One more reason to start an ecommerce business on the Shopify platform. Shopify claims its conversion rate is 36%, whereas the average conversion rate, including different ecommerce platforms such as Salesforce, Magento, and BigCommerce, is 15%.
Image Source: Shopify
Shopify boasts the highest conversion rates compared to other e-commerce companies providing checkout solutions.
According to Shopify, they collaborated with a prominent global management consulting firm, the "Big Three (McKinsey & Company, Boston Consulting Group, and Bain & Company)," to analyze the checkout services offered by major commerce platforms. Shopify did not disclose the specific name of the consulting firm.
Following the review, it was discovered that Shopify outperforms its competitors by up to 36 percent in terms of overall conversion rates compared to Salesforce, Magento, and BigCommerce.
It is worth noting that the study did not mention PayPal and Amazon, both of which offer accelerated checkout services. There seems to be a lack of publicly available studies that compare Shopify's conversion rates with these two major American corporations.
Shopify initially introduced its instant checkout solution, known as Shop Pay, at its developer conference in 2017.
The purpose of Shop Pay is to simplify the checkout process by reducing the information customers need to provide. Customers can store their credentials by creating a Shop Pay account, enabling faster payments for future purchases. This streamlined approach reduces the checkout process to a single click, which Shopify claims are four times faster than checking out as a guest customer.
In 2021, Shopify extended the availability of Shop Pay to businesses outside its ecosystem, allowing any organization selling on Facebook or Google to utilize the service.
According to Shopify's most recent study, the company asserts that Shop Pay can potentially increase conversion rates by up to 50 percent compared to guest checkout methods. Additionally, Shopify claims that Shop Pay's conversion rates surpass other accelerated checkout options by 10 percent.
Shop Pay's introduction has positioned Shopify in more direct competition with retail tech giants such as PayPal and Amazon. However, it's important to note that both PayPal and Amazon have offered accelerated checkout solutions in the market longer than Shopify.
In 2022, Shopify processed over half a trillion dollars in gross merchandise value and served 561 million unique online shoppers. During its peak holiday sales event that year, Shopify's checkout solution processed an impressive $3.5 million in sales per minute.
You can check out the Shopify official article on Shopify Blogs.
One more time, Shopify proved that it is the best ecommerce platform or online retail marketplace to store the ecommerce business. So, start your online retailing business today with the Shopify store. You can hire a Shopify website design company to create a professional Shopify website.