Maybe a lot of us know about Shopify but we don’t know Shopify case study. How they compete with such giant companies like WordPress and other CMS platforms. Today Shopify’s market cap is $79.28 Billion. But its beginning was really an interesting story.
The Founders And Early Beginings
Three friends from Ottawa, Canada, Tobias Luke, Daniel Weinand, and Scott Lake, who all had a passion for snowboarding, set out to their online snowboarding equipment store called “SnowDevil”. They searched for a suitable ecommerce solution to help their business off the ground but they ran into a problem and there was no such solution. One of their friends was a programmer so he said he was gonna use his web technology skill to build one for them.
Building SnowDevil And Realizing Potential
After building “Snow Devil” sites, they launched and many retailers took note of SnowDevil’s implementation, and inquired about the use of it themselves. Quickly, they realized they had built a really great product, even better than their SnowDevil business.
The Birth Of Shopify
In 2006, the platform was ready to launch. Forest called Jared Pixel but soon adopted the name Shopify. And also that year they first raised their first seed round of $250K. They tried to solve three main issues for any ecommerce business. The first one is easy to use, second is easy product management, and third is easy payment gateway.
Challenges And Growth
They faced a lot of ups and downs. In the beginning, their growth was kind of fixed, and they were really tense about this. Later they found out they couldn’t continue with this pricing model. Big enterprises and companies were not showing interest with this pricing model. So they decided from now on they would charge a fixed rate.
A Game-Changer: Shopify API
In 2008, they released their API for developers so that they could build and sell in Shopify. And it was a great turning point for the company. Very quickly, the platform started to gain the attention of merchants both in Canada and around the world.
Innovative Scaling and Mobile Integration
They always tried to find different ways to scale it. In 2011, they released their first App. That time it wasn’t that much easy like today. Merchants and consumers were really happy they could see everything like how many orders they get, payments, and all. So it made a great impact in gaining more customers and sales. Later, they also tied up with YouTubers and famous celebrities like Kylie Jenner, Logan Paul, etc. Sometimes their sales were so high that the platform crashed a few times.
Looking Toward the Future
Shopify has a good future ahead. Now they are also working on Augmented Reality. There are a lot of CMS site but Shopify has a lot of market share. It’s not going anywhere. What’s you thought on Shopify. Share with us in the comment.
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