What is Magento 2 store credit? – Know Everything Here

Magento 2 store credit is a great strategy for recurring sales and enriching your customer relationship.

If you are looking to learn what is Magento 2 store credit in detail or want to know the steps to implement it in your store, this blog is for you.

This blog post ticks both the boxes. ✅

Master the role of Magento 2 store credit for your store here and see an improvement in brand loyalty among your customers.

Table Of Contents

• What is Magento 2 Store Credit?
• How to Configure Magento 2 Store Credit?
• Configure Magento 2 Store Credit Without Any Hassle
• Frequently Asked Questions

What is Magento 2 Store Credit?

In layman’s language, think about Magento 2 store credit as a digital wallet.

Where you can offer your customers store credits, which they can use anytime in any of their future purchases with your store; these store credits are only applicable to your store.

For example;

You, as the store owner, can provide these store credits in the following scenarios:

• Returns and exchanges: This is an apt situation to use the store credit, and many store owners do as. In the case of refunds, you can offer store credit instead of coupons or cash.
• Rewards: You can reward the loyal customers or the frequent buyers as a token of appreciation and keep the morale high.
• Order cancellation or unlikely situations: Whenever there is an order cancellation or an unlikely situation like a bad customer experience or delivery issues, you can offer them these store credits to keep them engaged with your store.

While running an e-commerce store, unlikely situations are out of control, how much every we  try.

But, with the right strategies and tools, you can create a win-win situation where you don’t lose your valuable customers and turn the lost revenue opportunity into sales.

The store credit helps you to create this perfect win-win situation.

Now that we are clear on what is Magento 2 store credit, let’s move ahead and see how you can configure it.

How to Configure Magento 2 Store Credit?

You add this functionality in your Magento 2 store in two ways:

• Configuring manually
• Configuring using an extension (easier and more effective ✨)

Let us look at both methods step-by-step.

Configuring Manually

Here are the steps to configure store credit on your Magento 2 store:

1. Log in to your Magento 2 store, and from the sidebar, navigate to Store → Configuration.
2. Click on the Customer Configuration section and expand on the Store Credit Options tab.
3. Here, you will need to Enable Store Credit functionality to Yes.
4. Then, set the Show Store Credit History to Customers and Refund Store Credit Automatically fields as per your preference.
5. Fill in the Store Credit Update Email Sender and Store Credit Update Email Template fields.
6. After you have made the necessary changes, click on Save Config.

After completing these steps, you can add or update store credit to your customer’s account accordingly.

Here are the easy steps to update the store credit balance.

1. From the Admin sidebar, head to Customers  → All Customers.
2. Find the customer account, and in the Action column, click on Edit.
3. In the left panel, choose Store Credit. and the website you want to reflect with the balance.
4. Select the website and enter a new value in Update Balance field.
5. If you wish to notify the customer, select Notify Customer by Email checkbox, and add any comment.
6. When done, click on Save Customer.

Configuring Using an Extension (Easier And More Effective)

Here, we will use the Meetanshi Magento 2 store credit extension.

1. First, configure the extension: Stores  → Configuration → Meetanshi → Store Credit. After this, take the following action:

• Store Credit: Enable or disable the Store Credit extension.
• Allow Applying Store Credit on Tax: Select YES to allow customers to spend store credit on tax.

2. Now configure the settings for where the customer can spend the store credits and how you want to store the credit balance in the front end.

We recommend to set the action as Yes for all the field here.

3. If you wish to send an email notification, configure the following setting with the correctly:

• Enable Store Balance Update Email: Set YES to send email notifications. 
• Send Email on Actions: Select the actions on which you want to send the email notifications to the customers.
• Email Sender: Select the email sender.
• Reply To: Select the contact to which you will receive the email reply.
• Email Template:Select the email template.

And after finishing this process click on Save Config. And it is that simple using the extension!

After successfully configuring Magento 2 store credit in your store, here is how your customers can make the best out of it and you as a store owner.

Customers

• Your customers can apply store credit any where from the cart page to the final checkout page.
• The can easily opt out and Cancel Store Edit, if they wish to not use store credit for this transaction.
• From the My Account, they can view all their store credit details. Below is the screenshot it:

Store Owner

• You get the complete control over these store credits from your Magento 2 backend.
• In case of any refund, you can easily enter the amount and the extension will turn it into store credit – a complete time saver.

Frequently Asked Questions

Is Store Credit Real Money?

Ans: No, they are not real money, but the customers can easily use them in the next purchase to enjoy the additional reward.

How to Make a Refund With Store Credits?

Follow these steps:

• Head to Sales → Orders and find the needed order. Then, open it and click the Credit Memo button.
• Now, you can specify the quantity to Refund and return items to stock.
• Now head to the refund section, select Refund to Store Credit, and enter the amount you want to return.
• After it is complete, click on the Refund Offline button.

Configure Magento 2 Store Credit Without Any Hassle

Now, you know what is Magento 2 store credit and how you can configure it.

Both methods are extremely easy to carry out; however, using the extension gives you an upper hand as:

• Notifies your customers via email when store credits gets updated.
• You spend less time in the refund process as the extension automatically converts the refund amount to store credit.
• Adjusting the store credit by giving you complete control of the backend admin.

So, go ahead and win your customers with an enticing Magento 2 store credit strategy.