Shopify not only values its partners but also outsiders who are part of the ecosystem. Recently, the Canadian e-commerce giant offered its accelerated checkout tool — Shop Pay — to enterprise retailers, who are not even based on Shopify. With this, they get access to the technology used by some of the biggest brands worldwide.
Brands like Glossier, Figs, Alo Yoga and Staples are already using Shop Pay. In January, Shopify launched Commerce Components by Shopify (CCS) to help boost enterprise retail. More than 10 percent of e-commerce businesses in the United States are powered by Shopify. With over two decades of experience in building, optimizing and scaling online businesses, Shopify has processed more than half a trillion dollars.
Brands that provide personalized experiences to their customers, including a supporting checkout they know and trust, are able to remove some of the friction within the buying journey to ensure higher conversion. Shop Pay is an ideal solution for these retailers and a proven way to increase conversion.
Travis Hess, EVP, DTC, The Stable
How it Helps
With this offering, Shopify powers retailers with essential components to create customer experiences. Shop Pay is the latest addition to Shopify’s commerce component offerings. The company boasts of the buyer network of over “100 million high-intent, high-value buyers” to help enterprise retailers upgrade their customer experience without leaving its base infrastructure.
The offering is for retailers based in Canada, the United States, Australia and New Zealand. Shop Pay can be accessed through Shopify Payments. It promises a 50 percent increase in conversion rate in comparison to guest checkouts. It is at least 10 percent more than other accelerated checkouts available on the internet, Shopify claims.
“Enterprises that don’t take advantage of Shop Pay are self-sabotaging. They are leaving money on the table,” Kaz Nejatian, Vice President of Product and Chief Operating Officer at Shopify, said in a statement.
“This is critical optionality in a hyper competitive retail environment. In an economy where big brands are competing more fiercely than ever to acquire customers, they need to pick and choose what they need to boost the top-line, without the compromise of a complete platform overhaul,” Nejatian added.
Shopify explains what makes Shop Pay an ideal choice of checkout for enterprise retailers.
1. Network
As mentioned above, Shopify offers a massive identity network of 100 million buyers to retailers. The network of buyers helps big brands reduce cart abandonment and improve conversion rates.
2. Scale
Add to this, the scale of components is unmatchable on the internet. There’s no competition for Shopify in this segment as Shopify’s Commerce Components consist of open-source tools and libraries that help build commerce experiences on the web. These tools are designed to be flexible and modular, allowing developers to build custom e-commerce solutions that meet the specific needs of their businesses.
3. Trust
This not only helps big retailers but also adds to consumer trust as over 10 percent of American e-commerce businesses are powered by Shopify.
4. Innovation
Shopify is an innovation-driven company, which constantly works for the advancement of technology. Apart from payment gateways like Shop Pay, Commerce Components come with features like support for customizable checkout flows and integration with various shipping and tax calculation services. Commerce Components aims to make the developers’ job easy to build and maintain e-commerce websites and applications. It provides them with a set of well-tested, reusable components that can be easily integrated into any web project.
The best part about this integration is that Shopify recognizes those with a Shop Pay account with a single click. It also automates the process for customers revisiting the online store. Shopify checkout recognizes these customers without any action by the user. It automatically fills required information for single-click checkouts. Thanks to Shop Pay, users experience a four-time faster checkout in comparison to guest checkouts.
Why is Shop Pay best for retailers?
Shopify partnered with one of the Big Three global management consulting companies to study the major checkouts available on the internet. The findings were published in May, after months of research, claiming that Shopify’s solution for conversion rate “outpaces the competition by up to 36% and by an average of 15%”.
The data further claims that Shop Pay helps merchants rise conversion by “50 percent compared to guest checkout”. It is 10 percent better than other accelerated checkouts and results in a five percent lower funnel conversion.
Travis Hess, EVP of DTC at The Stable, Part of Accenture Song, explains how personalized experiences lead to a better conversion rate. “Brands that provide personalized experiences to their customers, including a supporting checkout they know and trust, are able to remove some of the friction within the buying journey to ensure higher conversion,” he said.
“Shop Pay is an ideal solution for these retailers and a proven way to increase conversion,” Hess said.
Popular clothing brand Spanx uses Shop Pay for checkout and it helps the brand provide the best customer experience. “Our customers’ experience is the most important thing to us. They need to trust our checkout as much as they trust our products–and recognize the path to purchase as easily as they recognize our brand,” Kyla Robinson, Vice President, Digital Product, Spanx, said in a statement.
Adyen Integration
Shopify also offers integration with Adyen for better enterprise payment choices. Shopify believes that different businesses may require different payment choices and the Canadian platform offers more than 1000 payment gateways. Adyen is one of these gateways. Now, it has been upgraded specifically for enterprise retailers.
Adyen helps retailers accept payments through different methods and from markets across the globe. It supports payment from credit cards, Google Pay, Apple Pay and various digital wallets.
What is Enterprise Retail?
Enterprise retail is the practice of selling products to businesses instead of individual consumers. Enterprise retail often involves the sale of specialized products or services that are used in the operation of a business like software, office equipment and industrial machinery.
Enterprise retailers usually focus on a specific industry or market segment and offer custom solutions or services to meet the needs of their business customers. Enterprise retail is different from consumer retail, which involves the sale of goods or products to individuals for personal use. Enterprise retail often requires a different sales and marketing approach, as well as different support and service offerings in comparison to consumer retail.
