Shopify is a Canadian e-commerce company headquartered in Ottawa, Ontario. It is also the name of its proprietary e-commerce platform for online stores and retail point-of-sale systems. Shopify offers online retailers a suite of services “including payments, marketing, shipping and customer engagement tools to simplify the process of running an online store for small merchants.”
Shopify was founded in 2004 by Tobias Lütke, Daniel Weinand, and Scott Lake after attempting to open Snowdevil, an online store for snowboarding equipment. Lütke used the open source web application framework Ruby on Rails to build Snowdevil’s online store, and then launched Shopify in 2006 to offer the same underlying technology to other merchants wanting to create their own online stores.
Shopify has been profitable since 2015. It reported US$272 million in revenue in Q3 2018 (US$381 million in Canadian dollars), with gross merchandise volume of US$9.6 billion (US$12.8 billion in Canadian dollars).
Shopify went public on the New York Stock Exchange (NYSE) on May 21, 2015, under the symbol “SHOP”. In March 2016, Shopify acquired Boltmade, a product development agency based in Kitchener-Waterloo. In September 2016, Shopify acquired Toronto-based software developer Tiny Hearts.
In May 2018 at Shopify’s annual Unite conference, Shopify announced their new product direction which included a new app store and an increased focus on artificial intelligence (AI). The app store offers merchants pre-vetted apps that can help them run their business more effectively while the AI focus is aimed at helping merchants better understand their customers and make better decisions about marketing and other areas of their business.
Shopify has been growing rapidly over the past few years and shows no signs of slowing down. With its recent acquisitions and new product direction, Shopify is well positioned to continue its growth trajectory and become even more successful in the years to come.
Is Shopify Going to Grow?
There’s no doubt that Shopify is a growing company. It has been profitable since 2015 and it reported US$272 million in revenue in Q3 2018.