What Is Shopify’s The End Goal For The Shop App?

Shopify is testing a broader search ability in beta in its Shop App. The company has denied wanting to start some kind of marketplace but this is indeed a first step towards exposing more selection to buyers at the time of inspiration.

The way it will work is this - first search will be from items promoted by brands you're loyal to. BUT. you can then flip over to a broader - what it seems is an organic search (what they call "discovery results.") Currently Shop has a "browse" feature which surfaces products from shops you follow or have bought from.

Questions:

  • What will the ranking algorithm for discovery? (i.e. two merchants have shoes)

  • If a customer has no loyalty results, will it automatically flip over to discovery results?

  • What is Shopify's "bright line" to avoiding building a marketplace that it wants to step over? Will a lower-conversion marketplace alternative experience really last as a strategy?

  • Will the consumer appreciate the limited search universe of "brands I like"?

  • Would Shopify ever add a "loyalty brand" that was not built on Shopify?

Rumor has it that Shopify is aggressively recruiting marketplace and eCommerce talent from established players in the market like Amazon, Facebook, etc. Will that shape the offering direction?

Rick Watson

Rick Watson founded RMW Commerce Consulting after spending 20+ years as a technology entrepreneur and operator exclusively in the eCommerce industry with companies like ChannelAdvisor, BarnesandNoble.com, Merchantry, and Pitney Bowes.

Watson’s work today is centered on supporting investors and management teams incubating and growing direct-to-consumer businesses. Most recently, in partnership with WHP Global, Rick was a critical resource in architecting the WHP+ platform, a new turnkey direct to consumer digital e-commerce platform that powers AnneKlein.com and JosephAbboud.com.

Watson also hosts a weekly podcast, Watson Weekly, where he shares an unbiased, unfiltered expert take on the retail sector’s biggest players.

In the past year alone, Rick has spoken at many in-person and virtual events as well as podcasts on topics ranging from retail/ecom to supply chain/logistics and even digital grocery including CommerceNext IRL, ASCM Connect, and Retail Innovation Conference.

https://www.rmwcommerce.com/
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