Shopify to expand Shop Promise to all US merchants

Shopify President Harley Finkelstein said in a recent earnings call that Shopify will expand its Shop Promise program to all eligible U.S. merchants in the coming months.

Meanwhile, for merchants using SFN, the Shop Promise badge is now automatically enabled and will appear on the merchant’s storefront, guaranteeing faster, more reliable delivery and up to 25% higher conversion rates.

Speaking about why the company launched Shop Promise, Finkelstein said, “Merchants have repeatedly told us that providing greater visibility and confidence in delivery dates can help increase their store conversion rates.”

Shopify sees Shop Promise as part of its effort to simplify logistics for merchants across the supply chain, with moves further upstream helping them maximize the benefits of the program.

To qualify for Shop Promise, merchants must meet and maintain the following requirements: fulfill orders from at least one U.S. location; have the Shop channel installed and Shop Pay activated; maintain a shipping volume of at least 25 orders in a 28-day period; ensure that 25% or more of orders are delivered in 5 calendar days or less; deliver 90% of Shop Promise orders within communicated delivery expectations; and offer shipping rates of $20 or less for 90% of domestic U.S. orders.

It is understood that in May 2022, Shopify announced the acquisition of logistics service provider Deliverr for US$2.1 billion, integrated it with the original SFN, and planned to launch a new service called Shop Promise to provide consumers with "two-day delivery" and "next-day delivery" services, directly targeting Amazon FBA.

It is worth mentioning that Flexport recently announced on its official website that the company has launched the Flexport application on Shopify, a one-stop integrated solution designed for small and medium-sized businesses (SMBs) to meet global trade needs.

The Flexport app is the first milestone in the strategic partnership between Flexport and Shopify, which aims to provide SMBs with the technology and tools they need to grow their business globally. Shopify merchants can quote, book, track and ship products to the United States through the Flexport app available on the Shopify App Store, with additional port coverage to be added this year.

At the same time, Shopify will directly integrate the Flexport app with the SFN app to provide merchants with freight tracking and complete inventory visibility from Chinese ports to the United States; unified SFN and Deliverr networks for data-driven inventory allocation, locating inventory closest to buyer demand.