Adding EMI options to your Shopify store in India is one of the fastest ways to unlock higher average order values, particularly for categories like electronics, furniture, appliances, fitness equipment, and ethnic wear. When a customer sees that a ₹15,000 laptop can be purchased for ₹1,500 per month with no-cost EMI, the purchase decision changes fundamentally — the product shifts from “I cannot afford this right now” to “I can buy this today.” This guide covers exactly how to add bank EMI and no-cost EMI to your Shopify India store via Razorpay, what fees to expect, how to display EMI information on product pages, and which product categories see the biggest conversion lift.
Bank EMI via Razorpay: How It Works
Razorpay’s EMI stack allows customers to convert their credit or debit card payment into monthly instalments directly at checkout. Supported banks include HDFC, ICICI, SBI, Axis, Kotak, IDFC First, and several others. The customer selects their bank, chooses a tenure (3, 6, 9, or 12 months), and the total is split into equal monthly payments charged to their card. To enable this, go to your Razorpay dashboard → Settings → Payment Methods and enable “EMI.” You can configure the minimum order value for EMI eligibility (typically ₹3,000–₹5,000) and choose which tenures to offer. Once enabled, the EMI option appears automatically on Razorpay’s checkout UI whenever the order total meets the minimum threshold and the customer uses a supported card.
No-Cost EMI: What It Means and Who Pays the Subvention
No-cost EMI is the most attractive EMI product for customers because they pay exactly the product price split into instalments with no added interest. However, “no-cost” does not mean free for the merchant — someone must pay the bank’s interest. In no-cost EMI, the merchant either absorbs the cost (called merchant subvention) or the discount equivalent is removed from the product price to fund the interest. On Razorpay, you can configure no-cost EMI offers for specific products or order ranges by entering the subvention amount you are willing to bear per transaction. Razorpay then presents this as “No-Cost EMI” to eligible customers. For electronics and high-margin products, absorbing 1–2% subvention in exchange for a 20–30% conversion lift is typically a very profitable trade-off.
Displaying EMI Pricing on Shopify Product Pages
One of the most impactful yet underutilised tactics is surfacing EMI information on the product page, before the customer even reaches checkout. Razorpay provides a JavaScript widget called Razorpay Affordability Suite that auto-calculates and displays the lowest available EMI (e.g., “As low as ₹1,250/month”) on your product page next to the price. This widget reads the product price and renders in real time. To add it to your Shopify product template, insert the widget script in your theme’s product page Liquid template (or via a custom Shopify metafield block) and initialise it with your Razorpay key and the product price variable. The widget requires no backend changes and updates dynamically when the customer selects different product variants with different prices.
Merchant Discount Rate (MDR) for EMI
EMI transactions carry a higher MDR than standard card transactions because banks bear a credit risk and Razorpay charges for the affordability product. Typical Razorpay EMI MDR is 1.5–2.5% per transaction depending on tenure and bank. For no-cost EMI with subvention, add the subvention cost on top. Before enabling EMI, calculate your breakeven: if your product margin is 40% and the EMI MDR + subvention is 3%, you still net 37% margin but on an order that may not have happened at full price. For most merchants this is strongly positive, but verify the numbers for your specific category and price points before a broad rollout.
Frequently Asked Questions
Can debit card holders use EMI on Shopify?
Yes, but only select banks support debit card EMI (HDFC, SBI, Axis for eligible accounts). Credit card EMI has much wider eligibility. Razorpay automatically determines eligibility and shows the EMI option only to customers whose card qualifies.
What is the minimum order value for EMI on Shopify via Razorpay?
Razorpay’s default minimum is ₹3,000, but you can configure this in your dashboard. Most merchants set it between ₹3,000 and ₹5,000 to ensure the instalment amount is meaningful and not trivially small.
Can I offer EMI on international cards?
No. Bank EMI via Razorpay is only available on Indian credit and debit cards. International cardholders can use their card’s own instalment facility if their issuing bank offers it, but you cannot configure this from the Shopify or Razorpay side.
Want to add no-cost EMI and product page affordability widgets to your Shopify store? OneOnic’s team implements Razorpay EMI configurations, product page widgets, and checkout affordability messaging for Indian Shopify merchants.
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