Shopify Goes Soul-Searching
Published: June 24, 2022

Shopify Goes Soul-Searching
Shopify Goes Soul-Searching

When Steven Levy spoke to Shopify's CEO and founder, Tobias Lütke, earlier this month, Levy was the first to tell him about an unfortunate headline that had just appeared: "Is Shopify the next WeWork?" Lütke, who goes by Tobi, was talking to me about a big rollout of new features for the platform, which provides tools for merchants to digitally sell their wares directly to customers. He built the company into an e-commerce behemoth somewhat under the radar, powering more than two million online stores, from literal mom-and-pop operations to Chipotle. You have almost certainly used it without knowing it, as its branding is subtle. Its growth eventually tripped the collective radar, and late last year the CEO's shiny domed punim graced the cover of Bloomberg Businessweek, which dubbed him the Anti-Bezos.

But this year 16-year-old Shopify hit a wall, thanks to supply chain shortages, a post-pandemic return to actual stores, and a looming recession. Its stock tanked, losing 73 percent of its value. Even the Bloomberg writer, my former colleague Brad Stone, felt compelled to note the irony, wondering if he had cursed Lütke with his lavish attention. The timing of all this was particularly awkward, as Shopify was about to split its stock, 10 shares for each current one. That's not something companies usually do when the price is tumbling. Another corporate maneuver that suddenly seemed questionable was Lütke's plan to change the firm's rules for voting shares so that his control of the company would be virtually unassailable. All of this led to The Street asking that alarming question in its headline, which, of course, I mention to him during our chat.

"Oh, Jesus, I did not see that," Lütke responds, his voice slightly accented by his German roots. (He moved to Canada in his early 20s, and the company was based there until 2020, when he declared that it would thereafter be virtual.) 

Pause. "Yeah, OK, that's funny," he finally says, though he's not laughing.

But he is fighting, and he's eager to talk about the new features Shopify is rolling out to make itself even more influential in international commerce. The stock dip, he says, doesn't reflect the business's performance or prospects. "We said internally, over and over, when stock went up 50 percent, we did not get 50 percent smarter in that time. So when it went down 50 percent, we didn't get dumber." Presumably, even a 73 percent nosedive doesn't indicate a lower IQ.

As for boosting his voting shares, Lükte says he always intended to have minority control, and the current change is due to technical reasons, in part because of Canadian and US rules. "It's not actually my voting," he says. "This is a defensive mechanism against, like, hostile takeovers." Not all shareholders were happy with this move, as the measure squeaked by with only a 54 percent majority. Lükte also points out that new power ends with him and can't be passed down to his successor.

Source: Re-posted and Summarized from Steven Levy at wired.

My Take: Shopify was doing so well. I am not willing to write them off, yet.
 


Customer Reviews:

We all have been VERY pleased with Adrian's vigila
We all have been VERY pleased with Adrian's vigilance in monitoring the website and his quick and successful repairs. Evan was also very helpful in solving all of my hacking problems. So in all aspects of the Computer Geeks we are very glad we are working with you.
Kenneth Bruscia PhD
Published:
Kenneth Bruscia PhD
[email protected]
FIVE STARS + It's true, this is the place to go fo
FIVE STARS + It's true, this is the place to go for your web site needs. In my case, Justin fixed my problem immediately. It's such a comfort to know that I can reply on these people for any and all my web needs. You will not find a better team anywhere.
Paul Adler
Published:
Paul Adler
[email protected]
We reached out to Rich and his team at Computer Ge
We reached out to Rich and his team at Computer Geek in July 2021. We were in desperate need of help because our former website design agency left us hanging with major website issues that needed immediate attention. Rich and his team were extremely helpful and quick to come to our rescue! They have helped us with numerous projects that have helped our SEO. Our sales have increased 30% since coming to Computer Geek. We've been working with them for about nine months now and are very pleased with their response time and helpful manner. Rich has proven himself to be trustworthy and dependable. We feel valued as a customer and look forward to continuing a relationship with Computer Geek.
Leigh Hutchens
Published:
Leigh Hutchens
[email protected]
Just to say thank you for all the hard work. I can
Just to say thank you for all the hard work. I can't express enough how great it's been to send projects and they get done. Beyond that, your ability to work with three different folks in a personable way really has been a game changer for us. The improvements to our business because of your hard work have been significant.
Curtis Williams
Published:
Curtis Williams
[email protected]
I would certainly like to recommend that anyone pu
I would certainly like to recommend that anyone pursing maintenance for a website to contact The Computer Geek. I have been using another company to do some maintenance on my site with moderate success. There were issues that were evidently beyond what could be handled by them. However, the professionals at The Computer Geek had them addressed and rectified in no time at all. The Computer Geek approached all of my requests focusing on my goals and the needed performance. Then, once versed, presented me with a very reasonable price. Once the projects were in motion, I found that the tasks were achieved before I expected, with professional results. Also, in one instance where The Computer Geeks brought an issue to my attention that I would have likely overlooked. This was accompanied by a recommendation on how to solve the issue. Overall The Computer Geeks exceeded my expectations!
David Pappas
Published:
David Pappas
[email protected]
I have a important website dedicated to the local
I have a important website dedicated to the local high school going back nearly 100 years. It was suddenly infected with a virus. Rich at Computer Geek fixed it within an hour. I cannot recommend him enough. I hope it's not for a long time, but the next time I need help, Rich is who I'm gonna call.
Eric Williams
Published:
Eric Williams
[email protected]
WOW! I have been wracking my brain for the past 30
WOW! I have been wracking my brain for the past 30 days trying to figure out who was hosting my company's website the domain owner, etc. Yesterday, when I googled for help and I clicked on the link to computer-geek.net and picked up the phone and called them. Rich answered and from there it was smooth sailing!
Rhonda Harding
Published:
Rhonda Harding
[email protected]
A note to let you know how much I appreciate your
A note to let you know how much I appreciate your team's work. Justin is on top of quickly solving any issues, making changes, reliable. Finding you was one of the luckiest days of my 74 years. I'd be honored if you'd add me to your list of references. And please stay healthy and in business. I got enough headaches from other folks.
Dan Cutrer
Published:
Dan Cutrer
[email protected]
We discovered an issue with our Oscommerce cart pr
We discovered an issue with our Oscommerce cart processing images. It is about 14 years old and heavily modified. Looking on google for some expert help I found Rich and reached out to him. We received a response the same day. The next day his team was working on our issue and was able to solve it within a few hours. Price was reasonable and we are very appreciative to find a competent and professional oscommerce expert to help successfully troubleshoot our issue.
Phillip Sirota
Published:
Phillip Sirota
[email protected]
I'm very new to the whole idea of having a website
I'm very new to the whole idea of having a website / blog. I used Bluehost.com and WordPress.org to create Thepredatorhunter.com and then managed to wreck it. On a Sunday morning I opened chat box with Rich and within a few hours everything was fantastic! This isn't just a company for big biz, if your new and small, The Computer Geek can help you out. In trouble? Stop fretting and start typing in the chat box. You will be glad you did!
Dennis Gilmore
Published:
Dennis Gilmore
[email protected]
[Read More Testimonials Here]

Latest Website Related Articles

Using a USB headset for Google Meet calls is finally getting simpler

Published: August 16, 2022
Hooking up a USB accessory such as a headset or microphone for a Google Meet call is set to get a lot easier at last thanks to a new update to the service. The video conferencing platform has revealed changes that will allow users to have much gre...[Read More]

 

Microsoft finally admits Xbox One sales were less than half of the PS4

Published: August 15, 2022
We haven't had official Xbox One sales figures for 7 years. Official Xbox One sales have largely been a mystery, but now Microsoft is finally admitting the obvious: the PS4 outsold the Xbox One, by a lot. Microsoft stopped reporting its Xbo...[Read More]

 


Here are some links to related topics:
 dos attack troubleshooter,   make wordpress fast,   hiring a webmaster,   signs your computer has been hacked,   ideahost hacked,   modx hacked,  


Auto Helpers: Auto Helpers
Site Secured By The Website Guardian