It's an interesting article, but the most interesting part to me was the Bill Gates Line article the author also wrote. [0] The distinction between a platform and an aggregator was not one that I ever considered. I'm convinced by this article that it's a useful one. Does anyone know why it is that Shopify's stock has risen by 100% over the last year? I looked it over and couldn't figure out why -- is it the 3PL Fulfi…
Shopify and the Power of Platforms
61–70 of 176 posts
Re: Shopify and the Power of Platforms
#62Earlier quoted context omitted.
you seem to forget about the credit card rates, which are the 2.9% of your sales. I don't know in other countries, but where I live you can get the same conditions than for a physical pos terminal from a bank with around 1% rate. a 2% of your sales can easily grow to something that you can optimize.
They let you choose among a wide range of processors
Re: Shopify and the Power of Platforms
#63> Shopify is giving merchants an opportunity to differentiate themselves while bearing no risk if they fail. In addition to this being a great position for Shopify, this is an amazing thing for merchants compared to Amazon's offering; it's the critical difference between "We'll sell your stuff" and "We'll empower you to easily sell your stuff" that leaves power and agency in the hands of individual companies. Semi-re…
On starting his company in a secondary market: I do think that there is an almost complete difference between how you build a company in a primary talent market and sort of secondary talent markets. For instance, one of the biggest differences in secondary places is, if I hired someone, the chance that we are going to still work together in a decade from now is super high.
Hiring for future potential It means that it’s a much better idea to hire for future potential rather than for current skill. Once you do that, what you realize is, a dollar invested into helping to train people or even subtle things like making sure that next to any junior programmer, like for every five junior programmers in a team, you have one person who can become their mentor—these basic ideas all start having way more dividends
On building a hiring process for a learning organisation ..we have a hiring process that really, really finds people of high future potential. And then, we try to help them reach this potential 10, 20 years earlier in their career than they ever thought was possible, through coaching, through book clubs, through anything. Fixed vs. Growth Mindsets Everything in Shopify is built around this idea that if someone shows up with a fixed mindset, we convert them to a growth mindset quickly. And then once we have a growth mindset, we fill people with context (i.e. explain what their role is and what they are expected to do).
On the role of processes with an organisation There are three kinds of process. There’s a kind of process that makes things that were previously impossible to do, possible. That’s good. Then there’s a kind of process that makes something that was previously possible significantly simpler, which is also good. However, 99.9% of all process that exists in corporate America is the third category, which is actually just telling people to behave slightly different from what common sense tells them to do.
So we have lots and lots and lots of examples where we just avoided having to create process by just changing the environment in which we all spend our time in.
Re: Shopify and the Power of Platforms
#64Re: Shopify and the Power of Platforms
#65Tobi is like a younger Jeff Bezos :) I binge listened quite a few his podcast interviews https://lnns.co/aECRtZ2fNn9
Re: Shopify and the Power of Platforms
#66Shopify is just the next closed-source iteration of WordPress and Magento. WordPress has one of the largest platforms and they've taken over (and open-sourced) blogging, content management, learning management systems, and ecommerce. They and Magento are better examples of a platform than Shopify. In the long-term, "platforms" like Shopify lose because they don't have nearly enough developers. They have ~3000 "apps"…
Re: Shopify and the Power of Platforms
#67Shopify is just the next closed-source iteration of WordPress and Magento. WordPress has one of the largest platforms and they've taken over (and open-sourced) blogging, content management, learning management systems, and ecommerce. They and Magento are better examples of a platform than Shopify. In the long-term, "platforms" like Shopify lose because they don't have nearly enough developers. They have ~3000 "apps"…
Here's my hot take (with 2 years of running a #1 trending shopify app + multiple attempt in starting a store) Shopify DOES NOT help you sell. Period. Amazon will win in the long run because at the end of the day it's all about if the "platform" can move merchandize or not. Amazon captures top of the funnel all the way down to personalized targeting. Shopify will never do that. they are just the tool to help you figur…
Re: Shopify and the Power of Platforms
#68Would YouTube count as an Aggregator? Are they becoming less about the task to "facilitate a relationship between 3rd-party suppliers and end users" and more about seeking to "intermediate and control?"
Re: Shopify and the Power of Platforms
#69It's an interesting article, but the most interesting part to me was the Bill Gates Line article the author also wrote. [0] The distinction between a platform and an aggregator was not one that I ever considered. I'm convinced by this article that it's a useful one. Does anyone know why it is that Shopify's stock has risen by 100% over the last year? I looked it over and couldn't figure out why -- is it the 3PL Fulfi…
Shopify reported 50% yearly revenue growth which helped the stock price, and gov of Canada/provinces used shopify exclusively for their online marijuana ordering starting last year too. That said their lack of net income is a problem https://www.fool.ca/2019/05/07/where-will-shopify-tsxshop-st... and their hiring process is ridiculous even by modern meme hiring standards meaning it's going to get harder to hire peopl…
I just checked their site, and it looks like it's still the case.
Re: Shopify and the Power of Platforms
#70Earlier quoted context omitted.
you seem to forget about the credit card rates, which are the 2.9% of your sales. I don't know in other countries, but where I live you can get the same conditions than for a physical pos terminal from a bank with around 1% rate. a 2% of your sales can easily grow to something that you can optimize.
I did almost mention those. Negotiating POS rates is in the realm of much bigger shops than I've run. At the 100k/mo mark, that's $2k/mo, which... I'd honestly still take shopify, but yeah, it starts to be worth asking about. Shopify is a hair more expensive than some competing processors, but when I last dealt with it, they were in league of paypal, stripe, square, etc, so it wasn't a differentiating factor for us,…