Shopify says changes to fulfillment network will not hit capacity By

By Nivedita Balu

(Reuters) – Canadian e-commerce giant Shopify (NYSE:) Inc said on Monday proposed changes to its fulfillment network would not reduce capacity to meet the needs of its customers, helping shares reverse course to trade up 7%.

Shares plunged nearly 9% earlier in the session to an 18-month low, weighed down by a global tech sell-off as well as a report last week that Shopify was terminating or reducing contracts with warehouses and fulfillment partners, which could reduce its capacity to ship orders from merchants.

“We will be making changes to (Shopify fulfillment network) to help merchants compete with big-box retailers, such as prioritizing two-day shipping at affordable prices and access to easy returns for U.S. shoppers,” the company said in a statement on Monday.

(Graphic: Shopify’s 2022 decline takes it off top spot Shopify’s 2022 decline pushes it off top spot, https://graphics.reuters.com/SHOPIFY-STOCKS/SHOPIFY-STOCKS/zgpomaoykpd/Shopify%202022%20deline.jpeg)

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.