Amazon and Shopify have teamed up to create an intriguing alliance. This partnership offers more opportunities for Shopify’s extensive network of merchants, granting them access to Amazon’s logistics network.
Shopify, a prominent player in the e-commerce software and services sector, has taken a significant step by allowing its merchants in the US to utilize Amazon’s Buy with Prime tool.
The rollout began on August 30th, initially targeting select Shopify sellers, with plans to extend it to all of its merchants to tap into Amazon’s logistics network, according to Shopify’s official statement.
Shopify’s growth, Amazon’s competition
The backstory to this collaboration is intriguing, to say the least.
Shopify, headquartered in Canada, has rapidly gained ground by offering e-commerce tools that empower brands to sell directly from their websites. This reduces consumers’ reliance on conventional marketplaces such as Amazon and eBay.
However, its colossal customer base has not been without its share of challenges, including criticism from some of its sellers, who argue that the company imposes stringent terms and responds sluggishly to their concerns.
Also read: Amazon explores generative AI to recap product reviews
Amazon introduced Buy with Prime last year, a tactical response to level the playing field against Shopify’s burgeoning popularity. This feature enables merchants using Amazon’s payment and fulfillment services to seamlessly integrate Amazon’s checkout service and take advantage of expedited shipping services for products sold on their own websites.
Its’s reputable brand association adds an element of trust, enticing customers to engage with lesser-known brands and websites. “This new app will enable Shopify merchants to offer Prime members fast, free delivery, and easy returns outside of Amazon for the first time ever,” Shopify’s statement reads.
An unlikely partnership
The pivotal agreement brings Shopify Payments into the fold as the facilitator for payment processing through Amazon’s checkout service. This strategic move addresses prior concerns about violating Shopify’s terms of service and bolsters fraud protection measures, as noted by Marketplace Pulse, an authority in tracking online sellers.
Now smaller merchants can take advantage of one of the most powerful logistics networks in the world – a massive win.
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About the author
Marce has contributed tech to various prominent publications since 2018, offering a transparent perspective into the tech industry and its effects on its users. She now spends her time developing insightful content for industry players. You know, when she's not gaming or geeking out about the latest fad.
