34. TimeCreated with Sketch.

6 minute read

6 minute read

Why Shopify Dropped a Bunch of CBD Clients and Merchants

Canadian online-store provider Shopify seems to have dropped a significant amount of CBD (Cannabidiol) Product Merchants last week — and this might be a problem.

Owing to the legal grayness surrounding CBD, they’ve chosen to shut down a bunch of CBD eCommerce sites –- frequently without notice. 

CBD Stores Banned by Several eCommerce Platforms

We’ve migrated countless CBD merchants from Shopify to BigCommerce simply because of this problem. Shopify looks more serious than ever about this, since the stores that were taken down were some established ones. 

So we expect more stores to be closed in the near future. If you are a business that sells CBD products, migrating right now might be the wisest decision your business can make.

Which eCommerce Platform is Best for Selling CBD Products?

We recommend migrating to BigCommerce when it comes to marketing CBD products and Firearms online. 

BigCommerce supports CBD and Firearm businesses a lot more than Shopify, which just dropped a bunch of CBD businesses without notice.

Optimum7, a BigCommerce Elite Partner eCommerce agency, has done hundreds of migrations for clients with CBD businesses. We know the ins and the outs when it comes to migrations and eCommerce store development. On the marketing side, we have a proven track record as a successful CBD SEO agency as well. 

Why Should You Migrate From Shopify to BigCommerce?

The BigCommerce standard plan is a good choice for companies that want to avoid transaction fees. You get more features than on the Shopify standard plan, like saving abandoned carts.

BigCommerce is the best choice for people who want access to state-of-the-art reports that can help their business grow. Unlike with Shopify plans, you get these analytics on all plans and even receive real-time carrier quotes which offer great discounts on shipping too! 

You don’t even have this privilege until you’re paying an extra $299 per month with Shopify. BigCommerce allows you to sell a wider variety of products, such as CBD products, than basic Shopify because it offers tons more product options and custom fields for uploading data about your items.

BigCommerce Boasts More Benefits for CBD Merchants

BigCommerce gives you access to a wide range of customer service representatives from around the world. In addition, all BigCommerce plans come with unlimited staff accounts and work with different POS systems for brick-and-mortar stores as well!

They offer nice, out-of-the-box features that allow you to get started right away without having to go into the app store and buy upgrades there. If you are looking for something basic though, BigCommerce might not be your best option because it does require some more technical experience than other platforms do. 

Fortunately, you aren’t alone. At Optimum7, we want to help you develop your CBD Business or migrate from Shopify to BigCommerce with ease.

You don’t need to have the technical skills required for this type of switch, and Optimum7 does all the work on your part with no bugs or glitches along the way!

Our experienced team will create a new BigCommerce online store by copying over everything in your old online store. That way, you can make changes without worrying about losing important customer data types, such as customer passwords, addresses, and order history, when migrating custom data to your new BigCommerce store. To learn what kind of data can be migrated from Shopify To Bigcommerce visit the migration page. 

Advantages of the BigCommerce Platform

BigCommerce is a great eCommerce website for companies that want to achieve rapid growth online. There are no transaction fees, so more of your money goes towards your company instead of theirs.

BigCommerce also has tons of built-in features like SEO abilities, scalability, and multi-channel abilities which ensure your success on their platform as well!

Disadvantages of Shopify Platform

Shopify is great for entrepreneurs, as it has low startup costs and offers many features for beginners. However, you should know about its limitations before using the platform: limited options in scalability (you need to rely on third-party apps a lot), and transaction fees unless you use Shopify Payments. Also blogging isn’t very good compared with other platforms’ offerings. Additionally, search engines might not like how URL structures are set up, which can impact SEO, though this effect is minor. 

More important to a business owner is the prospect of their store dropping them. So, while we recommend CBD sellers move to BigCommerce, we also recommend working with Shopify Plus developers on the migration to ensure all data is transferred effectively.

Key Things to Consider When Setting Up or Migrating Your CBD Store

1. Create a CBD Store that Promotes Itself

The key is to have a low-effort experience! We can design a visually attractive online store with a rich user interface to enhance your brand and increase conversion rates. 

We recommend numerous layers of protection. Choose the best online CBD payment processors, set up online age verification functionality, and provide all of the integration your company requires to attract clients.

If you are new to the CBD niche, remember that CBD is a relatively new market.  As a result, first-time purchases are likely. Unlike other consumers, these individuals will require more support and encouragement to make a purchase. 

Encourage 1st-Time Customers with Intuitive Navigation

To match their customer experience, update your website’s navigation to reflect their needs. To give more precise product suggestions, develop descriptive product categories and subcategories to organize your products by ingestion

2. Have Explanatory Product Pages

The FDA bans companies from claiming that their CBD products may “diagnose,” “cure,” “treat,” or “prevent” any sickness, even if they’re true. Even if it’s enticing, don’t make any exaggerated claims. 

However, you can look for genuine medical studies on CBD usage. You can also use consumer voice data in your product listings, such as public/private reviews, first-hand accounts/stories, and general comments.

Finally, product descriptions that are overly complicated should be avoided, as not everyone is a CBD expert who understands industry lingo. While technical product information is always beneficial, avoid using complex chemical terminology, jargon from the workplace, and strange CBD pop-culture allusions.

3. Banking and Financial Service Issues

Many financial service providers categorize CBD enterprises as “high-risk” because of the aforementioned vulnerabilities in state laws and regulations. Be prepared to wander around and haggle while applying for a merchant account. 

Because of the negative perception that the cannabis sector has among certain banks, obtaining more financing through company loans may be difficult. Therefore, refrain from doing so.

4. Commercial Insurance Issues

Insurance companies are taking their time in responding to the recent legalization of cannabis and hemp-derived products. CBD businesses, like conventional banks, frequently face denial of permission to operate or are charged steep fees. 

However, having a solid insurance plan is in place for your firm’s liability is critical.

5. Differentiation from the Competition

Customers are wary of new market entrants due to deceptive marketing and exaggerated claims about CBD’s usefulness. Avoid making scientific assertions that haven’t been validated (even if they look promising for marketing). 

Check your sources and get the help of well-known experts to create instructional booklets and material. Make honest, no-nonsense assertions to distinguish yourself apart from the sleazier types.

6. Transparency is Important 

Explain to your clients what they are about to acquire and consume, from where you get your hemp plants to the analysis verification.

Your distinctive narrative may help you establish an emotional connection with your target audience if you stick to your company’s brand objective and principles.

For Those Who Are Worried, This Is Your Sign To Make The Switch!

It’s not the first time Shopify dropped CBD clients without notice. We suggest that you don’t wait for the next ban wave to hit you to migrate your CBD business to a more CBD-friendly eCommerce Platform.

If you are considering migrating your online store, we are here to help with our years of experience. All you have to do is contact us and we can discuss which eCommerce platform is the best choice for your business.

 

Let's Talk

A digital marketing strategy is the path to profitability. Optimum7 can help you set the right goals, offer and implement creative and technical strategies, and use data and analytics to review and improve your business’s performance.

Share on Social Media