Key Insights in 60 Seconds
The shortest possible answer to "do I need a second store to sell internationally?" — read the cards, then drill into whichever section maps to your situation.
What You'll Learn
What's New Since Publication2Latest: August 11, 2026
- Managed Markets stops supporting DDUShopify ended DDU support in Managed Markets in every country and region where Managed Markets supports DDP, effective 24 August 2026. Markets that used or inherited DDU moved to DDP automatically, so those buyers now pay duties and taxes at checkout rather than to the carrier on delivery. Standard Markets are untouched — the DDU column below still describes them — but a store on Managed Markets that wanted buyers to keep paying at the door had to turn Managed Markets off before 24 August 2026, and Shopify has published no way back since.
- Automatic hreflang tags became a setting you can switch offShopify added a toggle for automatic hreflang tags in Online Store → Preferences, in the Social sharing image and SEO section. The tags are still generated automatically by default, so nothing changes for most stores. What changed is that the behaviour is now a setting rather than a fixed property of the platform: a store that already manages hreflang itself can turn the automatic tags off to avoid duplicate annotations, and Shopify warns that turning them off without a replacement in place can hurt the store's SEO.
What Shopify Markets Actually Is
Key takeaway
Before Markets existed, selling in more than one country on Shopify meant either accepting that everyone paid in your base currency on one English storefront, or duplicating the store — a new admin, a new theme, a new product catalogue, and a separate set of staff seats per region. Shopify Markets collapses that into a single admin: each market is a configurable bundle of countries that you point at a currency, a language, a domain or subfolder, a set of payment methods, and (optionally) a tax and duty stance.
The mental model is simpler than the settings screen suggests. You have one catalogue with one source of truth for products, inventory and orders. Each market is a view on that catalogue, with localised presentation and commerce rules. A buyer in France hits your fr.yourbrand.com domain, sees prices in EUR rounded to clean €19.99, reads the French translation, pays with Cartes Bancaires, and lands as an order in the same admin as your US orders — same SKUs, same inventory pool, same fulfilment workflow.
Markets vs Managed Markets vs a Second Store
Key takeaway
Most cross-border decisions on Shopify reduce to three options. The table below is the navigational core of this article — the rest of the sections drill into each row.
Three Ways to Sell Internationally on Shopify
| Dimension | Standard Markets | Managed Markets | Separate Store |
|---|---|---|---|
| Cost | Free — included in your plan | 3.5%/order (3.25% on Plus) on international orders | Full second subscription per store |
| Merchant of record | You | Global-e | You (per entity) |
| Tax & duty handling | Your responsibility; DDP at checkout optional | Global-e remits tax and manages duties | Your responsibility per legal entity |
| Currency & language | Per market, auto or fixed | Per market, auto or fixed | Per store |
| Catalogue | One shared catalogue, scoped per market | One shared catalogue, scoped per market | Independent per store |
| Admin overhead | One admin, one team | One admin, one team | Multiple admins, multiple staff seats |
| Best for | Most cross-border DTC brands | Brands that want to outsource international tax/duty exposure | Different catalogue, brand or legal entity per region |
The defaults are honest: standard Markets is the right starting point for almost everyone. Managed Markets is worth modelling once your international tax compliance starts costing more in accountant fees than 3.5% of cross-border revenue. A separate store is the right answer surprisingly rarely — usually only when you have a legitimately different catalogue or legal entity, not just "we want a different homepage."
Not sure which row of the table is yours? The quiz below maps your situation to one of the three options in 5 questions.
Currencies, Pricing and Payouts per Market
Key takeaway
For every market, you choose how prices are derived. The three options trade off effort against margin control:
Per-Market Pricing Models
| Model | How it works | Effort | Margin control |
|---|---|---|---|
| Auto-converted | Live FX rate from base price, with a rounding rule (.99, .95, .00). | Zero — set and forget | Low — margin drifts with FX |
| Percentage adjustment | Auto-conversion plus a flat uplift per market (e.g. +10% in the EU to absorb VAT/duties). | Low — one number per market | Medium — protects within a band |
| Fixed per-SKU | Explicit price per product per market, set manually or via CSV/Matrixify. | High — ongoing maintenance | Full — every price intentional |
Payouts work the way they always have on Shopify Payments: regardless of which currencies your buyers pay in, Shopify converts and pays you in your store's single payout currency. The conversion fee is taken at this step, on top of your plan's card rate — in the US, standard cards run 2.9% + 30¢ on Basic, 2.7% on Grow and 2.5% on Advanced as of July 2026 — so a EUR sale to a USD-payout store carries both charges on the gross order amount.
If your store's payout currency differs from the customer's currency, then a currency conversion fee is charged to convert the customer's payment to your payout currency.
B2B catalogs ride the same market layer well below Plus — and on those plans that is a requirement rather than a description: Shopify states that to use B2B catalog features on Basic, Grow or Advanced, your store must be using new Shopify Markets. Basic, Grow and Advanced can each assign up to three active catalogs across all B2B markets, and contextual checkout and contextual storefront customization through Markets start on Advanced. Plus is what removes the catalog cap and lets you assign a catalog directly to a specific company or company location for customer-level pricing. So the plan decision here is about scale and how precisely you target a buyer — not about whether B2B exists at all.
Domains, Languages and International SEO
Key takeaway
The domain choice for each market is a strategic call, not a settings checkbox. The three patterns each carry different SEO implications and operational cost:
Domain Strategies for International Markets
| Pattern | Example | SEO weight | When to use |
|---|---|---|---|
| ccTLD | brand.fr | Strongest local signal; independent authority | Established brands with budget for per-country domain costs |
| Subdomain | fr.brand.com | Treated as semi-independent by Google | Cleaner separation than subfolders, simpler than ccTLDs |
| Subfolder | brand.com/fr | Inherits domain authority of the root | New international launches that want to ride existing rankings |
Whichever pattern you pick, Shopify writes the hreflang tags automatically between the localised versions so search engines understand that brand.com/fr/products/x is the French equivalent of brand.com/products/x, not a duplicate. Since July 2026 automatic hreflang tags are a setting you can switch off in Online Store → Preferences rather than fixed platform behaviour — they remain on by default, and whether you should ever turn it off has one documented answer. The common failure mode is launching ten markets with no translation — the same English content under ten URLs is the duplicate-content problem hreflang cannot fix. The safe baseline is one canonical language with translated variants only for markets where translation is real.
When you add a translated language to your online store, Shopify automatically adds hreflang tags to your storefront. These tags help search engines like Google determine which version of your store to show customers based on their language and location.
Translation itself runs through Translate & Adapt, Shopify's native app. It is free, and as of August 2026 has no paid tier: machine translation covers two languages, while manual overrides for product titles, descriptions, metafields and theme strings are not capped. Shopify limits automatic translation to a maximum of two languages, so beyond that you either translate the rest by hand at no cost or bring in a third-party translation app such as Langify or Weglot. The app also leaves several content types in your original language whatever you do — what Translate & Adapt does not translate works through each gap and what closes it.
Duties, Taxes and Merchant of Record
Key takeaway
Cross-border tax is the single hardest part of international commerce, and it's where Shopify's two paths diverge most clearly. On standard Markets, you remain the merchant of record. You're responsible for VAT registration in every jurisdiction where you owe tax, for collecting and remitting the right amount, and for either pre-paying duties (DDP) or letting carriers collect from buyers at delivery (DDU). The headline thresholds — €10,000 in the EU under OSS, £90,000 in the UK as of April 2024 — apply to businesses established in those regions; sell in from outside and you register from the first sale.
DDP collection is configurable per market under Settings → Markets → Duties and import taxes. Shopify calculates the duty in real time based on product HS codes, ships-from origin, and ships-to destination, and adds it to the checkout total. There is a 0.5% per-transaction add-on fee for duty calculation on standard Markets (0.85% with Shopify Payments, 1.5% without; fee is waived under Managed Markets). The buyer pays one bill, the carrier sees a prepaid shipment, no surprise customs invoice at the door — this is the single biggest cause of refused international deliveries.
One regulatory note for EU-bound parcels: since 1 July 2026 the EU's €150 duty-free threshold is gone, and consignments under €150 pay a flat €3 per tariff line instead. This guide stays focused on the Markets mechanics; the duty math, absorb-vs-pass-through pricing and setup specifics of that change live in our EU €3 import duty and landed cost guide.
Managed Markets is the alternative. Global-e becomes the legal seller for international orders, which means: Global-e provides the tax registration, remits tax to local authorities, manages duties and import tax on your behalf, and creates the commercial invoices — but only while you buy labels from a Managed Markets shipping service; on your own negotiated third-party rates Shopify says those benefits do not apply. You see the order land in your admin like any other, ship it normally, and pay 3.5% per international order (3.25% on Plus) on top of standard processing.
One boundary inside Managed Markets moved in August 2026: DDU support in Managed Markets is no longer available, as of 24 August 2026, in every country and region where Managed Markets supports DDP. Markets that used or inherited DDU converted to DDP automatically, so those buyers now meet duties at checkout instead of at the door. The choice itself survives on standard Markets, which is what the DDU column in the table below describes; on Managed Markets, the only documented route to keep buyers paying on delivery was to turn Managed Markets off before 24 August 2026, and Shopify has published no way back since.
One line type Managed Markets won't take is a custom item — the hand-typed line with no catalog product behind it. Shopify's documented route is a draft order with the merchant of record moved from Managed Markets back to you, which hands every burden listed above back to you at the same moment. What that trade costs, and how far Shopify's one sentence about duty on those lines actually reaches, is a separate answer.
One burden neither path covers is packaging. Shopify's Managed Markets documentation describes duties, import tax and tax remittance — it says nothing about packaging fees — so registering with each EU country's extended-producer-responsibility scheme (Germany's LUCID, France's Citeo, Italy's CONAI) and paying the recycling licence fees stays with you, whichever Markets tier you run. Our EU packaging EPR guide for Shopify sellers maps who has to register where.
Who Carries Each Compliance Burden
| Burden | Standard Markets (DDU) | Standard Markets (DDP) | Managed Markets |
|---|---|---|---|
| VAT/sales-tax registration | You, per jurisdiction | You, per jurisdiction | Global-e |
| Tax filing & remittance | You | You | Global-e |
| Duty calculation at checkout | Not collected | Shopify calculates; you remit | Managed Markets |
| Customs paperwork | You / your carrier | You / your carrier | Global-e |
| Buyer experience at delivery | Carrier bills duty — high refusal risk | No surprise — pre-paid | No surprise — pre-paid |
| Regulatory liability | You | You | Global-e (merchant of record) |
| Cost per international order | Free (you absorb compliance) | Free (you absorb compliance) | 3.5% (3.25% on Plus) |
Global-e is your merchant of record and handles parts of your Managed Markets orders, including duties, tax remittance, commercial invoices, and carrier arrangements.
The break-even is straightforward: model your current international tax/compliance spend (accountant fees, software, your own time) against 3.5% of international revenue. For most brands doing under $500k/year cross-border, Managed Markets is more expensive than DIY compliance — but it removes founder risk. Above that volume, or in markets with messy tax regimes, the math frequently flips.
A Realistic International Order: Who Gets What
Key takeaway
Here's the same €100 order modelled three ways. The buyer pays €100 in both Markets scenarios; the difference is who absorbs what on the back end. Numbers are illustrative — actual rates depend on your card mix, payout currency and shipping setup.
€100 EU Order to a US-Based Store (USD Payout)
| Line item | Standard Markets | Managed Markets | No Markets (base USD) |
|---|---|---|---|
| Buyer pays | €100.00 | €100.00 | ~$108 USD (no local price) |
| Card processing (~2.9%) | −€2.90 | −€2.90 | −$3.13 |
| Currency conversion (1.5%; 2% on standard Markets for a non-US store) | −€1.50 | −€1.50 | n/a (paid in base) |
| Managed Markets (3.5%) | — | −€3.50 | — |
| Your tax/duty compliance | Your problem | Global-e handles | Your problem |
| Net to you (pre-shipping) | ~€95.60 | ~€92.10 | ~$105 with higher refund risk |
The "no Markets" column is what merchants often forget to model. Selling to EU buyers in USD with no localisation produces consistently lower conversion rates, higher cart abandonment, and higher refund rates from buyers who didn't realise their card would convert at unfavourable rates. The Markets fees are small compared to the conversion lift from a properly localised checkout — which is the actual reason to use Markets, not the fees themselves. For the full picture of fees that show up beyond the headline subscription, see Shopify Account Pricing: Staff Limits and Hidden Fees.
The table above is one order at one value. Use the calculator below to plug in your own order size, plan, currency mix and Managed Markets decision to see exactly what lands in your account.
International Order Net Calculator
See exactly what lands in your account from a single international order across Standard Markets and Managed Markets. Adjust order value, plan, currency mix and Managed Markets to model your own scenario.
Buyer-currency amount
3.25% Managed Markets fee (vs 3.5% on standard plans)
Triggers Shopify Payments conversion fee
On standard Markets: 1.5% conversion fee (vs 2% outside US). Managed Markets is a flat 1.5% either way.
Global-e becomes merchant of record; adds 3.5%
* Illustrative. Card rate fixed at 2.9% for clarity — your actual Shopify Payments rate depends on plan (2.5–2.9%), card type and region. Excludes shipping, app fees and tax remittance (which Managed Markets removes). Confirm current rates on the Shopify international pricing page.
Shipping, Inventory, Returns and Operational Gotchas
Key takeaway
Markets gives you a localised front door. What sits behind that door — fulfilment, returns logistics, consent banners, app behaviour — stays your responsibility, and the defaults are not always what a cross-border buyer expects. Six areas deserve a deliberate decision before you announce a new market. Shipping is the one of them that is actively changing: Shopify is moving merchant-owned delivery profiles to shipping options configured per market, with the rollout starting 1 October 2026, so a rate setup you build today is worth planning against that migration rather than against the old profile model. And if the fulfilment and inventory rows below are what give you pause, note that going international is not the only growth lever: Shopify Collective lets you widen your catalogue at home by selling other merchants' products with no inventory of your own — though it only pairs stores within the same country, so it complements a Markets rollout rather than replacing it.
Operational Areas Markets Does Not Solve Automatically
| Area | What you have to configure | Common gotcha |
|---|---|---|
| Shipping zones & rates | Per-market shipping profiles under Settings → Shipping: zones, carrier rates or flat rates, free-shipping thresholds in local currency. | Default catch-all zone often blocks new countries silently, producing "no shipping options at checkout". |
| Inventory & fulfilment | All markets share one inventory pool by default. Multi-location inventory or a regional 3PL is a separate setup; Markets does not split stock per region. | Selling to the EU from a single US warehouse means 5–10 day transit and high last-mile cost — a conversion killer regardless of localisation. |
| Returns & refunds | Decide who pays return shipping, where parcels go (local return address vs. cross-border RMA), and whether refunds are issued in the buyer's currency or the payout currency. | Refunds default to the original buyer currency — FX swings between sale and refund can leave a residual loss or gain you have to account for. |
| Geolocation & country selector | Shopify sunset its free Geolocation app on March 24, 2025 and uninstalled it from stores. The replacement is native: automatic redirection under Online Store → Preferences shows each buyer the storefront matching their location, and most themes also support a manual country/currency selector in the header or footer. | Without either, paid traffic from international ads lands on the base storefront and pays in your base currency — defeating the whole point of Markets. |
| GDPR & cookie consent | Enable Shopify's Customer Privacy API and a consent banner (native or third-party) for EU/UK markets. Configure marketing-consent capture per market in checkout. | Launching an EU market without a consent banner is a regulatory exposure, not a styling issue — fines apply per visit, not per sale. |
| Third-party app compatibility | Audit every installed app: subscriptions (Recharge, Bold), loyalty (Smile, LoyaltyLion), reviews (Judge.me, Yotpo) and bundles each have varying market-scoping support. | Many apps still show base-currency prices in subscription widgets or loyalty redemptions, breaking the localised experience after checkout. |
Two more practical notes that catch merchants out. Domain SSL provisioning for new international domains can take 24–48 hours after DNS points correctly — schedule launches with that buffer, not on the same morning you want to run ads. And order timestamps and notifications stay in your store's timezone, not the buyer's, which matters for support response SLAs more than it sounds.
Setup Checklist: From Zero to First Foreign Order
Key takeaway
Run these in order. Each step is short on its own; the value is doing them in sequence so you don't end up with a half-configured market collecting orders in the wrong currency.
Two follow-ups close the loop: configure DDP duty collection per market if you sell goods that cross customs thresholds (electronics, fashion, jewellery), and decide whether Translate & Adapt or a dedicated translation app makes sense for your top markets. Translation is the second-biggest conversion lever after local payment methods, and it's the one most brands skip because "everyone speaks English" — they do, but they buy more in their own language.
When Markets Is Not Enough
Key takeaway
Markets covers the vast majority of cross-border use cases, but it is not infinite. There are four scenarios where a second store is the right answer and trying to force them into one Markets-configured admin causes more pain than it saves:
- Catalogue divergence. Different SKUs per region, different size charts, region-restricted products that change the catalogue identity — not just a few exclusions but a fundamentally different product line.
- Legal entity per region. A separate operating company per market for tax, currency repatriation or investor reasons. A Plus organization includes one main store and nine expansion stores under organization-level administration.
- Brand separation. Two distinct brands sold to overlapping customers — different identity, marketing, support, possibly different pricing strategy. Markets handles localisation, not rebranding.
- Regulatory split. Certain markets (China mainland, regulated alcohol or medical categories) require operating arrangements Markets cannot express inside one store.
For everything else — a single brand, single catalogue, two to thirty countries — Markets is the right answer and a second store is overhead you'll regret. The trade-offs of running multiple stores are covered in detail in Shopify Multiple Stores; the short version is that staff seats, app subscriptions and inventory sync compound quickly across stores.
The Bottom Line
Key takeaway
Shopify Markets is the single biggest reason that "do I need a second store to go international?" is, for most brands, no. One admin, one catalogue, one team — with per-market currency, language, domain, payments and (optionally) tax handling — covers the vast majority of cross-border use cases at zero extra subscription cost. Markets is just one of many capabilities Shopify ships natively — our Shopify features guide maps what's built in versus what needs an app.
Frequently Asked Questions
Front-end developer specializing in Shopify since 2017. Experienced in building custom Liquid themes, optimizing storefront performance, and integrating third-party apps. Directs the editorial process behind Shopify Ecom: sets each topic, and checks facts, links, and interactive elements before publication.
This article was written entirely by AI under human editorial direction. The editor sets the topic and structure, runs multi-stage validation on facts, links, and interactive elements, and verifies the output is useful from a business perspective. All claims are checked against official Shopify sources. Details may change — always confirm critical data at shopify.com.
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