#1INVESTOR TRACK S shopify unite AMY SHAPERO Chief Financial Officer June 19, 2019#2FORWARD-LOOKING STATEMENTS This presentation contains forward-looking statements/forward-looking information within the meaning of applicable U.S. and Canadian securities laws, including, but not limited to, statements about the Shopify Fulfillment Network, in particular its planned development, scheduled rollout, and projected volume, as well as the expected amount and timing of our investment in the Shopify Fulfilment Network over the next five years. These statements are based on our management's current estimates, beliefs and assumptions, which are based on management's perception of historical trends, current conditions and expected future developments, as well as other assumptions management believes are appropriate, including but not limited to: our expectation that incremental revenue from the Shopify Fulfillment Network will largely offset the costs; our expectations with respect to costs associated with each phase; our expectation that the bulk of the investment will come as the project scales; our ability to develop the Shopify Fulfillment Network; our ability to expand our merchant base, retain revenue from existing merchants and increase sales to new and existing merchants through channel, checkout and marketing; our ability to manage our growth effectively and hire, retain and motivate qualified personnel; our belief that our investments and acquisitions will increase our revenue base, improve the retention of this base and strengthen our ability to increase sales to our merchants and help drive our growth; our ability to achieve our revenue growth objectives while controlling costs and expenses; our intention to continue to grow internationally; our ability to leverage transactional data; and our assumptions as to our future expenses and financing requirements. Investors are cautioned against placing undue reliance on the statements, which are not a guarantee of future results or outcomes. Although we believe that the statements and underlying assumptions are reasonable, the statements relate to future events and performance and involve known and unknown risks, uncertainties and other factors which are, in some cases, beyond our control. These risks are described in further detail in the section of our Annual Information Form entitled "Risk Factors" and elsewhere in our publicly available filings, and include, but are not limited to, risks relating to: merchant acquisition and retention; managing our growth; our ability to innovate; the security of personal information we store relating to merchants and their buyers, as well as buyers with whom we have a direct relationship; our potential inability to hire, retain and motivate qualified personnel; international sales and the use of our platform in various countries; our potential inability to compete successfully; the reliance of our growth in part on the success of our strategic relationships with third parties; and other important factors disclosed in our filings with the U.S. Securities and Exchange Commission and the various Canadian securities regulatory authorities. If one or more of these risks or uncertainties occur, or if our underlying assumptions prove to be incorrect, actual results may vary materially from those implied or projected by the statements. The statements are forward-looking and represent our views as of the current date. We anticipate that subsequent events and developments may cause our views to change. Nothing in this presentation should be regarded as a representation that the statements will be achieved and we undertake no duty to update the statements except as required by law. The forward-looking statements contained in this presentation are presented for the purpose of assisting our shareholders in understanding our business and objectives, and may not be appropriate for other purposes. June 19, 2019#3NON-GAAP FINANCIAL MEASURES To supplement the financial measures prepared in accordance with generally accepted accounting principles (GAAP), we use non-GAAP financial measures that exclude certain items. Non-GAAP financial measures are not prepared in accordance with GAAP; therefore, the information is not necessarily comparable to other companies and should be considered as a supplement to, not a substitute for, or superior to, the corresponding measures calculated in accordance with GAAP. June 19, 2019#4THE SHOPIFY FLYWHEEL SECULAR TAILWINDS Rise of self-employment E-Commerce growth Consumerization of the enterprise ● ● OPPORTUNITIES International Share of wallet Machine learning ● WIDEN THE FUNNEL Merchants MORE GMV Partners MORE Channels, Capabilities CATALYZE MERCHANTS' SALES SIMPLIFY MERCHANT OPERATIONS#5ANNUAL COHORTS ESTABLISH STRONG FOUNDATION FOR FUTURE CASH FLOWS Revenue by Cohort $400M $300M $200M $100M $OM Q1-FY14 Q2-FY14 Q3-FY14 Pre 2014 Cohorts Q4-FY14 Q1-FY15 Q2-FY15 Q3-FY15 Q4-FY15 2015 Cohort Q1-FY16 Q2-FY16 Q3-FY16 2016 Cohort Q4-FY16 Q1-FY17 Q2-FY17 Q3-FY17 2017 Cohort Q4-FY17 Q1-FY18 Q2-FY18 Q3-FY18 Q4-FY18 2018 Cohort NEWER COHORTS#6GMV RETENTION IS HIGH, AS SUCCESSFUL MERCHANTS REMAIN ON THE PLATFORM GMV Generated by Annual Cohorts Over Time $800M $600M $400M $200M $OM 0 24 6 8 10 12 14 16 18 20 22 24 26 28 30 32 34 36 38 40 42 44 46 48 2014 - 2015 - 2016 - - 2017#7STRONG GMV GROWTH FROM CORE, PLUS UPGRADES AND PLUS NEW BUSINESS GMV By Segment $16B $12B $8B $4B $OB 2014 Q1 2014 Q2 2014 Q3 Core 2014 Q4 2015 Q1 2015 Q2 2015 Q3 2015 Q4 2016 Q1 2016 Q2 Plus Upgrade 2016 Q3 2016 Q4 2017 Q1 2017 Q2 2017 Q3 2017 Q4 2018 Q1 2018 Q2 Plus New Business 2018 Q3 2018 Q4#8NEW PRODUCT OFFERINGS EXPAND REVENUES FROM EXISTING MERCHANTS Revenue by Revenue Stream $400M $300M $200M $100M $OM Q1-FY14 Q2-FY14 Subscriptions Shipping Q3-FY14 Q4-FY14 Q1-FY15 Q2-FY15 Q3-FY15 Q4-FY15 Q1-FY16 Q2-FY16 Q4-FY16 Q3-FY16 Q1-FY17 Apps/Themes/Domains/Platform Fees Transaction/Partner referral/Other Q2-FY17 Q3-FY17 Q4-FY17 Q1-FY18 Q2-FY18 Q4-FY18 Q3-FY18 Financial Solutions MERCHANT SOLUTIONS SUBSCRIPTION SOLUTIONS#9SHOPIFY FULFILLMENT NETWORK WHY FULFILLMENT, AND WHY NOW? Need for fast, reliable, affordable fulfillment is clear and growing#10SHOPIFY FULFILLMENT NETWORK WHY FULFILLMENT, AND WHY NOW? Need for fast, reliable, affordable fulfillment is clear and growing Offer streamlined fulfillment experience with intelligent inventory and order routing#11SHOPIFY FULFILLMENT NETWORK WHY FULFILLMENT, AND WHY NOW? Need for fast, reliable, affordable fulfillment is clear and growing Offer streamlined fulfillment experience with intelligent inventory and order routing Deliver value for merchants first, through competitive rates and higher cart conversion#12ACHIEVE PRODUCT-MARKET FIT, THEN SCALE PLAN: A PHASED APPROACH WITH TRIPWIRES PHASE Product-Market Fit WHEN WHAT 2019-2020 • Build the brain ● 3PL partnerships (WMS & warehouses) PHASE Scale WHEN WHAT 2021-2023 • Continue 3PL partnerships ● Build owned warehouse capacity as required to accommodate demand *See slide "Safe Harbour" at the beginning of this presentation for a disclaimer regarding forward-looking statements contained in this presentation.#13DISCIPLINED SPEND TO BUILD PRODUCT- MARKET FIT Plan: a phased approach with tripwires PHASE 2019 PRODUCT-MARKET FIT Fulfillment Volume I I I I I I I I SCALE Variable Cash Costs Fixed Cash Costs 2023 *See slide "Safe Harbour" at the beginning of this presentation for a disclaimer regarding forward-looking statements contained in this presentation.#14SCALE VOLUME WITH INCREASING EFFICIENCIES Plan: a phased approach with tripwires PHASE PRODUCT-MARKET FIT 2019 Fulfillment Volume I I I I I I SCALE Variable Cash Costs Fixed Cash Costs 2023 *See slide "Safe Harbour" at the beginning of this presentation for a disclaimer regarding forward-looking statements contained in this presentation.#15EXPECTED TO BE LARGELY CASH NEUTRAL OVER FIVE YEARS, WITH FURTHER INVESTMENTS TRIGGERED BY ADOPTION Expected spend of approximately $1 billion over next five years (consisting of expected cost to build and variable cost to operate) We expect incremental revenue to largely offset costs Bulk of spend comes with scale and is success-based, bulk of net return expected beyond 2023 *See slide "Safe Harbour" at the beginning of this presentation for a disclaimer regarding forward-looking statements contained in this presentation.#16THANK YOU#17Q&A