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Yes and no. Essentially this is already happening, except they are drop-shipping you the product for next to nothing direct from China. In fact, there is a smal

Yes and no. Essentially this is already happening, except they are drop-shipping you the product for next to nothing direct from China. In fact, there is a small industry that revolves around this business model. The barrier of entry has just risen dramatically with this news. https://www.shopify.com/guides/dropshipping https://www.shopify.com/guides/dropshipping There are thousands of small drop-shipping businesses based in North America that depend on cheap postal service from China. Excuse me while I go short Shopify stock.

jonathanmoore 7y ago
I see this as a positive for Shopify. We work very closely with the platform, and over the years I have only seen a handful of direct-from-Chinese dropshipping sites that actually produce any revenue. Sure there are a lot of accounts that are opening with the hopes of a get-rich-quick scheme with low cost and risk. I am certain that it is the legitimate businesses that are behind Shopify's success, and this will help with their reputation and give them a chance to focus their marketing on the right customers.
- ryanackley 7y ago
  Check out Shopify's marketplace for selling online businesses [0]. I limited the search to dropshipping. Dozen's of businesses with five figure monthly revenue and a few with more than that. Revenue data comes directly from Shopify and can't be edited by the seller. These are just the businesses for sale. I would call this more than a handful. Look, Shopify is a great product and long-term I only see it growing. That being said, I would think the loss of Chinese dropshipping would hurt it's short term outlook. [0]https://exchangemarketplace.com/shops?businessTypes=21&page=1&sortBy=averageMonthlyRevenueHighToLow https://exchangemarketplace.com/shops?businessTypes=21&page=...
  - seemack 7y ago
    Not sure what's changed but that link shows me only one business with 5-figure monthly revenues.
    - ryanackley 7y ago
      you aren't scrolling past the featured listings...
drchiu 7y ago
As a side note, Shopify acquired an app to help with this whole process of importing AliExpress products for drop shipping a few years ago for about $10-15 mil. Oberlo, it is called [1]. I would guess based on the acquisition price that there’s likely a significant enough number of accounts that depend on this whole drop shipping at minimal shipping expense model. [1] https://www.crunchbase.com/acquisition/shopify-acquires-oberlo--700d6396 https://www.crunchbase.com/acquisition/shopify-acquires-ober...

jonathanmoore 7y ago

I see this as a positive for Shopify. We work very closely with the platform, and over the years I have only seen a handful of direct-from-Chinese dropshipping sites that actually produce any revenue. Sure there are a lot of accounts that are opening with the hopes of a get-rich-quick scheme with low cost and risk. I am certain that it is the legitimate businesses that are behind Shopify's success, and this will help with their reputation and give them a chance to focus their marketing on the right customers.

ryanackley 7y ago
Check out Shopify's marketplace for selling online businesses [0]. I limited the search to dropshipping. Dozen's of businesses with five figure monthly revenue and a few with more than that. Revenue data comes directly from Shopify and can't be edited by the seller. These are just the businesses for sale. I would call this more than a handful. Look, Shopify is a great product and long-term I only see it growing. That being said, I would think the loss of Chinese dropshipping would hurt it's short term outlook. [0]https://exchangemarketplace.com/shops?businessTypes=21&page=1&sortBy=averageMonthlyRevenueHighToLow https://exchangemarketplace.com/shops?businessTypes=21&page=...
- seemack 7y ago
  Not sure what's changed but that link shows me only one business with 5-figure monthly revenues.
  - ryanackley 7y ago
    you aren't scrolling past the featured listings...

drchiu 7y ago

As a side note, Shopify acquired an app to help with this whole process of importing AliExpress products for drop shipping a few years ago for about $10-15 mil. Oberlo, it is called [1]. I would guess based on the acquisition price that there’s likely a significant enough number of accounts that depend on this whole drop shipping at minimal shipping expense model. [1] https://www.crunchbase.com/acquisition/shopify-acquires-oberlo--700d6396 https://www.crunchbase.com/acquisition/shopify-acquires-ober...