Cymbiotika, a subscription-based health and wellness company for people who want to take charge of their health, makes customer experience (CX) a top priority. It chose the Shopify platform to keep up with its meteoric year-upon-year growth.
But as sales accelerated, so did fraud. Cymbiotika’s existing fraud-prevention solution flagged too many false positives, leading to a large number of legitimate subscriptions being canceled. The cancellations alienated many loyal customers. And the support team was bogged down with hundreds of complaints a day about the refused payments.
It was time for a new plan.
A chargeback guarantee for Shopify is a business optimizer
Cymbiotika turned to Signifyd to manage risk while nurturing loyal subscribers and welcoming new customers. The fact that Signifyd effortlessly integrates with Shopify, offers Shopify merchants a chargeback guarantee and scales limitlessly sealed the deal. Signifyd helped Cymbotika:
- Increase revenue by boosting the number of legitimate orders approved.
- Reduce false declines, which improved customer experience and loyalty — and boosted customer lifetime value (CLTV).
- Minimize costs by reducing manual review of suspected fraudulent transactions, enabling it to redeploy its support staff to higher-value tasks.
Since partnering with Signifyd, Cymbiotika’s approved transactions have increased to 98%, driving enhanced CLTV and higher revenue. Chargebacks have also been reduced by 93%, resulting in higher overall profitability.
How a Shopify chargeback guarantee spurs revenue growth
Although Shopify helps retailers sell online more easily, managing fraud and the risk of fraudulent orders can still be challenging for rapidly growing companies. Growing companies benefit from machine-learning-based fraud protection with a financial guarantee. The forward-focused approach, like that taken by Signifyd, eliminates the need for manual rule setting and provides a predictable cost of fraud. The machine-based guarantee model can also scale seamlessly as a Shopify merchant’s business scales.
By combining Shopify with Signifyd, merchants get powerful, AI-driven protection built right into their ecommerce flow. The combination also:
- Automates fraud protection within Shopify so retailers can skip manual reviews and focus on growth.
- Speeds up Shopify order processing with instant, AI-driven risk decisioning.
- Increases approval rates on the Shopify platform by accurately identifying good customers.
- Simplifies operations with a fully integrated solution — no need to juggle separate tools.
- Boosts customer trust with a smoother, safer Shopify checkout experience.
A case in point: Rainbow Shops has built a global fanbase based on selling affordable styles for women and children. When seeking to streamline its checkout process, the online merchant upgraded to the Shopify platform. But its existing fraud solution was not proficient at fighting abusive chargebacks. Realizing it needed a provider that was integrated more tightly with Shopify, Rainbow began evaluating new solutions.
Signifyd’s easy integration with Shopify yields multiple positive results — quickly
Signifyd’s pre-built Shopify integration proved very attractive to Rainbow. The additional revenue-boosting benefits of Signifyd’s chargeback recovery feature and the overall quality of Signifyd’s expertise and reputation sealed the deal.
Signifyd delivers powerful fraud protection and its tight integration with Shopify made the following benefits seamless and scalable for Rainbow and other online retailers.
- Shopify’s real-time order flow allows Signifyd to instantly assess risk and reduce false declines at checkout.
- High-risk orders are automatically declined within the Shopify system, preventing chargebacks without extra steps.
- Shopify’s automation tools work with Signifyd to keep order processing fast and uninterrupted.
- Merchants manage everything from the Shopify dashboard, where Signifyd’s decisions and the Shopify chargeback guarantees are visible alongside each order.
- Shopify’s ecosystem supports rapid scaling, and with Signifyd embedded into it, fraud protection also scales, without any extra tech burden.
With Signifyd integrated into the Shopify platform, Rainbow has increased its chargeback win rate to 50%, bringing overall chargebacks down by 51%. Order approvals are 99.5%. And all this has been achieved during its transition to Shopify — a transition aided by Signifyd’s seamless integration.
How Shopify merchants keep up with growth spurts with a chargeback guarantee
Signifyd’s Guaranteed Fraud Protection allows retailers to focus on running and growing their businesses without worrying about losing money to fraud. If Signifyd approves an order that turns out to be fraudulent, merchants get their money back.
Au Vodka is a premium vodka brand that experienced explosive growth through its international direct-to-consumer online business model. But the growth of fraud rivaled the increase in sales. Au Vodka was forced to dedicate hours of manual review to monitor fraudulent transactions, but it was still experiencing significant product and chargeback losses.
With a chargeback guarantee in place, AU Vodka focused on growing its Shopify store
Knowing that with continued growth comes the potential for more fraud, Au Vodka turned to Signifyd. It hoped to get its escalating fraud rates under control so it could shift its focus back to growing its business. Signifyd not only provided Au Vodka with essential chargeback fraud protection but gave the growing brand an added boost through increased conversions and higher revenue.
Signifyd’s Shopify chargeback guarantee is of particular interest to online merchants like Au Vodka because it:
- Protects revenue: The merchant is reimbursed for all the costs of fraud on approved orders.
- Makes costs predictable: Fraud losses become fixed and manageable. Retailers are never surprised by a bad quarter due to higher-than-expected fraud.
- Boosts efficiency: Teams waste less time chasing chargebacks or reviewing risky orders.
- Improves customer experience: Legitimate buyers complete purchases faster, boosting conversions and customer lifetime value.
- Scalability: Supports growth without adding fraud risk or operational overhead.
Since starting with Signifyd, Au Vodka has seen a 97% decrease in fraudulent orders — even during peak months when online orders saw upwards of a 133% increase. And with Signifyd’s 100% guarantee on every approved order, Au Vodka no longer is plagued by revenue leakage due to false declines. This has allowed it to continue global expansion efforts and confidently introduce its premium spirits to new markets.
Signifyd fraud protection increases revenue for Shopify merchants
It’s a mistake to think that a fraud prevention solution like Signifyd simply stops you from leaking cash due to fraudsters. It transforms your fraud operation from a cost center to a revenue generator. Indeed, looking at the savings from avoiding fraud isn’t a broad enough view to really understand how a merchant can benefit from a platform like Signifyd.
That’s because the business case for Signifyd is much more than simply comparing chargeback costs to Signifyd’s fees, which it earns only on approved orders. First, there are all sorts of related costs associated with chargebacks, such as shipping, taxes and overhead.
A chargeback guarantee for Shopify results in more approved orders
Most importantly, financial benefits include the incremental revenue from the higher order acceptance rates online retailers can expect when using Signifyd. Merchants can accept more orders — even those that might appear risky — because Signifyd’s machine learning models are so precise and because of its guaranteed fraud protection feature.
And don’t forget the improved customer experience, which directly leads to higher CLTV, and, eventually, to much more sustainable and profitable growth. Because Signifyd’s AI capability eliminates most manual fraud review — which takes time and delays orders — customers are happier, more loyal and buy more over time. Plus, your support team can focus on more strategic, revenue-generating activities rather than simply plugging cash leaks.
Looking to increase revenue and eliminate your chargeback costs? Let’s talk.
