Since its launch in 2004, Shopify.com has grown to become the world’s leading e-commerce platform, powering over 120,000 stores.
Starting as a modest e-commerce solution that was marketed via word of mouth, Shopify now generates over $5B in total gross merchandise volume. From Budweiser to the Foo Fighters, brands from a variety of industries are currently using Shopify as an e-commerce solution to sell merchandise to the public.
In the past 5 years the site has really expanded its online presence. Their easy-to-use platform allows even users with limited tech knowledge to successfully build a unique online store, replete with marketing and retail tools.
In the last year alone the e-commerce site has cemented it’s reputation as a trustworthy and profitable platform, with site traffic at an all time high. We used SimilarWeb to measure Shopify’s massive growth, and make some predictions about how the site will continue to evolve.
Traffic and Growth:
The stats speak for themselves: Shopify enjoyed more than 100% growth in 2014, seeing an increase in monthly users from 9.3M to 19.9M in just 12 months
The bounce rate on Shopify is also dropping, illustrating an increase in user engagement as users are spending more time browsing different eCommerce pages. The average page visit time is 3.22 minutes, a clear indicator that users are being actively engaged.
People do love to shop, perhaps now more so than ever, with eCommerce sites cropping up daily.
The freelance economy is rising at an unprecedented rate and is expected to balloon to 50% of the total workforce by 2020. So it’s of little surprise that websites such as Shopify are gaining huge popularity as entrepreneurs look for online solutions to generate income.
It seems that 2015 might be the year that mobile internet usage overtakes desktop, at least in terms of ecommerce sites. We can see this trend emerging on Shopify’s mobile site, as mobile traffic has already seen a large increase in the new year.
We can see that most of Shopify’s traffic comes from direct traffic and referrals with only 3.46% coming from social media channels. This data reflects Shopify’s strong brand presence online.
Traffic Geographical Location:
From the data available we can see that Shopify gains most of its traffic from the United States. Americans have a long-standing tradition of being very good consumers, and this is a trend that doesn’t seem to be changing any time soon.
Shopify currently ranks 4th out of all websites in the category ‘Business Services’, this shows that the site has expanded at an unprecedented rate. We think this is due in part to it’s user experience, which lends a human face to the e-commerce industry.
When compared to other online retailers such as Amazon, eBay and Ali Express, Shopify is clearly still a relative newcomer to the e-commerce industry. But there’s a key difference – merchants selling their goods on Amazon or Alibaba have to pay a commission for the service. Shopify, on the other hand, gives merchants complete control over their stores.
Shopify lets merchants design their own store website, bringing the personality of their store to the virtual world. In this way. Shopify has brought a whole new element of personalization into the world of online retail, making for a more intimate shopping experience for the customers who shop there. We think that’s the crucial factor in their popularity, and we expect that their successful approach will inspire other eCommerce sites to follow suit.