Shopify Dominates in E-Commerce Software

Shopify strives to be a one-stop shop for merchants, especially those that are e-commerce primarily, only, or first, and has made great strides in addressing the needs of enterprise customers as well. The firm offers a simple yet robust e-commerce platform with a range of add-on features that ultimately deliver a turnkey solution for businesses of all sizes. Shopify’s rapid rise since its 2015 initial public offering underscores a nascent software niche that is rapidly growing and demonstrates a winning solution. We believe the company has established a wide moat, as switching critical e-commerce platforms has financial and operational costs for already resource-constrained customers. We forecast robust top-line growth benefiting from e-commerce trends over the next several years.