Article Claims Integration Can Cut Online Order Costs


Last week, I shared a couple of articles illustrating the business value of CRM integration. This week, I found another article on a similar theme -- this time touting the benefits of integrating CRM and ERP with your e-commerce system.


It seems pretty obvious to me how integrating e-commerce with ERP and/or CRM would be all for the good, but I was surprised at the cost savings quoted in this e-Commerce News piece.


Sandeep Walia, president of of e-commerce solution company Ignify wrote the article. I'm always a bit skeptical when vendors write "articles" for tech sites, and one thing that adds to the skepticism is the fact that they tend not to source their material. That's fine if they're writing about their opinion -- but they'd do themselves and the reader a favor if they included citations on any statistics or research.


Unfortunately, Walia didn't do this, so I'm not sure of the source of his figures. That said, if the numbers quoted are reliable, then the cost benefits from integrating CRM and ERP with e-commerce sites are impressive.


According to Walia, the labor costs of processing orders from non-integrated systems can range between $5-16 per order, even if you only have a "small online footprint." By integrating your payment processing system with ERP and CRM, you could cut your costs to under $1 per transaction, he writes.


Walia also explains how integration among CRM, ERP and e-commerce sites can provide you with useful information that can translate into more sales or cost savings. As an example, he chooses an unusual implementation -- a recent integration conducted by the United Methodist Church.


If you're considering an integration project that ties together your ERP or CRM with a Web site, then take a quick look at this article for ideas on building a business case.