How Many Shopify Stores Fail?

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Shopify is one of the most popular ecommerce platforms in the world. It’s easy to set up and use, making it perfect for small businesses and entrepreneurs. However, that doesn’t mean it’s immune to failure. In fact, according to Shopify, more than half of all Shopify stores fail within the first year. So what are the reasons behind these store closures? And how can you avoid them if you want your own Shopify store to succeed? Read on to find out.

How Shopify Stores Fail

Too often, shopify stores fail because they are not properly built or implemented. The wrong platform, the wrong design, or a lack of execution can all lead to a store’s failure. Here are five signs that your store may be struggling:

1. Low Conversion Rates

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shopify dropshipping store set up

 The first sign that your store is not doing well is if you aren’t seeing high conversion rates. If only a small percentage of your visitors convert into paying customers, then you likely have some work to do on your marketing and sales efforts. A low conversion rate could also be a sign that your product or service isn’t resonating with potential customers.

2. Poor Customer Retention

 Another indication that your store may be failing is if customers are dropping out at an alarming rate. Unless you are attracting new customers at a similar rate, you will eventually lose customers due to attrition (in addition to any other problems your store may have). If your customer retention is too low, it might be time to make some changes to your marketing and sales strategy.

3. No Sales Growth

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 If sales haven’t been growing over time, it could mean one of two things: either you don’t have enough content or products available for sale, or your sales process isn’t working as planned. Either way, fixing this issue will likely require more promotion and/or adjustments to your pricing structure.

How to Fix a Shopify Store That’s Failed

If you’re like most Shopify store owners, you probably assume that your store is doing well. But according to Shopify, over one-quarter of their stores fail within the first year. What’s causing these stores to fail?

There are a few common reasons for Shopify stores to fail. The biggest culprit is likely user engagement. Only about half of all customers who visit a failing store return again in the next six months. This means that if your store isn’t generating enough revenue from its users, it won’t last long.

Another major factor is performance. If your Shopify store is taking too long to load or isn’t responding quickly enough, it’ll frustrate and annoy your customers. And finally, there’s always the risk of hacking or theft – no business is immune to these threats.

These are all important factors to consider when diagnosing and fixing a failing shop, but there’s one more thing you need to keep in mind: shipping rates. If your products are taking too long to ship or cost too much to ship, this will hurt your bottom line as well…

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There’s no one answer to this question, as the number of Shopify stores that fail varies from person to person. However, according to a recent study conducted by Shopify, around 30% of small businesses using their platform will ultimately fail. This statistic is likely even higher for businesses starting out; after all, it takes a lot more resources and time to make a successful shop on Shopify than it does with other platforms. Nonetheless, if you’re feeling overwhelmed or like your business might not be able to handle the growth that’s coming its way, seeking professional help may be the best move for you.