What Are the Major Components of Enterprise E-Commerce Software?

In today‘s fast-paced digital landscape, enterprise businesses require robust and comprehensive e-commerce software to effectively manage their online sales channels. As technology continues to evolve and consumer expectations rise, it‘s crucial for companies to invest in a platform that can handle the unique demands of enterprise-level operations.

Consider this: Global e-commerce sales are expected to reach $6.5 trillion by 2023, according to eMarketer. And with 80% of Americans now shopping online, it‘s clear that e-commerce is becoming the primary way people purchase products.

To capitalize on this immense opportunity, enterprise businesses need an e-commerce platform that can scale with their growth, streamline operations, and provide exceptional customer experiences. But with so many options on the market, it can be challenging to know which components are essential for success.

In this article, we‘ll take a deep dive into the major building blocks of enterprise e-commerce software. We‘ll explore the key features and benefits of each component, share relevant statistics and examples, and provide actionable tips for selecting and implementing the right solution for your business.

1. Product Information Management (PIM) System

At the heart of any successful e-commerce operation is a centralized product information management (PIM) system. A PIM serves as the single source of truth for all product data, including descriptions, specifications, images, videos, and more.

The Power of PIMs

Consider these statistics:

Organizations that use a PIM report a 23% increase in conversions. (Ventana Research)
81% of consumers will pay more for a better product content experience. (Salsify)
Poor product descriptions account for 20% of cart abandonments. (Shotfarm)

By centralizing product content in a PIM, enterprises can ensure data consistency across channels, reduce errors, and create compelling product experiences that drive conversions and reduce costly returns.

PIM Best Practices

To get the most out of your PIM, consider these tips:

Establish a clear taxonomy and metadata schema to keep your product data organized and searchable. Think about how customers might browse or filter products and build your taxonomy accordingly.
Use a PIM with strong digital asset management (DAM) capabilities to efficiently manage product images, videos, and other rich media. Look for features like automatic image resizing and video transcoding.
Implement data governance processes to maintain data quality over time. This includes defining clear roles and responsibilities, establishing data entry and validation rules, and regularly auditing your product catalog.
Integrate your PIM with other key systems like your ERP, OMS, and syndication tools. This allows you to seamlessly share up-to-date product data across your entire ecosystem.

PIMs in Action

Global brands like Coca-Cola, Bosch, and Unilever rely on PIMs to manage their vast product catalogs and deliver consistent, compelling product experiences across channels.

For example, Unilever uses a PIM to manage over 12,000 product lines across 190 countries and 400 brands. Their PIM allows them to efficiently localize product content, ensure brand consistency, and syndicate data to a wide range of sales channels, including online marketplaces.

2. Order Management System (OMS)

Another critical component of enterprise e-commerce software is an order management system (OMS). An OMS handles the entire order lifecycle from initial placement through fulfillment and delivery. It serves as the central hub for processing orders from multiple sales channels, managing inventory levels, and coordinating with warehouses and shipping carriers.

The Benefits of an OMS

An advanced OMS empowers enterprises to:

Process high order volumes efficiently (on average $50M to $500M annually)
Reduce fulfillment costs by 10-20% through intelligent order routing and inventory optimization
Improve delivery speed and accuracy, resulting in a 15% increase in customer satisfaction

With real-time inventory visibility, automated workflows, and robust reporting, an OMS streamlines the complex, backend processes involved in fulfilling orders, allowing enterprises to scale operations and delight customers.

OMS Considerations

When evaluating OMS solutions, look for these key capabilities:

Real-time inventory management across all storage locations (warehouses, stores, 3PLs)
Intelligent order routing based on predefined business rules (e.g. closest warehouse, lowest shipping cost)
Flexible order processing (e.g. split shipments, drop shipping, pre-orders, backorders)
Integrated returns management with automated refund and exchange processing
Robust reporting on key metrics like order status, inventory turnover, and fulfillment performance

You‘ll also want to consider factors like ease of integration, scalability, and total cost of ownership when comparing OMS vendors. Many enterprises are now opting for cloud-based OMS solutions, which offer greater flexibility, lower upfront costs, and automatic updates.

OMS Success Stories

Leading brands like Adidas, Staples, and Burberry have reported impressive results after implementing an advanced OMS.

Adidas, for instance, uses an OMS to manage orders across 60 fulfillment centers worldwide, processing over 1 million orders per day during peak seasons. They‘ve seen significant improvements in order accuracy and delivery times, along with a 2x increase in order processing capacity.

3. Content Management System (CMS)

To deliver compelling online experiences, enterprise businesses need a flexible content management system (CMS) within their e-commerce platform. A CMS enables non-technical users to easily create, edit, and publish engaging website content such as product pages, blog posts, landing pages, and more.

The Importance of Content

Compelling content is critical for driving e-commerce success. Consider these statistics:

87% of e-commerce shoppers rate product content as extremely or very important when deciding to buy. (Salsify)
Enriched content, like images, videos, and comparison charts, can increase conversions by up to 300%. (CrowdRiff)
Consistent, helpful content is one of the top 3 reasons people trust a brand. (Edelman)

With a modern enterprise CMS, businesses can quickly create rich, engaging content experiences that build trust, educate buyers, and drive conversions.

CMS Must-Haves

When evaluating enterprise CMS solutions, look for these essential capabilities:

Intuitive WYSIWYG editing tools for creating rich content without IT assistance
Flexible content modeling to support a range of content types and structures
Robust content versioning, workflows, and user permissions to enable efficient collaboration
Built-in SEO tools for optimizing content and improving organic search rankings
API-based, headless architecture for delivering content across channels and devices
Personalization tools for tailoring content based on user behaviors and preferences

A headless CMS architecture is particularly important for enterprises looking to create omnichannel content experiences. By decoupling the back-end content repository from the front-end presentation layer, a headless CMS enables businesses to deliver content to any channel or device, including websites, mobile apps, in-store displays, and even voice assistants.

Content-Driven Commerce

Many leading brands are now using content to drive commerce and build lasting customer relationships.

For example, outdoor retailer REI uses a headless CMS to power its award-winning "Expert Advice" content hub. The hub features a variety of rich content, including how-to articles, videos, and user-generated photos, all aimed at educating and inspiring customers.

By providing genuinely helpful content, REI has been able to increase engagement, drive more traffic to its e-commerce site, and ultimately boost sales. The company has reported a 60% increase in organic traffic and a 25% lift in conversion rates since launching the content hub.

4. Customer Relationship Management (CRM)

To build lasting relationships with customers, enterprise e-commerce platforms need robust customer relationship management (CRM) capabilities. A CRM system centralizes all customer data and interactions, providing a 360-degree view of each individual.

The Value of CRM

A well-integrated CRM system can yield significant benefits, such as:

Increasing customer retention rates by 27% (Salesforce)
Boosting conversion rates by 300% through personalized experiences (Evergage)
Improving customer satisfaction rates by 35% (Salesforce)

By leveraging CRM data, enterprises can gain a deeper understanding of their customers, personalize interactions, and proactively address issues before they escalate. This leads to happier customers, increased loyalty, and ultimately higher lifetime value.

CRM Best Practices

To maximize the value of your CRM, consider these tips:

Capture customer data from all touchpoints, including website interactions, email engagement, customer service conversations, and in-store transactions. Use this data to create rich customer profiles.
Segment customers based on demographics, behaviors, and preferences. Use these segments to tailor marketing campaigns, product recommendations, and customer service interactions.
Set up automated workflows to trigger personalized communications based on customer actions, such as abandoned cart emails, post-purchase follow-ups, and loyalty program rewards.
Integrate your CRM with other key systems, like your e-commerce platform, marketing automation tools, and customer service software. This allows you to seamlessly share data and create a unified customer experience.

CRM Success Stories

Many leading enterprises have seen impressive results from their CRM investments.

Take Netflix, for example. The streaming giant uses its CRM to collect and analyze vast amounts of customer data, including viewing history, search queries, and ratings. It then uses this data to personalize the user experience, serving up tailored content recommendations and targeted marketing messages.

This hyper-personalized approach has been hugely successful for Netflix, with over 80% of watched content coming from recommendations. By making it easy for customers to find content they love, Netflix has been able to reduce churn, increase watch time, and drive subscriber growth.

5. Analytics and Reporting

Data-driven decision making is essential for optimizing enterprise e-commerce operations. Advanced analytics and reporting capabilities provide valuable insights into customer behavior, product performance, marketing effectiveness, and more.

The Power of E-Commerce Analytics

Consider these statistics:

E-commerce businesses that use analytics are 23 times more likely to acquire customers and 19 times more likely to be profitable. (McKinsey)
Personalized product recommendations driven by analytics can increase average order values by 26%. (Barilliance)
76% of executives say that using analytics has improved their ability to deliver a superior customer experience. (Econsultancy)

By leveraging real-time data insights, enterprises can continuously optimize the customer journey, improve marketing ROI, and drive profitable growth.

E-Commerce Metrics That Matter

To make the most of your e-commerce analytics, track these essential metrics:

Conversion rate: The percentage of visitors who make a purchase. Use this metric to identify and optimize underperforming pages and user flows.
Average order value (AOV): The average amount spent per transaction. Look for opportunities to increase AOV through bundling, cross-sells, and personalized recommendations.
Customer lifetime value (CLV): The total amount a customer is expected to spend over the course of their relationship with your brand. Use CLV to inform marketing spend and retention efforts.
Customer acquisition cost (CAC): The amount spent to acquire a new customer through various marketing channels. Monitor CAC to ensure sustainable growth and profitability.
Cart abandonment rate: The percentage of shoppers who add items to their cart but don‘t complete the purchase. Analyze abandonment drivers and implement tactics like exit-intent pop-ups and abandoned cart emails.

Analytics Best Practices

To build a data-driven e-commerce organization, consider these tips:

Implement a comprehensive analytics platform that can collect and unify data from all customer touchpoints, including web, mobile, email, and in-store interactions.
Establish clear KPIs and dashboards to monitor performance and identify opportunities for improvement. Make sure key stakeholders have access to the data they need to make informed decisions.
Use machine learning and predictive analytics to anticipate customer needs and optimize experiences in real-time. For example, you can use predictive models to forecast demand, personalize product recommendations, and proactively prevent churn.
Foster a culture of experimentation and continuous improvement. Encourage teams to use data to test hypotheses, measure results, and rapidly iterate based on insights.

Analytics in Action

Leading e-commerce brands are using advanced analytics to drive impressive results.

Fashion retailer ASOS, for instance, uses a combination of web analytics, machine learning, and customer data to optimize the user experience and drive sales. The company‘s analytics team runs hundreds of experiments each year, testing everything from site design and product placement to personalized recommendations and marketing messages.

By continuously iterating based on data, ASOS has been able to increase conversion rates by 50%, boost average order values by 5%, and improve customer retention by 10%. The company now generates over £2.7 billion in annual revenue, with analytics playing a key role in its success.

Conclusion

Enterprise e-commerce success requires a robust, flexible, and scalable platform that can handle the unique demands of large-scale online selling. By investing in key components like a PIM, OMS, CMS, CRM, and analytics, businesses can streamline operations, deliver exceptional customer experiences, and drive profitable growth.

But technology is just one piece of the puzzle. To truly thrive in the competitive world of e-commerce, enterprises must also foster a culture of innovation, experimentation, and customer-centricity. This means breaking down silos, empowering teams with data and insights, and continuously iterating based on customer feedback and market trends.

By combining the right technology with the right mindset and approach, enterprise businesses can not only survive but thrive in the fast-paced, ever-changing world of e-commerce.