Ecommerce has transformed the way products are sold and purchased, with the online retail sector seeing consistent growth.
The growth of online retail has shown no sign of slowing down anytime soon, so businesses that rely on ecommerce must effectively manage not only their online storefront but also the complexities of back-end operations such as inventory, accounting, and customer management.
One of the most effective ways to keep up with this fast-paced, competitive environment is by integrating your ecommerce platform with an Enterprise Resource Planning (ERP) system.
This blog post walks you through the essential steps of ecommerce and ERP integration, covering how it works, the benefits, and the solutions available.
Whether you’re a small business looking to grow or an established player seeking more efficiency, this guide will offer the insights you need.
What is ERP, and Why Integrate it with Ecommerce?
Enterprise Resource Planning systems are comprehensive platforms that allow businesses to manage day-to-day activities, from accounting and inventory to order management and human resources.
When integrated with an ecommerce platform, ERP systems automate and streamline these processes, enabling real-time communication between the front-end (your online store) and back-end operations.
Integrating ecommerce with ERP provides many advantages:
- Automation of manual tasks: Syncing order data, inventory levels, and customer information reduces the need for manual data entry, minimising the risk of errors.
- Faster order fulfilment: Automated communication between the two systems leads to quicker processing of orders and shipping.
- Improved customer experience: Customers benefit from real-time product availability and order status updates, enhancing their shopping experience.
- Better decision-making: Access to accurate, up-to-date information helps businesses make data-driven decisions, whether that’s in pricing strategies, inventory control, or marketing.
Key Components of an Integrated System
To fully understand how ecommerce and ERP integration works, it’s essential to break down the core components involved.
1. Content Management Systems (CMS)
A Content Management System is crucial for managing the front-end of your ecommerce site. It controls everything from blog posts to product pages, allowing users to edit, update, and manage content without extensive technical knowledge or coding skills.
For an ecommerce business, having a CMS in place is essential as it gives you control over the looks and feel of your webstore and allows you to keep your content up-to-date.
Some ecommerce platforms come with CMS functionality built in, but there are also plugins available to connect the two where required.
WordPress:
The most widely used CMS, powering over 40% of all websites worldwide, including this one! It is designed to be used by anyone from complete beginners to technical experts and the open-source nature of WordPress means it is completely customisable.
There are a huge number of plugins available to provide extended functionality and thousands of themes to tailor the appearance of your website.
WordPress also plays host to a huge global community of users who provide each other with friendly support.
Perhaps the biggest appeal of WordPress is that it is free, however, you will need to shop around for things like hosting and domains.
Wix:
Known for its simplicity, Wix is a CMS that helps non-technical users to create visually appealing and professional websites quickly and easily.
There are hundreds of templates to choose from and a drag and drop editor allowing you to personalise and add content wherever you like. All websites created in Wix are responsive, mobile-optimised and accessibility friendly.
Wix websites are hosted on their own servers, ensuring reliability and security.
Wix’s standard platform is free to use, but you will need a premium plan (from £11/month for ecommerce stores) if you wish to remove Wix ads and connect your own domain.
Then again, if basic ecommerce functionality is all you require for your webstore, this may cover the cost of your CMS and ecommerce platform in one.
Squarespace:
Squarespace is another popular CMS which requires little coding knowledge. It comes with a drag-and-drop editor and a huge collection of professional-looking themes, all of which are responsive and mobile-optimised.
Squarespace also features built-in analytics to monitor website performance and 24/7 live chat and email support for when you run into issues.
Squarespace is an all-in-one platform, in that hosting costs and security are included in the monthly price, starting at £20/month for ecommerce stores.
Again, this includes basic ecommerce functionality such as a checkout process and customer login.
2. Ecommerce Platforms
Ecommerce platforms provide the functionality needed for users to add items to their basket and check out.
Most ecommerce platforms also have basic CMS capabilities and can be used alone or integrated with an existing website.
Ecommerce platforms power the front-end processes of ecommerce plus some simple back-end functionality to manage inventory and shipping.
However, these capabilities aren’t as sophisticated or as valuable as integrating your ecommerce platform with a full ERP solution, which we will cover in more detail later in this blog post.
WooCommerce
WooCommerce, the most popular ecommerce platform, is a highly flexible, open-source ecommerce platform built as a plugin for WordPress. It enables
businesses to transform their WordPress site into a fully operational online store, making it a popular choice for small to medium-sized businesses looking to leverage WordPress’s power while offering ecommerce functionality.
Because WooCommerce is open-source, it allows extensive customisation, with thousands of plugins and themes available to enhance the store’s features and appearance.
This flexibility makes it suitable for both simple setups and highly complex custom requirements.
Integration with CMS
Since WooCommerce is a plugin for WordPress, its integration with the CMS is seamless. WordPress remains the world’s leading Content Management System (CMS), powering over 40% of websites globally.
By integrating directly into WordPress, WooCommerce allows store owners to manage their online store and website from a single interface.
This setup simplifies content creation, product management, and overall site maintenance.
Integration with ERP Systems
One of WooCommerce’s biggest advantages is its ability to integrate with ERP systems like Microsoft Dynamics 365 Business Central.
Integrating WooCommerce with an ERP system ensures streamlined data flow between the ecommerce platform and the back-end processes, such as inventory, order fulfilment, and financial reporting.
Businesses can automatically synchronise customer orders, stock levels, and product information, reducing the manual input required and minimising human error.
Several third-party solutions facilitate this integration. For instance, ISVs offer dedicated connectors between WooCommerce and Microsoft Dynamics 365, enabling automated data exchange across both systems.
This is particularly useful for growing businesses that need to scale and optimise their operations without incurring administrative overheads.
Additionally, WooCommerce’s extensive plugin ecosystem supports integrations with various payment gateways, shipping solutions, and inventory management tools, ensuring that businesses can maintain a comprehensive, scalable ecommerce solution.
Adobe Commerce (Magento)
Adobe Commerce, formerly known as Magento, is one of the most robust ecommerce platforms, particularly suited to medium to large enterprises.
Adobe acquired Magento in 2018, and since then, the platform has been integrated into the Adobe Experience Cloud, making it a more comprehensive solution for businesses seeking powerful ecommerce functionalities combined with advanced digital marketing tools.
Integration with CMS
Adobe Commerce comes with built-in CMS capabilities, which, while not as extensive as standalone CMS solutions like WordPress, still provide sufficient functionality for most ecommerce requirements.
For businesses needing more robust CMS features, Magento integrates well with external CMS platforms such as WordPress, offering flexibility for content-heavy websites.
The platform also benefits from its open-source roots, meaning businesses can heavily customise both the front and back-end. This customisation is particularly important for larger companies that need tailored solutions to handle complex ecommerce processes.
Moreover, Adobe Commerce’s integration into the Adobe Experience Cloud allows businesses to tap into powerful tools for content creation, personalisation, and marketing automation, elevating the platform beyond traditional ecommerce.
Integration with ERP Systems
Adobe Commerce’s robust architecture supports integration with numerous ERP systems, including Dynamics 365 Business Central.
Integrating Adobe Commerce with an ERP system provides several benefits, such as real-time inventory management, automated order processing, and accurate financial reporting. These integrations streamline processes across the business, enhancing efficiency and reducing operational costs.
ISVs such as Tinx-IT and NaviPartner offer Adobe Commerce connectors specifically designed for Dynamics 365, enabling automatic data synchronisation between the two systems.
This means that stock levels, order statuses, and customer data are consistently updated across both the ecommerce platform and the ERP system, preventing data silos and ensuring customers have accurate information.
Another key feature of Adobe Commerce is its ability to handle large product catalogues and high transaction volumes, making it ideal for businesses with complex or extensive inventory.
The platform also supports multiple storefronts, currencies, and languages, making it a powerful solution for businesses operating in international markets.
Shopify
Shopify is a cloud-based, all-in-one ecommerce platform that provides businesses with the tools needed to create, manage, and scale their online stores.
It’s one of the most user-friendly platforms available, particularly for small and medium-sized businesses that may not have extensive technical expertise.
Shopify offers a wide range of customisable themes and an easy-to-use interface, allowing store owners to quickly set up a professional-looking online store.
Integration with CMS
While Shopify offers some CMS functionality, such as the ability to create pages, blogs, and content blocks, it is not as extensive as dedicated CMS platforms like WordPress or Drupal.
However, Shopify’s user-friendly interface is designed to make content creation straightforward for ecommerce businesses, allowing them to manage both their storefront and content without the need for additional CMS integration.
Shopify’s key strength lies in its scalability. It offers various tiers of service, from basic plans for small businesses to Shopify Plus, which is designed for enterprise-level companies with complex needs.
The platform’s ecosystem of over 2,000 apps allows businesses to add features like SEO optimisation, marketing tools, and customer relationship management (CRM) systems, making Shopify highly adaptable.
Integration with ERP Systems
One of Shopify’s standout features is its ability to integrate with various ERP systems, including Microsoft Dynamics 365 Business Central (read more about the integration here).
By integrating Shopify with an ERP system, businesses can streamline their back-end operations, automate workflows, and eliminate the need for manual data entry.
ERP integration ensures that important data, such as order details, inventory levels, and customer information, is automatically updated between the ecommerce platform and the ERP system.
This not only improves operational efficiency but also helps businesses maintain accurate stock levels, process orders faster, and improve overall customer satisfaction.
There are ISVs offering a Shopify connector that integrates with Microsoft Dynamics 365, allowing businesses to synchronise data between their online store and ERP system seamlessly.
Shopify also supports integration with other ERP solutions, enabling businesses to automate complex processes like shipping, inventory management, and accounting.
In addition to ERP systems, Shopify integrates with a wide range of third-party applications for payment processing, shipping, and customer service, making it a versatile platform for businesses of all sizes.
Its ease of use, combined with powerful integration options, makes Shopify a strong choice for businesses looking for a scalable and flexible ecommerce solution.
Each of these platforms offers unique features and benefits, depending on the size and needs of your business. Whether you’re looking for customisability, scalability, or ease of use, these platforms provide powerful ecommerce solutions.
3. Enterprise Resource Planning (ERP) Systems
From day one of your ecommerce business, you’ll need some sort of system to track your orders, revenue, inventory, expenses and other financial processes.
To start with, you might do this on pen and paper or an Excel spreadsheet but as time goes on and your business grows, you’ll usually need something a bit more complex.
Most small to midsize ecommerce businesses will use an ERP solution like Microsoft Dynamics 365 Business Central for these tasks.
Business Central is one of the most popular ERP systems for small and medium-sized businesses, helping connect departments with a single, shared database—helping massively reduce the risk of errors and duplicates.
Business Central integratesv seamlessly with many ecommerce platforms. It handles everything from finance to supply chain management, providing a unified view of your operations.
Business Central is easy to use and benefits from using the same UI as other everyday products in the Microsoft suite, helping users get up and running with the solution with ease.
When combined with ecommerce platforms through an integration solution, Business Central eliminates the risk of duplicate data entry and allows for real-time updates across systems.
4. Ecommerce Integration Solutions
An ecommerce integration solution connects your front-end ecommerce platform to your back-end ERP software.
Without this integration, you create a lot of unnecessary administrative overhead by manually keying order details into your ERP system and inventory details into your ecommerce solution.
By living with this disconnect, you also run a much higher risk of human error and, ultimately, customers not receiving their orders on time and in full.
Integrating your ecommerce platform and ERP system means that the two solutions can communicate automatically.
Any data you enter in one system will appear in the other, shortening the order fulfilment cycle, allowing you to create personalised marketing messages and providing customers with full access to product information, order history and account data.
The ecommerce integration solutions we’re highlighting below connect ecommerce platforms to Business Central
Tinx-IT: Tinx-IT provides connectors for WooCommerce, Adobe Commerce, Shopify, and many more ecommerce platforms, seamlessly integrating them with Business Central.
These connectors automate critical business processes such as financial entries, inventory updates, and customer order management.
For businesses using Shopify, a Product Information Management (PIM) tool is included to keep product data up-to-date.
NP Ecommerce: NP Ecommerce, from NaviPartner, integrates Business Central with Adobe Commerce, automating administrative processes such as inventory management and bookkeeping.
NaviPartner also offer a Point of Sale (POS) system, offering a true omnichannel experience. NP Ecommerce provides a seamless link between your online and physical retail operations, ensuring real-time data synchronisation across the board.
Codeless Platforms: Codeless Platforms’ Business Process Automation (BPA) platform integrates Business Central (and other ERP solutions) with various ecommerce platforms, including WooCommerce, Shopify, and Adobe Commerce.
It’s an easy-to-use solution with a drag-and-drop interface, allowing businesses to automate repetitive tasks without requiring extensive technical expertise.
The Benefits of Ecommerce and ERP Integration
- Improved Efficiency: By automating data synchronisation between your ecommerce platform and ERP, you save time and reduce errors. This leads to faster order processing, better inventory management, and enhanced customer satisfaction.
- Enhanced Customer Experience: With real-time inventory updates, your customers can see accurate stock levels and order status. Integration also enables personalised marketing, using customer purchase data to tailor offers and communications.
- Data-Driven Decision Making: Having all your business data in one place allows for more accurate reporting and forecasting. You can quickly identify trends, assess performance, and make informed decisions that drive growth.
- Scalability: Integration allows your systems to grow with your business. As order volumes increase, the automated processes ensure you can handle demand without the need for additional manual labour.
Challenges and Considerations
While the benefits are clear, integrating ecommerce with ERP does come with challenges. can include the complexity of implementation, initial costs, and the need for ongoing maintenance.
Businesses should carefully assess their needs and resources before committing to a solution.
Integrating your ecommerce platform with an ERP system is a strategic move that can significantly improve your operational efficiency, reduce errors, and provide better customer service.
The integration process may seem daunting, but the long-term benefits far outweigh the initial investment.
We hope this blog post gave you some insight into each system involved in the process, as well as how they can work together to build a comprehensive solution.
If you’re ready to explore how ecommerce and ERP integration could benefit your business, Mercurius IT is here to help.
With years of experience in ERP systems and ecommerce platforms, we can offer tailored advice and solutions that fit your needs.
Contact us today using the contact form below for a free consultation or arrange a demo to see how these systems can work together for your business success.
