Latest news with #ShopifyPlus
Business Wire
14-05-2025
- Business
- Business Wire
Comcast's Universal Ads Launches $5 Million Fund to Help E-Commerce Merchants Grow Their Businesses with TV Advertising
NEW YORK--(BUSINESS WIRE)--Today Universal Ads, which enables brands of any size to seamlessly create, buy, and measure ads across premium video, announced the Incrementality Fund— a new $5 million fund that provides resources to help e-commerce businesses drive incremental sales through TV advertising. For qualified merchants, the fund may provide up to $50,000 in ad credits and services, including help with ad creative production and incrementality measurement solutions. At launch, the Incrementality Fund is only available to Shopify Plus merchants but will expand to other businesses over time. 'We know that TV advertising not only offers brands the scale they're used to with social ads, but it can drive tangible results,' said James Borow, Vice President of Product and Engineering at Universal Ads. 'With Universal Ads' new Incrementality Fund, we want to show brands new to this space that TV ads work—and that the last dollar spent on social performs better when it's supported by the first dollar spent on TV.' Launched in January, Universal Ads is a self-service premium video advertising platform built to be as simple and performant as social media advertising. By breaking down barriers to TV advertising, including creative and cost, Universal Ads is opening up this valuable medium to digitally native, direct-to-consumer, and growth-stage brands who previously had no easy point of entry. 'Shopify Plus merchants are some of the most sophisticated marketers on the planet, but advertising on TV has always been overwhelming to most of them,' said Maurice Rahmey, CEO of Disruptive Digital. 'With the Incrementality Fund, Universal Ads is making getting started with TV advertising as easy as social and helping to demonstrate the sales lift that TV can bring to them.' With Universal Ads, brands can reach qualified audiences alongside premium content from more than 15 major publishers including A+E, AMC Networks, DIRECTV, Estrella MediaCo, Fox Corporation, Fuse Media, LG Ad Solutions, NBCUniversal, Paramount, Roku, Scripps, Spectrum Reach, TelevisaUnivision, Vizio, Warner Bros. Discovery, and Xumo, with more to come. The Incrementality Fund is the latest initiative from Universal Ads. Earlier this year, Universal Ads partnered with Ramp, a financial operations platform designed to save businesses time and money, to offer TV advertising access to Ramp's 30,000+ customers through the Universal Ads platform. In addition, to demonstrate the ability of TV to deliver on a variety of business goals, Universal Ads has partnered with Measured, a pioneer and leader in incrementality-based measurement and optimization. And, more strategic partnerships are on the horizon as Universal Ads works to open premium video advertising to more advertisers and opportunities. For more information on the Incrementality Fund, please visit About Universal Ads Universal Ads enables any brand, of any size, to seamlessly make and buy commercials across premium video reaching new qualified audiences at scale. Universal Ads combines premium and brand-safe video content directly from the most influential media companies with the ease and familiarity of social ad buying. It is your one-stop shop for high-quality video ads delivering unmatched scale. Universal Ads is a part of the Comcast Corporation, a global media and technology company that connects people to moments and experiences that matter.
Business Insider
08-05-2025
- Business
- Business Insider
Shopify builds new merchant tools for navigating tariff uncertainty
Shopify has been busy building tools to help its merchants through tariff uncertainty. Executives addressed tariffs directly during the company's first-quarter earnings call Thursday, saying that it had launched a series of new solutions for calculating and collecting duties. "We've shipped a lot, and we focused on areas that we can have a more immediate impact: cross-border trade, making it easier to buy local, duties calculations, and shipping," President Harley Finkelstein said during the call. That includes a website it launched this week that provides AI-driven guidance on US tariff rates based on a product's description and its country of origin. The website cautions users to take it as guidance and to double-check rates with customs officials. In February, Shopify made its duties-collection tool, previously exclusive to users of Advanced Shopify or Shopify Plus, available to all merchants. Merchants using the tool can display and collect duties at the time of checkout. It also lowered the transaction fee for that tool to 0.5%, down from 0.85% for Shopify Payments users and 1.5% for merchants using other payment providers. Finkelstein said the number of merchants using the duties-collection tool doubled between January and the end of March. Shopify also added a filter in the Shop app that allows shoppers to view products made in a particular country and to buy locally. On the shipping front, it launched the ability for merchants to purchase prepaid shipping labels and send products to customers using delivery duty-paid shipping, which essentially means that merchants assume the costs of tariffs and taxes for customers. It also started working with more third-party logistics providers on the Shopify Fulfillment Network app and added features to its managed markets product, which, through a partnership, allows merchants to designate Global-e as the merchant of record rather than the seller itself. "Our obsession with unlocking every opportunity and filling every important gap in the system, to give our merchants the best chance of success, is one of our superpowers," Finkelstein said. "We rolled out the Shop app filter in less than a week, and the duties calculation at checkout update over a weekend. Literally, the weekend after the tariff changes were announced, the team got to work, and by Sunday evening, we were testing it for production," he added. Shopify CFO Jeff Hoffmeister said that cross-border commerce accounted for 15% of the company's gross merchandise volume in the quarter, similar to previous quarters. About half of that cross-border commerce involved trade into or out of the US. He added that only about 1% of Shopify's overall GMV was for items from China that would qualify for the de minimis exemption. "The recent expiration of the de minimis exemption for goods from China is not expected to have a meaningful impact on Shopify in the near term," he said. "That said, this expired less than a week ago, and we will continue to monitor its impact on our business." Shopify reported 27% revenue growth and 23% GMV growth for the quarter. "As the platform that powers global commerce, we're of course monitoring for potential slowdowns, but our data through April shows little evidence of that," Finkelstein said.
Yahoo
26-03-2025
- Business
- Yahoo
Arkhive Digital receives Seed Round investment from Bambu Ventures
Funding to Fuel Growth, Expand Team, and Set a New Standard for Shopify Enterprise Commerce Services LOS ANGELES, March 26, 2025 /PRNewswire/ -- Arkhive Digital, a female-founded Shopify enterprise agency, has secured an investment led by Bambu Ventures, a firm specializing in enterprise software and solutions. The investment will fuel Arkhive's mission to redefine the Shopify enterprise commerce space and disrupt the traditional partnership models in the Shopify ecosystem. "We are thrilled to support Arkhive," said Dylan Runne, General Partner at Bambu Ventures. "Helena Shannon's leadership, paired with Arkhive's commitment to enterprise excellence, presents a game-changing opportunity in B2C & B2B Commerce. We are confident their approach will resonate with customers and set a new standard." Arkhive Digital provides enterprise-level strategy, implementation, and managed services for retailers leveraging Shopify Plus atop the already robust eCommerce technology stack that exists in most enterprises. Since its founding, the company has rapidly gained traction, securing a strong pipeline of enterprise clients and a strategic partnership with Shopify, a Fortune 500 ecommerce platform. "Arkhive is redefining how enterprise brands engage with the Shopify platform," said Helena Shannon, Founder & CEO of Arkhive Digital. "This will allow us to scale our services, expand our customer base, and further establish ourselves as the premier Shopify Plus enterprise agency. I am beyond grateful for the trust and support of our investors and advisors as we take Arkhive to the next level." Arkhive Digital also welcomes advisors Richard Lyons, Dylan Runne and Richard Hearn, whose deep veteran expertise in enterprise ecommerce and digital transformation will strengthen the company's strategic direction and operational execution. About Bambu Ventures Bambu Ventures is a venture capital firm dedicated to backing visionary entrepreneurs in B2B software and solutions. With a focus on hypergrowth strategies, Bambu provides capital, strategic guidance, operational support, and a global network to help founders scale their businesses. For more information, visit About Arkhive Digital Arkhive Digital is a female-founded, enterprise-focused Shopify agency dedicated to helping retailers scale with speed, efficiency, and impact. Headquartered in Tennessee, Arkhive delivers best-in-class strategy, implementation, and managed services for enterprise brands looking to drive innovation in ecommerce. Learn more at Media Contacts Helena Shannon, CEO📧 Helena@ Bambu Ventures📧 info@ View original content to download multimedia: SOURCE Bambu Ventures Sign in to access your portfolio
Yahoo
03-03-2025
- Business
- Yahoo
Shopify: A High-Growth Leader with a Pricey Valuation
Over the past few quarters, Shopify's stock has been extremely volatile, with prices swinging sharply. Despite these fluctuations, the company has recently posted impressive gains that reinforce its place in a long-term portfolio. Even though inflation worriesfueled by concerns over tariff policies under the Trump administrationhave rattled the markets, Shopify has shown remarkable resilience. Its recovery from the 2022 selloff has been nothing short of extraordinary, with shares rebounding nearly fourfold from their October 2022 lows. After reporting Q4 results, the stock wavered between gains and losses, despite clear signs of accelerating growth. I find the market's tepid reaction to these earnings perplexing, as Shopify has consistently delivered strong performance during tough economic times, suggesting that its growth potential could be even higher once the broader economy picks up. Warning! GuruFocus has detected 3 Warning Signs with SHOP. SHOP Data by GuruFocus While the stock trades at a premiumwhich might appeal to aggressive growth investors due to its ability to capture market share in a rapidly expanding industrythe upside appears limited unless it surpasses the already optimistic consensus estimates. Given these ambitious growth expectations and stretched valuation assumptions, I believe the potential returns don't match my risk appetite. For now, I recommend holding your current position and waiting for a market pullback to build a larger stake, while being cautious not to get overly greedy on Shopify at its current high valuation. Shopify has long been the go-to platform for SMBs, but it's now making a deliberate push into the enterprise spacea move that significantly diversifies its merchant base. This shift is evident in its growing list of high-profile clients, including Reebok, Overstock, and Barnes & Noble. By bringing in larger, high-revenue businesses, Shopify is reducing its reliance on SMBs, which tend to be more vulnerable during economic downturns. What stands out to me is how this strategy strengthens Shopify's position, as enterprise merchants have the scale to weather market uncertainties like tariffs while also contributing to more stable, long-term revenue. A key part of this expansion is Shopify Plus, its premium offering designed for larger businesses. With features like custom storefronts, advanced analytics, and dedicated account management, Shopify Plus positions itself as a serious competitor to enterprise platforms like Salesforce Commerce Cloud and Adobe Commerce. On top of that, Shopify continues to expand internationally, which is another key growth driver that shouldn't be overlooked. All of this expands Shopify's TAM and improves revenue stability, as enterprise clients typically offer higher lifetime value and longer commitments. I'll break down how this could drive long-term top-line growth in the sections ahead. From a top-line perspective, Shopify's growth is being fueled by a few key factors. First, there's the continued expansion of Shopify Payments, which has become an increasingly significant revenue driver. In FY24, Shop Pay penetration hit 62% of GMVup 4 percentage points YoYmeaning nearly two-thirds of transactions on Shopify's platform are processed in-house. This allows the company to capture a greater share of merchant sales and strengthen its payments ecosystem. [Shopify Investor Relations] Another major contributor is Shopify's international expansion, which has been outpacing its U.S. growth. International revenue grew 33% YoY last quarter, with EMEA GMV jumping 37%. International markets now make up 30% of Shopify's total revenue, a sharp increase from just a few years ago. What I find particularly compelling is that despite this strong growth, Shopify still has plenty of untapped potential in global markets. This provides a strong hedge against U.S. economic uncertainty while also giving the company room to scale further. I expect this momentum to continue, especially with Shopify rolling out merchant-focused tools like its Managed Markets offering, designed to help sellers expand into new Shift Boosting GMV GrowthShopify's push into the enterprise space is another major factor in its growth story. The company has been actively attracting large-scale brands, and FY24 results confirmed this shift is paying off. What excites me about this transition is that enterprise clients generate much higher transaction volumes and are far less sensitive to economic slowdowns than SMBs. This is clearly reflected in Shopify's GMV, with B2B GMV surging 140% YoY. Large merchants not only bring stability but also help Shopify capture new consumers, adding to the now 875 million unique online shoppers on its platform. More importantly, these big players have the resources to absorb tariff-related costs, making Shopify's business model more resilient. Despite facing some headwinds, Shopify has demonstrated impressive operating leverage. Gross profit growth has outpaced operating expenses, which is exactly what I want to see in a company scaling this quickly. In fact, full-year operating expenses dropped to a record low of 38% of revenue, underscoring Shopify's ability to grow revenue faster than costs. That said, there has been some pressure on gross margins, which fell 340bps YoY to 46.1%, partly due to the growing adoption of Shopify Payments. However, the company has offset this by improving operating efficiency, cutting sales, marketing, and R&D expenses as a percentage of revenue. As a result, Shopify's pro forma operating margins jumped to 17%a solid 4-point improvement YoY. [Shopify Investor Relations] This tells me that Shopify is scaling in a way that doesn't come at the expense of profitability. Its 84% revenue growth rate speaks for itself, and as operating margins continue to improve, it's becoming clear that Shopify can sustain high growth while still driving long-term profitability. If it stays on this trajectory, I believe sustaining 25%+ annualized revenue growth is more than achievable. Another major positive has been Shopify's improved capital allocation following its decision to offload its logistics arm in mid-2023. Initially, the company had tried to compete with Amazon in fulfillment, but this effort ended up weighing on profitability. The divestiture streamlined operations, reducing TTM CapEx and giving Shopify much-needed breathing room on the financial side. The impact on FCF has been dramaticShopify posted its first sustained period of positive FCF since 2022, with FCF jumping 76% YoY to $1.60 billion in FY24, representing an 18% FCF margin (up 5 points YoY). [Shopify Investor Relations] Before 2020, Shopify's FCF was negligible, and while it briefly spiked in 2021, inflation, higher interest rates, and aggressive logistics investments dragged it into negative territory in 2022. Now, with FCF margins in the high teens and strong revenue growth, the company is positioned to continue expanding profitability. The key question now is just how much further Shopify can push these margins in the coming years. There's no denying that Shopify isn't cheap. However, when I factor in its accelerating growth, its positioning within the "Rule of 40" framework (with ~30% revenue growth combined with high-teens pro forma operating margins), and its dominant role in e-commerce software, I think its premium valuation is justified. To properly assess its valuation, we need to compare it to relevant peers operating in similar spaces. Shopify competes directly with platforms like Wix and BigCommerce in online store-building, while also pushing further into enterprise SaaS, where it's up against Salesforce's Commerce Cloud. Amazon is also a relevant comparison, given its sheer scale in e-commerce. [Alpha Spread] When stacked up against these peers, Shopify's valuation stands out. The stock currently trades at a P/E of 74.1certainly high, but not unreasonable considering its growth trajectory. For context, Wix trades at an even loftier 116.5x earnings, while Amazon (38.7x) and Salesforce (49.9x) command lower multiples. [Alpha Spread] On a sales basis, Shopify's P/S ratio of 16.8 is significantly higher than its peer group average of 7.3x. This signals that investors are pricing in Shopify's ability to outpace its competition in revenue growthsomething it has consistently delivered, with revenue climbing nearly 84% YoY. That being said, valuation will inevitably act as a ceiling on Shopify's upside, which is a challenge facing most high-growth stocks. There's no sugarcoating itShopify is expensive relative to its peers. But what makes it compelling is its rapid revenue expansion and improving profitability. If growth slows, its valuation could face pressure, but for now, I'm comfortable staying long and holding out for more upside. [Shopify Investor Relations] Looking ahead, the broader market trends also work in Shopify's favor. The e-commerce SaaS market is projected to surge from $9.4B to $29.82B by 2032 at a CAGR of 15.5%, while the payment SaaS market is expected to grow from $18.4B in 2024 to $43B by 2030 at a similar 15.2% CAGR. Shopify's headless commerce solutions have strategically positioned it to capitalize on these expanding markets. Additionally, e-commerce penetration remains lowjust 2% in Shopify's core geographies and 1% globallyleaving plenty of room for further adoption. Given management's focus on expanding TAM over the years, I believe Shopify is well-positioned to sustain profitable growth. Shopify's merchant solutions segment remains central to its future expansion. The e-commerce industry itself offers massive tailwinds, and Shopify's strong execution so far gives me confidence in its ability to keep capitalizing on them. While the consistent revenue and EPS growth reinforce this bullish case, the stock's current valuation doesn't necessarily scream "buy" right now. Shopify's long-term potential is undeniable, but I'd prefer to wait for a pullback before adding more exposure. At a more reasonable entry point, it would offer a better risk-reward balance while still allowing investors to benefit from the company's future growth trajectory. Shopify remains one of my favorite long-term holdings due to its immense growth potential and the strong tailwinds propelling its business forward. However, its valuation has reached a level where only aggressive growth or long-term investors should feel comfortable buying in. For those who are more risk-averse, waiting for a pullback might be the smarter move. That said, Shopify has repeatedly demonstrated its ability to grow into its valuation, and while downside risks exist, the company's long-term outlook remains compelling. Even if the stock were to drop 30%, it would still be trading at around 50x earningsmeaning it's unlikely to ever be considered "cheap." Given this, my approach is to start with a small position at current levels and add more on dips. This way, I can participate in Shopify's upside while managing risk effectively. For investors who, like me, believe in Shopify's continued dominance in e-commerce, a gradual accumulation strategy makes sense. While consensus estimates might not fully capture its long-term potential, Shopify has repeatedly outpaced expectations. As long as it continues executing well, I see meaningful upside ahead. This article first appeared on GuruFocus.
Yahoo
28-02-2025
- Business
- Yahoo
Betterware de Mexico SAPI de CV (BWMX) Q4 2024 Earnings Call Highlights: Strong Revenue Growth ...
Q4 2024 Revenue Growth: 11.1% increase compared to Q4 2023. Jafra Mexico Revenue Growth: 22.2% increase in Q4 2024. Betterware Mexico Revenue Growth: 1.5% increase in Q4 2024. Full Year 2024 Revenue Growth: 8.4% increase compared to 2023. EBITDA: 2% increase to MXN 2.8 billion, slightly below guidance. Jafra Mexico EBITDA Growth: 15.4% increase. Gross Margin Q4 2024: Improved by 116 basis points to 67.3%. Full Year 2024 Gross Margin: Expanded by 70 basis points to 67.9%. Adjusted EBITDA Decline: 5.8% with a 367-basis points margin contraction. Cash Flow Decline: 21.6% decrease for the year. Adjusted Earnings Per Share Growth: 10.5% in Q4 and 17.3% for the full year. Net Debt to EBITDA Ratio: 1.76 times, with a target of 1.5 times for 2025. Proposed Dividend for Q4: MXN 250 million pesos. Warning! GuruFocus has detected 5 Warning Signs with BWMX. Release Date: February 27, 2025 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Betterware de Mexico SAPI de CV (NYSE:BWMX) achieved double-digit revenue growth of 11.1% in Q4 2024, driven by a 22.2% increase in Jafra Mexico's performance. The company demonstrated resilience with Betterware Mexico growing for the fifth consecutive quarter, exceeding last year's results by 1.5%. Jafra Mexico's EBITDA increased by 15.4%, contributing to the overall financial strength of the company. Betterware de Mexico SAPI de CV (NYSE:BWMX) has a strong historical CAGR of 18% in revenue and 19% in EBITDA over the past 23 years. The company is strategically positioned for future growth with plans for international expansion into Latin America and a focus on sustainability and innovation. Consolidated EBITDA was slightly below the low end of the guidance range due to unexpected challenges in Mexico's international supply chain. The company faced headwinds from sharp Mexican peso depreciation, increased trade prices, and growing product import duties. Jafra US experienced a 17.6% revenue decrease in US dollars, mainly due to adoption difficulties with Shopify Plus. Consolidated adjusted EBITDA declined by 5.8% with a 367-basis points margin contraction, primarily due to Japan Mexico's EBITDA decline. Cash flow declined by 21.6% for the year, driven by an extraordinary cash inflow in 2023 that was not repeated in 2024. Q: Inventories year over year rose. How much of that was the desire to have more product, and what should be the normalized inventory levels going forward? A: Hi Eric. This is Andres. In the first half of the year, we experienced inventory shortages due to growth and anticipated supply chain disruptions. We built up inventory in the second semester. Alejandro will provide the expected normalized inventory levels. A: We would expect instead of the MXN 2,500 million pesos that we have by the end of 2024, it should have been around MXN 2000 million pesos in 2024. Q: Can you elaborate on the strategic focus for Betterware Mexico and Jafra Mexico in 2025? A: For Betterware Mexico, we aim to expand our reach and increase market share by refining our business model, enhancing operational efficiency, and exploring new sales channels. For Jafra Mexico, we plan to capture more of the beauty market by refreshing our brand, innovating products, and implementing a refined pricing strategy. Q: What are the plans for international expansion, particularly in the US and Latin America? A: We are positioning our brands in the US market, with Betterware US showing promising growth signs. In Latin America, we are transitioning from Peru to Ecuador as our first market, with plans to launch operations in Ecuador by June 2025 and expand to Peru and Colombia in the future. Q: How does the company plan to manage potential political disruptions in the US? A: We are aware of potential disruptions, such as increased product import duties and effects on Hispanic market consumption. We are taking necessary countermeasures to mitigate these effects and continue our expansion in the US. Q: What is the focus of the company's inorganic growth strategy? A: Leveraging our success with Jafra, we are exploring companies that offer opportunities to develop new product lines, present new business categories, or accelerate our entrance into international markets. For the complete transcript of the earnings call, please refer to the full earnings call transcript. This article first appeared on GuruFocus.
