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Market Chatter: Shopify Is Winning Salesforce Clients, Stoking E-Commerce Rivalrys
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Market Chatter: Shopify Is Winning Salesforce Clients, Stoking E-Commerce Rivalrys
Nov 3, 2024 1:42 PM

08:18 AM EDT, 10/29/2024 (MT Newswires) -- Over the past 15 or so years, Shopify Inc. ( SHOP ) has established itself as the go-to for mom-and-pop businesses looking to set up shop online. Now, in a dramatic shift, the Canadian company is targeting larger companies and, in doing so, looking to wrest e-commerce customers from Salesforce Inc., Bloomberg is reporting Tuesday

According to the report, Shopify ( SHOP ) says it has lured hundreds of Salesforce clients, including big brands like Mattel Inc., Toys R Us and mattress seller Casper, and is encouraging other companies to "join the mass migration." It notes Shopify's ( SHOP ) key selling point is lower prices for its suite of e-commerce services and it has been cheekily calling out Salesforce's penchant for wining and dining potential clients.

"The reason most enterprise software is so expensive is because it takes so many steak dinners to put it in your hand," Shopify ( SHOP ) Chief Operating Officer Kaz Nejatian said in an interview.

Salesforce eagerly clapped back, the report notes, saying its platform offers functions that Shopify ( SHOP ) doesn't, including customer service, and can better handle traffic surges. "Anything's cheaper if you narrow the use case to one thing and say, 'Oh, we're cheaper for this one thing,'" said Luke Ball, Salesforce's senior vice president of product management. "We're still the incumbent reigning champion in the space other companies are trying to break into."

(Market Chatter news is derived from conversations with market professionals globally, and/or from other media sources. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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