Annual Subscriptions

Overview

This article will share information on annual subscriptions and how it’s different from monthly plans. It also contains answers to frequently asked questions regarding the annual subscriptions.

Platform

Shopify

Benefits

Here’s how annual subscriptions provide benefits for merchants:

  • Help them plan a whole year
  • Get them a better deal based on the longer timeframe

Key differences between Shopify’s monthly and annual plans

Some key differences between Shopify’s monthly and annual subscriptions are:

  • Annual plans do not allow usage cap amount.
  • The merchant needs to wait for the annual plan to expire to move to a monthly plan.

Things to remember

  • Similar to monthly plans, the merchants can update from one annual plan to another annual plan, even before the annual plan is over
  • Pro-rate is used when merchants move from monthly to annual plans, and also when moving between annual to annual plans.
  • If you move back to a monthly plan, it will start only after the annual expires. Pro-rate is not applied in this case.

FAQs

  1. What to do if I'm on an annual plan and my shipment quota is depleted?
    You can always subscribe to a higher annual plan, and your subscription will be pro-rated. This way, you do not need to be worried if you did not make the right choice.
  2. Why is the usage cap not allowed on annual plans?
    As all payments are processed by Shopify, this is currently a limitation on their side.
  3. Why can't I move to a 30-day plan in the middle of the annual subscription?

    This is another limitation by Shopify. Monthly plans can start only after the annual plan expires.

  4. How do I know that I'm on an annual plan?

    During approval of subscription, you will see that Billing states Recurring yearly, as shown below:

    It can also be confirmed once you receive an email. In the picture below, you can see that the Charge amount states every year.