Shopify partners with Google to build merchant base
In the fight for market share, it was first and foremost a battle that Walmart had
Shopify understands that the marketplaces offered by Amazon and Walmart generate a lot of business online and that the new partnership should bring more business to the site. This effort will allow consumers to shop directly online (as they currently do from a Shopify merchant) and take advantage of the vast network Google has to offer – on social media, on search, on videos and on websites. cards. We are looking into the future of what shopping online can look like. E marketer estimates that online shopping will amount to $ 4.89 trillion globally by the end of 2021.
This assumes that many customers will continue to shop online instead of reverting to the old ways of visiting physical stores and standing in line. Out of necessity, the Covid-19 pandemic has taught us all to be more flexible about how to shop, when to shop, and where to shop. These newly acquired habits will remain for many of us. I recently searched for a business where I knew the location but was unsure of the name. Google Maps was a big help in finalizing my purchase.
Harley Finkelstein, 36, president of Shopify, is always looking for ways to attract more customers. He called Bill Ready, a former PayPal
This Google activity fits well with Shopify’s goals of building its merchant base. It is clear that Google and Shopify have everything to gain from a stronger collaboration. Shopify has approximately 1.7 million merchant customers worldwide and their Shop Pay feature has generated over $ 20 million in gross merchandise value since 2017. In order to further cement a close relationship, Shopify has announced a deeper partnership with Google Cloud
Amazon and Walmart have both recruited a lot of third-party sellers and are growing rapidly. If Google features branded merchants, the competition is likely to become very intense. Let’s face it: the big gorilla is Amazon, and Walmart recently aggressively expanded its national brand assortment to show its commitment to fighting for more market share. Now, entering Shopify will be difficult and add to the competitive frenzy.
Like Amazon, Google already sells its own consumer devices, including phones, thermostats, and Wi-Fi routers. But Bill Ready reportedly said Google is not a retailer and has no aspirations to be a retailer. However, there will be greater cooperation between Shopify and Google, which Finkelstein and Ready are currently discussing, so the lines may blur even more in the future.
The Bloomberg article revealed that Google had recently entered into a partnership with Walmart which disbanded. Let’s see if Walmart will regret it as this new approach to market selling between Shopify and Google gains traction.