How to Block or Blacklist Customers on Shopify

I’ve handled plenty of difficult customers while selling on Shopify. I never needed to block them, but you might.

I’ll explain how to block customers, the tools you can use, and if blocking them is the right move.

Here’s how to block them.

Key Takeaways

• There’s no “block” option for customers.
• Shopify only lets you delete accounts.
• Third-party apps offer more flexibility for blocking accounts.
• Customers can get around such blocks with VPNs and disposable emails.
• Your best option is to make it as difficult as possible for folks to scam you.

One great way to protect your business is by using chargeback alerts. These alerts warn you when a customer is about to file a dispute. This gives you a chance to act quickly and stop it.

Learn more about chargeback alerts here.

Here’s How to Block or Blacklist Customers on Shopify

Shopify doesn’t let you block customers. However. You can take steps to cut unwanted interactions and protect your store.

Here’s what you can do:

1. Require Customers to Log In Before Checkout

This ensures all transactions are linked to an account. Making it easier to track and manage customers.

Here are the steps to enable this:

1. Go to Admin Settings in your Shopify dashboard.
2. Select Checkout.
3. Under Customer contact method, check Require customers to log in to their account before checkout.

Enabling this feature prevents customers without accounts from making purchases. Leading us to this next step.

2. Disable a Customer’s Account

If needed, you can delete a customer profile to prevent them from accessing their account.

Here's how:

1. Navigate to the Customers section in your Shopify Admin.
2. Select the customer you want to remove.
3. Click More actions, then choose Delete Customer.

Be aware: Deleting a customer removes all their data, including order history and contact information. If they file a chargeback later, you won’t have their data to defend the claim. Deleting an account also won’t stop them from creating a new one.

The following step isn’t helpful for blocking customers. However. It’ll help you deal with problematic folks. I also feel it’s necessary to have it here.

3. Adjust Your Payment Capture Settings: Not Necessary, But Helpful

This step helps avoid extra fees on canceled fraudulent orders.

1. Go to Settings > Payments in your Shopify dashboard.
2. Set the payment capture method to Automatically when the entire order is fulfilled.

This way, Shopify won’t charge transaction fees for orders canceled before fulfillment.

Shopify doesn’t offer a true “block” feature. Even if you delete a customer, they can return using a disposable email or VPN.

Since Shopify doesn’t offer this option, you’re stuck using apps.

Glossary: VPN is Virtual Private Network. VPNs allow customers to change their IP address.

Using Third-Party Apps for Better Blacklisting

Most blacklisting apps for Shopify use a subscription model, costing $10 to $50 per month, depending on the features. Installing these apps gives third parties access to sensitive customer data. And such access could create privacy nightmares.

While these apps are effective, they’re not foolproof. Adamant customers can still bypass restrictions. However. They make it much harder for problematic users to exploit your store.

So, what are they?

Blacklisting apps help you block and manage difficult customers. They use advanced filtering tools and global fraud databases to identify and stop risky accounts.

They also allow you to block or cancel orders based on specific data points. Such points include names, shipping or billing addresses, IP addresses, and phone numbers.

Here are some widely used options:

• Locksmith: Provides access control features, including IP blocking.
• Blockify: Offers robust blacklisting options based on customer details.
• Signifyd: Best for larger businesses.
• FraudLabs Pro: Utilizes global databases to detect and prevent fraud.

We’ve reviewed some of these apps in a post comparing the best Shopify tools. Check it out for more details.

These apps aren’t perfect, As clever customers can still work around them. That’s why I’m not recommending a specific app. But I wanted to give you a range of options to consider.

Before going on a blocking spree, read this.

Important Considerations

Blocking customers involves managing sensitive data like email addresses and IP addresses. This must comply with laws like GDPR or CCPA. Mishandling this data can lead to fines.

To avoid these issues, use apps that prioritize data security and follow industry standards.

Before even blocking a customer, try to communicate first.

Politely explain the issue, reference your store policies, and give the shopper a chance to fix the problem. A simple warning can prevent misunderstandings. It also reduces the risk of negative reviews or disputes.

But let’s be real. Some individuals just want to cause trouble. If they’re clearly malicious, blocking them is the right move.

Blocking can protect your store, but it may hurt your reputation if handled poorly. To avoid problems:

• Document your actions, including why and how you blocked the customer.
• Stay professional in all communications.
• Present blacklisting as a necessary measure to keep your store safe for everyone.

What if you made a mistake by blocking the customer?

And How to Unblock Customers

If you delete a customer’s account, their data is gone unless you backed it up earlier. Shopify doesn’t have a built-in way to restore deleted accounts.

If the person wants to shop with you again, you’ll need to manually recreate their information.

What if you used an app?

Unblocking someone depends on the app you’re using. Most blacklisting apps let you manage blocked users through a dashboard, where you can remove them from the blacklist. For exact steps, refer to the app’s documentation.
Let’s explore whether blocking a customer is the right decision.

Will Blocking a Customer Prevent Chargebacks?

Blocking or blacklisting customers might seem like a way to reduce chargebacks, but there’s no proof it works. While it may stop some fraudulent chargebacks, it doesn’t solve the root problems or fully remove the risks.

In fact, blocking can backfire.

Here are some potential risks:

• Negative reviews: Angry customers might leave bad reviews or share their experiences.
• Legal issues: Governments in regions with strong consumer protections could see blanket bans as unfair.
• Hurt relationships: Blocking loyal customers can spread bad word of mouth and drive away future buyers.

We discuss blocking customers to prevent chargebacks more in-depth in a separate piece.

I mentioned that Sony tried blocking customers to prevent chargebacks in said guide. How did it go? Not well.

However:

Large companies like Sony can ban users for chargebacks because they have billions of dollars. Smaller businesses, however, face greater risks. As legal challenges or bad publicity can have serious consequences.

Beyond this, blocking doesn’t fix the real causes of chargebacks. Such issues include unclear billing, low product quality, or poor customer service.

Are their alternatives to blacklisting? Yep. Let’s explore them.

Alternatives to Blocking Customers on Shopify

Blocking customers is a serious step, and it often doesn’t solve the root problem.

Here are some effective alternatives to try before resorting to blacklisting:

1. Improve Customer Communication

Clear, proactive communication can resolve many disputes. If a customer is upset, reach out to understand their concerns and offer a solution. This approach can prevent chargebacks and even turn unhappy buyers into loyal ones.

2. Implement Fraud Prevention Tools

Shopify has built-in fraud detection, but third-party apps like Signifyd or FraudLabs Pro can take it further. These tools flag suspicious orders without cutting off customers completely.

3. Offer Flexible Refund or Return Policies

A generous return policy gives customers an official way to address problems. While refunds aren’t ideal, they’re less harmful than chargebacks and can keep things professional.

See this guide to learn how devastating chargebacks can become.

4. Create Clear Store Policies

20 – 40% of chargebacks come from merchant error. Thus, you’ll need to work on your business. Be transparent about shipping times, refunds, and billing practices. Clear policies on your website (and during checkout) can reduce misunderstandings.

5. Use Customer Tags for Monitoring

Instead of blocking someone, use Shopify’s tagging feature to flag problematic accounts or repeat offenders. This allows you to monitor their activity without cutting off access.

6. Engage a Chargeback Management Service

Are chargebacks your main concern?

Consider using a chargeback management service like Chargebacks911 or Kount. These companies specialize in disputing chargebacks and recovering lost revenue. Saving you the trouble of handling disputes on your own.

Such services cost thousands of dollars monthly, though.

You might want to try more affordable options like chargeback alerts and dispute fighting tools. The former’s a bit pricey because you’re paying per alert. That being said, they can reduce chargebacks by up to 91%.

Sellers for dispute representment tools claim to have up to 80% win rates for disputes. They’ll take a part of the recovered funds from the dispute.

See this guide for more information on choosing chargeback management services.

You’re set on blocking them? Okay, let’s let them know they’re being blocked, first.

How to Notify Customers Before Blocking Them

Keep the message professional, polite, and clear. Explain the issue, give the customer a chance to respond, and outline what will happen if they don’t.

Here’s a simple template you can use:

Subject: Important Notice Regarding Your Account

Dear [Customer’s Name],

We’ve noticed some issues with your recent activity, such as [specific issue, e.g., chargebacks or policy violations]. These actions go against our store policies, which are designed to provide a fair and safe shopping experience for everyone.

If there’s been a misunderstanding, please contact us within [X days] so we can work toward a resolution. If we don’t hear from you, we may need to limit your ability to place future orders.

Thank you for your understanding.

Best regards,

[Your Name/Your Business Name]

If you’ve made it this far, hopefully you’ve managed the situation with your problematic customer. Good luck.

Wrapping Up

Banning or blacklisting customers can stop many from causing problems. But determined individuals might still find ways to create issues.

Once you’ve taken all the precautions possible, your focus should shift to the biggest threat they pose. Chargebacks. Too many chargebacks can put your merchant account at risk.

Using tools like Chargeback can help reduce these disputes. This tool integrates seamlessly with Shopify. Providing extra protection for your business.

Try these alerts today and protect your store.