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Complex Legal Mandate Turned into a Simple, Automated Solution

Technology stack used

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Scope

Web Development

Digital Product Design

Quality Assurance

Introduction

In 2023, with the enforcement of the EU's Omnibus Directive, a new rule in consumer protection law became mandatory: whenever a merchant announces a price reduction, they must also display the lowest price the product was sold for in the previous 30 days.

This regulation was designed to end artificial price inflation and fake sales, promoting transparency for consumers. 

However, for e-commerce businesses, it created a significant operational challenge, carrying the risk of substantial fines and a critical loss of customer trust.

The Challenge

The Omnibus Directive presented a problem that Shopify's native platform was not built to solve, creating several critical gaps for merchants.

#01 The Core Data Problem

Shopify's platform does not automatically track, store, or display the specific 30-day lowest price for products and their variants, leaving merchants with no compliant data to report.

#02 The Impossibility of Manual Compliance

For any store with a significant number of products or frequent, rolling promotions, manual tracking was operationally impossible. Expecting a merchant to maintain a perfect, error-free spreadsheet of 30-day price minimums for every single variant and update it daily was not a viable business process. It was a recipe for human error.

#03 The High Technical and Legal Risk

Merchants required a solution that was 100% reliable and accurate. A simple bug, a miscalculation, or a failure to display the price would be a direct legal liability, exposing the business to significant fines.

#04 The Critical Integration Hurdle

Any solution had to integrate flawlessly with modern Shopify 2.0 and Horizon Themes. The vast majority of merchants are not developers and cannot be expected to edit complex theme code. A solution that required manual coding would be a non-starter, as it would risk breaking the storefront's functionality and appearance.

Merchants needed a set-it-and-forget-it solution that was legally accurate, fully automated, and required zero technical skill to implement.

#05 The Hidden Technical Complexities

Beyond the obvious gaps, our initial analysis uncovered two significant technical risks that could lead to non-compliance. 

First, Shopify's architecture includes two types of discounts—discount codes and automatic discounts—that modify the price in the cart, not on the product page itself. An incorrectly built app could misinterpret these cart-level adjustments as an official price reduction, leading to inaccurate and non-compliant lowest-price data.

Second, we had to account for data integrity. After installation, a merchant might manually enter historical price data from, for example, the previous six months. The system had to be intelligent enough to accept this data for historical records while strictly distinguishing it from the legally mandated 30-day window.

The Solution

We saw these challenges as an opportunity to demonstrate our core philosophy: taking full responsibility for a business problem and delivering a complete solution.

We developed and launched Omnibus by Netkodo, a dedicated compliance app for the Shopify platform. Our solution was built on several non-negotiable principles.

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#01 Full and Immediate Automation

We engineered the app to take the entire burden off the merchant. The moment Omnibus by Netkodo is installed, it begins securely and accurately tracking the price history of every product and variant. 

When a compare_at_price is added (signaling a sale), the app automatically calculates and displays the correct 30-day lowest price. There is no manual data entry, no syncing, and no complex configuration required.

#02 Engineering for 100% Accuracy

To solve the hidden technical challenges, we made critical engineering decisions.

First, to handle the discount problem, the app intentionally ignores all cart-level discount codes and automatic discounts. It analyzes only the true product price fields: variant.price and compare_at_price to ensure the 30-day lowest price is based on the actual advertised price, not a temporary cart modification, guaranteeing 100% accuracy and compliance with the directive.

Second, to manage historical data, our solution requires a date for any manually entered price. When the app's daily analysis runs, it performs a strict date validation. Any manually entered price that falls outside the 30-day window is automatically ignored for compliance calculations. It prevents old data from polluting the 30-day record and ensures the displayed price is always correct.

#03 No-Code Integration

The solution was built specifically for the modern Shopify ecosystem. This approach means any merchant can install, activate, and precisely position the price display widget using the familiar Shopify theme customizer. No developer is needed, and no code is ever touched.

#04 The Process: From Install to Display

The app's logic is designed for reliability and speed. Once a merchant activates the subscription, the app performs an initial scan to read and record the current price for all products. From that moment, it runs a daily analysis to track every price change.

When a merchant sets an item on sale, the app's logic calculates the lowest price over the last 30 days from the stored data and writes this value to a dedicated Shopify metafield. The app block on the product page simply displays this pre-calculated metafield, ensuring a fast, reliable front-end display.

#05 Multi-Currency Support for Global Sales

To ensure smooth operations across different markets, Omnibus by Netkodo is designed to support multi-currency environments. The application accurately tracks and displays the lowest 30-day price history while respecting the store's currency settings, ensuring compliance regardless of the currency used in the transaction.

#06 Speed, Simplicity, and Customization

The entire process, from installation to full legal compliance, can be completed in under two minutes. We also understood that one-size-fits-all doesn't work for branding. The app's display is customizable, allowing merchants to match the look and feel of their unique store branding, ensuring the compliance information feels like a native part of their site.

We engineered the app to be the definition of reliability. It runs quietly in the background, requires no maintenance, and integrates smoothly with all modern Shopify themes without conflict. It's a dedicated compliance engine.

The Results

The impact for merchants using Omnibus by Netkodo is immediate and tangible, transforming a legal burden into a distinct business advantage.

#01 Instant Legal Compliance and Risk Mitigation

The primary and most critical result is immediate compliance. From the moment of activation, merchants are fully compliant with the Omnibus Directive. This instantly eliminates the legal risk and financial exposure of non-compliance, providing complete peace of mind.

#02 Total Operational Efficiency

We eliminated 100% of the manual labor associated with price tracking. What was an impossible, error-prone daily task became a fully automated background process. The short setup time means merchants face zero development or configuration overhead, freeing them to focus on growth rather than compliance.

#03 A New Tool for Building Customer Trust

This is the key business-facing benefit. By transparently and accurately displaying the 30-day price history, our app allows merchants to prove their sales are genuine. This level of transparency is a powerful trust signal that turns a legal requirement into a tool for building long-term customer confidence and brand loyalty.

#04 Reliability as a Service

The app delivers reliability. Merchants can launch promotions, sales, and marketing campaigns without ever worrying about the compliance details. They know Netkodo's solution is handling it accurately and automatically in the background, 24/7.

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Summary

The Omnibus by Netkodo app is a clear expression of our company's values. 

We identified a critical, time-sensitive, and high-stakes challenge facing an entire merchant community. In response, we engineered a fundamentally reliable solution, taking the entire technical and legal burden off the merchant and placing it on our technology. 

This project underscores Netkodo's commitment to delivering responsible and truly effective solutions that power modern e-commerce.

Ensure your store is compliant today

Install Omnibus by Netkodo from the Shopify App Store and automate your compliance in under 2 minutes.

Download Omnibus by Netkodo on Shopify App Store

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