Shopify announced on June 15 that its one-click checkout service called Shop Pay will become available to any merchant in the United States that sells on Facebook or Google.
Even if the merchant does not use Shopify's software to power their online stores, they will still be able to use Shop Pay. That makes Shop Pay the first Shopify product that is offered to non-Shopify merchants.
Shopify Shop Pay Expansion
Launched in 2017, Shop Pay is similar to other instant checkout solutions that offer an easier way to pay online by reducing the number of forms that a customer has to fill out during the whole checkout process, according to Tech Crunch.
The checkout service remembers and encrypts the customer's information, so they can check out with just a tap when they are shopping online, and now, they can even pay for the purchase in installments, all thanks to Shopify's partnership with Affirm.
In February, Shopify had expanded Shop Pay to Facebook and Instagram, but it only worked for existing Shopify merchants selling on those social platforms, according to Bloomberg.
In May, Google announced that it partnered up with Shopify for its online shopping expansion that would allow the E-commerce sites to reach more customers through platforms such as Google Search, Google Maps, Google Images, and YouTube.
Shopify declined to share how many of its 1.7 million merchants are already available on Facebook or Google. Following the announcement, other merchants will also have the option to adopt Shop Pay for their own Facebook or Google stores.
It is still unknown how many will actually go live on Facebook and Google, but Shopify notes that every day, 1.8 billion people log onto Facebook, and a billion shopping sessions take place across Google.
The company also touted Shop Pay's advantages, including its 70% faster checkout than a typical checkout offers, with a 1.72x higher conversion rate, meaning fewer abandoned charts.
For customers, they can enjoy the advantages of Shop Pay like speed and convenience. Shop Pay is also integrated with Shopify's mobile app called Shop.
The app organizes and tracks the online orders of the customers across merchants, including Amazon, so that the customers can see when the orders are arriving or they can manage the returns properly.
Shopify's Additional Features
Over time, the Shop app can also customize a feed that includes the user's favorite stores to point to other recommendations, including those from local merchants.
The company confirmed that the Shop app will be able to track the Shop Pay orders from the merchants who are not on Shopify.
The feature expansion could be a challenge to other payment platforms such as Venmo, Apple Pay, and PayPal.
The news follows the confirmation on June 14 that Shopify has taken a significant stake in Stripe, the backbone of the Shop Pay service and Shopify's partner on merchant services, including debit cards and bank accounts, according to The Globe and Mail.
The Shop Pay service will be enabled for all of the merchants in the United States who are selling on Facebook in the coming months and will roll out to all merchants on Google by late 2021.
This article is owned by Tech Times
Written by Sophie Webster