This Genius Move by Amazon Could Be Bad News for Shopify and PayPal
After a growth spurt that accompanied pandemic-era lockdowns, e-commerce merchants faced slowing sales growth and tough comps, spurring some companies to look for additional ways to grow their businesses. As the world's leading online retailer, Amazon (NASDAQ: AMZN) was hit harder than most, struggling for much of the past year to reenergize its growth.
Now, the company is hitting back. Amazon revealed Tuesday that it plans to expand its Buy with Prime service, a program that allows other online merchants to tap into the company's massive logistics and fulfillment network to deliver their goods.
This move gives Amazon a new way to monetize its existing operations and could have far-reaching implications for rival Shopify (NYSE: SHOP), and to a lesser extent PayPal (NASDAQ: PYPL).
Source Fool.com
