Shopify Partners With Walmart. Can They Take Down Amazon?
Just weeks after teaming up with Facebook to launch Facebook Shops, Shopify (NYSE: SHOP) has nabbed another titan of industry in its quest to take on Amazon (NASDAQ: AMZN) in e-commerce. The cloud-based e-commerce software maker is partnering with Walmart (NYSE: WMT) to help the world's largest retailer beef up its e-commerce marketplace.
In an announcement, Walmart said that it would be adding 1,200 small-and-medium-sized Shopfiy sellers to its marketplace this year in order to expand selection and variety. The retail giant also said it is interested in Shopify businesses that "have a track record of exceeding customers' expectations." Walmart isn't the only beneficiary of this partnership, of course. Shopify sellers will gain access to Walmart's massive customer base and surging online traffic, as the retailer touts 120 million monthly online visitors.
Shopify shares jumped on the news, rising more than 8% Monday, as investors saw it as the latest evidence of the company's disruptive potential. It launched its own consumer-facing app, Shop, just weeks ago, and that's in addition to the Facebook partnership. Both Walmart and Shopify see Amazon as a common enemy. Will the move help dethrone Amazon as the e-commerce king?
Source Fool.com
