Market Size for Shopify agency in 2026 [Example]

The Total Available Market (TAM) consists of all the small and medium-sized businesses around the world that use e-commerce platforms like Shopify. According to research, the global e-commerce industry is projected to reach around $4 trillion by 2023. Assuming that about 1% of that goes to Shopify-related services and agencies, we can estimate a market of about $40 billion. Given the average expenditure of approximately $50,000 per business for setup and maintenance annually, this translates to around 800,000 businesses across the globe.

Shopify serves millions of merchants worldwide, and many of these businesses seek professional help for website setup, optimization, and marketing strategies. This insight emphasizes the vast potential of a Shopify agency targeting businesses needing assistance with online retail solutions.

The Serviceable Addressable Market (SAM) refers to the segment of the TAM that I can realistically target with my Shopify agency. Typically, agencies cater to a specific local or regional market focus and can capture around 2% of the TAM. Assuming I operate within the U.S. market, which represents about 20% of the global Shopify business, this brings our realistic SAM to roughly $8 billion. Conservatively predicting that I can capture 10% of that market with an effective strategy, my projection stands at $800 million annually.

Given that managing an e-commerce agency requires specific resources and skills that may be limited, focusing on about 16,000 businesses around the world that appeal to my agency's expertise creates a more realistic potential customer base for services.

The Serviceable Obtainable Market (SOM) is the portion of the SAM that I can realistically obtain within the first year. Targeting about 1% of the businesses within my SAM shows that I could capture around 160 businesses. With an average annual spending of about $50,000 per each customer, this results in annual revenue of $8 million. This estimation is cautious, considering that securing new clients can take significant time and resources, especially in a competitive marketplace. Aiming for this level allows a solid groundwork for a growing business without overestimating potential customer acquisition.