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Home›Shopping›All You Need To Know About Ecommerce ERP

All You Need To Know About Ecommerce ERP

By Doris Armstrong
May 23, 2022
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According to recent data, the number of digital buyers in 2021 alone is at 2.14 billion, 27.6% of the worldwide population. By 2025, experts even predict that the online segment would make up close to a quarter of the total retail sales globally. These data show how e-commerce engagement is becoming more fast-paced, given the number of consumers who engage in it.

However, as the demand for e-commerce grows, so does the complexity of business operations. Some company owners may even find themselves entangled around all logistic processes, fulfilling orders, processing payments, managing inventories, and at the same time, tracking financials and calculating taxes. This makes business more difficult for them, especially when their small operations suddenly turn into a fully operating platform with warehouses and multiple employees.

To make things convenient, this is where an e-commerce Enterprise Resource Planning (ERP) comes into play.

What is E-Commerce ERP?

E-commerce ERP is the automation of the logistic operations of a business, seamlessly integrating them with a modern, cloud-based system. It streamlines the flow of information into the business, thereby improving the overall course of operations. Usually, it comes with an e-commerce software, making the consolidation of data possible. 

Salient Features of E-Commerce ERP

  • Finance

A cloud-based ERP allows business owners to smoothly manage all the financial aspects of their operations, such as the general ledger, accounts payable, and accounts receivable, as the system supplies real-time e-commerce updates. For example, when a site sale comes into the ERP, it becomes immediately populated through the financial systems, so that as the payment is completed, the platform immediately reflects it as revenue.

  • Inventory

As businesses grow, so does the number of transactions, making it challenging to manually track all orders at once and relay it to each customer. With the help of an integrated ERP, business owners would be able to streamline their tracking information, allowing them to check their stocks with ease. Aside from that, the system also automatically relays the same information to customers, providing them an accurate, real-time access to available inventory that they can purchase. This is best illustrated in the case of clothing suppliers. Given the number of products and stocks that they have, it is best to provide customers with accurate information regarding the availability of a particular product and its remaining stocks as to size and color.

  • Shipping

Due to its efficient inventory tracking feature, e-commerce ERP also provides an accurate method for business owners to track product distribution operations, while providing real-time shipping information to customers. For example, for e-commerce wholesale, business owners would need to determine how the bulk of their shipped products are being handled and where they are located to make sure that they retain their quality once they reach the customers.

Most Important Benefits of E-Commerce ERP

  • Enhances Customer Experiences

Better customer experiences come from excellent customer service and engagement. As business owners automate their processes with the help of an e-commerce ERP, all customer transactions, from browsing products and payment to shipping, will become seamless, tracked, and automated, giving customers a better shopping experience.

  • Increases Productivity

As all operations are integrated into a single platform, all records become centralized, making all tasks automated. This makes all transactions easier and quicker, allowing businesses to process purchase order requests timely.

Invest in E-Commerce ERP now

E-commerce ERP is evidently a good business investment considering how efficient it is in enhancing the operations of e-commerce businesses. If you are among the e-commerce wholesalers looking into making their operations automated, reach out to Kingpin to get started.

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