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Shopify inks partnership with Walmart as it prepares to battle Amazon.com

Last Updated Jun 15, 2020 at 8:14 am MDT

Shopify CEO Tobias Lutke, center wearing hat, is celebrated as he rings the New York Stock Exchange opening bell, marking the Canadian company's IPO, Thursday, May 21, 2015. Shopify Inc. has formed a partnership with Walmart to allow the tech company's U.S. merchants to sell their products on the retailer's website. THE CANADIAN PRESS/AP-Richard Drew

OTTAWA — Shopify Inc. has formed a partnership with Walmart Inc. to allow the tech company’s U.S. merchants to sell their products on the retailer’s website.

Ottawa-based Shopify says more than 120 million Americans visit Walmart.com every month and its new deal with the company will enable merchants to get their products in front of these buyers to expand their sales.

Shopify expects 1,200 merchants to be selling products through Walmart’s marketplace by the end of the year.

The Walmart partnership comes a month after Shopify teamed up with Facebook Inc. to allow merchants to create a customized online storefront for Facebook and Instagram.

The Facebook and Walmart deals shore up more clout and offerings for Shopify as the company takes on e-commerce giant Amazon.com Inc.

To compete with Amazon, Shopify has been working on developing a network of fulfilment centres to help U.S. merchants lower shipping costs and ensure timely deliveries.

This report by The Canadian Press was first published June 15, 2020.

Companies in this story: (TSX:SHOP)

The Canadian Press