Published on September 16th, 2019 | by Danielle0
Shopify Could Become Second Largest E-Commerce Company
While Amazon continues to see uninhibited growth and success as a company, a fight for runner-up rages on. Shopify has recently grown to see itself in contention for second-largest U.S. e-commerce company, with eBay as the current holder of the title.
Amazon Remains Industry King
As it stands, Amazon’s position as the industry leader and trendsetter remains unchallenged. The international success of the e-commerce company has grown to unforeseen levels, ultimately changing the entire concept of shopping altogether. However, with many other e-commerce companies following in Amazon’s footsteps, Shopify could soon stably overtake eBay as the runner up.
Shopify Sales, Stock On The Rise
Shopify has beaten the odds when it comes to tech startups; statistics show that up to 70% of all business partnerships fail. Previously ranked as the third-largest e-commerce company by sales volume, Shopify has been seeing incredible success in the past twelve months. The company’s stock has risen by an estimated 150% in the past twelve months alone, proving a fantastic investment for shareholders. Additionally, they have recently announced that they will be acquiring warehouse automation start-up 6 River Systems for $450 million, further enabling them to grow and respond to increasing demand. All this has combined to push Shopify closer to securely claiming the position of second-largest.
EBay And Shopify Battle It Out
While eBay has continued to update its services and offerings to consumers, it seems to be slowly stalling in comparison with its now primary competitor. EBay has already seen Shopify pass its market cap, and the growing company shows no signs of slowing any time soon. Without significant adjustments to current business practices and future plans, Shopify seems poised to inevitably overtake the e-commerce giant and secure a seat directly behind Amazon.
What this change means for both Shopify and eBay remains to be seen; however, it is likely that both companies will have to make adjustments to accommodate this gradual shift. While Amazon will likely remain unchallenged, increasing sales volume for Shopify puts eBay in a new, less-secure position leading into the end of 2019.