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Leveraging the Power of EDI in eCommerce

January 6, 2020 By anthony Leave a Comment

As an eCommerce Manager you have several responsibilities which include search engine optimization, sales, marketing, profit and loss responsibility, ensuring all products are listed, revenue targets and even ensuring customer satisfaction.  That’s why you should consider leveraging the power of EDI in eCommerce, because it can help you automate many of your functions, such as inventory control, product management, and transaction data so your supply management side is streamlined and your customers enjoy a smooth and efficient process.

Why EDI in eCommerce?

If you as an eCommerce brand dropship for your retail clients then EDI will help you comply with their requirements, providing the communication channel with easily communicates with their systems and ensures you meet your service level agreements on stock availability, shipping times and responsiveness.  It will enable you to take on more new retailers and increase SKUs without too much strain on your system, you just have to worry about producing enough product and having it read on time to ship out to meet those increasing demands.

If you are an eCommerce retailer who sells direct to the consumer then EDI will allow you to steadily or rapidly if you require, increase the number of SKUs and even include products from other suppliers who are drop shipping or supplying direct to you.  You can plug in new products and suppliers at any time without having to worry too much about whether the paperwork will all be in the right place at the right time to get the product shipped, EDI takes care of all of that once it’s set up.

Controlling Your Customer’s Experience Through EDI

The use of EDI enables you more control over the complete supply chain.  Availability of stock data allows you to provide live stock levels to your customers on your eCommerce site so that they understand what the likelihood is of them being able to order the quantity they need and have it delivered on time.  You can provide them with immediate lead times and delivery dates, even allowing them to book an hour slot several days in advance if you plug in your shipping company to the EDI platform too.

It also allows you to add in dropship suppliers so that your customer’s are spoilt for choice when they reach your website, they don’t have to go to several places to find products but you become a one stop shop for their needs.  These add on sales are what will massively increase your profit margins, and perhaps allow you to offer loyalty discounts, free shipping on higher value orders, and do free promotions on new products.

With your whole system integrated and automated including your ERP system right through to your customer eCommerce interface your overheads will be reduced because headcount will be reduced to the bare minimum, and you won’t be as affected by sickness, vacation days, and national holidays.  While your competitors struggle to staff and ship for Black Friday or Cyber Monday, you will be ahead of the game.

Filed Under: Business Tagged With: business, ecommerce, EDI

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