Fashion Marketplace: Things To Know From Walmart + Shopify Partnership
Due to the widespread COVID-19 pandemic, shopping malls and stores have mostly been under lockdown for the past couple of months. No one knows for how long this will go on. On the other hand, the world of e-commerce has been thriving through all this, since everyone is shopping online these days for all of their needs and necessities. For instance, online fashion marketplaces are what people shop from for new clothes instead of shopping at the mall. You can even get groceries and other everyday items online as well. Walmart, who also wanted to jump on the bandwagon, ended up partnering with Shopify, which is an e-commerce giant.
Walmart wants to expand their third-party marketplace website and get more people to shop online from their site. Because of this collaboration, Walmart is hoping to increase the profitability and scale of its already billion dollars e-commerce business in the United States. In the previous years, Walmart offered a service for their third-party sellers, which allowed the customers to return the marketplace items back in their physical stores. Through this millions of third-party products got discarded, if they did not meet quality standards.
There are only a couple of companies in the entire world that are almost equal to the scale and size of Walmart. Because of this collaboration, small to medium-sized businesses will get a chance to offer their product or service to 120 million customers, who are visiting Walmart’s website on a daily basis.
Shopify Ecommerce came into being in 2004, and soon enough became the ultimate platform for small and large businesses that wanted to get online at an affordable rate and fast. In order to purchase a virtual shop, businesses need to pay a monthly fee of $29 at the beginning and they will receive everything that they need in order to run it, from tools to inventory and shipping.
On the other hand, Walmart’s marketplace website came into being in 2009. However, at first the progress was a bit slow since the retailer was more focused on the physical store and didn’t really recognize the advantages of an online one. This changed when a new CEO, Doug McMillon, came onboard in 2014. He made Marc Lore the new person in charge, which quickly accelerated their e-commerce business. Soon enough, new third-party products from small vendors were added on the website, and that too in a large quantity. After some time, Walmart started offering shipping services for their third-party vendors through the massive logistics network of Walmart. Both Shopify and Walmart had been discussing this collaboration for some time now. Because of this collaboration, Walmart is predicted to see thousands of sellers on their marketplace (also read the 7 best marketplaces for private lable brands).
In a time like today, no one knows when things will turn back to normal and people could safely start shopping in stores and malls. That is why, online shopping is the best route to take for the time being. Until then, e-commerce websites, like Walmart, will be receiving a lot of traffic thanks to its collaborative partnership with Shopify.
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