Shopify can only compete if a few things come about:

1. They centralize their seller’s website’s data into a single shopping site.

2. They create a time-based demand. I mean that eBay is auction driven for the most part. This in combination with bidding keeps things hyperactive, so yes, bidding would have to be available on Shopify. Then again, eBay already has eBay stores, so all they need to do is allow more flexible design control and lower their rates a little to bust up Shopify.

3. They get a few billion dollars in investment money to compete on that scale.

4. Customizable design and free carts are not that unique in the shopping cart software business.

PS - I didn’t see a way to get my own domain with Shopify. But maybe I didn’t finish setting up my store. Can anyone confirm?

First of all, you’re right, eBay is mainly an auction site, while Shopify is a site to set up a sort of amateur e-commerce site. Think of it this way. Amateur bloggers who still blog a lot and consider it a major hobby for themselves use Blogger or Freewebs. Real bloggers buy their own domains and use WordPress. Shopify is for amateur e-merchants who still sell things as a major hobby and make money from it. VeraCart is for real e-merchants who have their own domains and sell stuff on their e-commerce sites for a living.

In this business model, Shopify can become very successful, because the Power Sellers will have both Shopify stores for professionalism and (for the time being) eBay stores for extra customers. Then, they will try to get their regular customers to use their Shopify site, and, after Shopify becomes well known, abandon their eBay store. Then eBay stores will become the MySpaces of e-commerce, with only the real amateurs using it, but since they will still have a strong auction business, they wont really feel any damage.

Also, to get your domain working, you have to click the Sign-Up button and fill out the form.

1. they centrailize their sellers websites data into a single shopping site.

2. they create a time-based demand. I mean that ebay is auction driven for the most part. This in combination with bidding keeps things hyperactive, so yes, bidding would have to be available on Shopify. Then again, eBay already has ebay stores, so all they need to do is allow more flexible design control and lower their rates a little to bust up shopify.

3. they get a few billion dollars in investment money to compete on that scale.

4. Customizable design, and free carts are not that unique in the shopping cart software business.

p.s. I didn’t see a way to get my own domain with Shopify. But maye I didnt finsih setting up my store. Can anyone confirm?

-Ryan

While I am sure that it will be hard for a site to provide this competition, I am hoping that it will come. Craigslist is currently the only ones that have given eBay some nudges and I hope another site will do the same. We’ll just have to wait and see.