In this article, we are going to talk about the 15 biggest companies that use Shopify. You can skip our detailed discussion about Shopify trends and go to the 5 Biggest Companies That Use Shopify.
Shopify is a subscription-based e-commerce platform that enables people to create an online store and sell their goods. Users can create a basic online store in seconds or create a unique store with features that draw more traffic and eventually translate to sales.
Shopify Inc. (NYSE: SHOP) is one of the biggest and most profitable e-commerce companies in the world with a market cap of $141.3 billion. Shopify has expanded in recent years as a result of the boom in e-commerce that attracted many small businesses, and saw an enormous surge during the pandemic as more businesses were pressured to broaden their online presence. Shopify holds 8.6% of the U.S. retail e-commerce market in 2020, trailing online retail giant Amazon.com Inc. (NASDAQ: AMZN). Shopify's revenue in 2020 skyrocketed to $2.9 billion, an increase of 86% over 2019.
The Canadian e-commerce is also included in Cathie Woods' ARK Invest, where she recently purchased 18,184 shares of Shopify or around 0.5059% of the ETF. Recently, Evercore ISI issued an "in-line" rating for SHOP stock with a $1360 price target. The stock has gained 205% in the last twelve months.
Why Big Brands Use Shopify
The ecommerce boom was already in progress when the coronavirus crisis hit. Billions of consumers worldwide started using online services amid lockdowns, travel bans, and store closures. To capture this huge user base, the world's biggest retailers, small businesses and people who wanted to sell their products online scrambled to make online stores and increase their digital presence. The biggest companies that use Shopify are expanding their multi-channel presence. The most successful stores sell on any site and via any channel, and they interact with customers where they spend the most time.
Shopify is the second largest e-commerce platform in the US with over 1.1 million stores. The platform services a variety of industries including automotive, health, food products, sports, and apparel to name a few. Shopify and Shopify Plus are attracting many e-commerce superstars owing to their growing market share in the global e-commerce platform segment.
Biggest Companies That Use Shopify
To give you the most accurate insight about the biggest companies that use Shopify, we ranked Shopify's most influential brands by their market capitalization and market value.
Now let's see the biggest companies that use Shopify starting from number 15.
15. KKW Beauty
Market value: $1 billion
Celebrity-owned cosmetic line KKW Beauty is one of the biggest companies that use Shopify. Founded in 2017 by newly listed Forbes billionaire Kim Kardashian, KKW Beauty is one of the most successful stores in Shopify today. KKW holds annual sales that sell out in seconds, if not minutes. In 2020, American beauty products manufacturer Coty Inc. (NYSE: COTY) purchased a 20% stake in the cosmetics line for $200 million. Shares of COTY gained 59% in the last twelve months.
14. Kylie Cosmetics
Market value: $1.2 billion
Ranking 14th on the list of the 15 biggest companies that use Shopify is KKW Beauty's rival Kylie Cosmetics. The company, which was formed in 2015 in California by Kylie Jenner, sells eyeshadow palettes, concealers, highlighters, blushes, and accessories. Coty Inc. also owns a 51% stake in Kylie Cosmetics for $600 million.
Market value: $1.3 billion
UK-based fitness apparel manufacturer Gymshark ranks 13th on the list of the biggest companies that use Shopify. The fitness brand that was built by teenager Ben Francis in his parent's garage back in 2012 has now gained 5.2 million highly active social media followers and customers around the world. In 2020, growth equity firm General Atlantic LLC purchased a 21% stake in Gymshark for £200 million. Gymshark's growth and international expansion are supported by the private equity firm, especially in North America, where it claims the company has built its largest customer base.
Market value: $2.1 billion
Fitness wearable Fitbit Inc. ranks 12th in our list of the 15 biggest companies that use Shopify. San Francisco-based Fitbit began operations in 2007. The Fitbit brand soon became associated with fitness monitoring as a first-mover in the wearables industry. Fitbit's stock price jumped nearly 50% on the day of its IPO in 2015, making it one of the most successful IPOs in history. In recent years, the growing market for smart fitness wearables surged and sports tech giants such as Samsung, Microsoft (NASDAQ: MSFT), Nike (NYSE: NKE), and Garmin (NASDAQ: GRMN) have created their own sports watches. In January, Google (NASDAQ: GOOG) finished its acquisition of Fitbit for $2.1 billion.
11. Penguin Books
Market value: $3.67 billion
UK-based publisher Penguin Books ranks 11th on the list of the biggest companies that use Shopify. The company which was established in 1935, publishes academic and scholarly, educational, fiction, and non-fiction books in a variety of formats. The company is a subsidiary of the world’s largest trade publishing group, Penguin Random House. In 2020, German media giant Bertelsmann completed its full acquisition of Penguin Random House. Penguin Random House's revenue in 2020 came in at $4.5 billion.
Penguin Books had 39,711 monthly app downloads in the last 30 days, according to Apptopia, a monthly download growth rate of 12.37%.
10. Hyatt Hotels Corp (NYSE: H)
Market cap: $8.35 billion
Ranking 10th on the list of the biggest companies that use Shopify is Hyatt Hotels Corp. Headquartered in Chicago, the company owns and operates resorts and hotels in the US and worldwide. Hyatt Hotels recently opened its 1,000th hotel globally, the Alila Napa Valley in St. Helena, California. The company has almost 350 projects in the pipeline, according to the TOPHOTELPROJECTS construction database, with a particular emphasis on the Asia Pacific and North America.
The company's revenue in 2020 came in at $2.06 billion. The stock has gained 59% in the last twelve months.
9. Red Bull GmbH
Market value: $12 billion
Ranking 9th on the list of the 15 biggest companies that use Shopify is Red Bull. Headquartered in Fuschl, Austria, the company holds the largest share of the energy drink market in the world accounting for 43%. Red Bull's top competitors are Monster Beverage Corporation (NASDAQ: MNST), Coca-Cola Company (NYSE: KO), and PepsiCo Inc. (NASDAQ: PEP). Red Bull owns numerous extreme sports event series as well as several sports leagues from F1 to football teams.
In 2019, Red Bull together with private equity firm Verod Capital has led the venture round in funding West Africa's biggest clothing manufacturer, DTRT Apparel Ltd.
8. Whole Foods Market
Market value: $13.7 billion
Ranking 8th on the list of the 15 biggest companies that use Shopify is Whole Foods Market owned and operated by Amazon.com Inc (NASDAQ: AMZN). Headquartered in Austin, Texas, the company runs more than 350 supermarket chains that exclusively market natural and organic food and products in the US, UK, and Canada.
In 2020 the fourth quarter of 2020, Amazon's physical store revenues, which include Whole Foods Market, fell 8% to $4.02 billion, from $4.36 billion in 2019. Shares of AMZN jumped 60.5% over the past twelve months.
7. Lindt & Spruengli (OTC: LDSVF)
Market cap: $21.9 billion
Swiss chocolate manufacturer Lindt & Spruengli ranks 7th in our list of the 15 biggest companies that use Shopify. Lindt, Ghirardelli, Russell Stover, and Whitman's are among the company's brands, which are sold in over 500 retail stores around the world.
The company's sales in 2020 fell 10.9% to $4.3 billion from $4.8 billion in 2019. Shares of LDSVF climbed 10.2% over the past twelve months.
6. Kraft Heinz Co. (NASDAQ: KHC)
Market cap: $49.7 billion
One of the biggest companies that use Shopify is Kraft Heinz Co. When the pandemic struck, Heinz wanted a new way to get their food to people who couldn't shop in physical stores due to lockdown, so they launched their new direct-to-consumer site on Shopify Plus in a matter of a week. As of March 30, 2021, Warren Buffett's Berkshire Hathaway owns 325,634,818 shares of the consumer-packaged goods company worth $11.3 billion.
KHC's full-year net sales in 2020 came in at $26 billion. The stock has gained 44.6% in the last twelve months.
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Disclosure: None. 15 Biggest Companies That Use Shopify is originally published at Insider Monkey.