As we've seen, it would take a lot for Shopify to hit a level of revenue comparable to Amazon's. However, it could be done. Although Shopify only converts 3% of GMV to revenue today, it could capture much more revenue and profit than it is currently capturing. For example, it could do so by adding more services to the lineup of services it offers its vendors, which are currently limited to basic payment processing and a website builder. Advertising support could be added to these services, a "one-stop-shop" sales platform similar to Amazon dot com, and so much more. Source: Visit origin
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As we've seen, it would take a lot for Shopify to hit a level of revenue comparable to Amazon's. However, it could be done. Although Shopify only converts 3% of GMV to revenue today, it could capture much more revenue and profit than it is currently capturing. For example, it could do so by adding more services to the lineup of services it offers its vendors, which are currently limited to basic payment processing and a website builder. Advertising support could be added to these services, a "one-stop-shop" sales platform similar to Amazon dot com, and so much more.
Taking everything into account, I think Shopify certainly has the potential to be a $1 trillion stock, but it's not a sure thing. It depends on the company executing certain business model improvements that will be needed for it to capture more revenue per customer. If it executes, it could easily get to a trillion. If it doesn't, it may not have much room to run from here.
Source: Visit origin
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