Electronic data interchange (EDI) is the simple act of two computers “talking directly to each other” to exchange business transactions without human interaction. This digital “conversation” makes it perfect for automating your routine business transactions.
vs Marketplace Orders
EDI and Marketplace trading are both considered eCommerce. Where EDI is about routine communication between two businesses with a pre-established buying relationship, Marketplace selling is more about interacting directly with the consumer usually through a 3rd party platform such as Amazon.com or Shopify.
EDI serves an established relationship between you and a retailer with the retailer as a repeat customer placing routine orders for specific products be sold in their stores. EDI is also front and center when the retailer sells goods to the consumer through their online sales efforts with you fulfilling that order direct to the consumer.
Marketplaces, on the other hand, cut out the retailer as the middle-man and have you sell directly to the consumer. Instead of the relationship with a retailer, you engage with online marketplaces like Amazon.com or Shopify to reach the consumer directly.
Fulfilling marketplace orders is identical to fulfilling retail consumer orders.
Marketplaces draw in consumers and you have an equal opportunity to sell to those consumers against other online sellers. At fulfillment time, there is no difference between consumer fulfillment for EDI and consumer fulfillment for online marketplaces.
How EDI and Marketplace Fulfillment can be Unified
EDI and marketplace trading both contribute to your overall sales and complement each other very well. When implemented wisely, these two relationships will help grow your online presence and, ultimately, your business.
EDI communication between the retailer and vendor is quick and secure. Transactions are very structured and organized, promoting efficiency, especially when involving high volumes of transactions. The beauty of EDI is that it secures your position in the supply chain keeping you compliant with requirements from major retailers and distributors.
The techniques of EDI help model your trading with the Marketplaces which do not nearly have the structure and organization of a retail trading environment. The structure and organization of EDI is leveraged with the marketplace to unify fulfillment across every platform whether it be EDI or marketplace. At the end of the day you need only one kind of direct-to-consumer fulfillment process whether it be from an EDI or marketplace source.
Can EDI drive online Marketplace activity?
Partnering with a company like EDI Options brings you to these next-level fulfillment operations and unifies this fulfillment. The EDI Options’ network is connected to every EDI and Marketplace operation acting as your central clearinghouse. The network collects orders from every source and processes them down to you as routine direct to consumer transactions. Tools like EDI Options’ EDI OptCenter and eCommOpt allow fulfillment of every type of transaction in a standard way. New partners and new markets are easily added into the operation with little or no training required.
Since 1991, EDI Options has been a leader in EDI and eCommerce technology. The company has always made its name with customer services, and satisfied customers is our only goal and responsibility. To learn more about EDI Options and the full suite of services offered, check out more info.