CEO and founder of Ecomhunt Mordechai Arba responded to news that Shopify is waiving fees for PayPal transactions worldwide and shutting down Oberlo’s dropshipping app by saying that it is trying to reposition itself in the market.
“The fact that Shopify dropped Oberlo’s app for dropshipping in favor of DSers which is integrated with AliExpress, is a sign that Shopify sees a market for dropshippers and that it is alive and well,” said Arba.
In addition, continued Arba, “Shopify decided to integrate with DSers after looking at the data, and it probably showed that the dropshipping niche has growth potential.”
Shopify’s stock has steadily dropped over the past six months, and its first-quarter results fell short of analysts’ expectations.
“Perhaps Shopify is shaking things up now as part of its strategy to turn things around,” said Arba.
“The move to partner with DSers, which is affiliated with AliExpress, is also a move more into the Chinese market,” he added.
“If Shopify would be able to improve the shipping times from China to the rest of the world, it also could become a serious competitor to Amazon,” assessed Arba.
Ariel Ben Solomon is the Growth and Strategy manager at Ecomhunt. He is the host of the Ecomhunt Podcast. Can be followed on Twitter at @ArielBenSolomon
