ERP eCommerce Integration - All You Need to Know

Key Takeaways

Integrating ERP with an e-commerce platform might seem straightforward, but it often involves complex decisions. You need to carefully determine which data should be synchronized, in which direction, and how frequently. Selecting the right integration method and a reliable provider is crucial. It's also important to evaluate both the initial setup costs and ongoing expenses to ensure the solution is sustainable and cost-effective in the long run.

Which data can be synchronized between ERP and ecommerce systems?

• Customer information
• Orders
• Inventory
• Pricing for different customer groups
• Relevant documents (e.g., invoices, delivery notes)

The best solution will be the one that fully adopts your current business processes and special needs, if you have any.

What are typical data flows?

Typically, data flows are unidirectional, typical examples are:

• Product data is synchronized from the ERP system to the ecommerce platform.
• Customer and order data flows from the ecommerce platform back to the ERP system.

Which integration types are available?

Integrations can be implemented in two different ways:

• Direct integration using built-in connectors (extensions used either on the ERP or e-commerce platform side)
• Indirect integrations via on-premise or cloud-based integration/middleware platforms.

Indirect synchronizations are usually more flexible and powerful in terms of configuration possibilities.

Who offers ERP eCommerce integration services?

Integration services can come from different sources:

• Native – provided by the ERP or ecommerce platform vendors
• Third-party – offered by external providers as plug-and-play solutions.

Third-party integrations can be based on standard software or custom-developed. Opt for custom development only if you have a clear understanding of what you are doing. In most other cases, existing solutions provide good, ready-to-use options or a solid foundation to build on. Often, third-party integration solutions are more powerful because they compete with native integrations and are frequently chosen as the default option.

What types of data synchronization are possible?

• Scheduled (e.g., hourly, daily)
• Event-based (triggered by specific changes or actions)

The choice depends on:

• The type of data being updated
• The importance of real-time accuracy
• The flexibility of the integration setup

E.g., event-based synchronization may not be a good option if you do mass data changes.

Cost considerations

Be cautious with integrations that charge based on:

• Data volume
• Transfer frequency

These pricing models can escalate costs quickly, especially with frequent updates or large catalogs. Middleware or iPaaS solutions may also charge per API call, connector, or transaction, and additional costs for migration, custom development, and maintenance can further add up.

To manage these risks, opt for solutions with transparent pricing structure, and negotiate fixed or capped pricing where possible.

Understanding ERP eCommerce Integrations

ERP ecommerce Integrations are software solutions that perform data exchange between your ERP (Enterprise Resource Planning system) and ecommerce platform (software that lets businesses create and manage an online store).

If you’re considering integrating your ERP software with your ecommerce platform, start by asking yourself three key questions:

1. Which data needs to be synchronized, and in which direction?
2. How much flexibility and customization do you require?
3. What financial and technical resources are you willing to invest?

Your answers to these questions will allow you to choose the right ERP ecommerce integration. This article will help you make the right decision.

What data is exchanged in ERP eCommerce integration?

With such integrations, customer, order, delivery, and product hierarchy data typically flow from your ecommerce platform to the ERP system, while logistics, supplier, vendor, bill of materials, product pricing, and inventory data are transmitted in the opposite direction - from the ERP to the ecommerce platform.

How an ERP and E-Commerce systems can be integrated?

An ERP system and an ecommerce platform can be integrated in two ways: directly or indirectly.

For instance, integrating SAP Business One with Shopify could be done either directly through an SAP extension that connects to Shopify’s API or a Shopify extension that connects to SAP’s API, or indirectly, through a third-party integration platform.

Direct ERP E-Commerce Integration (e.g. via Connector)

Direct integration occurs when the two systems communicate through API of one of them, often with the help of extensions or modules. In this setup, the extension acts as a connector and interacts with the other system’s API. Any system with an API can support direct integration.

Pros:

• Simplicity: Easier to implement for one-to-one connections.
• Performance: Typically faster due to fewer layers between systems.
• Lower Initial Cost: Often cheaper to set up if only one integration is needed.
• Vendor-Specific Optimization: Connectors are often tailored for specific ERP and e-commerce platforms.

Cons:

• Limited Flexibility: Harder to scale or adapt if additional systems need to be integrated.
• Maintenance Overhead: Updates to either system may break the connector, requiring manual fixes.
• Customization Constraints: Less room for complex data transformations or workflows.
• Vendor Lock-In: You may be tied to specific technologies or vendors.

Indirect ERP E-Commerce Integration (e.g. via Integration Platform)

Indirect integration relies on a third-party middleware or integration platform, which serves as a bridge between the ERP and the ecommerce system and communicates with APIs of both systems. An indirect approach allows for more flexibility and customization.

Pros:

• Scalability: Easily supports multiple systems and endpoints.
• Flexibility: Allows complex workflows, data transformations, and conditional logic.
• Centralized Management: Easier to monitor, troubleshoot, and maintain integrations.
• Future-Proofing: Adapts better to changes in business processes or system upgrades.

Cons:

• Higher Cost: Typically involves both setup and recurring subscription fees.
• Complexity: Requires more planning and configuration.
• Latency: May introduce slight delays due to additional processing layers.
• Dependency on Platform: Reliability depends on the third-party provider’s uptime and support.

Native, custom, and third-party ERP eCommerce integrations

Integration Platforms (a separate, independent layer or tool that sits between your ERP and eCommerce system) are good for complex integrations and data transformations, and are very customizable (e.g., IBM Integration Bus, MuleSoft, Dell Boomi). They are good for complex ERP ecommerce integrations, but might be overkill for more common scenarios.

Third-party pre-configured integrations (e.g., AtroCore ERP ecommerce connectors) are lighter than full middleware, because they are designed specifically for ERP eCommerce integration. They still sit between systems, but they don't need to set up complex transformation logic. Therefore, they are less expensive and easier to deploy than general-purpose middleware.

Native Integrations (Platform-Specific) are provided by software vendors. For example, Shopify Plus with NetSuite, SAP Commerce Cloud with SAP S/4HANA, Magento with Adobe Experience Manager, Oracle Commerce Cloud with Oracle ERP Cloud, WooCommerce with Jetpack, etc. They are pre-configured to connect specific ERP and ecommerce systems, optimized for compatibility easy to set up. Native ERP ecommerce integrations provide basic data synchronization, such as inventory updates, order processing, and customer data exchange, with limited customization options.

However, they are usually not enough for businesses requiring more flexibility and having complex workflows, specialized data transformations, or multi-system integrations.

Custom ERP ecommerce integrations are designed specifically for your business. This may sound appealing due to the promised flexibility, but this is usually way beyond reasonable expenses and takes too much time to implement and maintain.

Most businesses are using some of the popular ERPs, like SAP Business One, Microsoft Dynamics 365, NetSuite, Odoo, Oracle ERP Cloud, Infor, Acumatica, or Epicor, and eCommerce platforms, like Shopify, Magento, BigCommerce, WooCommerce, PrestaShop, or Salesforce Commerce Cloud. These well-known ERP and eCommerce platforms either have pre-built integrations provided by third-party integration platforms or offer native integration tools directly from the ERP or eCommerce vendors themselves.

Proprietary vs Open-Source ERP eCommerce integrations

Proprietary ERP ecommerce integration - developed and maintained by companies that charge fees for their use. They usually offer advanced features, support, and scalability. The well-known proprietary integration platforms include MuleSoft and Microsoft Power Automate. For example, Cleo Integration Cloud or Microsoft Power Automate.

Open-source ERP ecommerce integrations can be used for free and come with open code that can be modified to meet specific needs. Developers can customize and adapt the platform and have greater flexibility. The example of an open-source integration platform is AtroCore.

Data synchronization in ERP eCommerce integrations

Most integrations allow you to preconfigure synchronization, set it to be partially automated, or even manage data sync manually, so that you can fully control and adjust the integration to your needs.

Depending on the chosen ERP ecommerce integration and its configuration, the data can go in one or both directions between your ERP and ecommerce:

• One-way synchronization (unilateral sync): data flows only in one direction (e.g., from ERP to ecommerce or vice versa).
• Two-way synchronization (bilateral sync): data flows both ways, with updates in either system reflected in the other.

The data sync can be based on a pre-configured schedule or be event-based. Scheduled data syncs work for those with basic integration needs, while event-based sync would be a better fit for systems with dynamic changes.

How to Choose the Best ERP eCommerce Integration Solution

Your business needs, solution's alignment with those needs, its cost, and scalability are the most important considerations in choosing an ERP eCommerce integration.

Identify your unique needs and workflows

Analyze the challenges your business faces based on the feedback from different teams (e.g., manual data entry errors, delays in processing) and the unique workflows that need support (e.g., multi-channel sales, custom pricing, etc.). For example, warehouse employees should have immediate access to new orders at the start of their shift, rather than experiencing delays of several hours. They should also be able to process orders within a single system, without needing to search across multiple platforms for different pieces of information.

Verify if your needs align with available integration tools

Once you’ve shortlisted integration options, compare them against your business and technical requirements. Consider questions like:

• Does the solution support the data entities you need (orders, customers, products, invoices, etc.)?
• Can it handle the frequency of synchronization your workflows demand (real-time, hourly, daily)?
• Does it provide the necessary customization flexibility (e.g., mapping unique fields, supporting custom business rules)?
• Is it compatible with the versions of ERP and eCommerce platforms you are running?
• Does it integrate smoothly with other systems you already use (CRM, PIM, WMS)?

By checking these points early, you reduce the risk of expensive workarounds or re-implementation later.

If you have standard integration needs, the pre-built connector is enough for you, but if you have specific needs, the integration platform is the way to go.

Determine the ERP eCommerce integration costs

One-time costs include:

• Initial setup or installation fees (e.g., purchasing and configuring a connector)
• Custom development (e.g., building field mappings, handling unique workflows)
• Data migration and testing before go-live

Recurring costs include:

• Subscription fees for middleware or connectors (often billed monthly or annually, while some vendors, including AtroCore, still sell connectors as a one-time license fee like traditional software)
• API usage or transaction-based charges (common when providers bill per data volume or transfer frequency)
• Ongoing support and maintenance contracts
• Cloud hosting or infrastructure charges if using an iPaaS

Keep in mind that costs can arise on both sides of the integration. For instance, you may pay a license fee for using a connector on the ERP side while also paying the eCommerce platform to activate or extend its API. Understanding the full picture upfront will help you avoid hidden costs as your business scales.

Prioritize scalability

Choose the integration that can handle increased transaction volumes during peak periods (e.g., holidays). Cloud-based ERP and eCommerce platforms are more suitable for easy scaling. They are designed to scale resources (e.g., servers, storage, bandwidth) on demand. They can accommodate spikes in traffic or transactions without affecting performance.

How to Implement ERP eCommerce Integration?

Define relevant data

Before the integration of ecommerce systems with ERP, define the data relevant for system integration. To do so, conduct a data audit in the ERP and ecommerce systems and identify inconsistencies in naming conventions, data types, formats, etc.

Once data is normalized, map corresponding fields between the ERP and ecommerce systems. For instance, align the "Price" field in the ERP with the "Cost" field in the ecommerce platform. The mapping defines relationships between fields without altering the normalized data.

Define data sync flows

After establishing ERP ecommerce connections, automate separate data sync flows, like orders, inventory updates, customers, product master data, product specification, product images, product prices, order status notifications, etc. A significant part of such workflow automation is enabling near-real-time updates between the systems. This way, the systems are configured to trigger workflows instantly to make sure the data is updated in real time.

Secure ERP eCommerce data exchange

Use encrypted connections like HTTPS and SSL/TLS to protect sensitive data during transmission, ensuring only your systems can read it. Also, make sure the user account for data synchronization has read/write access to all relevant data, regardless of RBAC settings.

Test thoroughly before deployment

Test all integration points, including high-traffic scenarios, and verify data flow between your ERP and ecommerce system (orders, inventory, pricing). Check error-handling to ensure smooth responses to issues like stock shortages or payment failures.

Set appropriate timing for data sync

Use webhooks or event-driven architecture for instant updates. Webhooks notify the system immediately when key events occur (e.g., new orders, stock changes), while event-driven setups update data in real time, ensuring timely inventory, order, and customer information.

Maintain comprehensive documentation

Document all scenarios clearly for both IT and non-technical users. Include API references and troubleshooting steps, so teams can resolve or escalate issues efficiently, e.g., how to check synced orders or fix failed syncs.

How to Optimize ERP eCommerce Integration?

Maintain detailed logs

Make sure all synchronization processes are logged to enable error analysis and troubleshooting. Detailed logs should capture information about successful syncs, failed updates, and any anomalies. This helps to identify and resolve issues quickly.

Monitor data synchronization

Monitor your ERP ecommerce integration for errors and performance issues after deployment. Regularly check for missing data, failed updates, or slow syncing, and use logs or monitoring tools to identify problems. Set up automated notifications (e.g., email alerts) so administrators can respond promptly, instead of relying on manual checks.

Regularly update your integration

Regularly check if the implemented ecommerce ERP integration is to be updated in response to updates of APIs of the connected systems. Over time, ecommerce or ERP platforms may release updates that change how their APIs work. Therefore, it is crucial to keep these components updated.