Shopify Inc (SHOP) 2016 Q3 法說會逐字稿

Good morning. My name is Denise and I will be your conference operator today. At this time I would like to welcome everyone to the Shopify's Q3 2016 financial results conference call.

早安.我叫丹尼斯，今天我將擔任你們的會議操作員。現在我歡迎大家參加 Shopify 2016 年第三季財務業績電話會議。

(Operator Instructions)

（操作員說明）

I would now like to turn the call over to Shopify's Head of Investor Relations Katie Keita, please go ahead.

我現在想將電話轉給 Shopify 投資者關係主管 Katie Keita，請繼續。

Good morning. Thank you all for joining us for Shopify's third-quarter 2016 conference call. On today's call is Tobi Lutke, Shopify's Founder and CEO. Then, we will hear from Harley Finkelstein, our COO, and then Russ Jones, our CFO, will review our third-quarter results and our expectations for the rest of the year. Then we will open it up for questions.

早安.感謝大家參加 Shopify 2016 年第三季電話會議。 Shopify 創辦人兼執行長 Tobi Lutke 出席了今天的電話會議。然後，我們將聽取我們的營運長 Harley Finkelstein 的發言，然後我們的財務長 Russ Jones 將回顧我們第三季的業績以及我們對今年剩餘時間的預期。然後我們將打開它供提問。

Now for the most riveting part of today's call. During today's discussion we will make forward-looking statements which are based on current assumptions and are subject to risks and uncertainties that could cause actual results to differ materially from those projected in the statement. We undertake no obligation to update these statements except as required by law and information about these risks and uncertainties is contained in our press release this morning as well as in our filings with securities regulators in both Canada and the United States.

現在是今天電話會議中最引人入勝的部分。在今天的討論中，我們將做出基於當前假設的前瞻性聲明，並受到風險和不確定性的影響，這些風險和不確定性可能導致實際結果與聲明中的預測有重大差異。我們沒有義務更新這些聲明，除非法律要求，並且有關這些風險和不確定性的信息包含在我們今天上午的新聞稿以及我們向加拿大和美國證券監管機構提交的文件中。

Also, our commentary today will include adjusted financial measures, which are non-GAAP measures, and should be considered as a supplement to, not a substitute for, our GAAP financial measures. Reconciliations between the two can be found in our earnings press release, which is available on our website.

此外，我們今天的評論將包括調整後的財務指標，這些指標是非公認會計原則指標，應被視為對我們的公認會計原則財務指標的補充，而不是替代品。兩者之間的調節可以在我們的收益新聞稿中找到，該新聞稿可在我們的網站上找到。

And, finally note that we report in USD, so all amounts discussed today are in US dollars unless otherwise indicated. With that I will turn the call over to Tobi.

最後請注意，我們以美元報告，因此今天討論的所有金額均以美元為單位，除非另有說明。這樣我就把電話轉給托比。

Thanks Katie, good morning everyone and thanks for joining us today. Before I get started I would like to welcome Gail Goodman to our board of directors. Gail was always full of fantastic advice over the years when we interacted and talked about Shopify and she has built one of her SaaS companies where I've always admired most. I am really looking forward to working with her more closely.

謝謝凱蒂，大家早安，謝謝您今天加入我們。在開始之前，我謹歡迎蓋爾‧古德曼加入我們的董事會。多年來，當我們互動和談論 Shopify 時，Gail 總是給出很多很棒的建議，她也建立了我一直最欽佩的 SaaS 公司之一。我真的很期待與她更密切合作。

Because Russ and Harley are here to talk about the things that make headlines, like revenue growth and new brands joining Shopify Plus, I would like use my time on this call to talk about the things that fly under the radar but which actually are very important parts of implementing our strategy. Since our IPO 18 months ago, we've been pretty clear about the strategy. We focus on entrepreneurs and by making product decisions that facilitate their success, a lot of good things follow.

因為Russ 和Harley 在這裡談論的是那些成為頭條新聞的事情，例如收入成長和新品牌加入Shopify Plus，所以我想利用這次電話會議的時間來談談那些不為人所知但實際上非常重要的事情實施我們策略的一部分。自 18 個月前首次公開募股以來，我們的策略就非常清晰。我們專注於企業家，透過做出促進他們成功的產品決策，許多好事隨之而來。

Today I want to talk about three of those things we shipped in this quarter and I think those will make a big difference for our merchants. It's no secret that we are all spending a lot of time on mobile and [use gain] apps and to have merchants take full advantage of these trends, last quarter we shipped mobile Shopify, Sell on Messenger, and Apple Pay.

今天我想談談我們在本季度發貨的三件東西，我認為這些將對我們的商家產生很大的影響。眾所周知，我們都在行動裝置和[使用增益]應用程式上花費了大量時間，並且為了讓商家充分利用這些趨勢，上季度我們推出了行動裝置 Shopify、Sell on Messenger 和 Apple Pay。

First we launched our new mobile Shopify app, this was in September. (Inaudible) merchants can now do much more than they ever could before on their phones. They can now start a business directly on mobile Shopify, view financial reports, communicate across their team members with our timeline feature, and get insights on just how to grow their business through our [home cards]. These new mobile apps are a (inaudible) for us. We built them from the ground up to be more than just simple companion apps. The are important and full featured as our web interfaces. This means that anyone can now start and run an entire new online business from their pocket, which I think is really cool.

首先，我們在 9 月推出了新的行動 Shopify 應用程式。 （聽不清楚）商家現在可以在手機上做比以前更多的事。現在他們可以直接在行動 Shopify 上開展業務、查看財務報告、使用我們的時間軸功能與團隊成員進行溝通，並了解如何透過我們的 [家庭卡] 發展業務。這些新的行動應用程式對我們來說是（聽不清楚）。我們從頭開始建立它們，不僅僅是簡單的配套應用程式。它們作為我們的網路介面非常重要且功能齊全。這意味著任何人現在都可以從自己的口袋開始並經營全新的線上業務，我認為這真的很酷。

Second, this past quarter we took our integration with Facebook messenger beyond customer service and [auto] notifications and built the ability to sell directly on messenger. Messenger as a channel is unique. When we integrated messenger on to our Shopify platform about six months ago, it gave our merchants the ability to connect directly and personally with their customers. Since then, tens of thousands of merchants have started actively using the messenger channel. Such conversations form -- within which commerce can happen really naturally.

其次，上個季度，我們與 Facebook Messenger 的整合超越了客戶服務和[自動]通知，並建立了直接在 Messenger 上銷售的能力。 Messenger 作為一個管道是獨一無二的。大約六個月前，當我們將 Messenger 整合到 Shopify 平台時，它使我們的商家能夠直接與客戶進行個人聯繫。此後，數以萬計的商家開始積極使用即時通訊管道。這樣的對話就形成了──在這種對話中，商業可以自然地發生。

In many ways, this conversation or comments recaptures what we miss about in-person buying and selling. And then [we sell] on hand to answer questions and guide us through the purchasing process. Finally, Apple Pay on our web went live for Shopify merchants in September. I talked on our last call about the difference this should make for conversion rates and that is exactly what is happening. Our merchants are seeing up to twice as many conversions on mobile than before Apple Pay.

從很多方面來說，這段對話或評論重新體現了我們對面對面買賣的懷念。然後[我們銷售]現場回答問題並指導我們完成購買過程。最後，我們網站上的 Apple Pay 於 9 月向 Shopify 商家上線。我在上次電話會議中談到了這對轉換率的影響，而這正是正在發生的事情。我們的商家發現行動裝置上的轉換次數是 Apple Pay 之前的兩倍。

The shift of payments to Apple Pay is powerful for commerce but it is just one of what will be many alternatives for online transactions. For too long these transactions have been unnecessarily hurdled to e-commerce adoption. As bizarre as it is, commerce on the internet has always been an afterthought. What I mean is this, that browsers had exactly zero helpful features for e-commerce. They could play music, run their pretty graphics, run their musical notations, and other bizarre niche features that they couldn't -- that they had but they could not transfer money.

支付方式向 Apple Pay 的轉變對於商業而言非常強大，但這只是在線交易的眾多替代方案之一。長期以來，這些交易一直受到電子商務採用的不必要的障礙。儘管很奇怪，但網路上的商務始終是事後才想到的。我的意思是，瀏覽器對電子商務的有用功能恰好為零。他們可以播放音樂，運行漂亮的圖形，運行樂譜，以及其他他們不能的奇怪的利基功能——他們有，但不能轉移。

You can see the effects of this history everywhere. Look at the publishing industry and all of the pay walls that they have to put up as an afterthought. Every online store had to invent its own check out and ask for credit cards and address over and over again. We believe commerce is one of the primary uses of the Internet and so we're working hard convincing social platforms, their browsers and messengers and even operating with some vendors, to adopt transaction programming into their systems to make it easier and more secure for everyone.

你隨處可見這段歷史的影響。看看出版業以及他們事後才想到的所有付費牆。每個線上商店都必須發明自己的結帳方式，並一遍又一遍地要求提供信用卡和地址。我們相信商業是互聯網的主要用途之一，因此我們正在努力說服社交平台、其瀏覽器和即時通訊工具，甚至與一些供應商合作，在他們的系統中採用交易編程，以使每個人都更輕鬆、更安全。

We work with them to make it happen and support it with our collective merchants. Because commerce online essentially has been an afterthought, it has been kept kind of small. Even now that people are increasingly their spending their online minutes on platforms that support it, we see new momentum for e-commerce. A momentum that will not be limited to apps. We believe commerce over web browsers will also benefit due to Apple Pay and others soon to follow; partly thanks to the efforts of the W3C standards body, which we are actively involved with.

我們與他們合作以實現這一目標，並與我們的集體商人一起支持它。因為線上商務本質上是事後才想到的，所以它的規模一直很小。即使現在人們越來越多地將線上時間花在支援它的平台上，我們仍然看到了電子商務的新動力。這種勢頭不僅限於應用程式。我們相信，由於 Apple Pay 和其他即將推出的付款方式，透過網頁瀏覽器進行的商務活動也將受益；部分歸功於我們積極參與的 W3C 標準機構的努力。

Our thesis is that commerce per hour is going to be higher when people engage with platforms that support commerce natively. This is what we see happening with Apple Pay and it is still early days. The good news is that Shopify merchants should always be amongst the first to benefit from any of these moves, given our focus on the future and our strong desire for them to thrive. With that I will turn the call over to Harley.

我們的論點是，當人們使用原生支援商務的平台時，每小時的商務量將會更高。這就是我們在 Apple Pay 上看到的情況，但現在還處於早期階段。好消息是，考慮到我們對未來的關注以及對 Shopify 商家蓬勃發展的強烈渴望，Shopify 商家應該始終是最先從這些舉措中受益的人之一。這樣我就把電話轉給哈利。

Thanks Tobi, good morning everyone and thanks for joining us on our call this morning. I am excited to talk about this past quarter as we added a record number of new referral partners to our program, a record number of new merchants to Shopify Plus, and our Shopify Plus partner program is off to a great start.

謝謝托比，大家早上好，謝謝您今天早上參加我們的電話會議。我很高興談論上個季度，因為我們的計劃新增了創紀錄數量的新推薦合作夥伴，Shopify Plus 新增了創紀錄數量的商家，而且我們的 Shopify Plus 合作夥伴計劃有了一個良好的開端。

First, I want to talk about our most recent acquisition. We now have some new incredible new talent at Shopify Plus, with the acquisition of Boltmade, Waterloo based software development agency we had the pleasure of getting to know over the past year. This acquisition brings us a strong group of designers and developers that we expect will play a large role in building out Shopify Plus and help world-class brands offer exceptional retail experiences to their customers. The Boltmade team is already off and running in our Waterloo offices.

首先，我想談談我們最近的收購。隨著收購位於滑鐵盧的軟體開發機構 Boltmade，我們在過去的一年裡有幸結識了一些新人才，現在 Shopify Plus 有了一些令人難以置信的新人才。此次收購為我們帶來了一支強大的設計師和開發人員團隊，我們預計他們將在建立 Shopify Plus 流程中發揮重要作用，並幫助世界一流品牌為其客戶提供卓越的零售體驗。 Boltmade 團隊已經在我們的滑鐵盧辦公室開始運作。

In terms of our partner ecosystem, we continue to expand this incredible community globally. This past quarter, these partners not only referred a record number of new merchants to Shopify but the merchants that they brought on joined at higher value plans than in previous quarters. This is due in part to the new Shopify Plus Focus Partner program that we launched in June. We initially launched that program, with more than 40 partners and experts, and we now have grown to more than twice that number today.

就我們的合作夥伴生態系統而言，我們繼續在全球範圍內擴展這個令人難以置信的社區。上個季度，這些合作夥伴不僅向 Shopify 推薦了創紀錄數量的新商家，而且他們引入的商家以比前幾季更高的價值計劃加入。這部分歸功於我們在 6 月推出的新 Shopify Plus Focus 合作夥伴計畫。我們最初啟動了該計劃，擁有 40 多名合作夥伴和專家，現在我們的數量已增長到這個數字的兩倍多。

We really understand how important our partners to our ecosystem and we are always looking for ways to further engage them and further support them. Not only do we have a dedicated team of region specific partner managers, we also provide a host of programs, meet-ups, and education each quarter to support their growth This past quarter, we went a step further and expanded our Shopify Partner Accelerator program from New York to now include Montreal, London, and Austin. This partnership with WeWork, gives our network of developers and designers office space to grow their businesses. It is an incredible opportunity for our partners and we are excited to be a part of their journey. This is but one of many things we do to keep building out a knowledgeable, loyal, and highly effective network of Shopify centered professionals.

我們真正了解合作夥伴對我們的生態系統的重要性，並且我們一直在尋找進一步吸引他們並進一步支持他們的方法。我們不僅擁有一支由特定區域合作夥伴經理組成的專門團隊，每季還提供一系列規劃、聚會和教育來支持他們的成長。計劃從紐約到現在包括蒙特利爾、倫敦和奧斯汀。與 WeWork 的合作為我們的開發人員和設計師網路提供了辦公空間來發展他們的業務。對於我們的合作夥伴來說，這是一個難以置信的機會，我們很高興能成為他們旅程的一部分。這只是我們為不斷建立以 Shopify 為中心的知識淵博、忠誠且高效的專業人員網絡而所做的眾多事情之一。

It is important not to overlook the value that our third-party app developers bring to Shopify. These partners extend the functionality of what the Shopify platform can deliver beyond the core mission critical e-commerce capabilities. The average monthly spend per merchant on apps has grown consistently over the past couple of years, which tells us merchants are deriving greater value from our app ecosystem. This is not because we're offering more apps but because we continually strive to lead merchants to the apps that will make them more effective and successful in running their businesses

重要的是不要忽視我們的第三方應用程式開發人員為 Shopify 帶來的價值。這些合作夥伴擴展了 Shopify 平台所能提供的功能，超越了核心任務關鍵型電子商務功能。過去幾年，每個商家在應用程式上的平均每月支出持續成長，這告訴我們商家正在從我們的應用程式生態系統中獲得更大的價值。這並不是因為我們提供了更多應用程序，而是因為我們不斷努力引導商家使用能夠讓他們更有效、更成功地經營業務的應用程序

Since launching Shopify Plus almost 2 years ago, about half of the Shopify Plus merchants have been homegrown businesses that started on Shopify. And this is something that we are very proud of. This quarter, while the number of upgrades to Shopify Plus continued to increase, notably more than half of the new Shopify Plus merchants were brand-new to Shopify. This is the result of a number of new growth initiatives, including our new Shopify Plus Partner Program and our most recent marketing campaign for Plus which successfully helped merchants migrate to us from legacy e-commerce platforms.

自從近兩年前推出 Shopify Plus 以來，大約一半的 Shopify Plus 商家都是在 Shopify 上創辦的本土企業。這是我們非常自豪的事情。本季度，雖然 Shopify Plus 的升級數量持續增加，但值得注意的是，超過一半的新 Shopify Plus 商家是全新的 Shopify。這是許多新增長計劃的結果，包括我們新的 Shopify Plus 合作夥伴計劃以及我們最近的 Plus 行銷活動，該活動成功幫助商家從傳統電子商務平台遷移到我們。

The Shopify Plus Program itself is expanding nicely, with GMV and revenue from Shopify Plus merchants growing even faster than overall Shopify GMV and revenue. Our expanded team of sales hackers was a strong source of new merchants, with many of the recent additions to the sales team now fully ramped up.

Shopify Plus 計畫本身正在很好地擴展，Shopify Plus 商家的 GMV 和營收成長速度甚至超過 Shopify 整體 GMV 和營收的成長速度。我們擴大的銷售駭客團隊是新商家的強大來源，銷售團隊中最近新增的許多人現在已經全面升級。

Their efforts, along with those of our partner's, brought us some recognizable brands in the quarter, including the Game of Thrones store from Penguin Random House, the American Kennel Club, T-Mobile, CrossFit, Seth Godin, Macy's Cosmetic Brand Blue Mercury, Lady Gaga, and one of my wife's favorite shops, Fred Segal. We also signed a global agreement with Nestle, that makes it easy for any of the 200-plus brands to spin up a store on Shopify Plus quickly and easily.

他們與我們的合作夥伴一起，在本季度為我們帶來了一些知名品牌，包括企鵝蘭登書屋的《權力的遊戲》商店、美國養犬俱樂部、T-Mobile、CrossFit、Seth Godin、梅西百貨化妝品品牌Blue Mercury、 Lady Gaga 和我妻子最喜歡的商店之一 Fred Segal。我們還與雀巢簽署了一項全球協議，使 200 多個品牌中的任何一個都可以輕鬆快速、輕鬆地在 Shopify Plus 上開設商店。

As an update to our Amazon channel integration, we moved into beta in Q3 and we will be making it publicly available to our merchants in late Q4. This integration is a great example of how we are helping merchants expand their audience directly through Shopify's platform. Regarding shipping, we established a solid foundation for Shopify shipping in its first 12 months, with one in five of our US based merchants using it. And more recently we expanded Shopify shipping with the addition of Canada Post in September of this year.

作為亞馬遜通路整合的更新，我們在第三季進入測試階段，並將在第四季末向我們的商家公開提供。這種整合是我們如何幫助商家直接透過 Shopify 平台擴大受眾的一個很好的例子。關於運輸，我們在前 12 個月內為 Shopify 運輸奠定了堅實的基礎，五分之一的美國商家使用它。 最近，我們在今年 9 月增加了加拿大郵政，擴大了 Shopify 運輸範圍。

Even with all our success today, with Shopify Plus and our partner ecosystem, we feel like we're just getting started. We continue to expand the capabilities of our platform through our partners and feel strongly that the vast majority of the opportunities for us and for them, lies ahead. This is what makes Shopify so great, for merchants, partners and employees alike. So a quick thank you to all of you who are building alongside us and taking our mission of making commerce better, to heart. With that I will turn the call over to Russ to finish up.

儘管我們今天透過 Shopify Plus 和我們的合作夥伴生態系統取得了巨大的成功，但我們感覺我們才剛開始。我們繼續透過合作夥伴擴展我們平台的功能，並強烈感覺到我們和他們的絕大多數機會就在前方。這就是 Shopify 對於商家、合作夥伴和員工如此出色的原因。非常感謝所有與我們一起建造並牢記我們讓商業變得更好的使命的人。之後我會將電話轉給 Russ 來完成。

Thanks Harley, we are pleased to report another strong quarter all around, where we again delivered rapid growth, continued leverage and steady progress on our strategic and product initiatives. Starting with revenue, we grew revenue in the third-quarter 89% over Q3 of last year to $99.6 million, split approximately equally between subscription solutions and merchant solutions.

感謝哈雷，我們很高興地報告又一個強勁的季度，我們再次實現了快速成長、持續的槓桿作用以及我們的策略和產品計劃的穩步進展。從營收開始，我們第三季的營收比去年第三季成長了 89%，達到 9,960 萬美元，訂閱解決方案和商業解決方案的營收大致相等。

Subscription solutions revenue grew 69% to $49.8 million, due to the continued expansion of the monthly recurring revenue, which stood at $16.3 million on September 30. This represents an increase in MRR of 67% over last year's third-quarter as new merchants continued to join the platform. We surpassed 325,000 merchants in the quarter. MRR per merchant also went up, as more merchants either joined on or upgraded to higher-priced plans in the quarter.

由於每月經常性收入（9 月30 日為1,630 萬美元）的持續擴張，訂閱解決方案收入成長了69%，達到4,980 萬美元。季度成長了67%。本季我們的商家數量超過 325,000 家。隨著本季更多商家加入或升級到更高價格的計劃，每個商家的 MRR 也有所上升。

Merchant solutions revenue grew 114% to $49.7 million in the quarter. 100% growth in GMV to $3.8 billion, of which $1.5 billion was processed on Shopify payments, accounted for the majority of this revenue increase. Revenue from Shopify Shipping and Shopify Capital also contributed to the growth.

本季商家解決方案營收成長 114%，達到 4,970 萬美元。 GMV 成長 100%，達到 38 億美元，其中 15 億美元是透過 Shopify 支付處理的，佔營收成長的大部分。 Shopify Shipping 和 Shopify Capital 的收入也對成長做出了貢獻。

In the 12 months since launch, Shopify Shipping [skipping to] penetration has established a solid foundation with approximately 20% of US merchants using it. Shopify Capital also reached an important milestone recently, surpassing $20 million in cash advance since inception. At the quarter end this number stood at $15.5 million, with a sharp increase since the end of Q3 likely due to merchants preparing for the holiday season.

自推出以來的 12 個月內，Shopify Shipping [跳到] 滲透率已經奠定了堅實的基礎，約有 20% 的美國商家使用它。 Shopify Capital 最近也達到了一個重要的里程碑，自成立以來預付現金超過 2000 萬美元。截至本季末，這一數字為 1,550 萬美元，自第三季末以來急劇增加，這可能是由於商家為假日季節做準備。

Approximately 70% of merchants that have fully remitted an advance have opted or a second one, indicating the central role Shopify can play in facilitating our merchants growth that might otherwise be crippled by traditional working capital financing constraints. Our agreement signed in September with Export Development Canada will help us expand this program while maintaining appropriate levels of risk.

大約 70% 已全額匯出預付款的商家選擇了第二個，這表明 Shopify 在促進我們的商家成長方面可以發揮核心作用，否則這些商家可能會因傳統的營運資金融資限製而受到削弱。我們於 9 月與加拿大出口發展局簽署的協議將幫助我們擴大該計劃，同時保持適當的風險水準。

Gross margins improved year on year for both subscription solutions and merchant solutions, which was aided by Shipping and Capital as these incremental revenue streams are recorded on a net basis. The continued results of these improvements was an acceleration in the growth of gross margin dollars to 82% from 77% in Q3 of last year.

訂閱解決方案和商業解決方案的毛利率同比都有所提高，這得益於航運和資本，因為這些增量收入流是按淨額記錄的。這些改進的持續成果是毛利率從去年第三季的 77% 加速成長至 82%。

Adjusted operating expenses as a percentage of revenue came down both year-on-year and quarter-on-quarter. Overall adjusted operating expenses as a percentage of revenue declined to 55% versus 58% in Q3 of 2015 and 57% in Q2 of 2016. As a result of our improved performance and leverage, our adjusted operating loss for the quarter was $2.2 million or 2% of revenue compared with an adjusted operating loss of $2 million or 4% of revenue for the third quarter of last year.

調整後的營運費用佔收入的百分比年比和季比均有所下降。整體調整後營運費用佔營收的百分比下降至55%，而2015 年第三季為58%，2016 年第二季為57%。為220 萬美元或 2相比之下，去年第三季調整後的營運虧損為 200 萬美元，即佔營收的 4%。

The adjusted net loss for Q3 was $1.8 million compared with $2.4 million for Q3 a year ago. On a per share basis, this was $0.02 for Q3 of this year, an improvement from the $0.03 loss for Q3 of last year. We ended the quarter with $400 million in cash, cash equivalents, and marketable securities; with our successful follow-on offering in August adding net cash of approximately $224 million to the Company.

第三季調整後淨虧損為 180 萬美元，去年同期為 240 萬美元。以每股計算，今年第三季的每股虧損為 0.02 美元，較去年第三季的每股虧損 0.03 美元有所改善。本季結束時，我們擁有 4 億美元的現金、現金等價物和有價證券； 8 月我們成功的後續發行為該公司增加了約 2.24 億美元的淨現金。

Looking at the three major investment areas we outlined at the start of this year starting with Plus. Some of the biggest investments in Plus this year; are the new Waterloo office, the establishment of the Plus Partner program, hiring and marketing programs, and the acquisition of Boltmade. R&D spending in Q4 will reflect the impact of this acquisition which further strengthens the Plus product development team. As we said last quarter, we continue to evaluate our data center, infrastructure options, with the plan for this year to only increase the capacity of our existing ones to meet the demands for the holiday season. On the merchant and partner engagement front, we're wrapping up our retail tour in the UK, which we coordinated with the launch of our EMV reader there in Q3.

看看我們在今年年初概述的三大投資領域，首先是 Plus。今年 Plus 的一些最大投資；包括新的滑鐵盧辦事處、Plus 合作夥伴計劃的建立、招聘和行銷計劃以及收購 Boltmade。第四季的研發支出將反映此次收購的影響，進一步加強 Plus 產品開發團隊。正如我們上季度所說，我們繼續評估我們的資料中心和基礎設施選項，今年的計畫僅增加現有資料中心的容量，以滿足假日季節的需求。在商家和合作夥伴參與方面，我們即將結束在英國的零售之旅，我們與第三季在英國推出的 EMV 閱讀器進行了協調。

With this in mind, turning to the 2016 outlook, we now expect to report full-year 2016 revenue in the range of $379 million to $381 million. Given the improved operating leverage in Q3 and the stronger revenue outlook for the full year, we expect to report a full-year adjusted operating loss in the range of $12 million to $14 million. This excludes stock-based compensation expense and related payroll taxes of $26 million, which are $1 million higher than our previous forecast due to the impact of the higher share price on our employee equity grants as well as the acquisition of Boltmade.

考慮到這一點，展望 2016 年，我們現在預計 2016 年全年營收將在 3.79 億美元至 3.81 億美元之間。鑑於第三季營運槓桿的改善以及全年營收前景的強勁，我們預計全年調整後營運虧損將在 1,200 萬美元至 1,400 萬美元之間。這不包括 2,600 萬美元的股票薪酬費用和相關工資稅，由於股價上漲對我們的員工股權授予以及收購 Boltmade 的影響，該費用比我們先前的預測高出 100 萬美元。

This means that for the fourth quarter, we expect to achieve our first $100 million quarter, which we came close to in Q3. We expect revenue in the range of $120 million to $122 million and adjusted operating loss in the $1 million to $3 million, which reflects the Boltmade acquisition and excludes $9 million of expected stock based compensation expenses and related payroll taxes.

這意味著，我們預計第四季將實現第一個 1 億美元的業績，我們在第三季就接近這個目標。我們預計營收在1.2 億至1.22 億美元之間，調整後的營運虧損在100 萬至300 萬美元之間，這反映了Boltmade 的收購，不包括預期的900 萬美元的基於股票的補償費用和相關工資稅。

We will talk about our outlook for 2017, with our fourth quarter report in February, but I will share a few closing thoughts on how we see the future shaping up. Certain industry trends have been very favorable for us. We see continued strong demand by merchants looking to leverage our multichannel commerce platform. On top of this, there has been and we expect to continue to see, very rapid growth trends in online retail, which has driven GMV per merchant higher quarter after quarter.

我們將在 2 月的第四季報告中討論 2017 年的展望，但我將分享一些關於我們如何看待未來的總結想法。某些行業趨勢對我們非常有利。我們看到希望利用我們的多通路商務平台的商家持續強勁的需求。除此之外，線上零售業已經出現並且我們預計將繼續看到非常快速的成長趨勢，這推動了每個商家的 GMV 逐季上升。

While these provide reliable tailwinds for continued strong growth, we believe the primary reason we will continue to gain share of this growing pie is as both Tobi and Harley referenced, our strategic focus on merchant success. This means continually reevaluating the platform capabilities necessary for merchants to thrive at every stage of growth and also investing in the partnerships and projects that we believe will help future-proof their success. Although these will require investments, some with longer payback periods than other, we continue to feel comfortable with our profitability target for the fourth quarter of 2017. With that I will turn it back over to Katie to start the Q&A.

雖然這些為持續強勁成長提供了可靠的推動力，但我們相信，我們將繼續在這塊不斷增長的蛋糕中獲得份額的主要原因是，正如托比和哈雷所提到的，我們的戰略重點是商業成功。這意味著不斷重新評估商家在每個成長階段蓬勃發展所需的平台功能，並投資於我們相信將有助於他們在未來取得成功的合作夥伴關係和專案。儘管這些都需要投資，而且有些投資回收期比其他投資更長，但我們仍然對 2017 年第四季的獲利目標感到滿意。

Thank you, Russ. Because we have so many listeners wanting to ask a question, in order for everyone to get a question in, we ask that questioners limit themselves to one question. So with that, Denise could we please open the line for questions?

謝謝你，拉斯。因為我們有很多聽眾想要提問，為了讓每個人都能提出問題，我們要求提問者限制自己提出一個問題。那麼，丹尼斯，我們可以開通提問線嗎？

(Operator Instructions)

（操作員說明）

Your first question comes from Kevin Krishnaratne with Paradigm Capital.

您的第一個問題來自 Paradigm Capital 的 Kevin Krishnaratne。

Good morning.

早安.

Question for you: great numbers. I'm wondering if you could speak to trends on RPU and on subscription revenue. It looks like the revenue on subscription revenue per merchant is going up nicely. I'm wondering, based on your comments in the quarter, would there have been notable impact from Plus? Is that from uptake of more apps? Or would that be simply from merchants upgrading into higher tier plans? Thank you.

問你的問題：大量的數字。我想知道您是否可以談談 RPU 和訂閱收入的趨勢。看起來每個商家的訂閱收入正在大幅成長。我想知道，根據您在本季的評論，Plus 是否會產生顯著影響？這是因為使用了更多應用程式嗎？或者這只是因為商家升級到更高等級的計劃？謝謝。

Hi, this is Russ.

嗨，這是拉斯。

It is really all of those factors. As Harley mentioned, Q3 was a record quarter for new Plus merchants coming to the platform. In addition to that, we are seeing with the higher pricing in the Advance Program, some merchants coming and picking that plan as well. Then, just in general, lots of new merchants. In the quarter we've also seen the revenue from the sale of apps, themes, and domains a little bit stronger as well.

這確實是所有這些因素的結果。正如 Harley 所提到的，第三季對於進入該平台的新 Plus 商家來說是創紀錄的季度。除此之外，我們也看到，隨著高級方案的定價較高，一些商家也選擇了該方案。然後，總的來說，有很多新商人。在本季度，我們也看到應用程式、主題和網域的銷售收入也有所成長。

Thank you.

謝謝。

Your next question comes from Monika Garg with Pacific Crest Securities.

您的下一個問題來自 Pacific Crest Securities 的 Monika Garg。

Thanks for taking my question.

感謝您提出我的問題。

On a yearly guidance, revenue guidance, you were raising midpoint $15 million but operating loss is going lower by only $1 million. So maybe reasons why we are not seeing more leverage? And then, Boltmade, how much is operating expense expanding in Q4? Thank you.

根據年度指導、收入指導，您籌集了 1500 萬美元的中位數，但營運虧損僅減少了 100 萬美元。那麼，我們沒有看到更多槓桿的原因可能是什麼呢？然後，Boltmade，第四季營運費用擴大了多少？謝謝。

I think consistent with what we have said in the past, we are still in a fairly heavy investment mode. Q4 in particular we need to make sure that we have all of the infrastructure and the people in place to support the merchants through that holiday period. The main change from our previous guidance is the Boltmade acquisition, which will result in about $1 million to $1.5 million of expense hit in Q4.

我認為與我們過去所說的一致，我們仍然處於相當重的投資模式。特別是第四季度，我們需要確保我們擁有所有基礎設施和人員來支持商家度過假期。與我們先前指導相比的主要變化是 Boltmade 收購，這將導致第四季度約 100 萬至 150 萬美元的費用。

Thank you.

謝謝。

Your next question comes from Jesse Hulsing with Goldman Sachs.

您的下一個問題來自高盛的傑西·赫爾辛。

Yes, thank you for taking my question and good morning.

是的，謝謝您提出我的問題，早安。

I have two quick questions on Plus: first you mentioned your team is becoming ramped to productivity. I am curious what your forward hiring plans are for Plus? And then second, when you look at the legacy platforms that have been share donors to Plus over the quarter or the last couple quarters, I am wondering if there is anyone that stands out? Thank you.

我有兩個關於 Plus 的簡單問題：首先，您提到您的團隊正在提高生產力。我很好奇你們對 Plus 的未來招募計畫是什麼？其次，當你查看本季或過去幾季向 Plus 提供股份捐款的遺留平台時，我想知道是否有任何人脫穎而出？謝謝。

It's Harley, I will take this question.

我是哈利，我來回答這個問題。

I will start with the second question about the legacy platforms. We did have a marketing campaign going for the majority of Q3 that really targeted Magento migrations. That was really the primary focus of that campaign, although we are now expanding our migration campaign to include some other legacy platforms. It is really -- the initial one was geared towards Magento.

我將從有關遺留平台的第二個問題開始。我們確實在第三季的大部分時間裡開展了一場真正針對 Magento 遷移的行銷活動。這確實是該活動的主要焦點，儘管我們現在正在擴大我們的遷移活動以包括其他一些遺留平台。確實如此——第一個是針對 Magento 的。

On the first question, about how many sales people do we have? Certainly, that sales team continues to grow and we also now have a better sense of how long it takes to fully on-board a salesperson so they get to capacity fairly quickly. So you will see that team continue to grow, but currently its around 30 people on the sales team

關於第一個問題，我們有多少銷售人員？當然，銷售團隊不斷壯大，我們現在也更了解了銷售人員完全入職需要多長時間，以便他們能夠相當快地發揮作用。所以你會看到團隊不斷壯大，但目前銷售團隊約有 30 人

Your next question comes from Kenneth Wong with Citi.

您的下一個問題來自花旗銀行的 Kenneth Wong。

Hello. Thank you for taking my question.

你好。感謝您回答我的問題。

I am wondering, have you taken a look into your customer metrics heading into holiday season? I wanted get a sense of how it might compare to last year, since I think last year was a little softer, not necessarily from you, but retail in general. I wanted to see what the macro and retail backdrop is heading into the busy season.

我想知道，您是否研究過即將進入假期的客戶指標？我想了解與去年相比如何，因為我認為去年有點疲軟，這不一定來自於你，而是來自於整個零售業。我想了解進入旺季的宏觀和零售背景如何。

We are seeing very good growth in GMV; again, in Q3 we doubled year over year. Interestingly enough, the GMV for Q3 was greater than the total amount that we did in 2014. We continue to see very strong growth of our merchant base. It is with 325,000 merchants now on the platform, it is difficult to predict the exact number, but definitely nothing that we are seeing would indicate a slowdown there.

我們看到 GMV 成長非常好；在第三季度，我們再次比去年同期翻了一番。有趣的是，第三季的 GMV 高於我們 2014 年的總金額。目前該平台上有 325,000 家商戶，很難預測確切的數字，但我們所看到的絕對不會表明該平台放緩。

Your next question comes from Michael Nemeroff with Credit Suisse.

您的下一個問題來自瑞士信貸銀行的邁克爾·內梅羅夫。

Hello; thank you for taking my questions.

你好;感謝您回答我的問題。

I'm curious, Russ: the payments penetrations spiked this quarter. I am wondering what caused that? Then also, when I look out in Q4 for merchant adds, last year was a fairly strong quarter of merchant net adds. Do you think that the merchant adds in Q4 of this year could outperform what you did last year? Or is there something special about last Q4? Thanks.

我很好奇，拉斯：本季支付滲透率飆升。我想知道是什麼原因造成的？此外，當我在第四季度關注商家增加時，去年是商家淨增加相當強勁的季度。您認為商家今年第四季的新增業績會優於去年嗎？或者說上季有什麼特別的地方嗎？謝謝。

I will take the first question on payments penetration rate. We have had now more merchants being added in all of the core geographies that we have payments, so penetration continues to move up in the North American market. UK, now, we are at around 75% of the merchants using Shopify payments. In Australia, which we launched in Q4 of last year, we are already now at roughly 60%, so that penetration is really just -- as these are available in our key markets and we are on-boarding lots of new merchants we will see that number continue to grow.

我將回答第一個問題，關於支付滲透率。現在，我們在所有有支付功能的核心地區都增加了更多的商家，因此北美市場的滲透率持續上升。目前，在英國，大約 75% 的商家使用 Shopify 付款。在澳大利亞，我們在去年第四季度推出了該服務，現在我們的滲透率已經達到了大約60%，因此滲透率確實是合理的——因為這些產品在我們的主要市場中都可用，而且我們正在吸引大量新商家，我們將會看到這個數字還在持續成長。

In terms of the merchant adds, I think it will again be strong in Q4. The thing to be a little bit careful of there is, during the year we just announce when we achieve milestones and then we provide a more indicative number at the end of the year. So, depending on when we passed a particular milestone within a quarter, the Q4 number could look larger or smaller based on that.

就商家補充而言，我認為第四季將再次強勁。需要注意的是，在這一年中，我們只是宣布何時實現里程碑，然後在年底提供更具指示性的數字。因此，根據我們在一個季度內何時通過特定里程碑，第四季度的數字可能會因此看起來更大或更小。

Your next question comes from Terry Tillman with Raymond James.

您的下一個問題來自特里·蒂爾曼和雷蒙德·詹姆斯。

Good morning. I have one question, six parts. I am kidding, Katie (laughter).

早安.我有一個問題，分成六個部分。我在開玩笑，凱蒂（笑聲）。

My question relates to the Plus business. Can you quantify a little bit more in terms of how material it is now? And related to this, as you are having partners, whether they are referral partners or actually agency partners that sell it, is that actually allowing you to not have to invest as much in direct sales resources for that Plus business? Thank you.

我的問題與 Plus 業務有關。您能進一步量化一下它現在的重要性嗎？ 與此相關的是，當你有合作夥伴時，無論他們是推薦合作夥伴還是實際上銷售它的代理合作夥伴，這是否真的讓你不必在該 Plus 業務的直銷資源上投資那麼多？謝謝。

On a relative basis, Plus, in terms of the merchant count, is a small piece of our 325,000 merchants. In terms of the MRR that we derive from them and the GMV that they process through the platform, certainly a higher impact on that.

相對而言，Plus從商家數量來看，只是我們32.5萬商家中的一小部分。就我們從他們那裡獲得的 MRR 以及他們透過平台處理的 GMV 而言，肯定會產生更大的影響。

I think on the partner side, in a lot of cases, we still will work with that partner as we want to get them up to speed and it does reduce the amount of effort on our part. But we are still in the early stage of that partner program and so definitely still some effort required there. A lot of these partners are the same partners that would've maybe years ago got them up on Magento and now they have moved to the Shopify platform. So it really is going to help us ramp that program.

我認為在合作夥伴方面，在許多情況下，我們仍然會與該合作夥伴合作，因為我們希望讓他們跟上進度，這確實減少了我們的工作量。但我們仍處於該合作夥伴計劃的早期階段，因此肯定還需要付出一些努力。其中許多合作夥伴可能是幾年前在 Magento 上建立的合作夥伴，現在他們已經轉移到 Shopify 平台。所以它確實會幫助我們推進該計劃。

Your next question comes from Gus Papageorgiou with Macquarie.

您的下一個問題來自麥格理的 Gus Papageorgiou。

Good morning; thanks for taking the question.

早安;感謝您提出問題。

On my calculations here, it looks like the average revenue per merchant in the quarter was up about 28% year over year. I am wondering is that a fair representation of what is going on for your average customer? Or is it that there is a cluster of customers that are doing really well and then everybody else is suffering? And if you have time for a second question, I'm wondering if you could quantify how much of your customer base came from Amazon's web stores and how significant was that? Thanks.

根據我的計算，該季度每個商家的平均收入年增約 28%。我想知道這是否公平地代表了您的普通客戶的情況？還是有一群客戶做得很好，但其他人卻在受苦？如果您有時間回答第二個問題，我想知道您是否可以量化您的客戶群中有多少來自亞馬遜的線上商店以及其重要性如何？謝謝。

I will let Harley take the Amazon question. In terms of your first one, it's really the whole merchant base continues to perform. One of the key elements of our business model is, one, the subscription piece; and then secondly, once we have those merchants we can gain a greater share of their wallet. So whether it is payments, where in the quarter we processed $1.5 billion worth of payments; whether it is shipping, capital or cash advances; all of those add to that. So I think that is really the strength of Shopify.

我會讓哈利回答亞馬遜的問題。就您的第一個而言，實際上整個商家群都在繼續表現。我們商業模式的關鍵要素之一是，一是訂閱部分；二是訂閱部分。其次，一旦我們擁有了這些商家，我們就可以從他們的錢包中獲得更大的份額。因此，無論是支付方面，本季我們處理了價值 15 億美元的支付；無論是運輸、資本或現金墊款；所有這些都增加了這一點。所以我認為這確實是 Shopify 的優勢。

Thanks [Harley] I will take the Amazon migration question.

謝謝 [Harley] 我將回答亞馬遜遷移問題。

So as you know now that migration is over and we have received all of the merchants we could from Amazon. As a percentage of total merchants on our platform, it is of course a very small percentage. But what it did do is, it did two things: it was an endorsement to the industry that Amazon thought us -- we were a great product, which is fantastic. We also got merchants onto Shopify that may have not otherwise came onto Shopify as well. But as a percentage of the total 325,000 merchants, it was fairly small.

正如您現在所知，遷移已經結束，我們已經收到了來自亞馬遜的所有商家。占我們平台商家總數的比例，當然是很小的比例。但它所做的是，它做了兩件事：這是對亞馬遜認為我們的行業的認可——我們是一個偉大的產品，這太棒了。我們也讓原本可能沒有進入 Shopify 的商家也加入了 Shopify。但在 32.5 萬商家總數中所佔的比例相當小。

Would it have influenced the Q4 adds last year?

這會影響去年第四季的新增數量嗎？

It really took place this year, so once the original announcement we started to get merchants right away. It should also be noted that we, as part of our partnership for Amazon, they will continue to refer us other merchants as well.

今年確實發生了這樣的事情，所以一旦最初的公告我們就立即開始吸引商家。還應該指出的是，作為亞馬遜合作夥伴關係的一部分，他們也將繼續向我們推薦其他商家。

Okay. Thanks for answering my questions.

好的。謝謝回答我的問題。

Your next question comes from Brian Essex with Morgan Stanley.

您的下一個問題來自摩根士丹利的布萊恩·艾塞克斯。

This is Ivan Holman pinch-hitting for Brian. Thanks for taking the question.

這是伊凡霍爾曼 (Ivan Holman) 替布萊恩 (Brian) 代打。感謝您提出問題。

Could you help us understand what the uptick Shopify Capital is? Are we seeing a meaningful contribution there as we enter the holiday season? And how do you anticipate it will impact your balance sheet? And how do you decide how much risk to take on? Thank you.

您能幫助我們了解 Shopify 資本的成長嗎？當我們進入假期時，我們是否看到了有意義的貢獻？您預計這將如何影響您的資產負債表？您如何決定承擔多少風險？謝謝。

Yes. Good question.

是的。好問題。

In part, because of a successful following offering, I think we can do a little bit more on Shopify Capital with our own balance sheet. The addition of the insurance by EDC allows us to also ensure that we are not taking unduly risk on that side of it. I think what you have seen, as we talked about even since the end of Q3, is a lot of additional cash advances were provided to the merchants. The key for us on the Shopify Capital is not so much that we can make a good return on that, although that is an important piece of it; it's more that for a lot of these merchants it is difficult to get working capital financing. So we are meeting a real need there. Those merchants are then growing their businesses, which makes them stickier on the platform, and because they are using Shopify payments and in a lot of cases now Shopify Shipping, we also partake in that as well.

在某種程度上，由於後續發行的成功，我認為我們可以利用我們自己的資產負債表在 Shopify Capital 上做更多的事情。 EDC 增加的保險也使我們能夠確保我們不會在這方面承擔過度的風險。我認為您所看到的，正如我們從第三季末以來所討論的那樣，向商家提供了大量額外的現金預付款。對我們來說，Shopify 資本的關鍵並不在於我們能否獲得良好的回報，儘管這是其中很重要的一部分；更重要的是，對於許多這樣的商人來說，很難獲得營運資金融資。所以我們正在滿足那裡的真正需求。然後，這些商家正在發展他們的業務，這使得他們在平台上更具黏性，而且因為他們正在使用 Shopify 支付，並且在許多情況下現在使用 Shopify Shipping，我們也參與其中。

Thank you.

謝謝。

Your next question comes from James Cakmak with Monness, Crespi, Hardt.

您的下一個問題來自 James Cakmak 和 Monness、Crespi、Hardt。

Hi. Thanks.

你好。謝謝。

As you ramp up your efforts in Plus, how should we think about the metrics? Will there be a change in the growth profiles across the merchant base and the MRR base as we put what seems like a lot more emphasis on Plus? So potentially a slowdown in the customer count number but an uptick in MRR? Secondly, real quick, on the follow-on offering, if you could talk about how you are thinking about -- you mentioned the Shopify Capital, but how we should think about using that? Thanks a lot.

當您增加 Plus 的投入時，我們該如何考慮指標？當我們更重視 Plus 時，整個商家基礎和 MRR 基礎的成長狀況是否會改變？那麼客戶數量可能會減少，但 MRR 會上升嗎？其次，關於後續產品，您是否可以談談您的想法 - 您提到了 Shopify Capital，但我們應該如何考慮使用它？多謝。

In terms of our core metrics, I do not see Plus really changing that. Really, the ones that we care most about is the MRR. Obviously, having a Plus merchant at a much higher price point helps to grow that MRR number. And then, because of the nature of these large brands, the GMV, which is our other key metric, we will see growing as well. I think that what you will see is, good growth there in part due by adding some of these larger merchants.

就我們的核心指標而言，我認為 Plus 並沒有真正改變這一點。確實，我們最關心的是MRR。顯然，以更高的價格擁有 Plus 商家有助於提高 MRR 數字。然後，由於這些大品牌的性質，GMV（我們的另一個關鍵指標）也會成長。我認為您將看到的是，那裡的良好增長部分歸因於增加了一些較大的商家。

In terms of the follow-on, it was designed to strengthen our balance sheet, which a good use of that cash is for the merchant cash advances. But it also gives us flexibility to do acquisitions similar to the Boltmade one that we did and the Kit one earlier this year. We are constantly looking at these founder-led companies that have a great team that can help advance our roadmap.

就後續而言，它的目的是加強我們的資產負債表，而現金的一個很好的用途是用於商家現金預支。但這也讓我們能夠靈活地進行收購，類似於我們今年稍早進行的 Boltmade 收購和 Kit 收購。我們一直在關注這些創辦人領導的公司，它們擁有一支優秀的團隊，可以幫助推進我們的路線圖。

Thank you.

謝謝。

Your next question comes from Richard Davis with Canaccord.

您的下一個問題來自 Canaccord 的 Richard Davis。

Good morning; it is DJ on the line.

早安;是 DJ 上線了。

I'm not sure if this is better for Russ or Harley, but we occasionally get questions around customer churn, given your [S&B] core. And this is generally a higher churn market. I know this is a bit of a misleading metrics for you, as you have some really small customers. But my question is, is there a certain GMV threshold that a merchant gets to where you see a step function improvement in retention? And then, any way you can approximate what percent of your 325,000 customers are over that threshold?

我不確定這對 Russ 或 Harley 是否更好，但考慮到您的 [S&B] 核心，我們偶爾會收到有關客戶流失的問題。這通常是一個流失率較高的市場。我知道這對您來說有點誤導，因為您有一些非常小的客戶。但我的問題是，是否存在一定的 GMV 閾值，商家才能達到保留率逐步提高的程度？然後，有什麼方法可以估算出 325,000 名客戶中超過該閾值的百分比是多少？

Yes. For a lot of merchants, they like the platform as their web presence as well. I would not say that there is any threshold. The thing we find is, if there is going to be people leaving the platform, generally it's because they're closing their business and that happens within that first three- to six-month period. Once you, as a merchant, start getting some sales and so time to that first sale is something that we're always looking at, how do we improve that or help the merchant improve that? The churn potential goes down significantly.

是的。對於許多商家來說，他們也喜歡該平台作為他們的網路形象。我不會說有任何門檻。我們發現，如果有人離開平台，通常是因為他們要關閉業務，而這種情況發生在前三到六個月內。一旦您開始作為商家獲得一些銷售，那麼首次銷售的時間是我們一直關注的問題，我們如何改進或幫助商家改進？流失潛力顯著下降。

Got it. Thanks.

知道了。謝謝。

Your next question comes from Ross MacMillan with RBC Capital Market.

您的下一個問題來自加拿大皇家銀行資本市場公司的羅斯麥克米蘭 (Ross MacMillan)。

Thanks for taking my question and congrats on the quarter.

感謝您提出我的問題並祝賀本季。

Russ, I was curious: the merchant solutions gross margin was actually down sequentially and I would have thought that as capital and shipping pick up in the mix that, that would have driven a higher gross margin. Was there anything to say there as to why it was down sequentially?

拉斯，我很好奇：商業解決方案的毛利率實際上是連續下降的，我以為隨著資本和運輸的增加，這將推動更高的毛利率。對於為什麼它會依次下降，有什麼好說的嗎？

And then one quick follow-on: we've noticed in the filing that your marketing dollar spend on AdWords and Social actually has been down sequentially for the last couple of quarters. And I wondered if that was seasonal or whether there was any shift in spend as you begin to drive more investment into partner programs or similar? Thanks.

然後是一個快速的後續行動：我們在文件中註意到，您在 AdWords 和社交上的行銷費用實際上在過去幾個季度中一直在下降。我想知道這是否是季節性的，或者當您開始對合作夥伴計劃或類似項目進行更多投資時，支出是否會發生變化？謝謝。

I would say in terms of your second part, on the advertising, we continue to invest in acquiring more merchants. That is the key for us, particularly since we can then partake in a greater wallet share. I would say in Q1, the Unite Program is one that drove up some of the spend there. So that did not happen in Q2, Q3. That would be my only rationale there versus deliberately us cutting back on the spending.

我想說的是，就你的第二部分而言，關於廣告，我們繼續投資於收購更多商家。這對我們來說是關鍵，特別是因為我們可以分享更多的錢包份額。我想說，在第一季度，Unite 計畫增加了部分支出。所以第二季、第三季沒有發生這種情況。這將是我反對刻意削減開支的唯一理由。

And I'm sorry can you repeat your first question?

抱歉，您能重複您的第一個問題嗎？

On the gross margins for merchant solutions, those were down sequentially. They have been going up since the third quarter of last year sequentially, and I would have thought that as the net revenue line items, i.e., shipping and capital, expand in the mix, that we would have seen merchant solutions' gross margins up sequentially, but they were actually down sequentially. I was wondering if there was any color as to why?

商業解決方案的毛利率環比下降。自去年第三季以來，它們一直在連續上升，我以為，隨著淨收入項目（即運輸和資本）的混合擴大，我們會看到商業解決方案的毛利率連續上升，但實際上它們是依序下降的。我想知道是否有任何顏色可以解釋為什麼？

There is some real tailwinds that will help that margin; as you mentioned shipping and capital are key parts of that. The other one is, internationally we do get a higher margin on the payments business and so as the UK and Australia continue to ramp and now we have launched in Ireland, that will help there.

有一些真正的有利因素將有助於提高利潤率；正如您所提到的，運輸和資本是其中的關鍵部分。另一個是，在國際上，我們確實在支付業務上獲得了更高的利潤，因此隨著英國和澳洲的不斷發展，現在我們已經在愛爾蘭推出，這將有助於那裡。

In terms of the headwind, we are getting a little bit more aggressive to get Plus merchants on Shopify payments. And for these larger merchants who have larger volume it is more competitive. It is something that we think is the right thing in terms of the gross profit dollar. You may see quarter to quarter a little bit of fluctuation as the opportunity to get some Plus merchants on there, is something that we target.

就逆風而言，我們正在更積極地讓 Plus 商家使用 Shopify 付款。對於規模較大、交易量較大的商家來說，競爭也更加激烈。就毛利而言，我們認為這是正確的事。您可能會看到每個季度都有一點波動，因為我們的目標是讓一些 Plus 商家加入。

Great. Thank you.

偉大的。謝謝。

Your next question comes from Tom Forte, Maxim Group.

您的下一個問題來自 Maxim Group 的 Tom Forte。

Thank you for taking my questions.

感謝您回答我的問題。

On social, how should investors think about the adoption rates for consumers when it comes to the buy buttons of social networks? How has that progressed to date? Do you see any catalysts for that in the future, such as improving take rates for mobile payments? And what other catalysts could there be to drive adoption for the buy buttons in social? Thank you.

在社交方面，當涉及社交網路的購買按鈕時，投資者應該如何考慮消費者的採用率？迄今進展如何？您是否認為未來有任何催化劑，例如提高行動支付的使用率？還有哪些催化劑可以推動社群媒體中購買按鈕的採用？謝謝。

Hey, this is Tobi.

嘿，這是托比。

Thanks. The main reason why Katie asked for one question only is because I have one of those one-question brains. But I will try my best to take that from the top. Generally, what we are looking at is how we are feeling about social and buy buttons and all those kinds of things. They are all growing. Every one of these channels we launched has been growing faster than the online store, which means they are catching up, in some cases, completely admittedly in small numbers, especially when you compare them against the store platform. But the most sequence (inaudible) trend lines and both of them look fantastic.

謝謝。凱蒂只問一個問題的主要原因是因為我有一個只會問一個問題的大腦。但我會盡我最大的努力從高層接手這一點。一般來說，我們關注的是我們對社交和購買按鈕以及所有此類事物的感受。他們都在成長。我們推出的每個管道的成長速度都比線上商店快，這意味著在某些情況下，它們正在迎頭趕上，不可否認，數量很少，特別是當你將它們與商店平台進行比較時。但最連續（聽不清楚）的趨勢線，它們看起來都很棒。

Zooming out a little bit, the amazing thing that is going on in the platform, and I think this is the more important point, the amazing thing that is going on is a year and a half ago, not even own a platform, (inaudible) industry, almost everyone who fits the profile of our customers chose a channel for their business. They chose a go to market strategy for their products; and that we have completely removed that choice and it is now, I am going to go face program, I am going to do Instagram, I am going to give to their goal, because why not? And then I also will have my website. I think this has been leading a significant percentage of our people on the platform to success. So, because every product has a different native [idiomatic] place for wherever they connect best with its customers. And, again, as I said in the intro, messenger platform is really promising.

縮小一點，平台上正在發生的令人驚奇的事情，我認為這是更重要的一點，正在發生的令人驚奇的事情是一年半前，甚至沒有擁有一個平台，（聽不清楚）行業中，幾乎每個符合我們客戶特徵的人都會選擇適合其業務的管道。他們為自己的產品選擇了進入市場的策略；我們已經完全取消了這個選擇，現在，我要去面對計劃，我要去Instagram，我要去實現他們的目標，因為為什麼不呢？然後我也會有我的網站。我認為這已經帶領平台上很大一部分員工取得了成功。所以，因為每種產品都有不同的原生[慣用]位置，無論它們在哪裡與客戶聯繫得最好。而且，正如我在介紹中所說，Messenger 平台確實很有前景。

I don't think we have it completely figured out. With we, not just Shopify but also Facebook and the people who make these platforms, but it is such a powerful idea because, in a lot of ways the development of the Internet actually took away this going into a store, having a conversation with a shopkeeper who understands the product, and then making purchasing decisions. All the messaging platform efforts are doing are they -- we are actually reintroducing the thing we took away from people. There is no need to validate a demand for this. Everyone intuitively understands that this is the way people want to do this. We are just negotiating exactly what form this is going to take. And I'm actually -- I'm really happy. I am looking at all of these platforms. There is a ton of our customer base now sending across multiple channels as a percentage. This is really important. And so things are looking -- I am really thrilled with what is going on there.

我認為我們還沒有完全弄清楚。對我們來說，不僅是 Shopify，還有 Facebook 和創建這些平台的人們，但這是一個非常強大的想法，因為在很多方面，互聯網的發展實際上消除了走進商店、與店主了解產品，然後做出購買決定。所有訊息傳遞平台所做的努力都是——我們實際上正在重新引入我們從人們那裡奪走的東西。無需驗證此需求。每個人都直覺地明白，這就是人們想要這樣做的方式。我們正在具體協商具體採取什麼形式。事實上，我真的很高興。我正在研究所有這些平台。現在，我們有大量的客戶群透過多個管道進行發送（以百分比計算）。這真的很重要。事情看起來如此——我對那裡發生的事情感到非常興奮。

Thank you, Tobi.

謝謝你，托比。

Your next question comes from Brad Sills with Bank of America.

您的下一個問題來自美國銀行的 Brad Sils。

Hello, thanks for taking my question.

您好，感謝您提出我的問題。

Just one on the app store. Could you provide a little color, please, on which categories you are seeing more traction? And if any of those categories would make sense for, at some point, Shopify to offer in the platform itself?

應用程式商店裡只有一款。請您提供一些顏色，您認為哪些類別更受關注？在某些時候，這些類別中的任何一個對於 Shopify 在平臺本身中提供是否有意義？

Hi there; it's Harley, I will take that question.

你好呀;是哈利，我來回答這個問題。

In terms of core functionality that we would do ourselves, Shopify's core offering will also do what most people need most of the time, but that definition is dynamic. For example, years ago there would have been apps in the app store that allowed you to mobile-optimize your site. Today mobile is just something that needs to get baked into the core functionality of Shopify because it is such a mainstay feature for our merchants. So we're constantly reevaluating what the product needs, but the idea really is that the core offering does what most people need most of the time and everything else you're able to get via the app store.

就我們自己完成的核心功能而言，Shopify 的核心產品也將滿足大多數人大多數時間的需求，但定義是動態的。例如，幾年前，應用程式商店中就有允許您對網站進行行動優化的應用程式。如今，行動裝置只是需要融入 Shopify 核心功能的東西，因為它是我們商家的主要功能。因此，我們不斷地重新評估產品的需求，但我們的想法實際上是，核心產品滿足大多數人大部分時間的需求，以及您可以透過應用程式商店獲得的所有其他內容。

In terms of the first part of the question around app categories, if you look at the apps for today the categories are vast. It ranges everything from shipping to analytics to things like marketing, and it really does depend on the particular needs of the particular merchant. So when you are just getting started, you maybe playing around with a bunch of marketing apps; and eventually once you have an email list or a list of customers, you may decide to do some email marketing which comes after that. You really only need analytics and more reporting once those apps, once you start selling at scale. So it really depends on the period of time and where the merchant is in their own life cycle. That is the reason why we need offer apps that really do, are really important for particular merchants needs and not something that is a one-size-fits-all.

就有關應用程式類別的問題的第一部分而言，如果您查看今天的應用程序，您會發現類別非常龐大。它涵蓋從運輸到分析再到行銷等各個方面，而且它確實取決於特定商家的特定需求。因此，當您剛開始時，您可能會使用一堆行銷應用程式；最終，一旦您有了電子郵件列表或客戶列表，您可能會決定在此之後進行一些電子郵件行銷。一旦您開始大規模銷售這些應用程序，您實際上只需要分析和更多報告。所以這其實取決於時間段以及商家在自己生命週期中的位置。這就是為什麼我們需要提供真正能滿足特定商家需求的應用程序，而不是一刀切的應用程式。

Great. Thanks.

偉大的。謝謝。

The last question comes from Todd Coupland with CIBC.

最後一個問題來自 CIBC 的 Todd Coupland。

Yes. Good morning everyone.

是的。大家，早安。

I wanted to ask about Nestle. Thought it was interesting you have added a large enterprise there. Are you able to expand into other large enterprises? Is this something we should expect in the coming quarters?

我想問一下雀巢的情況。我覺得很有趣，你在那裡增加了一家大型企業。能擴展到其他大型企業嗎？這是我們在未來幾季應該期待的事情嗎？

Hi there, it's Harley, I will answer that question.

大家好，我是哈利，我來回答這個問題。

The way things work with Nestle and what we have been seeing is that one of these large brands, one of these multinationals comes to us because they need to get something up and running fairly fast, but it has to be robust and it has to be easy to customize. So they will start with some smaller store with Shopify Plus. What tends to happen is, they enjoy the experience so much they tend to bring on more of those stores and more of their other properties as well. In the case of Nestle, they had a great experience with Shopify Plus; it was unlike anything they've encountered from any other enterprise platform in the past. So they wanted to make it really easy and extremely fast to get any of their other brands up.

與雀巢合作的方式以及我們所看到的是，這些大品牌之一、這些跨國公司之一來找我們，因為他們需要相當快地啟動和運行一些東西，但它必須是穩健的，而且必須是易於自訂。因此，他們將從一些較小的商店開始使用 Shopify Plus。通常會發生的情況是，他們非常享受這種體驗，因此傾向於引進更多的這些商店以及更多的其他物業。就雀巢而言，他們在 Shopify Plus 上獲得了很好的體驗；這與他們過去在任何其他企業平台上遇到的任何情況都不同。因此，他們希望能夠非常輕鬆且快速地推出任何其他品牌。

Nestle is a great one, of course, because, as I mentioned in my opening remarks, they have more than 200 brands. This model is something we are experimenting with Nestle, but certainly something that I suspect may happen with other big brands as well.

當然，雀巢是一家偉大的公司，因為正如我在開場白中提到的，他們擁有 200 多個品牌。我們正在雀巢嘗試這種模式，但我懷疑其他大品牌也可能會發生這種情況。

Thank you.

謝謝。

We do have one more question from Eyal Ofir from Dundee Capital.

我們還有鄧迪資本 (Dundee Capital) 的 Eyal Ofir 提出的問題。

A quick question for you on the Apple Pay takeup. It looks like you have seen pretty good pickup, takeup from the merchant base. I am wondering, from an actual merchant solutions standpoint, how should we think about it from a revenue for Shopify?

一個關於 Apple Pay 使用情況的簡單問題。看來你已經看到了相當好的取貨，從商家基地的吸收。我想知道，從實際商家解決方案的角度來看，我們該如何從Shopify的收入角度來考慮它？

That is a nice thing about Apple Pay, as Tobi mentioned. The conversion rate is higher and it also is much quicker to complete the transaction when the customer has Apple Pay. In the Shopify platform, that's just like any other credit card coming through the platform. So if that merchant is on Shopify payments, which the majority of them are, then we see that like any other revenue.

正如 Tobi 所提到的，Apple Pay 的一個優點是。當客戶使用 Apple Pay 時，轉換率會更高，完成交易也會更快。在 Shopify 平台中，這就像透過該平台使用的任何其他信用卡一樣。因此，如果該商家使用 Shopify 付款（大多數商家都是如此），那麼我們就會像任何其他收入一樣看到這一點。

Okay, so you don't have to split that piece, or a portion of it you split it with Apple Pay instead of your other third-party suppliers?

好吧，那麼您不必分割這一部分，或者您可以將其中的一部分與 Apple Pay 而不是其他第三方供應商分割？

That's right. From our point of view it is like any other credit card transaction.

這是正確的。從我們的角度來看，這就像任何其他信用卡交易一樣。

Okay. Thanks.

好的。謝謝。

There are no further questions at this time. I will turn the call back over to Katie at (inaudible).

目前沒有其他問題。我會將電話轉回給凱蒂（聽不清楚）。

Thanks Denise; thanks everybody for dialing in today. We have a few closing remarks from Tobi.

謝謝丹尼斯；感謝大家今天撥通電話。 Tobi 致閉幕詞。

Thanks for joining us again. I think we demonstrated again that we released a lot of product. We are thinking a lot about what things will become important in the future in our industry. Increasingly, of course, we're trying to influence this because I think we have a little bit of a clearer vision for where all these things have to go. This move of getting transactions built into operating, these are some things we use everyday; and how much, even pointing out how much of an afterthought commerce has been on the Internet, is something that has been very clear to us for a long time but is actually fairly surprising to people when I mentioned it to them for the first time.

感謝您再次加入我們。我認為我們再次證明我們發布了很多產品。我們正在思考哪些事情在我們行業的未來將變得重要。當然，我們越來越試圖影響這一點，因為我認為我們對所有這些事情的發展方向有了更清晰的願景。這種把交易內建在操作中的舉動，這些都是我們日常使用的一些東西；有多少，甚至指出網路上有多少是事後才想到的商業，我們長期以來一直很清楚，但當我第一次向人們提到這一點時，實際上讓人們感到相當驚訝。

So this is a role we want to play. We are step-by-step, bit by bit. We are going to make it so that in five, 10 years everyone is going to ask why were things this way at the beginning of the decade? Why did we not develop all of these things which are clearly used every day by hundreds of, maybe even billions of people, why were they not there from the beginning? That is the direction that we are working towards.

所以這是我們想要扮演的角色。我們一步一步、一點一滴。我們將做到這一點，以便在五年、十年內每個人都會問為什麼在十年之初事情會變成這樣？為什麼我們不開發所有這些顯然每天被數百甚至數十億人使用的東西，為什麼它們從一開始就不存在？這就是我們正在努力的方向。

In a more immediate short term, we are going to go into Black Friday, Cyber Monday time of year, which is of course a big deal in the North American market, which is still a very large percentage of our customer base. It is fun. We all get together and pick rooms and look at massive screens with all this telemetry data. It looks like a company getting together for a nerdy version of the Super Bowl, and we make sure that everything is going to run really well and everything is fast and people are going to have good sales. That is the next thing on the plate for us.

從更短期的角度來看，我們將進入一年中的黑色星期五和網路星期一，這對北美市場來說當然是一件大事，因為北美市場仍然占我們客戶群的很大一部分。很好玩。我們聚集在一起，挑選房間，查看帶有所有這些遙測數據的大螢幕。這看起來就像一家公司聚集在一起參加超級盃的書呆子版本，我們確保一切都會順利進行，一切都很快，人們將會有良好的銷售。這是我們接下來要做的事。

We will speak again next quarter. Thank you.

我們將在下個季度再次討論。謝謝。

This concludes today's conference call. You may now disconnect.

今天的電話會議到此結束。您現在可以斷開連線。