big marketing budget. Anyone in this space should really check
       | out alternatives. Unless there is a specific plug in or use case
       | you want to use there is not much good reason to choose Shopify.
        
         | zippergz wrote:
         | Sophisticated is not what is called for in a LOT of ecommerce
         | setups. I have assisted employers and clients with Shopify,
         | Bigcommerce, Miva Merchant, and selling on platforms like
         | Amazon and eBay. For most "small business" style use cases, I
         | find Shopify far better than the others, because it's a lot
         | easier for the business owner (who isn't an ecommerce expert)
         | to run, and they don't need or miss the flexibility that the
         | others offer. Invariably it costs more to configure and run
         | something like bigcommerce, and that's only justified if you
         | actually need what they offer.
        
         | Readywater wrote:
         | What are some of the alternatives you'd recommend?
        
           | m0llusk wrote:
           | primarily volusion.com, but it is a big space and often one
           | or two key features make an offering work for a particular
           | enterprise
        
           | jdjdjdjdjd wrote:
           | Bigcommerce
        
         | thanatos519 wrote:
         | Indeed.
         | 
         | An e-commerce site on which I have 4weekly subscriptions of
         | multiple products has an astoundingly bad UX ... and it's
         | driven by Shopify. Either Shopify's recurring order system is
         | fundamentally broken, or this particular site is misconfigured.
         | 
         | In either case, it's a deficiency of Shopify.
        
           | flappyeagle wrote:
           | Shopify has no recurring system. They are using a plug-in.
        
             | [deleted]
        
             | dannyw wrote:
             | That's on Shopify, not them.
        
           | core-utility wrote:
           | As stated, Shopify has no recurring subscription system
           | (which is astounding since it seems basic enough for them to
           | offer, but I guess they're getting profits either way). I've
           | experimented with a few popular recurrence "apps" and I can
           | say that one of the most popular ones was awful to setup and
           | maintain. I chose a more indie option (Seal Subscriptions, if
           | you're a Shopify store go check them out) and got much better
           | results.
        
         | WheatM wrote:
        
         | soared wrote:
         | Literally nobody uses Shopify because of its cms features. They
         | use it because it quick cheap and easy to set up a really good
         | looking ecom site that has tons of good integrations for
         | shipping/business needs/etc.
        
         | jancsika wrote:
         | > Anyone in this space should really check out alternatives.
         | 
         | Please quickly name your top three. Then we can check the
         | veracity by seeing how they get dissected by HN pundits.
        
           | basch wrote:
           | https://www.cococart.co/
           | 
           | found here https://www.ycombinator.com/companies?query=commer
           | ce&status=...
           | 
           | https://www.techinasia.com/cococart-seed-funding
           | 
           | also https://techcrunch.com/category/ecommerce/
           | 
           | https://www.owler.com/company/shopify/competitors
        
           | m0llusk wrote:
           | It has been a while since I evaluated these, so this list is
           | probably not all that good right now. That doesn't change the
           | fact that Shopify is flat out not that good whether you are
           | comparing features or price. And this is all the more reason
           | to check out current alternatives available now instead of
           | thinking you can get what you want from heated discussions
           | with people on HN: volusion.com, ashopcommerce.com,
           | bigcommerce.com are the first that come to mind. This is a
           | big market so it might make more sense to make a list of the
           | top dozen or so and then look more at the ones that offer
           | features that have value for you.
        
           | [deleted]
        
         | disantlor wrote:
         | I make my living as the developer for a few large e-comm
         | businesses that all use Shopify and it works really really
         | well. I never get why people (devs especially) call out
         | whatever feature they think Shopify should have without
         | realizing that pretty much anything you could want to do is
         | enabled by their API.
        
           | dismalpedigree wrote:
           | Custom pricing for certain customers is a nightmare on
           | shopify. I have built several sites and even made custom
           | apps. I have figured out work arounds, but they are less than
           | ideal. Do you have some ideas that I missed?
        
             | disantlor wrote:
             | It's definitely easier to discount pricing than it is to
             | increase dynamically.
             | 
             | The wholesale store functionality has customer based price
             | lists. I've also added products to cart with a discount
             | amount as line item property, which is then picked up and
             | discounted by line item script. Some concern there with
             | people manipulating it but I think it's pretty theoretical
             | and there are ways to combat that. Both those require Plus
             | though.
             | 
             | They announced the new backend pricing API/web assembly
             | script thing a couple weeks ago that seems like it will
             | solve this issue for real.
             | 
             | Similarly to how the subscription stuff was pretty janky
             | with apps until the selling plan stuff. That said, it got
             | the job done even if it wasnt ideal, and now they have a
             | good solution. I prefer that model to just rolling out a
             | bunch of half baked features.
             | 
             | Responding more to the parent than you now, but in most
             | cases if a business claims to critically need some specific
             | feature, I wonder if they are not just married to the
             | specific solution they have in mind and not the underlying
             | problem. But if they really do need a specific thing, then
             | certainly looking for the platform that offers it makes
             | sense.
        
         | jamal-kumar wrote:
         | What are your favorite alternatives, particularly if there is
         | one that allows for use of a pin pad for in-person sales?
        
       | matiasfernandez wrote:
       | This exact thing happened to us. We have a store located in
       | Puerto Rico and Shopify would randomly stop payouts every 3-4
       | months or so because they needed to re-verify our owner address
       | information. Apparently, most of Puerto Rico is not verifiable by
       | their shitty address verification API, so it triggers the freeze
       | every time it retries the verification. It was one of the most
       | frustrating experiences I've ever had and cost us thousands of
       | dollars.
       | 
       | Stripe also did the same exact thing for very similar reasons and
       | at one point we had over $300,000 USD frozen with them, which was
       | basically our entire monthly payroll expense. We had to explain
       | to our bank why our accounts were suddenly drained. This one was
       | worse than Shopify's since we actually never received any
       | communications notifying that this was going to happen. At least
       | we got an email from Shopify that we just hadn't noticed.
       | 
       | They're all broken. And Know Your Customer needs to eat shit and
       | die.
        
         | theplumber wrote:
         | Ohh so the old "paypal" issues are back. Fortunatrly there is a
         | true peer to peer payment technology: "crypto". Unfortunately
         | it's been hijacked by speculative "investors"
        
           | jwolfe wrote:
           | And requires centralized exchanges subject to Know Your
           | Customer regulations to get your money out as fiat.
        
         | thejosh wrote:
         | Address validation is the biggest piece of automation that
         | needs to stop.
         | 
         | You're not going to stop people from misentering addresses, and
         | many countries have terrible validation or streets that don't
         | exist yet take forever to show. Or the system that suddenly
         | decides to start doing validation doesn't actually accept valid
         | addresses.
         | 
         | Companies think automation can handle it, but it's an absolute
         | nightmare.
        
           | jessaustin wrote:
           | _...many countries have terrible validation..._
           | 
           | In "federal-style" countries like USA, it is possible for
           | some jurisdictions to have adequate validation while other
           | jurisdictions (e.g. the rural county where I live) do not.
        
           | rexf wrote:
           | Address validation is not 100% reliable, so systems should
           | have an override "Yes, this is my address" option.
           | Unfortunately many forms assume address validation is
           | foolproof, so there is no mechanism for entering in your
           | _actual_ address. It just gets rejected.
           | 
           | As a customer, I wanted to buy something and the website
           | wouldn't accept my address (since it wouldn't accept any "/"
           | characters). Guess what? There are plenty of addresses in the
           | US with "/", such as 50 1/2 Foobar Street. Address validation
           | does not always work, so companies shouldn't act that way.
        
             | curiousgal wrote:
             | Try living in a newly built building. Every developer seems
             | to be under the impression that if an address doesn't exist
             | in the Google maps API, then it doesn't exist at all.
        
               | nibbleshifter wrote:
               | Or streets subdivided into clusters of houses with their
               | own numbering systems for legacy reasons.
               | 
               | "4 Blah Terrace", "4 Foo View", and "4 Bar Lawn" are all
               | within 100m of each other, have the first half of the
               | postcode the same, etc.
               | 
               | Google Maps/etc can't handle this at all.
        
             | thejosh wrote:
             | Or subdivided houses are common here in Australia, where
             | it's suddenly 11B Some Street.
        
           | TacticalCoder wrote:
           | > You're not going to stop people from misentering addresses,
           | and many countries have terrible validation or streets that
           | don't exist yet take forever to show.
           | 
           | I live in a place where the official address changed: as in
           | we got a letter (in 2016 I think) from the town hall saying
           | _" your address is now ... and you have to ask everybody to
           | mail you at that new address"_. Well... Most utility bills'
           | systems have been programmed in a way that make it impossible
           | to keep the same "installation ID" (as in the ID on our
           | electrical install) while changing the address. Somehow "the
           | street got a new name" is a case that had never been planned.
           | 
           | The implications are _wild_ (for example the bank refusing to
           | open an account because the official, legal, address doesn 't
           | match the address on the utility bill and then the contry's
           | IRS thinking there are shenanigans going on).
           | 
           | That's in a civilized, western EU, country.
           | 
           | It's Brazil (the movie).
        
             | nibbleshifter wrote:
             | > That's in a civilized, western EU, country
             | 
             | This feels a lot like Germany (from experience).
        
           | mrjin wrote:
           | The problem was really why keeps validating an address if
           | there was no change since marked as verified?
        
         | urza wrote:
         | Bitcoin literally fixes this. Bitcoin is the first public
         | infrastructure for sending money online without intermediaries
         | and trusted third parties. This is the problem it solves, yet
         | any mention of this on HN gets downvoted.
         | 
         | You can use something like https://btcpayserver.org/ and be
         | your own payment processor with very little work.
         | 
         | Kind of frustrating that HN hates bitcoin so much, that even
         | under link/article about small merchant getting harassed by
         | shopify/stripe, they would rather downvote any mention of real
         | solution..
        
           | theplumber wrote:
           | The main issue with crypto is the exchange rate and
           | volatility. The local ATM gives you a shitty rate on bitcoin
           | and by the time you spend it its value may be lower or higher
           | by a big margin. The merchant may experience a similar issue.
        
             | urza wrote:
             | There are some ways how you can solve this. You can convert
             | to and from stablecoins. You can use hedging and use cfd or
             | futures to keep your bitcoin on stable fiat value.
             | Depending on what you need, this can be done on exchange,
             | with some payment gateway or even trustlessly via smart
             | contracts.
        
               | theplumber wrote:
               | I'm talking about the reality and in the real world the
               | solution you propose does not exist. For some reasons
               | stablecoins do not seem to be used outside few online
               | exchangers.I can't find them available at the local atm.
        
               | urza wrote:
               | All the solutions I mentioned do exists and are used
               | daily by thousands. And no, atms are indeed not the place
               | to exchange bitcoin for stablecoins.
        
           | oldprogrammer2 wrote:
           | It may fix this particular problem, on one side of the
           | transaction, but it creates new ones. What if I, as a
           | purchaser, want to dispute my purchase? What if I was ripped
           | off? What if the product was broken, not as advertised, etc.
           | I like knowing there is recourse through chargebacks.
           | 
           | For example, I rented a vacation home last year, on VRBO, and
           | the highly unusual contract (that was not shared until after
           | the purchase) made me very uncomfortable. As an aside, I was
           | also surprised that I was billed directly by the rental
           | company via Stripe, rather than through VRBO. I requested a
           | refund within an hour of booking.
           | 
           | For two weeks, I attempted to contact the rental company. I
           | never received a single acknowledgement from them, and VRBO
           | provided zero support. The only way I was able to get my
           | money back was with a chargeback, showing my request for a
           | refund within the cancellation window.
           | 
           | I am 100% confident that if this had been a bitcoin
           | transaction I would have lost that money. I would also expect
           | a rise in bad actors abusing that lack of recourse if bitcoin
           | did increase in popularity for payment. In my mind, that is
           | the challenge that crypto needs to solve before it can become
           | widely adopted as a payment option.
        
             | theplumber wrote:
             | Consider crypto payments as cash payments and the
             | problem(your expectations from a payment provider) is
             | "solved"
        
               | throwsjdhsj1234 wrote:
               | Or for services/goods that requires this kind of leeway,
               | use an escrow.
               | 
               | Yes it does introduce a third party, but the point is
               | that compared to the current system there is no other
               | option for the many cases in which you don't need don't
               | want to use an escrow, the payment processor invariably
               | act as such and can shutdown your business at will.
        
             | urza wrote:
             | I agree that this is still a challenge that needs to be
             | solved in better ways. There are some solutions possible.
             | For example OpenBazaar used 2-of-3 multisig escrow. Bisq is
             | using security deposits, limits and reputation. For some
             | large transactions there are legal escrow services. But for
             | small regular transactions with most merchants, there is no
             | good standardized solution so far. You just have to do your
             | research about about the counterparty and trust the
             | merchant as far as transaction goes.
        
           | HorizonXP wrote:
           | I don't know if BTC fully fixes this, but I agree that crypto
           | in general is heading down the path that will likely fix
           | this. And agreed, HN continues to hate crypto due to 99% of
           | it being garbage, and ignoring the 1% that is actually
           | revolutionary.
        
             | ecopoesis wrote:
             | "'I never thought leopards would eat MY face,' sobs woman
             | who voted for the Leopards Eating People's Faces Party."
             | 
             | It doesn't matter if 1% of cryptocurrency useful and not a
             | scam: because 99% of it is, if you use crypto you're going
             | to get scammed.
        
               | urza wrote:
               | That's why I say bitcoin and not crypto.
        
               | theplumber wrote:
               | If you use money you're going to get scammed
        
               | anonymousab wrote:
               | The key is that the vast supermajority of your
               | interactions with fiat won't be at high risk of being a
               | scam.
        
               | theplumber wrote:
               | Because you are familiar with fiat/cash and its risks and
               | you use crypto only for "crypto" stuff not to buy your
               | groceries.
               | 
               | You won't send cash to someone you don't really trust,
               | would you? How is crypto different? With paypal you get
               | some "security" with the tradeoff that sometimes you
               | won't get it(i.e you get scammed either as buyer or
               | seller) and many times it just pissesoff both the sender
               | and receiver using "fraud detection" and treating both as
               | criminals.
        
       | adventured wrote:
       | Nortel syndrome takes over another would-be Canadian giant (what
       | do I mean by that? read up on the crazy behavior of the bubble
       | era Nortel; for Shopify there will be a pre bubble valuation
       | crash era and a post valuation crash era).
        
         | cardy31 wrote:
         | Just because they're Canadian doesn't mean they'll be Nortel.
         | Nortel had one money making division and a bunch of money
         | losing ones. Gross mismanagement ended them. Shopify looks very
         | different than Nortel (or Blackberry) did.
        
         | [deleted]
        
       | pikelet wrote:
       | It's not just merchants (until reading this I actually had the
       | impression that Shopify's intention was to protect merchants at
       | all costs). I've heard many horror stories from other developers
       | in the Shopify Partners Slack Community. For developers this is
       | potentially even worse than it is for merchants, as many Shopify
       | apps simply cannot be migrated to another platform (and your
       | customers can't follow even if you are able to).
       | 
       | The stories I've seen appear to come under two scenarios.
       | 
       | 1. A new developer builds their first app (significant up front
       | time investment). Upon submitting their app, Shopify bans their
       | account giving some vague reason such as 'developer's name
       | matches that of a known terrorist' (are names globally unique
       | now?) or 'we believe your business presents a level of risk that
       | we will be unable to support'. Shopify doesn't explain beyond
       | that, and further communication is impossible. All the
       | developer's hard work and trust in the platform comes to nothing,
       | and Shopify doesn't care.
       | 
       | 2. Existing developers with successful apps are suddenly delisted
       | from the app store or even shut down entirely. New installs are
       | not possible. Shopify refuses to explain the reasoning. Months
       | pass without any resolution as the developers lose users and
       | revenue.
       | 
       | In the latter case, many partners suspected that these apps were
       | being delisted due to competitors paying for services to flood
       | their app with fake positive reviews, knowing that it would lead
       | to the app being delisted. I don't what came of this situation;
       | whether the matter was finally resolved or those affected just
       | moved on; as I've seen nothing since (this was about 3 months
       | ago). Shopify gave a few vague acknowledgements in Slack along
       | the lines of 'we are taking this seriously, but can't offer
       | details', but nothing more. The casual and/or secretive way
       | Shopify dealt with these cases (where a developer's livelihood is
       | at stake) makes me very worried that I could find myself in a
       | similar situation at any time.
       | 
       | It's not even act first, ask questions later. It's simply act,
       | case closed.
       | 
       | Shopify wasn't always like this. It's a recent trend.
        
         | sekl wrote:
         | "developer's name matches that of a known terrorist"
         | 
         | Happened to my wife, who has an extremely common name, when
         | ordering something online and the shipping company blocked her
         | package. infuriating...
        
       | jstgord wrote:
       | oh.. I had assumed this referred to the _technical_ dark side ..
       | 
       | Was just toying around with porting a friends very successful
       | shopify store to another platform .. noticed the main home page
       | weighed in at 89MB .. wowza. [ To be fair a lot of that was large
       | pngs which are much smaller as jpg or webp ]
       | 
       | Scrolling thru the endless html/css/js page sources injected
       | plethora of 'liquid' inclusions, I can only describe as
       | otherworldly.
        
         | SquareWheel wrote:
         | It would take some very large images to add up to 89MB, even if
         | they were png. I'm guessing they were not sized correctly for
         | the web.
        
           | jstgord wrote:
           | indeed ..
           | 
           | Top offenders were essentially 2048 pixel wide png photos
           | which should have been 1024 wide jpgs at max - weighing 6MB
           | instead of 250k for a difference the human eye probably cant
           | detect : )
           | 
           | but.. more than that, just an endless stream of js html css
           | inclusions .. I suspect 85% of which is dormant, 20% actually
           | repeated, if I were to guess.
           | 
           | hehe
        
             | raihansaputra wrote:
             | I'd hazard it's mostly images and/or the plugins the store
             | has installed to track conversions and / or extend the
             | Shopify store. I do admit plain Shopify stores/themes are
             | quick and lightweight, and the plugins are to blame, but I
             | also point at Shopify for blocking some easy features to be
             | supplanted by plugins.
        
         | savrajsingh wrote:
         | Fun fact: Shopify user accounts are a disaster. Customers
         | cannot stay logged in to your site for more than 24 hrs.
        
           | SenHeng wrote:
           | Maybe the shops you're using have done that on purpose? I
           | worked on a shopify storefront for the past year and our
           | users stay logged in for an indeterminate amount of time.
           | 
           | We actually have a problem figuring out the exact amount of
           | time their access token stays valid as it seems random, from
           | a week to a month to 3 days.
        
         | CptFribble wrote:
         | It's easy to shoot yourself in the foot with Shopify dev,
         | especially since many merchants are non-technical and there are
         | an unlimited number of _very_ cheap Shopify  "dev" shops that
         | will paste anything you want into your theme with no regard for
         | bloat.
         | 
         | Many people running brands, either professional digital
         | marketers or small business owners, have absolutely no concept
         | of page weight. I continually fight battles about this with the
         | various ecomm brands my employer owns, and yet when a marketer
         | updates the home page content somehow we still wind up with 20
         | MB above-the-fold autoplay movie files.
        
       | soared wrote:
       | Why the hell would you continue using Shopify if they are
       | freezing your accs/etc?
       | 
       | Put a banner up on your site saying the shop is down temporarily,
       | rebuild a barebones version of the site just for ecom, etc.
       | 
       | Shopify needs to do better, but I can't help but question the
       | business decisions made by op.
        
         | ceejayoz wrote:
         | The thread talks about preorders already sold via Shopify.
         | Switching away doesn't help with those.
        
         | LegitShady wrote:
         | they did switch - the issue were sales already made within
         | shopify, and two charges to their account from shopify that
         | shopify did not identify why they were taken such that the
         | small business' bank considered them to be suspicious.
        
       | fallat wrote:
       | Still surprised to this day there isn't some installer that just
       | handles everything once you give it a webhost and the payment
       | processor you want.
        
         | adrr wrote:
         | You can bring your own merchant account to any saas e-commerce
         | site and not have to worry about getting your money frozen.
         | Most banks offer merchant accounts and you just pay for a
         | gateway like authorized.net. It's going to be $30/m gateway and
         | $30/m merchant account + setup fees.
        
           | ratww wrote:
           | Yeah, that's how I used to do, and it was quite simple. I
           | actually had much much more trouble with things like Recurly
           | (whose API and packages are absolute garbage, IMO) and even
           | Stripe than with the simpler gateways.
           | 
           | The only problems I had were solved with a few phone calls,
           | as I had a bank manager very interested in doing business
           | with the company I was working for.
           | 
           | But I was not in the USA/EU when I did this stuff, so I have
           | no idea if Stripe and co. have improved things or not. For me
           | (I later moved to Europe) it was a massive regression.
        
       | chris_wot wrote:
       | Holy crap... they made them take down a "Star Wars" section of
       | their site? Why?!?
        
       | whatisweb3 wrote:
       | An option for a crypto payment system could make a difference for
       | this seller and shift some of the power away from Shopify. They
       | would have no way to block access to funds or restrict a willing
       | customer from paying the seller for an item.
       | 
       | There should be an option for a payment provider that is a
       | credibly neutral protocol.
        
         | urza wrote:
         | aaand get downvoted by HN crowd in 3, 2, 1.. :)
        
         | xmodem wrote:
         | That entirely depends on if shopify is still an intermediary in
         | that scenario or not.
        
         | nibbleshifter wrote:
         | Unfortunately the "default" crypto payment acceptance providers
         | people use are user hostile (Bitpay, Coinbase Commerce).
         | 
         | Other options (BTCPayServer) are available, but they need more
         | work to integrate.
        
       | dperot wrote:
        
       | AinderS wrote:
       | It's time to legally compel platforms above a certain (modest)
       | size to treat their customers and users "fairly", transparently,
       | and without discrimination. Because giving a competitive
       | advantage (from economies of scale) to actors willing to sell
       | their independence to some giant corporation is rapidly leading
       | us to where we are at the mercy of those corporations for even
       | the smallest commercial activities, such as buying or selling a
       | book.
       | 
       | Such a state is incompatible with a free society, unless you
       | redefine restrictions on freedom as only what is done by the
       | government. A definition that is little comfort to businesses
       | bankrupted by unaccountable corporations.
        
         | kache_ wrote:
         | Doesn't scale :P
        
         | majormajor wrote:
         | "Transparently" has major issues for dealing with bad actors,
         | which needs to be taken into account when crafting any
         | regulation.
         | 
         | I would probably try to start with just making fairer appeals
         | processes and such (some sort of third party arbitration
         | system, in this case, is probably better than just companies
         | getting to set their own individual and opaque and hard-to-
         | comply-with policies).
        
           | rtsil wrote:
           | And yet transparency is a major element when dealing with bad
           | actors in the physical world in democratic countries. If a
           | suspected murderer is brought to the courts, they have the
           | right to be informed what charges are brought against them,
           | and the right to request all relevant documents from the
           | accusing party to defend themselves.
           | 
           | Why are Internet platforms unable to do that, other than it's
           | too much of a hassle and makes our business unsustainable?
           | Which may be a legitimate reasons for the platforms, but are
           | not legitimate at all for society as a whole.
        
             | [deleted]
        
           | [deleted]
        
           | AinderS wrote:
           | > "Transparently" has major issues for dealing with bad
           | actors
           | 
           | So I've been told. What I _haven 't_ been told is how telling
           | a spammer that they were banned for spamming (instead of the
           | opaque "breaking terms of service") helps them evade
           | detection in the future. They _already know_ they were
           | spamming, and can be 99% sure that 's what they were banned
           | for. It's only the innocent that don't know what they did
           | wrong.
        
             | hiptobecubic wrote:
             | Because people want to know _why_ they were considered to
             | be spamming. Then next time they will make sure not to do
             | it that way.
        
               | AinderS wrote:
               | > Because people want to know why they were considered to
               | be spamming.
               | 
               | You're arguing against a suggestion no-one has made. I'm
               | proposing to tell them what they did wrong, not how they
               | were caught.
        
               | tshaddox wrote:
               | Presumably the point is that the spammer operates many
               | identities and can systematically determine details about
               | the spam detection system by observing which of their
               | identities get banned.
        
               | viraptor wrote:
               | I've dealt with moderation before. The immediate response
               | is something like "I wasn't spamming." or "Prove it."
               | Basically, just saying "you're banned for spamming" is
               | the same as saying "you're banned" - both spammers and
               | unfairly banned people will follow the same path from
               | there.
        
             | semanticist wrote:
             | To really do anything, you'd need to know which specific
             | emails/interactions broke the rules, which would give
             | people trying to find the very edge of acceptability useful
             | information.
             | 
             | "You're being TOS'd because your email titled 'Foo' on the
             | 3rd of July breaks our spamming rules" tells you that your
             | email titled 'Bar' on the 2nd didn't, and you know what you
             | did differently between them and now you know how far you
             | can push before being caught.
             | 
             | It's a bad situation - ideally good actors could get useful
             | feedback to help avoid accidentally crossing a line, but
             | bad actors will absolutely abuse any kind of margin thy can
             | find.
        
         | bel_marinaio wrote:
         | I wish everyone could wrap their mind around one thing.
         | 
         | * _THE SYSTEM WORKS AS INTENDED*_
         | 
         | Anytime someone suggests a good idea like this or says "we
         | should" you need to go back to the root of the problem. The
         | system is designed to give all the breaks and funnel all $ to
         | the top. That is the way corporations want it and they own the
         | politicians.
         | 
         | This isn't government incompetence or some idea that you came
         | up with. This idea will not be implemented because it would
         | benefit the 99.5% to the detriment of the 0.5%
        
         | crmd wrote:
         | It makes perfect sense that as a firm's market power grows,
         | it's regulatory burden scales appropriately.
        
           | zdragnar wrote:
           | Until it turns into regulatory capture, whereby the
           | regulatory burden prevents others from growing their business
           | beyond a certain point.
        
             | treeman79 wrote:
             | Bingo
        
         | [deleted]
        
         | throw_nbvc1234 wrote:
         | > It's time to legally compel platforms above a certain
         | (modest) size
         | 
         | I personally don't agree with "modest" but having two (or more)
         | classes of corporations to divide laws and regulations between
         | seems like an obvious step in the right direction. Right now
         | there seems to be "monopolies" and everything else. Obviously
         | Amazon or Shopify are not the same as a family owned business;
         | treating them as such should be the exception not the norm.
        
         | bawolff wrote:
         | This isn't facebook. Shopify is B2B. I assume there are
         | contracts involved. If shopify is not holding up its end, there
         | are already legal avenues to compel them.
        
           | indymike wrote:
           | > If shopify is not holding up its end, there are already
           | legal avenues to compel them.
           | 
           | The issue is that you can't use the standard, low cost venue
           | for small b2b disputes (this one was over $7,000): the local
           | small claims court. Most contracts will stipulate a
           | convenient venue to the author of the contract (which may
           | cost more than $7k to litigate if you are out of town).
           | Federal court requires a bigger injury and won't hear your
           | case. In many jurisdictions, business cannot self-represent
           | in small claims, so even if it is available, it's expensive.
           | You end up hiring outside counsel, even if you have lawyers
           | as employees which raises costs a lot, and opens up the
           | possibility of a suit where the awarded legal fees dwarf the
           | amount in dispute.
        
             | abigail95 wrote:
             | don't most of these sites, like Shopify, require
             | arbitration for disputes?
             | 
             | or do you worry about actually enforcing an arbitration
             | decision?
        
               | indymike wrote:
               | Enforcing arbitration is usually pretty easy - most of
               | the time the company will honor the decision. It's when
               | they don't that is the problem, or where the situation is
               | not a contractual dispute that can be arbitrated.
        
           | AinderS wrote:
           | If a platform is big enough, it will write one-sided
           | contracts permitting their abuse.
        
           | tomrod wrote:
           | > I assume there are contracts involved. If shopify is not
           | holding up its end, there are already legal avenues to compel
           | them.
           | 
           | The answer to consistent bad behavior can't be "well, just
           | sue!" because the US court systems are already underfunded
           | and jam packed as is. It just doesn't work to (only) have
           | breach of contract lawsuits in David v. Goliath (202X) suits.
        
         | [deleted]
        
       | black_puppydog wrote:
       | so, I get that shopify brings more to the table than just payment
       | processing. but I'm surprised that nobody here has brought up
       | regular SEPA payments and SEPA direct debits.
       | 
       | Of course they will only currently work in the EU, but fast,
       | reliable, cheap direct transfer systems might be a model other
       | countries could implement. The benefit is that banks (at least in
       | Europe) are quite a bit more regulated than e.g. shopify and
       | random lock-outs like this shouldn't be as common, or at the very
       | least should have clearly defined escalation mechanisms.
       | 
       | In terms of customer protection as well, direct debits are super
       | nice here in EU.
        
       | ojkelly wrote:
       | This problem seems endemic to big tech platforms, particularly
       | when money is involved. I remember hearing similar stories about
       | PayPal a decade ago (still do for what it's worth).
       | 
       | While I can understand the desire to not interact with a user of
       | the platform (shopify, google, PayPal, etc), because of the cost,
       | and because many are likely to be bots or actually fraudulent.
       | It's precisely at these edge cases when computers and automated
       | performs the worst.
       | 
       | These are the situations where the scenario is imperfectly
       | modelled in the system. Maybe the engineers didn't think of the
       | edge case, or an ML model never had training data to cover it.
       | 
       | Point is, it doesn't matter. People problems need people
       | solutions. Remediating edge cases involving people's livelihoods
       | strikes me as most likely a people problem.
       | 
       | When you're asking a person or company to trust them in a
       | business relationship into the future, such as by being their
       | shopfront, there's only so many you can destroy before word gets
       | around. I haven't used or recommended businesses to use PayPal
       | for a decade, because I saw them time and again inflict pain and
       | financial stress with no recourse.
       | 
       | As another example, look at the general sentiment around Google
       | Cloud. Would you build a business on top of it? Does that include
       | an exit strategy to multi-cloud, because you're unsure if they'll
       | support the service you use?
       | 
       | If you can't scale to provide a human to help other humans caught
       | in the edge cases of your own system, then you need to
       | acknowledge you're causing harm.
       | 
       | A dog food company that kills a puppy every week, is really a
       | puppy killing company that sells dog food.
       | 
       | It's a matter of perspective yes, but if you got into it to help
       | feed dogs, surely the last thing you would want to do is harm
       | them?
       | 
       | And if you became aware your killing puppies, would it not be the
       | top priority to ensure it never happens again?
        
         | TazeTSchnitzel wrote:
         | You talk about automation, but a lot of these bad decisions are
         | made by humans! Overworked and underpaid ones.
        
         | imachine1980_ wrote:
         | What alternative for PayPal?, and what for cloud?( I know
         | things like linode, but I mean big cloud).
        
           | tluyben2 wrote:
           | There are many alternatives for PayPal; stripe being one but
           | there are many others as well that won't totally screw you as
           | merchant like PayPal does. I use a local one who actually
           | defend me when there are chargebacks and I can visit and talk
           | to a human in case of other issues.
        
             | wawjgreen wrote:
             | local Stripe? local "one" means what?
        
               | tluyben2 wrote:
               | A local provider/company of processing payments online.
               | Local meaning near me.
        
               | [deleted]
        
             | franga2000 wrote:
             | +1 for using local providers for critical infrastructure,
             | especially financial stuff. If something like this happens
             | to me and I can't achieve anything through support channels
             | (which is already unlikely), I can get on a train and go
             | bang on the provider's door within 3 hours.
        
           | [deleted]
        
         | IG_Semmelweiss wrote:
         | Paypal lies and tells you you can take money out of a US
         | account without linking, instead taking funds out via mailed
         | check. But in fact it does not allow for this. The UX has a
         | dark pattern that will lead you to think this option exists,
         | but it will fail. Any mailed check attempt will end as an
         | error.
         | 
         | Customer service escalation confirms its not possible to take
         | funds out without bank link.
         | 
         | Instead of refunding 5k to customers and asking them to
         | inconvenience themselves by paying again via ACH, we had to
         | open a new bank account.
         | 
         | I repeat.
         | 
         | I went as far as opening a new bank account with a new banking
         | institution that would be solely used to link to PayPal.
         | 
         | Do not link paypal to any core business accounts. You really
         | should segregate your core business accounts from any linking,
         | stripe etc or yodlee-type service, if you can help it.
         | 
         | Let the payment relationship be between your bank and your
         | customer bank only.
         | 
         | No middle man. No surprises
        
         | 42365767567 wrote:
         | What's the "general sentiment" around Google Cloud?
        
           | johnywalks wrote:
           | Not just Google Cloud, any google service in general. If you
           | have a problem or one of their "AI" systems locks you out,
           | then you're out. No way to resolve the issue.
        
           | wodenokoto wrote:
           | HN seems to think it's impossible to get access to a human,
           | but I've had Google engineers fix my Python code that
           | inexplicably didn't work in a cloud function.
        
             | Cederfjard wrote:
             | What tier support was this, and how long did you have to
             | wait?
        
       | memorable wrote:
       | Alternative front-end version:
       | 
       | https://nitter.net/mattzollerseitz/status/154199435652101324...
        
         | ornornor wrote:
         | Thanks, so much better than twitter.
        
           | hackernewds wrote:
           | Why doesn't Twitter look like this? Now that Jack departed
           | and the Musk dilemma, perhaps they can start disassociating
           | from their troubled pasts
        
             | skybrian wrote:
             | I don't see the improvement? Nitter has smaller text and is
             | in dark mode. It seems slightly harder to read.
             | 
             | Maybe it's what you're used to.
        
               | valvar wrote:
               | The main difference is the amount of JS bloat. Twitter
               | takes many seconds to load and navigation is sluggish.
        
               | ornornor wrote:
               | Try both twitter and nitter on a mobile without the
               | twitter app.
        
             | the_only_human wrote:
             | run by comitte
        
       | chaostheory wrote:
       | What Shopify did wrong was that it wasn't fast enough to respond
       | with transparency. However, I do agree with them in requiring
       | proof that 3rd party sellers have a legal right to sell
       | "trademarked" or "branded" products especially for books. Amazon
       | is so rife with fake products that it's no better than eBay now.
       | I can no longer impulse buy on Amazon. Depending on the product,
       | I will check if there are 3rd party sellers using Amazon
       | warehousing. If there's any evidence of commingling, I just buy
       | it elsewhere. We've been slowly using Target more and more since
       | they have limits on inventory commingling.
        
         | potamic wrote:
         | Even if there are no 3rd party sellers currently, it's possible
         | they were active before and the current stock is still
         | commingled. The only thing I use Amazon these days is for
         | white-labeled Chinese goods. For everything else I prefer
         | retailers with an end to end supply chain.
        
           | philliphaydon wrote:
           | Buying from Amazon can be really frustrating to buy from. I
           | was looking for wool the other day. 100% Australian wool. But
           | it's spun in China. 100% Canadian cotton yarn!!! Spun in
           | China... it's hard to find something not made in China even
           | if you're willing to pay for it.
        
         | LaundroMat wrote:
         | I'm afraid the EU Digital Services Act (which states that
         | platforms are not "liable for hosting content unless they know
         | it is illegal") will lead to more problems like this.
         | 
         | Platforms will want to be safe, and will content block up-
         | front, meaning it's the user who has to prove the legality of
         | what they are selling. Good luck with that (as the Twitter
         | thread demonstrates).
        
         | LegitShady wrote:
         | >I do agree with them in requiring proof that 3rd party sellers
         | have a legal right to sell "trademarked" or "branded" products
         | especially for books.
         | 
         | lets say a bookstore goes out of business and I buy their stock
         | and sell it in my own store. Do I need proof that I have legal
         | right to sell those books? First sale doctrine is established
         | law - your discomfort with 'fake' books has nothing to do with
         | anything - no one said anything about counterfeit goods.
         | They're asking them to get some 'proof' they can sell
         | merchandise they bought to sell.
        
           | tzs wrote:
           | The first sale doctrine (both the copyright first sale
           | doctrine and the trademark first sale doctrine) doesn't apply
           | to counterfeits.
        
           | askafriend wrote:
           | As a customer, yes I will require proof before buying
           | anything from your hypothetical store.
           | 
           | If Shopify can provide that assurance to me - I will transact
           | on Shopify-hosted stores more with confidence.
        
           | chaostheory wrote:
           | Shopify doesn't want potential fakes, and many customers like
           | myself are sick of them. My discomfort with shady 3rd party
           | sellers has a lot to do with it because I will take my
           | business elsewhere, or eat up customer support hours and ramp
           | up costs related to returns and exchanges.
           | 
           | It's a free market. There are plenty of other online
           | platforms to choose from that don't care whether or not they
           | sell fake garbage. You can also create your own online store
           | if needed.
           | 
           | Apt username
        
         | ffguuficc wrote:
         | I just was about to buy P100 filters on Amazon but all the
         | listings say they are fake. Amazon combines the inventory of
         | all the "same" product together and it lets fakes get through.
         | For me, it's not worth the risk of getting a faulty filter so
         | I'm just going to Ace. As you said Amazon needs to crack down
         | on these counterfeits.
        
         | amluto wrote:
         | I'm not entirely convinced that Shopify should be involved in
         | IP enforcement. Amazon, despite all their claims to the
         | contrary, acts as a retailer. When shopping at Amazon, Amazon
         | is helping you find products and even makes it look like
         | _Amazon_ is selling them.
         | 
         | Shopify, in contrast, stays in the background. For the most
         | part, unless I recognize the checkout flow or see the shoppay
         | option, I, as a customer, don't even know that Shopify is
         | involved in a transaction. I'm not buying, in any material
         | sense, from Shopify.
        
           | theturtletalks wrote:
           | It's MC/Visa that's forcing Stripe and therefore Shopify to
           | "police" for trademarked goods. MC/Visa are effectively
           | determining what people can and cannot sell online. If the US
           | accused you of selling trademarked goods, the burden of proof
           | is on them. With MC/Visa, good luck getting a chance to even
           | provide proof.
        
             | tebbers wrote:
             | Exactly this. The Financial Times just had a good expose on
             | this recently about Visa and MC and the adult industry. The
             | processors shut a huge amount of sites down because they
             | refused to process their payments any more because some
             | hedge fund bro who was anti-porn knew the MC CEO. They
             | completely control commerce online.
             | 
             | https://www.ft.com/content/cff23e36-b507-4717-8830-8b06741c
             | 8...
        
             | mschuster91 wrote:
             | The unholy duopoly MC/Visa has _absurd_ amounts of power.
             | Just look at how bad anything in the adult sector has it
             | with them - instead of the card networks requiring multi-
             | factor authentication to combat PII theft and  "post-nut
             | regret" fraud, they rather raised fees on merchants or cut
             | them off entirely. Or how they acted as police, jury and
             | executioner in the Pornhub case - the allegations were
             | indeed severe, but they should have been dealt with by the
             | courts and not a payment processor.
        
             | arrosenberg wrote:
             | That's an even bigger antitrust issue, because processors
             | shouldn't be policing Shopify without doing it to Amazon.
        
               | amluto wrote:
               | It's not antitrust because it's not (as far as I know)
               | against the law. That being said, I think that VISA and
               | MasterCard should be required to act as common carriers
               | and to serve any lawful business (where lawfulness is
               | determined by courts, not by VISA and MC).
        
               | mchusma wrote:
               | I agree here. Dealing with visa/Mastercard is the worst.
        
           | matt_s wrote:
           | I wanna bet Shopify's legal department, and their budget for
           | lawsuits, may disagree with your opinion. I have to imagine
           | running a huge online store backend or payment processing
           | system has huge fraud departments. If their platform allows
           | fraudulent activity to run rampant (i.e. no checks on
           | intellectual property, etc.) then many companies will go
           | after them for diluting their brand and other types of legal
           | matters. They can get money out of Shopify but they're not
           | going to get anything out of someone selling fraudulent
           | product.
           | 
           | I agree with others in this thread - they should provide a
           | layer of actual humans to help shop owners. And have a
           | process for dealing with AI/ML gone rogue - like the address
           | verification system in this example - where a set of humans
           | can override and make sure a shop owner can continue to
           | operate. Heck send someone to PR to help validate addresses
           | every month.
        
             | amluto wrote:
             | An actual sensible legal regime could be a bit like the CDA
             | safe harbor, or at least more like what CDA safe harbor
             | should be. If an intermediary like Shopify provides
             | services to its clients, does not help users choose which
             | of its clients to work with, declines to exercise
             | discretion as to which clients to work with, and cooperates
             | with court orders, then it should be immune to claims that
             | it chose the wrong clients.
        
       | adrr wrote:
       | I don't understand how shopify is predatory. Shopify isn't a
       | merchant processor, they don't hold merchant funds. Stripe is the
       | merchant processor for shopify payments. They are the ones that
       | froze the payments. Freezing money has no benefit for Shopify.
        
         | Brystephor wrote:
         | I don't know how Shop Pay is engineered, but Shop Pay is
         | Shopifys payment processing platform. I don't know if they're
         | using another provider such as Stripe on the backend though or
         | if they've gone through the PCI compliants.
         | 
         | With that said, just because you're not the one processing
         | payments doesn't mean you're not the one holding it.
        
         | tehwebguy wrote:
         | Shopify has operated as their own payment processor for a few
         | years.
        
           | ZephyrBlu wrote:
           | Shopify Payments is a Stripe wrapper.
        
           | cardy31 wrote:
           | Untrue. They use Stripe.
        
           | sarora27 wrote:
           | Note: I work in the payments space.
           | 
           | Shopify is one of Stripe's largest customers and a very heavy
           | influencer of their roadmap (example: Stripe Treasury,
           | BillPay (coming soon!), and more!)
        
           | adrr wrote:
           | Not yet. Still stripe. I assume their eventually do it as
           | they seek larger merchants that will require interchange plus
           | billing and not blended.
        
             | freeone3000 wrote:
             | ShopPay is 100% a thing.
        
               | beeandapenguin wrote:
               | Shop Pay by is powered by Stripe
        
               | adrr wrote:
               | Still uses stripe.
        
         | cheriot wrote:
         | Hazard of white labelling. If shopify brands the product and
         | sells the product, they own the outcome.
        
           | Spivak wrote:
           | Yeah but some things pierce the white label veil.
           | 
           | Grocery stores have been out of all sorts of products this
           | year and the normal response isn't "this is an outrageous
           | failing of Kroger" it's "Kroger isn't able to source Wheat
           | Thins because of various supply chain issues." Same story
           | with everything in the tech sector.
           | 
           | If you went to McDonald's and they couldn't process your
           | order because Visa banned you then that's not really on them.
           | Or in a more individual level you probably don't get told
           | "well you should have picked a better car supplier" when you
           | call off work because your car breaks down. Customers are
           | also pretty understanding when shows or channels get yanked
           | due to contract disputes.
           | 
           | The bigger issue seems to be that it wouldn't have mattered
           | who they went with and any financial institution would have
           | yanked them after getting a chargeback from their bank.
        
             | cheriot wrote:
             | Kroger is clearly selling someone else's product in wheat
             | thins. Visa is not McDonaldsPay.
             | 
             | These examples are different from white labelling.
             | 
             | On the other hand, this book store hired Shopify, via
             | ShopPay, to handle payments. The good and the bad now
             | belong to Shopify. (I'm not claiming to judge fault)
        
             | Brystephor wrote:
             | > Grocery stores have been out of all sorts of products
             | this year and the normal response isn't "this is an
             | outrageous failing of Kroger" it's "Kroger isn't able to
             | source Wheat Thins because of various supply chain issues."
             | 
             | There's a level of trust that you have to have with a
             | service provider over something like a grocery store.
             | 
             | If you're at a grocery store, and your card is declined due
             | to Visa blocking you, you did not lose out on money. If
             | you're selling things on Shopify, and have shipped orders
             | that you're expecting Shopify to pay you for and they do
             | not pay you, there is now a loss involved.
        
       | tehwebguy wrote:
       | > I responded with an email restating that the First Sale
       | Doctrine makes such a request both nonsensical and illegal, and
       | asked a few more questions.
       | 
       | The rest of the thread notwithstanding, this is not what First
       | Sale Doctrine does, at all!
        
         | rhester wrote:
         | Instead of above, if replying (for the benefit of this
         | community) why not explain how or why you disagree?
        
           | bawolff wrote:
           | I don't even see the above in the tweet thread, but i think
           | its pretty obviously true that the first sale doctrine
           | doesn't make it illegal for shopify to ask more about your
           | business and where you are getting your products from. They
           | don't need any excuse to ask that, they are allowed to ask
           | their customers anything they want.
        
         | LegitShady wrote:
         | If you buy goods from an authorized place and sell them, you do
         | not require any authorization or proof to sell those 'branded'
         | goods, because first sale doctrine means that the original
         | seller has exhausted their legal rights to control the sale and
         | distribution of those items.
         | 
         | So it sort of is what first sale doctrine does. shopify is
         | asking them to produce proof they have authorization to sell
         | something they've already purchased and need no special rights
         | to sell, regardless of whether they're branded or not.
        
           | Thorrez wrote:
           | Shopify banning you for not producing documentation is not a
           | violation of first sale doctrine.
           | 
           | Just like a web forum banning you for posting something
           | annoying is not a violation of your constitutional freedom of
           | speech.
           | 
           | The current law and constitution don't protect you from these
           | actions.
        
           | KennyBlanken wrote:
           | You're assuming his use of copyrighted and trademarked
           | material is authorized.
           | 
           | They're selling books and even soaps with "deadwood" in the
           | name, and they / the publisher (sounds like they're both run
           | by him?) appear to have directly lifted the photo for the
           | cover of one of the books:
           | 
           | https://mzs.press/The-Last-Western-Deadwood-and-the-End-
           | of-A...
           | 
           | ...from here: https://deadwood.fandom.com/wiki/Deadwood_(epis
           | ode)?file=Sea...
           | 
           | My guess is that Seitz got nailed by trademark and copyright
           | infringement claims and is now spinning a story about how his
           | poor poor book shop is getting screwed over by the Big Evil
           | Corporation, as witnessed by the very histrionic language he
           | uses in his tweets.
        
             | teh_klev wrote:
             | Try reading the twitter thread:
             | 
             | https://twitter.com/mattzollerseitz/status/1541994429405331
             | 4...
             | 
             | https://twitter.com/mattzollerseitz/status/1541994429405331
             | 4...
        
             | ipaddr wrote:
             | Trademark cannot stop someone from using that word on an
             | unrelated product like soap. Nor can it stop someone from
             | using a word in a book title.. Is Amazon killing the book
             | industry? is a valid book title.
        
               | Thorrez wrote:
               | > Nominative fair use generally is permissible as long
               | as:
               | 
               | > ...
               | 
               | > (3) use of the mark does not suggest sponsorship or
               | endorsement by the trademark owner
               | 
               | https://www.inta.org/fact-sheets/fair-use-of-trademarks-
               | inte...
               | 
               | I'm not a lawyer, but "Deadwood Soap with a Prize Inside:
               | Dirt" sounds like it could suggest sponsorship or
               | endorsement to me.
               | 
               | Of course, as teh_klev pointed out, this most likely
               | isn't the cause of the store's Shopify problems since HBO
               | says they're OK with what the store does.
        
           | tehwebguy wrote:
           | > If you buy goods from an authorized place and sell them,
           | you do not require any authorization or proof to sell those
           | 'branded' goods, because first sale doctrine means that the
           | original seller has exhausted their legal rights to control
           | the sale and distribution of those items.
           | 
           | Right, but it doesn't make it _illegal_ , as stated by the
           | seller, for Shopify to have these requirements.
           | 
           | I'm giving the seller full benefit of the doubt that they
           | were not selling anything that violates copyright / trademark
           | law. The point is the doctrine still doesn't make Shopify's
           | request or requirements illegal.
        
       | ipaddr wrote:
       | Shopify nickels and dimes you at every chance.
        
         | WheatM wrote:
        
       | nickjj wrote:
       | The author mentioned they didn't like that transaction fees are
       | not given back during refunds but unfortunately both Stripe and
       | PayPal do the same thing. They started doing this a few years
       | ago.
       | 
       | If someone buys your product for $100 and Stripe's fee is $3.20
       | and you issue a refund to someone you will refund the user $100
       | and Stripe keeps the $3.20 so that refund really cost you $3.20.
        
         | jeromegv wrote:
         | Yep. It's very sad for the owner. And I empathize. But a lot of
         | things they blame shopify for is actually the exact same across
         | the ecommerce spectrum.
        
         | tzs wrote:
         | To the processor and other entities such as the credit card
         | companies and banks that are involved with processing the
         | transaction there isn't much difference between a refund and
         | charge. Both use most of the same resources on the same
         | infrastructure the same way in the same amount.
         | 
         | If you had a deal where you were directly exposed to all the
         | fees involved, what I'd expect is that you net fee on a
         | transaction would be composed of fees from three different
         | categories.
         | 
         | 1. Per transaction fees that apply to both charges and refunds.
         | 
         | 2. Fees proportional to the charge amount that apply to both
         | charges and refunds.
         | 
         | 3. Fees proportional to the charge amount that only apply to
         | charges.
         | 
         | On a charge you'd pay the fees from all three categories. On a
         | refund you might get back the fees from category #3 you paid on
         | the charge, but you'd again pay the fees from category #1 and
         | #2.
         | 
         | For example if you sell an item for price P and the fees from
         | the three categories are F1, F2, and F3, your net gain on that
         | transaction is P - F1 - F2 - F3. A refund transaction has a net
         | gain of -P - F1 - F2 + F3. That would bring your total net for
         | the combined charge/refund to -2 F1 - 2 F2.
         | 
         | This we should expect some net fee for a charge followed by a
         | refund. For small transactions that net fee could be up to
         | almost twice what the fee was for the charge alone.
         | 
         | Most processors though don't directly expose you to all the
         | fees. That's because there are a bazillion different possible
         | fees with each different subsets applicable to any particular
         | transaction. So most processors expose a simplified structure
         | based on averages over a large number of transactions across
         | similar merchants. Most merchants prefer that.
         | 
         | When doing such a simplified fee structure, they could set
         | charge fees based on the average for F1 + F2 + F3 and refund
         | fees based on the average F1 + F2 - F3. But refunds should be
         | much less frequent than charges, so it seems find to me when
         | doing a simplified fee structure to just average the refunds in
         | too, and just deal with fees on the charge side of things.
        
           | nickjj wrote:
           | Yeah, I wonder what provoked both Stripe and PayPal to start
           | doing this after not doing it for like 10 years. They both
           | did it pretty close to each other from what I remember.
        
         | voiper1 wrote:
         | I understand that it's common practice, but here Shopify froze
         | their ability to withdraw but still took orders.
        
       | kitsune_ wrote:
       | I just read the entire Twitter thread. What a Kafkaesque
       | nightmare.
        
       | [deleted]
        
       | baskethead wrote:
       | Companies need to spend more money on customer service. Period.
       | End of story. But it's expensive so they would rather risk
       | fucking over a percentage of their customers in hopes that they
       | can contain any problems.
       | 
       | At some point, governments need to step in and regulate this once
       | their customer support to customer ratio drops below a certain
       | percentage. Otherwise it's a form of tax that creates extreme
       | victims and its usually the small customers because big customers
       | can always pick up the phone and call someone.
        
       | qwertyuiop_ wrote:
       | Does Shopify have a marketplace like Amazon ? Ie discovering the
       | products and stores ? I'm struggling to understand the face of
       | it.
        
       | hoten wrote:
       | Isn't this what lawyers are for? Seems like he's just spinning
       | his wheels trying to get through at the customer support level.
        
         | webmobdev wrote:
         | I don't get this logic - why shouldn't he express his anger,
         | frustration and annoyances with shopify publicly? If I was in
         | his position I would do the same too, whether it gets me some
         | response from Shopify or not. Even if I hired lawyers, I would
         | still prefer to tell the public about shitty customer service,
         | especially if it costs me money and time.
        
           | hoten wrote:
           | I think we both agree that complaining in public is
           | cathartic. However, it isn't always the most productive nor
           | protective (of your own emotional state) option available. If
           | that is realized at all, it typically is only with hindsight.
        
             | SZJX wrote:
             | From several cases we've seen here on HN so far, it seems
             | to be a quite effective strategy for finally getting
             | through to somebody at that tech behemoth and having your
             | problem swiftly resolved (even if you may say that
             | "theoretically" this shouldn't be how it works in a society
             | perfectly based on contracts and on the rule of law,
             | depending on your viewpoint). Much better than directly
             | starting a lawsuit, no?
        
             | xmodem wrote:
             | Just from personal experience, on more than one occasion,
             | I've spent hours on hold with a company getting nowhere,
             | fired off a couple of quick tweets, and the issue has been
             | fixed in 10 minutes. I have about 300 followers.
             | 
             | Is it a guarantee? Absolutely not. But it can work, and if
             | the amount of money involved is too small to make involving
             | lawyers worthwhile, it's often your only remaining option.
             | 
             | How else would you suggest handling the situation of
             | needing to recover $7000 that a company owes you but they
             | refuse to acknowledge your existence?
        
         | lin83 wrote:
         | Hiring lawyers is probably going to cost more than the 7000
         | dollars taken from him. Large companies probably spend that
         | much on their legal teams per hour.
        
           | ShakataGaNai wrote:
           | 100% this is the problem with our current legal system. The
           | little guy is going to have to pay, by the hour, for a
           | lawyer. Where as shopify has, I'm sure, an entire team on the
           | payroll. It costs shopify, in effect, nothing to battle this
           | until the heat death of the universe (or the little guy runs
           | out of money, which ever comes first)
        
           | bawolff wrote:
           | IANAL, but shopify is a canadian company not american, so if
           | the seller wins wouldn't they also get legal fees - which
           | makes it harder to bury them under legal fees?
           | 
           | https://en.m.wikipedia.org/wiki/English_rule_(attorney%27s_f.
           | ..
        
       | jstummbillig wrote:
       | Idk.
       | 
       | I got scammed buying a NAS from a smb electronics shop recently.
       | No one will ever know. No one cares.
       | 
       | Logically I think it's far more likely that big companies are
       | compliant because they operate so much in the open and are under
       | constant scrutiny. Every disgruntled customer has the potential
       | to go viral and do enormous damage.
       | 
       | With the most empathic sigh: Shit happens. At big corps most of
       | it. Relatively, probably not.
        
       | bawolff wrote:
       | Honestly, i strongly suspect there is more to this story.
       | 
       | If there wasn't, seems like it would be a slam dunk lawsuit.
       | 
       | I also dont understand why they continued to use shopify if
       | shopify was keeping their money.
        
         | boringg wrote:
         | Yeah I feel the same way. I read his comment thread but it
         | didn't really add up and seemed written in an over the top way.
         | Too me that means there is more to the store than this one
         | side. We will never know the full account for sure.
        
         | KennyBlanken wrote:
         | The incredible histrionics are pretty solid indicator that
         | there's more to the story.
         | 
         | My guess is copyright/trademark infringement. HBO probably
         | doesn't like him selling "Deadwood" soap, or books with covers
         | using frames from the show.
        
           | kmeisthax wrote:
           | From the linked tweet thread:
           | 
           | > But all of our Deadwood items are critical, journalistic,
           | or transformative & HBO legal told me they're fine with them
           | existing.
           | 
           | If this is actually true - and that's a big if - then the
           | problem is that HBO doesn't think the work in question is
           | infringing, but Shopify _does_. This is a huge problem with
           | _any_ kind of intermediary liability, because intermediaries
           | do not have the capability to fairly adjudicate copyright
           | cases. If you 're selling, say, a review of copyrighted
           | material, that's fair use. However, the _problem_ with fair
           | use is that it makes even the most basic copyright inquiry
           | that much more complicated. Publishers and copyright owners
           | don 't want to have to consider fair use for _every_
           | strikingly-similar infringement out there. They want platform
           | owners to have to fix the problems they created, and they
           | know that they will do so in the most half-assed way
           | possible. That means fair use goes out the window - why risk
           | six-figures-per-infringement judgements at all when we can
           | just ignore it and refuse to host fair use content?
           | 
           | That being said there's still problems with the original
           | tweet's argument here. There is a huge gulf between "we don't
           | think this is infringing" and an actual licensing agreement.
           | At _best_ , HBO _might_ be estopped from suing over past
           | infringements, but they have nothing else to mitigate the
           | risk of their store 's existence and no promise that HBO
           | doesn't change their mind tomorrow. Copyright owners like
           | this kind of strategic ambiguity - licensing agreements have
           | rather high transaction costs, and every one you sign means
           | another exclusive license[0] _you can 't sell anymore_. They
           | don't want to _have_ to go after every infringement either.
           | They want to be able to grant and revoke their largesse at
           | will.
           | 
           | [0] i.e. the lucrative ones. There are entire categories of
           | licensing where nonexclusive licenses are basically worthless
           | and nobody will accept such terms.
        
             | LordAtlas wrote:
             | > If this is actually true - and that's a big if - then the
             | problem is that HBO doesn't think the work in question is
             | infringing, but Shopify does.
             | 
             | Let us take this on face value and assume this is the case.
             | 
             | If so, they should have given him notice and suspended the
             | site, yet according to this thread, they kept allowing
             | orders and taking money from his customers to the tune of
             | $7000, but not transferring it to him. That's pretty shady
             | and definitely does not absolve them of any potential
             | liability.
        
           | SZJX wrote:
           | Not sure if the "histrionics" is that over the top or any
           | indicator that they have something to hide. Might simply be
           | the style this person tweets, which can be understandable
           | given how frustrating this situation seems to be. (People
           | easily lose all their calm in such situations and I find the
           | tweets mild tbh.) If anything, the explanation he provided
           | about Shopify being afraid of being sued by textbook
           | copyright holders and even Star Wars copyright holders might
           | make sense.
        
           | philliphaydon wrote:
           | Matt apparently authored books on The Sopranos and Mad Men.
           | And according to him in the twitter thread, HBO helped setup
           | interviews and such for the book. If it has access to HBO
           | like that to write the book, if they didn't like him selling
           | soap they would probably raise it with him directly. Not go
           | to shopify.
        
       | hklgny wrote:
       | I suspect this is more of a stripe problem than a Shopify one.
       | Having dealt with them shutting down our customer accounts on
       | several occasions with no information as to why and ambiguous
       | documentation requests that seem to go on forever, it seems
       | perfectly plausible to me that this was just as frustrating for
       | Shopify as it was the customer. Doesn't mean they couldn't have
       | handled it better, but I've definitely experienced the other side
       | of this story and it's awful.
        
         | canucklady wrote:
         | Nope, it's de rigeur for every ecommerce company. Shopify legal
         | gets some BS email from some big corp, and they slap some vague
         | technological solution on it ("flag anything thay says Star
         | Wars"). Then they get a bunch of overworked, underpaid people
         | to try and enforce their nonsense policy based on the results
         | of the tool. Ultimately they get what they want, because they
         | frustrate these problematic small customers into leaving the
         | platform. Meanwhile they continue to bend over backwards for
         | Jeffree Star or whoever because he'll have a hissy fit on
         | Youtube if his flash sale doesn't happen at the right time.
        
           | ShamelessC wrote:
           | Almost like tech solutions don't always scale to handle
           | international growth. That can't possibly be right though...
           | Growth is the only thing I've ever known. What will I do now?
           | Nobody's going to let me play with hundreds of millions of
           | dollars if I merely make something that "works correctly".
           | 
           | (Dead inside and being sarcastic, btw)
        
             | datavirtue wrote:
             | No, they just can't scale to handle people because the
             | founders are rubbing themselves just thinking about all the
             | automated money. Anything that gets in the way of the money
             | printer gets crushed.
        
       | ShakataGaNai wrote:
       | Shopify _should_ be scrambling to do a public post-mortem right
       | now. They  "Fixed" the situation within a few hours of the
       | tweetstorm, showing that they know they f'd up. Shit happens -
       | but how does shopify assuage small businesses that this won't
       | happen to them next? A public apology, post-mortem and steps to
       | make sure this never happens again.
        
         | nathanvanfleet wrote:
         | I think their plan is to not acknowledge it so it doesn't blow
         | up any further. Fix the problem and let this person tell their
         | story until they run out of steam.
        
         | hackernewds wrote:
         | "sorry because we got caught"
        
         | nerdponx wrote:
         | Unless this ends up being widely reported in the media, most of
         | their customers and potential customers won't even hear about
         | it, and it will only change the behavior of a small fraction
         | thereof. Shopify doesn't have to do anything, and they know it.
        
           | runnerup wrote:
           | Even if people read enough of these that Shopify stops seeing
           | new merchant signups...I don't think Shopify would understand
           | WHY they're not getting any new customers. They'd probably
           | blame it on SEO or something.
        
         | Kiro wrote:
         | You're overestimating the impact. This is just one of thousands
         | of similar stories, none of which has gotten a public apology
         | or post-mortem.
        
         | krmboya wrote:
         | It seems to me companies beyond a certain size become so
         | dysfunctional that no one person can handle a situation like
         | this coherently. It's all different factions internally each
         | pursuing their own objectives, protecting their turf or
         | fighting for survival. It's likely there's not so much the
         | customer service team could have done.
         | 
         | It's not like a small business where the owner themselves can
         | guarantee high quality services
        
         | LegitShady wrote:
         | it does not sound fixed to me. It sounds like they're still
         | threatening this small business because the business' own bank
         | flagged payments shopify took from their account, and were
         | reversed, and shopify can't justify the charges, and is again
         | threatening them. I don't see anywhere its resolved, just that
         | they sent a reply.
        
       | kamranjon wrote:
       | This seems pretty damning and I had considered Shopify to start
       | my own online store selling products that I make in the future.
       | 
       | I am curious if anybody has suggestions for good alternatives to
       | Shopify for building an online store?
        
       | urza wrote:
       | Bitcoin fixes this. Ditch the intermediaries and 3rd parties.
       | 
       | https://btcpayserver.org
       | 
       | EDIT: aand get downvoted by HN crowd, how unexpected :)
        
         | xmodem wrote:
         | "0% fees" (apart from the transaction costs, which are
         | significant, and never mind how long it takes the transaction
         | to go through)
        
           | urza wrote:
           | First of all, nowadays you should be using Lightning Network,
           | where fees are negligible and the payment is finalized and
           | settled in order of seconds. BtcPay server has first class
           | integration of Lightning Network.
           | 
           | And second, even if you want to accept onchain payments,
           | current onchain fees are something $0.2 for confirmation
           | within an hour. Which seems reasonable for having final
           | settlement without any intermediary of your funds this fast.
           | Compare this with traditional payment options like credit
           | cards where you are waiting often times 30 days or even more
           | for settlement and as the OP illustrates, you are at mercy of
           | intermediaries.
        
           | nibbleshifter wrote:
           | BTC fees are basically fuck all these days, and you can just
           | use LN.
        
         | jeromegv wrote:
         | Stop playing the victims on how the angry HN crowd has
         | downvoted you.
         | 
         | You're being downvoted because it's a bookstore that sells to
         | the general public. Less than 1% of their customers would know
         | how to pay with bitcoin, and even for those who do, they would
         | likely keep their bitcoin and hold them right now since it's at
         | a 1-year-low instead of using it as a currency.
         | 
         | It's just not helpful to the situation. That's why you're being
         | downvoted.
        
           | urza wrote:
           | Those are valid concerns, the "hodl only" mentality, the
           | volatility.. but you do you see discussion about this on HN?
           | No, just downvotes. I kind of doubnt that what you say is the
           | motivation for the downvotes. I think if you are being
           | honest, for some reason the HN users just hate bitcoin.
        
       | mk81 wrote:
        
       | kweks wrote:
       | Sorry to hear about your situation. A lot of people have been
       | pointing to the "roll your own" versions of e-commerce stacks.
       | 
       | We've been running e-commerce for the last six years, and have
       | tried everything (woocommerce, open commerce, bigcommerce,
       | magento, prestashop).
       | 
       | They are all light-years behind Shopify.
       | 
       | We've had bumps along the way with Shopify as well (similar
       | problems to yours).
       | 
       | A few thoughts:
       | 
       | - Know who you are in bed with : Shopify Payments is actually
       | Stripe Platform in most locations, and PayPal in Europe. We
       | refuse to work with PayPal because of their predatory behaviour,
       | so we choose not to use Shopify Payments in the EU.
       | 
       | - The Shopify Payments platform is for better or for worse a
       | "start without friction, KYC later" experience. Be aware of what
       | this entails.
       | 
       | - Get on RocketReach, find key people in Shopify relevant to your
       | problem and send a succinct email asking for assistance. It's
       | unblocked every problem we ever had
       | 
       | - Do the same with your merchant processors : Edwin from stripe
       | actively reads HN, and can often provide assistance on Stripe
       | related issues.
       | 
       | - Get lawyers. Not the Go-Sue-the-Pants-off-everyone lawyers, but
       | business / commercial lawyers. Not only can they provide
       | excellent advice for your business, they often specialise in
       | these types of situations to have conversations and results that
       | you can't access individually.
       | 
       | At the end of the day, know your business partners and establish
       | a relationship with them.
       | 
       | Using a combination of the above, we've survived competitors
       | using fake C&Ds against our processors and platforms, amongst
       | other things.
        
         | uxcolumbo wrote:
         | Do you have more details why Shopfiy is light years ahead of
         | the other ecommerce platforms you mentioned?
         | 
         | When you say you're running ecommerce - you mean your own shop
         | or building ecommerce solutions for others?
        
           | jeromegv wrote:
           | Shopify surely has the highest amount of retailers for
           | ecommerce. There might be more websites selling with magento,
           | but when it comes to actual retailers being active right now,
           | it's the best and most popular option. Retailers don't have
           | the tech knowledge to roll out their own tech so it won't be
           | an open source DIY platform so most will start with shopify.
           | 
           | Their App Store is the biggest, which as we know from apple,
           | it is quite important for your ecosystem. You want an
           | advanced inventory tool? A 3pL? A new packing slip app? A new
           | discount app? Any of the best apps out there that are
           | actively developed are integrating with... shopify.
        
         | omnimus wrote:
         | Are you sure about the paypal in europe? AFAIK you can set it
         | up Stripe only if your country supports Stripe which most of EU
         | does.
        
           | kweks wrote:
           | We use Stripe as our primary, when Shopify Payments became
           | available in our region (France) it routed through Paypal.
           | 
           | I couldn't see any backend option to select the preferred
           | Shopify Payments backend processor, but would be interested
           | if you have insight into how to achieve this.
           | 
           | In what gives weight to the GP, we enabled Shopify Payments,
           | confirmed it went through PayPal and switched back to Stripe
           | to avoid the "process with PP for a week and then have them
           | freeze your funds for 6 months" grind.
        
       | jollybean wrote:
       | EBay, Paypal the same.
       | 
       | Admittedly, it's hard to be an intermediary, because the sheer
       | amount of fraud you there. These companies become, due to
       | liability etc. a kind of 'financial police' which isn't their
       | role.
       | 
       | And then have to do that for every little jurisdiction.
       | 
       | I suggest that there needs to be way more transparency about
       | their own terms, and paths to redress grievances.
       | 
       | But probably we need to change regulations a bit as well for
       | e-commerce.
        
       | system2 wrote:
       | WordPress / Magento / OpenCart + Stripe / Authorize.net /
       | BrainTree / Paypal. Why use Shopify and depend on it? Host your
       | own stuff for nearly free ($2-5) and pay very little for the
       | payment gateways.
       | 
       | Shopify charges additional 1% per transaction for 3rd party
       | payment integrations. Weird.
        
         | Brystephor wrote:
         | I work in payments. I'd guess the 1% on top of 3rd party
         | integrations is to encourage folks to go through Shop Pay,
         | which is owned by Shopify.
         | 
         | As for why people don't self host, it's likely just easier not
         | to. You start off on an easy platform because who knows if your
         | business is gonna work, then the business grows and you're
         | already on there so why self host when it's working right now?
         | And you continue down that path until it doesn't anymore.
        
         | tomnipotent wrote:
         | For most Shopify sellers, that 1% is still less than it would
         | cost to pay the person to setup what you're suggesting. Really
         | not weird at all.
        
       | inflam52 wrote:
       | Shameless plug: this is exactly why I built SimpleStore. An easy
       | way to manage a small store without worrying about the platform
       | changing the rules on you.
       | https://chrisdiana.github.io/simplestore/
        
       | [deleted]
        
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