Shopify Exchange Marketplace: The Next Chapter!
By Sonaksh Singh Rawat on
The End of Shopify Exchange Marketplace and Alternatives to Consider
The Shopify Exchange Marketplace has officially ceased operations. So, if you were planning on selling your online venture, then you would have to consider other viable alternatives. This article will delve into the events that led to its shutdown and present two viable alternatives for users.
Moreover, we’ll get a brief understanding of the reasons behind the closure of the Shopify Exchange Marketplace and suggest two substitutes that offer similar services.
What is the Shopify Exchange Marketplace?
The Shopify Exchange Marketplace served as the default platform where business owners utilizing Shopify could list their businesses for sale, offering an opportunity for potential buyers to purchase these ventures.
How does Shopify exchange work?
The marketplace generates revenue by taking a commission from the seller upon the completion of a transaction.
Is it worth buying a dropshipping business & Exchange Marketplace Reviews?
The marketplace had not garnered significant popularity for purchasing and selling goods and had gained a reputation for dealing with fraudulent buyers as well as hosting businesses of lower quality. This led to some brokers referring to it as “La Basura,” which translates to “the rubbish” in Spanish.
Despite this, there were occasional exceptional finds within the platform. However, such opportunities ceased to exist after Shopify made the decision to decommission the entire marketplace.
Why Did they Decommission the Shopify Exchange Marketplace?
In November 2021, global ecommerce sales reached unprecedented levels amid the COVID-19 pandemic, propelling Shopify’s share price to an impressive $169 per share, marking a significant moment for the company.
However, since that peak in November 2021, Shopify has witnessed a substantial decline, nearly 80%, in stock value, aligning with the broader downturn in tech stocks. The current share price stands at approximately $34.
Shopify Exchange Marketplace Fees
The assumption is that the decline in share price has led to a renewed focus on the company’s strengths and its foundational business model. This primarily includes their software, store builder, and the commissions earned from every transaction conducted on their platform.
Given that the Shopify Exchange Marketplace probably contributed less than 1% to the overall revenue compared to the core business, it seemed logical to move away from this segment.
What Is the Future of Shopify?
The confidence in Shopify’s stability is well-founded. As a platform vital for the online marketplace, Shopify continues to demonstrate its indispensability to online businesses, showing no signs of diminishing relevance.
Recently, Shopify announced a notable 22% growth in their third-quarter revenue, reaching $1.4 billion, a significant feat especially when considering the surge of ecommerce in 2021.
Further solidifying its position, Shopify has expanded its arsenal with the acquisition of a storefront design tool, Remix. Additionally, the substantial investment of $10 million in company stocks by CEO Tobias Lutke underscores the optimistic outlook for Shopify’s resurgence and enduring success.
What does this mean for the Business Buying industry?
A significant upheaval in the industry is not anticipated due to the belief that there weren’t many notable transactions taking place on the Shopify Exchange Marketplace.
The transactions that did occur there are expected to shift to other marketplaces and brokerages. For those unfamiliar with how these platforms operate, there are videos available that explore them, offering insights and reviews for those interested.
The decommissioning of the Shopify Exchange Marketplace is likely to benefit brokerages the most. Firms which have been involved in building, acquiring, and selling online businesses
Shopify Stores For Sale Cheap
For those interested in purchasing affordable Shopify stores, there are several Shopify exchange alternatives.
The options include various marketplaces like Flippa, which another prominent online Shopify exhange marketplace, where you can list and sell online businesses. On the other hand, you could also make use of online business brokers such as Ecommerce Brokers to help sell/buy online ventures.
Conclusion
It isn’t a bad thing that Shopify Exchange Marketplace came to an end, given the fact that there were more fraudulent ventures than legitimate ones, which renders it a wise decision. But if you’re looking to sell or buy an online venture then you could look into Shopify Exchange alternatives mentioned in this article.
