This article marks the third entry in Coalition Technologies’ six-part series focusing on the Shopify Editions Summer 2023 updates.
In this release, Shopify has targeted a crucial segment of the US e-commerce market, which is projected to reach $3 trillion by 2027: B2B sales. Historically a direct-to-consumer (DTC) platform, Shopify has introduced an extensive array of features designed to assist B2B merchants in enhancing their online sales and expanding their businesses. These include customizable catalogs, distinct payment terms, discounts, and more.
Below is a detailed overview of B2B functionalities on Shopify, with the understanding that many of these features are currently exclusive to Shopify Plus.
The B2B sector has been a strategic move for Shopify, given that McKinsey reports 65% of B2B companies are now engaging in online transactions, with only 18% of B2B revenue originating from e-commerce. Shopify has clearly identified an underserved market ripe for growth.
Although the platform had offered B2B solutions before this edition, the introduction of its current suite significantly enhances customization capabilities and streamlines operations and store management. This new functionality is integrated directly into the platform, eliminating the need for third-party applications or workarounds.
The Plus Wholesale Channel will be phased out on April 30, 2024, prompting Shopify stores on that plan to migrate to Shopify B2B to access these features.
This is one of the most significant B2B enhancements in Shopify’s Summer 2023 Edition. Before delving into B2B sales, merchants must decide whether to establish a blended or dedicated store. The former caters to both B2B and DTC orders, while the latter is tailored exclusively for B2B customers.
Shared features between DTC and B2B customers on Shopify, customizable through a dedicated store or code, include:
– Companies: Sell to entities with the option to assign unique catalogs, payment terms, checkout options, etc.
– Company Locations: Up to 500 locations can be created for each B2B customer, with the ability to automate follow-on actions post-creation.
– B2B Customer Company Creation: Customers can apply to create a company account, reviewed and approved by the merchant.
– Early Access Features: This includes volume pricing and payment terms, which are currently available to select stores.
B2B catalogs are essential for customizing the buying experience for various companies. They allow for product-specific pricing and discounts, including automated adjustments and fixed prices.
To simplify complex B2B processes, Shopify offers the GraphQL Admin API for creating custom integrations and features. Quick order lists are also available for streamlined bulk ordering.
Shopify has also introduced improvements to the checkout process, allowing B2B customers to view order information, save credit card details, and use PayPal for multi-currency transactions.
The platform now enables cross-selling between B2B merchants, promoting additional product offerings without increasing inventory.
Shopify has made it easier for existing wholesalers to migrate to Shopify B2B with a comprehensive migration kit and resources available on Shopify Academy.
Coalition Technologies, with a track record of generating over half a billion dollars in revenue for nearly a thousand online properties, can assist with B2B store launches, revenue growth, or migrations to Shopify B2B.
For more insights from Shopify’s Summer 2023 Edition, stay tuned to our blog for parts four to six.
