4/13/2025

Overcoming Currency Conversion Issues Following Shopify's Geolocation App Changes

Navigating the complexities of eCommerce can feel like a rollercoaster, especially for Shopify store owners adjusting to the latest updates on the Geolocation app. As of February 12, 2024, Shopify announced a delay in the deprecation of its Geolocation app until March 24, 2025. This change means that merchants can continue using the app for a little while longer, but it also brings to light several currency conversion issues that can arise.

In this blog post, we’ll explore the implications of these updates, how they impact your international sales, and offer insights on optimizing your store’s currency conversion process effectively. So, buckle up as we dive into the world of currency conversion!

Understanding Shopify's Geolocation Changes

The Geolocation app has been a crucial tool for Shopify merchants operating on a global scale. It assists in directing customers to the appropriate version of a storefront based on their geographic location. However, recent advancements on Shopify’s platform aim to reduce reliance on this app's consent-based localization features. Let’s look at the major changes:

Expansion of Automatic Redirection Features: The new features include browser language redirection and consolidation of GeoIP functionalities, encouraging store owners to adjust their settings in light of the updates.
Automatic Browser Language Redirection: This is particularly advantageous for multi-language stores. It allows customers to be directed to store versions that match their browsing language preferences.

While these changes might streamline operations, they also pose challenges regarding currency conversions. For instance, when selling to customers in the EU using top-level country domains (.fr, .de), store owners must implement a consent-based strategy to redirect users appropriately.

Currency Conversion Challenges

Rounding Issues

A common frustration merchants face is improper rounding of prices during currency conversion. Shopify’s default settings can inadvertently apply a minimum price (often $1) across different currencies, leading to inflated pricing when converted. For example, if an item costs $0.20 AUD, it might display as $1.00 CAD during checkout due to rounding. This kind of discrepancy can be off-putting for customers, leading to cart abandonment as they find similar products at better prices elsewhere.

To alleviate these challenges,

Review your store's currency settings in the Shopify admin panel. Check the settings for volume and minimum pricing adjustments.
Ensure round-off settings are disabled by navigating to Settings > Payments > Shopify Payments > Manage. Adjust any rounding options you can find to provide accurate conversions.

Managing Multiple Currencies

Shopify allows for multi-currency transactions, but effective management is essential! As you enable different currencies for your store, consider taking these steps:

Set up local currency transactions through Shopify Payments. This feature allows you to handle various currencies correctly, ensuring there are no unacceptable fees or conversion discrepancies.
Educate your customers about each currency option available, promoting transparency, and using the Best Currency Converter app if needed.

Integration with Shopify Payments

Implementing multi-currency payouts can also prove invaluable. According to Shopify's Help Center, merchants using Shopify Payments can manage transactions across different currencies, which further secures sales. To get started:

Go to Settings > Payments > Shopify Payments.
Click on Manage next to the section for payout accounts to see your options.
You may need to set up multiple bank accounts to receive payments in different currencies directly, which minimizes foreign exchange fees.

Deals and Discounts

Offering competitive deals internationally can be complex, especially when it comes to calculating prices for customers in various currencies. Establish attractive deals for different markets:

Take advantage of promotional periods such as Black Friday or Cyber Monday, ensuring your pricing reflects demand while still being competitive across borders.
Use omnichannel solutions like Arsturn to engage your customers effectively, allowing chatbots to assist with FAQs about currency conversions, shipping rates, and promotions directly on your store’s website.

Pro Tip: Optimize User Experience

User experience is critical in deciding how visitors interact with your store and make purchases. Incorporating a currency changer that allows customers to select their preferred currency can significantly improve the shopping experience. Provide tools like:

Currency switchers that can be easily placed on your site’s header, allowing for instant rate checks and seamless transitions between forms of currencies.
Ensure that users experience minimal lag during conversions by implementing robust APIs from reliable third-party applications that specialize in currency conversion.

The Future of Currency Management in Shopify

As Shopify continues to evolve, the importance of staying ahead of geolocation and currency conversion trends cannot be overstated. By keeping your store aligned with Shopify’s updates, such as those regarding the Geolocation app, you can improve your sales conversions and provide better service to international customers.

Let’s remain mindful where currency management is concerned — it’s about creating a shopping experience that doesn’t frustrate potential buyers. Solving these conversion problems will ultimately drive sales and build your brand’s reputation.

Conclusion: Take Charge Today!

The world of international eCommerce is riddled with challenges, especially following updates to key functionalities like the Geolocation app. But with the right methods and a proactive approach, you can overcome these currency conversion issues efficiently. Don’t forget to check out customizable solutions like Arsturn, where you can create AI-assisted chatbots tailored to answer customers’ conversion questions and enhance their shopping experience, ultimately leading to better engagement and sales.

By staying informed and taking decisive action now, you’ll not only keep your store running smoothly but also build a loyal customer base in multiple currencies!

Happy Selling!