Shopify’s Pivot to an Integrator

As I’ve previously discussed, the importance of individual brands diminish on aggregator e-commerce platforms. It’s challenging to build a strong brand on Amazon because Amazon itself is the brand that consumers trust, and brands become secondary to signals like reviews and sort order. The antidote for brands is to leverage platforms that allow for... See more

Last month, Tobi Lutke, the co-founder and CEO of Shopify, was asked if ‘Shopify was the next Amazon.’ His response was incredible, and he said this: “Amazon is trying to build an empire and Shopify is trying to arm the rebels.”

Strengthens the value proposition of Shopify: This makes the value proposition of Shopify even more compelling for merchants getting started or considering switching platforms they use to power their eCommerce operations since it means that Shopify now also helps with distribution more efficient marketing and customer acquisition, as opposed to pur... See more

Similarly, should Shopify decide to make its Shop app an actual discovery platform, it should build its recommendation feed around influencers – not shops.

I think it’s inevitable that Shopify will become a consumer destination, but the way it monetizes demand gen will need to be aligned with its role as a Platform.