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Shopify Inc. is making Shop Pay, its one-click checkout engine, available to all merchants selling on Facebook, Instagram, and Google, including those that don’t use the Shopify e-commerce platform to manage their online stores. It is the first time a Shopify product has been made available to non-Shopify merchants, the e-commerce platform provider says.
Ottawa, Ontario-based Shopify will initially make Shop Pay available to more than 1 million merchants selling on Facebook and Instagram later this summer, with plans to make Shop Pay available to Google merchants later this year.
The expansion builds on Shopify’s decision earlier this year to make Shop Pay available to its merchants selling on Facebook and Instagram. More than 1.8 billion people log on to Facebook and 1 billion shopping sessions take place across Google, according to Shopify.
The aim of making Shop Pay, which launched in 2017, available to non-Shopify merchants is to give independent brands access to the checkout engine at a time when finding and converting customers has taken on greater importance as consumers flock to online sales channel, the company says.
“Since launching, Shop Pay has set the standard for checkout experiences, facilitating more than $24 billion in orders,” Carl Rivera, a vice president at Shopify, says in a prepared statement. “According to studies, cart abandonment averages 70%, with nearly 20% occurring because of a complicated checkout process.”
Shopify claims Shop Pay offers a conversion rate 1.72x higher, and a checkout speed 70% faster, than other checkout engines. The company also noted that Shop Pay offsets 100% of the delivery emissions for every order.
As with other instant checkout applications, Shop Pay reduces the number of data fields consumers are required to fill out during checkout. Consumer data is encrypted and stored, enabling consumers to check out with a single click.
Earlier this month Shopify partnered with Affirm Inc. to make Affirm’s buy now, pay later service available to hundreds of thousands of merchants in the United Stated through Shop Pay. The service allows buyers to pay merchants over time in four installments at no interest and with no fees.
Shopify posted revenues of $988.6 million, during the first quarter of 2021, a 110% increase from the same period a year ago. Merchant Solutions revenue totaled $668 million, a 137% increase. As of March 31, 2021, Shop Pay had facilitated more than $24 billion in cumulative gross merchandise value since its launch.In addition, Shopify said that as of the end of the first quarter, it was continuing to develop Shop, a mobile shopping assistant that includes an in-app buy button and several filters to make it easier for consumers to find merchants. As of the first quarter, Shop had more than 107 million registered users, including buyers using Shop Pay as well as the Shop App, of which more than 24 million were monthly active users.
