Shopify Amazon Integration Expansion: What You Need to Know

by | Sep 8, 2017 | e-Commerce | 0 comments

Shopify and Amazon announced a tighter integration between the two e-commerce powerhouses today through an expansion of their existing integration. The increased collaboration allows Shopify merchants to create Amazon listings in seven new product categories. The announcement also includes added support for Amazon’s Brand Registry. 

This announcement is significant because it expands the available categories from a single category, “Clothing and Accessories,” to:

  • Clothing and Accessories
  • Toys and Games
  • Sports and Outdoors
  • Patio and Garden
  • Sewing, Arts and Crafts
  • Beauty and Personal Care
  • Health and Household

Shopify and Amazon Brand Registry Update

Shopify sellers selling branded products can sign up for protection under the Amazon Brand Registry. If the brand is enrolled, approved, and chooses to list through Shopify, then they will no longer need a UPC/EAN/GTIN. This move makes sense as Shopify continues to aggressively pursue integrations that reduce friction in becoming an e-commerce entrepreneur.

 

Who Wins from Amazon and Shopify’s Expanded Integration?

There are many winners here. While it’s obvious that Shopify and Amazon both benefit from their partnership (or else they wouldn’t expand it), their customers benefit in many ways as well. When these two e-commerce giants team up, both of their customers gain access to a wider selection of products:

  • Shopify Customers – Shopify customers (meaning the store owners using the Shopify platform) get a new distribution channel with a built in audience.
  • Amazon Customers – Amazon customers get an increased selection of unique products.
  • Shopify – Shopify makes a significant percentage of its $150mm not from subscription fees, but as a percentage of net revenue on every sale on the platform. The more sales they get through Amazon, the better their stock price.
  • Amazon – Shopify has amassed 500,000 customers as of September 2017, and many of them new e-commerce entrepreneurs. The e-commerce community is extremely focused on Shopify as the go-to platform and many of these entrepreneurs have never sold on Amazon. Entrepreneurs who see success with this integration will devote more and more resources to selling on Amazon.

Who Loses from Amazon & Shopify’s Expanded Integration?

Drop shippers don’t gain anything from this new arrangement. As of late 2018Amazon shopify integration, the Amazon Marketplace is saturated with products from Aliexpress. There are dozens of identical listing at near zero or even below zero margin. It is becoming increasingly common for Chinese manufacturers to cut out the drop shipping middlemen by marketing and selling directly to end-customers on Amazon.

LED Shoes Example

Would you wear a pair of shoes that cost $9 including shipping?

An excellent example of this is our e-commerce store GetLightUpShoes.com where we drop ship LED shoes. On our Shopify storefront our shoes retail and sell for $59, and we buy them from China for about $23. If we do a quick search for ‘LED shoes’ on Amazon we see they are available for as low as $8.99.

This is a symptom of the built in audience that sellers on Amazon enjoy. Chinese manufacturers still don’t understand the US market well enough to market to US consumers.

Launching a standalone storefront on Shopify wouldn’t do them any good because they would be unable to send traffic to their own Shopify store and convert that traffic into sales. However, they are well equipped to compete on price, and Amazon has millions of searches a day from consumers looking for a good price. 

Shopify Amazon integration is great for E-commerce businesses. Is your company growing slower than you planned? Logic Inbound is an e-commerce growth marketing agency that has generated millions of dollars for startups to multinational manufacturing organizations. Fill out our discovery form and find out what we can do for your business.

 

Click Here to Book a Marketing Strategy Session

Best Ecommerce Platform for Your Business

Best Ecommerce Platform for Your Business

Shopify or BigCommerce? Wix or Volusion? We compare some of the most popular hosted ecommerce platforms and give our recommendation ones that provide great value to small businesses.

How to Increase Your Customer Lifetime Value with Email Marketing

How to Increase Your Customer Lifetime Value with Email Marketing

There are businesses that spend all their money and resources on acquiring new customers, and there are ones that focus on retaining their existing customers as well. Growing your business by acquiring new customers exclusively is an expensive proposition. Customer...

Hunter.io Review

Hunter.io Review

We do a significant amount of outreach everyday here at Logic Inbound, so I’m always on the lookout for tools that will make that a little easier. Being a digital marketing agency focused on healthcare clients, we reach out to hundreds of doctors every month, and with...

7 Etsy SEO Tips to Help Your Products Get Found Quickly

7 Etsy SEO Tips to Help Your Products Get Found Quickly

You've probably heard about SEO before, and if you're reading this article, chances are you know its benefits and application. But, do you know how to effectively apply an SEO strategy to your Etsy shop? Well, not everyone does, and we are here to change this! A good...

Magento vs WooCommerce: How Does WordPress Ecommerce Stack Up

We compare WooCommerce vs Magento to help you pick the right e-commerce platform for your business.

What is Shopify: Your FAQs Answered

Learn all there is to know about Shopify – the most popular hosted ecommerce platform in the world.

Shopify Apps – Best Premium and Free Apps to Help You Expand Your eCommerce Business

Shopify comes with a powerful set of features to help you create a professional online store. But in order to truly take advantage of the platform, you need to integrate some Shopify Apps into your store. Read on to find out our picks for the best and essential apps for your Shopify store.

The ULTIMATE Guide to Managing Multiple Shopify Stores in 2019

Having trouble managing several Shopify stores at once? Read this guide to find out actionable tips that make managing multiple Shopify stores easier.

How To Get Verified On Instagram and More!

Having trouble getting your Instagram account that shiny blue tick? In this article we’ll discuss why it’s so hard to get verified on Instagram, and the steps you can take to increase your chances of getting verified.

WordPress SEO Guide

Many e-commerce businesses these days are running on WordPress. While WordPress started out as a simple way to make a basic blog or website, it has evolved into an important platform for e-commerce businesses to run and operate. WordPress is interesting because of the...

Shopify Apps – Best Premium and Free Apps to Help You Expand Your eCommerce Business

Shopify comes with a powerful set of features to help you create a professional online store. But in order to truly take advantage of the platform, you need to integrate some Shopify Apps into your store. Read on to find out our picks for the best and essential apps for your Shopify store.

WooCommerce Subscriptions: Best Subscription Plugins for Woocommerce

Do you want to start offering subscription products on your WooCommerce store? By default, this functionality is absent in WooCommerce. However with the right subscription plugins, you can offer any kind of subscription-based products. Find out our recommendations for best WooCommerce subscription plugins.

0 Comments

Submit a Comment

Your email address will not be published. Required fields are marked *

Magento vs WooCommerce: How Does WordPress Ecommerce Stack Up

We compare WooCommerce vs Magento to help you pick the right e-commerce platform for your business.

BigCommerce vs Shopify – Choosing the Right Ecommerce Platform

We compare BigCommerce vs Shopify to help you choose the right e-commerce platform for your business.

Wix vs WordPress: Building Your Website on the Right Platform

Wix vs WordPress, a comparison guide to help you choose the right e-commerce platform for your business.

What is E-Commerce Automation and What Tools or Software Can Help?

Learn how to save time and resources by implementing ecommerce automation software across Shopify, Magento and other platforms.

6 WooCommerce Extensions That Make Your Life Easier

Our recommendations for essential plugins every WooCommerce user needs to have.

How to Use Facebook as a Page in 4 Easy Steps With Pictures

Learn how to use Facebook as a page following some simple steps.

What is Shopify: Your FAQs Answered

Learn all there is to know about Shopify – the most popular hosted ecommerce platform in the world.

Wix vs WordPress: Building Your Website on the Right Platform

Wix vs WordPress, a comparison guide to help you choose the right e-commerce platform for your business.