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Top 7 Benefits of eCommerce ERP Integration

Updated December 4, 2024

Key Takeaways
  • Integrating eCommerce and ERP systems enhances efficiency by automating data flow, and reducing manual entry errors.
  • It streamlines inventory management, ensuring real-time updates and accuracy. Order processing becomes swifter, improving customer satisfaction. Financial management is more streamlined, simplifying accounting tasks.
  • This integration also provides better insights through centralized data, enabling informed business decisions. Moreover, it reduces operational costs and accelerates growth by optimizing resources and facilitating scalability.

Top Benefits of eCommerce Integration with ERP

If you want to scale your eCommerce business, Enterprise Resource Planning (ERP) integration will come in handy. You no longer need to input data manually, check orders one by one, and worry about correctly written shipping addresses. Automatic synchronization is key to smooth processes and efficient business operations.

ERP eCommerce integration will boost productivity and help you generate more revenue while avoiding the common pitfalls of running a business.

This blog aims to show you the benefits of eCommerce ERP integration and the powerful impact it has on eCommerce. So, sit back and discover ways to skyrocket your business.

ERP integration benefits.

Benefits of eCommerce ERP Integration

The benefits of eCommerce ERP integration outweigh the investment costs and any development problems. Simply put, companies that integrate their eCommerce stores-marketplaces with their back-office ERP integration software enjoy enormous cost savings, higher conversion rates, shorter order cycles, streamlined administration, and a host of other benefits.

Back-office ERP integration enables powerful customer self-service features that generate great online experiences and improve and automate business processes.

The results of integration save money on everyday tasks while generating greater revenue. The U.S. B2B eCommerce market is growing at 12.1 percent per year, and in addition to tapping into this lucrative market, integrated B2B companies can easily sell their products across multiple channels, including the marketplace platforms that sell products from multiple vendors.

It's estimated that U.S. companies lose $62 billion on average every year due to poor customer service. This is largely due to inefficient methods that an ERP integration would fix. B2B companies can offer the same kind of experiences that B2C companies provide consumers with if they want to get their fair share of sales in the ever-increasing B2B market. Leading up, the third type of marketplaces that are growing are C2C marketplaces. C2C eCommerce examples include Amazon.com, Etsy, eBay, and more [1].

B2B platforms are developing more and more options to sell their products, and these options strongly depend on the technical capabilities of the integrated platform, integration offers personalization, strong customer service, and automation from machine learning (ML) and artificial intelligence in eCommerce. In one survey, B2B marketers ranked AI and ML as the most exciting new technologies. Both AI and ML depend heavily on integration. About 93 percent of those surveyed also recognized the need to invest in B2B eCommerce technology.

Extraordinary Customer Service Requires Integration

B2B companies face more demanding buyers than they ever have. With today's tech-savvy buyers, customers expect conveniences such as the ability to access their full account histories, past invoices, product research, and information about the product warranty, use, and ratings. Some of the top customer benefits of eCommerce ERP integration include:

Better Online Experiences

The integration of back-office software enables customers to perform dozens of operations online, such as getting accurate inventory figures in real time. Customers can be automatically contacted when the products ship and these buyers can track their shipments precisely. Integrating ERP into your web store boosts customer satisfaction by informing them of each step your business takes regarding their orders.

Shipping Choices

Buyers can choose their own shipping strategies based on lower costs, faster deliveries, and other criteria, such as special handling. For complex split shipping to global addresses, integration provides automated management of the process of shipping to multiple addresses, and buyers can choose different shipping methods for different locations.

Pricing Management

Customers can get valid price quotes from sales staff automatically when they order instead of needing to contact someone in customer service. Customers who qualify for lower pricing tiers will receive the correct prices when they meet the requirements when back-office software is fully integrated. Customers can also request special pricing terms, and an integrated system can offer more payment methods to accelerate invoice payments.

Automated Features

The integration enables many automated features that B2B customers love, such as tax calculations from multiple tax jurisdictions, onsite currency conversions, and custom catalogs based on the buyer's ordering habits.

Customer Loyalty

ECommerce ERP integration with ERP platforms has versatile purposes, and customer retention is one of them. Anticipating customers' needs and satisfying them means your products stay relevant and meet the expectations of your audience. With customer data available at your fingertips, you know who to reach out to and when to upsell to keep your client base engaged and loyal to your brand.

Usability testing.

Operating Efficiencies of eCommerce ERP Integration

There are two ways to make more money (net revenue)—reduce costs and increase sales.

Fortunately, the benefits of ERP integration cover both those areas. Better customer service increases conversion rates, and companies can save considerably on operating expenses with a finely-tuned sales platform. Revenue and COGs are both directly and positively affected by a well-integrated solution.

Clarity has performed over 3,000 integrations over the past 13 years and has witnessed these benefits at their clients, whether small, medium, large, or at the enterprise level.

Robust Security for HIPAA eCommerce

Establishing a trustful medical-HIPAA eCommerce isn't an easy task if you don't have the right tools. The ERP system can seamlessly integrate ERP and eCommerce platforms that operate in highly regulated niches.

Our team of experts can develop the features you require to run your business, set custom workflows, and provide you with unique functionalities that will streamline your processes.

Your eCommerce website can be integrated with platforms other than ERP but also CRM, electronic records of health-related information (EHR), electronic medical records (EMR), payment providers, and other solutions tailored to your business needs.

With HIPAA compliance and end-to-end encryption, your pharmacy eCommerce, telehealth, or laboratory can be up and running in just a few weeks.

Automation Generates Savings in Every Administrative Area

Integration makes ERP software work in custom ways based on a given company's needs and the way it does or handles business processes. The efficiencies of automation and integration include:

Reduced Errors

  • Manual entry results in human error—transposing numbers is quite common. An integrated site can double-check figures for consistency and validate incoming data.
  • The integrated ERP and integrated eCommerce solutions ensure data consistency across platforms. You no longer need to jump between platforms to compare inputs that may include important data about customers' billing addresses and their order details.

Streamlined Operations

  • Integration ensures that every department gets access to operating data in real time to reduce delays, trigger ordering alerts and reduce labor costs. Paperwork is reduced because the information is stored securely in company databases where everyone who needs the data can get the intelligence instantly in multiple formats.
  • ECommerce ERP integration eliminates human error when manually inputting data. Hence, automation will handle all your data and ensure your eCommerce platform stays up-to-date with the latest prices and orders without any delays.
  • The integration of ERP and eCommerce systems handles the purchasing process from beginning to fulfillment. You won't need to update each order manually—only observe the data flow it presents you. Our ERP solution will significantly save you time and take care of mundane tasks.

No Need to Make Duplicate Entries

  • ECommerce ERP integration automatically transfers information from the company's store or stores directly to the ERP software system and vice versa. This means automated orders, fulfillment, returns, real-time inventory updates, low stock alerts, and a host of other benefits.
  • ERP systems are especially good for tracking the status of your inventory. Since the solution automates the stocks, you can perform better inventory management in real time.

Fast Synchronization

  • Customer records are updated immediately, and if there is a cancellation, the inventory figures reflect the change immediately. There's no need to wait on confirmation paperwork.
  • Along with your eCommerce platform, you can also integrate Customer Relationship Management (CRM) and have the entire database in one place.

Better Inventory Management

  • Integration compiles information from multiple online sales channels and brick-and-mortar stores to speed the reordering of products and supplies, update inventory levels, predict seasonal adjustments, and track inventory in real time to predict sales levels.

Global Sales and Steady Growth with Integration

No matter what B2C business model you've implemented, integrating your sales platform or back-office ERP is critical to stay competitive. Choosing a skilled developer can create a long-term partnership of collaboration and sustainable development. You can add features—such as an ERP portal—as your business grows when you develop a robust sales platform with a vigorous API layer for strong security.

Make the Most of Your ERP

If your ERP isn't integrated with your eCommerce platform, you're wasting time and money. We'll show you the most efficient way to get them talking to each other.

Web development.

FAQ

 

An eCommerce ERP integration strategy helps eCommerce businesses to automate processes that include pricing updates, inventory management, and order information. These processes don't have to be handled manually, the ERP system can synchronize data across platforms and free up the time for your staff to take care of more important tasks.

Additionally, as the demand for your products increases, you will need to hire more people. Instead, the ERP system integration can seamlessly synchronize orders, prices, shipping, and customer data.

Hence, your business benefits from enhanced efficiency and can scale faster. Regardless of how many channels you use, they can all be unified and brought to one platform. The data the ERP system collects will give you insights into your current orders or returns, revenues from orders, and items on sale.

The ERP eCommerce integration can make a big impact on customer satisfaction and retention since they won't need to wait days for your staff to contact them about shipping status, item availability, and current prices.

 

Human error is not uncommon when your staff has to work with large data flows. Sometimes a little typo or missing dot may disrupt the file or a data entry. If your online business receives numerous orders daily, some of them can get omitted, which means lost money and potentially long-term customers.

Hence, ERP eCommerce integration aims to reduce the workload of your staff by automating the processes.

Other issues related to manual data entry include:

  • Incorrectly entered shipping addresses and long waiting times for customers
  • Outdated inventory levels that result in unsuccessful sales
  • Outdated or incorrect product information, including current or discounted prices
  • Damaged reputation and low customer retention
  • All of the above can be avoided with intuitive and versatile eCommerce integration with the ERP solution.
 

Integrating an eCommerce platform with an Enterprise Resource Planning (ERP) system presents several challenges, primarily due to the complexity and variability of erp and eCommerce systems.

  • Data synchronization is a key challenge of eCommerce ERP integration, as ensuring real-time updates between inventory, orders, customer data, and financial records across platforms can be difficult. Discrepancies may lead to stockouts, order delays, or accounting errors.
  • System compatibility is another hurdle of eCommerce ERP integration. eCommerce platforms and ERP systems often operate on different frameworks, necessitating custom APIs or middleware for seamless communication, which can be costly and time-intensive.
  • Scalability becomes a concern if the ERP system integration is not designed to handle future growth, such as increased transaction volumes or new sales channels. A poorly scaled system can hinder operational efficiency.
  • User adoption and training also pose challenges of ERP integration. Employees may struggle to adapt to the new, integrated workflows, leading to reduced productivity during the transition phase.
  • Security risks increase with ERP integration, as more data points expose the system to potential breaches. Ensuring robust security measures is essential.
  • Ongoing maintenance demands continuous monitoring and updates to address software changes, bugs, or new business requirements, requiring dedicated resources and expertise for the ERP solution.

Addressing the challenges of eCommerce ERP integration requires strategic planning, skilled implementation, and ongoing support.

Still have questions? Chat with us on the bottom right corner of your screen #NotARobot

Author
 
Stephen Beer is a Content Writer at Clarity Ventures and has written about various tech industries for nearly a decade.He is determined to demystify HIPAA, integration, and eCommerce with easy-to-read, easy-to-understand articles to help businesses make the best decisions.

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