WHAT’S UNIFIED COMMERCE AND WHY DOES IT MATTER?

Unified commerce: What you need to know.

Unify. Simplify. Succeed. Unified commerce is transforming modern businesses by merging sales channels, technology and operations into one frictionless system.

Curious why? Let’s break it down.

What is unified commerce?
Unified commerce is more than just connecting your online and offline channels; it’s about creating a single source of truth for your business. By centralizing systems like inventory, payments and customer data, it enables a truly unified customer experience that’s consistent, personalized and frictionless — meeting today’s consumer demand for flexibility to shop where, when and how they want.

So, what makes commercetools’ unified commerce solution so exceptional? It’s the fact that you can run B2B, B2C and D2C models on one backend, leveraging data across all channels.

And we are the ONLY platform that can offer this.
All consumers learned how to be great online shoppers during the pandemic. Now that people want to be in stores again they have that high expectation that was set when they were online shoppers and they’re carrying it over into the physical experience. They’re looking for a very similar, seamless customer experience — they don’t want to feel that separation anymore. We’ve talked about omnichannel for decades, but we’re only at the very beginning of unified, and it feels a little different this time.
Jen Jones

Chief Marketing Officer, commercetools

What are the core components of a unified commerce platform?

Unified commerce isn't just a strategy; it's built on a solid technological foundation that brings all your business operations into sync. At its heart, a unified commerce platform acts as the central nervous system for your business, ensuring data flows smoothly between channels and departments.

To achieve this, the right platform should include these key components:

  • Centralized data management: Unified commerce relies on a single source of truth for data, giving you real-time visibility into inventory, customer preferences and sales across every channel. This eliminates discrepancies and ensures accurate, up-to-date insights.

  • Unified payments: Today’s consumers expect consistent and flexible payment options, from mobile wallets to Buy Now, Pay Later services. A unified system ensures seamless payment processing across online, in-store and mobile platforms.

  • Flexible integrations: Many businesses rely on legacy systems that were not designed to meet the demands of modern commerce. Unified platforms with open architectures allow for easy integration of tools and systems, avoiding the need for complete overhauls.

  • Scalable architecture: As businesses grow, a unified commerce platform should evolve with them. Scalable systems ensure the technology can adapt to increasing complexity and demand.

These components create the backbone of a seamless, future-ready commerce strategy, enabling your business to connect all aspects of its operations effortlessly.

Top 4 benefits of unified commerce.

Unified commerce offers transformative benefits that go beyond customer satisfaction. Here are the top four ways it makes a tangible difference across multiple areas:

  1. Enhanced customer experience (CX): By integrating channels and systems, unified commerce provides a seamless shopping journey. Customers can transition effortlessly between online, in-store and mobile interactions, enjoying a consistent and personalized experience.

  2. Operational efficiency: Centralizing processes and automating tasks eliminates redundancies and manual errors. This saves time and reduces costs, allowing teams to focus on strategic initiatives.

  3. Data-driven decisions: Real-time data visibility enables businesses to make informed decisions quickly, from inventory management to marketing strategies, ensuring they can stay ahead of market trends.

  4. Future-Proofing: Unified systems are designed to evolve with changing consumer expectations and technological advancements, helping businesses stay competitive in a fast-moving market.

Unified is the ‘what.’ Composable commerce is the ‘how.’ At the end of the day, composable commerce enables you to deliver unified commerce because no matter how many different frontends you have, you can connect them all on a single backend.
MICHAEL SCHOLZ

VICE PRESIDENT OF PRODUCT AND CUSTOMER MARKETING, commercetools

How does unified commerce improve customer experience?

Customer expectations are higher than ever, and businesses that fail to meet them are left behind. Unified commerce creates a consistent and frictionless experience across all customer touchpoints, enhancing satisfaction and loyalty.

Here’s how unified commerce transforms customer interactions:

Seamless omnichannel shopping

Ensures that customers can browse, purchase and return items across channels without disruptions. Features like buying online and picking up in-store (BOPIS) or returning in-store for online purchases work flawlessly.

Personalized experiences

Centralized customer data allows businesses to tailor interactions, whether it’s offering product recommendations based on past purchases or providing targeted promotions.

Real-time consistency

Unified systems ensure that information like product availability, pricing and promotions is accurate and up-to-date across all channels, reducing frustration for customers.

How can unified commerce help reduce operational costs and increase efficiency?

Unified commerce eliminates operational inefficiencies by consolidating processes and enabling streamlined workflows. With centralized operations, tasks like inventory management and order processing become more efficient, reducing redundancies and improving accuracy. Automation plays a crucial role in reducing manual errors and freeing up staff for more strategic initiatives. 

Additionally, real-time data visibility allows businesses to optimize resource allocation by accurately forecasting demand, preventing overstocking or understocking and minimizing waste. These enhancements help businesses reduce costs while maintaining a scalable and efficient operation.

Our partnership with Target was table stakes in the beginning, and it wasn't easy to do two integrated linked programs. But, in the three years we've been in the partnership, we’ve linked 4 million members between Target Circle and our Ulta Beauty rewards programs, and those guests are spending two times more with Ulta.
KECIA STEELMAN

PRESIDENT & CHIEF OPERATING OFFICER, ULTA BEAUTY

What are the challenges of implementing a unified commerce approach?

Implementing a unified commerce strategy can bring about significant transformation for businesses, but it's not without its challenges. Adopting a unified approach requires overcoming integration hurdles, adapting company culture and ensuring the platform can scale with growth.

Here are some key challenges to consider when implementing unified commerce:

  • Integration complexities: Connecting legacy systems with modern commerce solutions can be difficult. Legacy platforms may not easily integrate with newer cloud-based systems, making it challenging to unify customer data, inventory management and payments. A composable commerce approach allows businesses to integrate modern technologies in phases, preserving existing systems while gradually adopting new tools for seamless operation.

  • Cultural shifts: Implementing a unified commerce strategy requires a shift in organizational mindset. Teams must embrace collaboration, data-driven decision-making and a customer-first approach. Proper training and leadership are essential to guiding employees through this cultural change and ensuring alignment across departments.

  • Scalability: As businesses grow and new sales channels emerge, their commerce platform needs to scale accordingly. Ensuring your platform can evolve with your business demands is critical. With a composable architecture, businesses can add new capabilities as needed without disrupting existing operations, ensuring they can handle future growth seamlessly.

With the right unified commerce platform (like commercetools), these challenges can be transformed into opportunities, helping businesses improve operational efficiency, enhance customer experiences and achieve sustainable growth.

Businesses that need unified commerce.

Who should implement a unified commerce strategy? Simple. Any business striving to deliver seamless, connected experiences across all customer touchpoints. The following industries, in particular, can significantly benefit:

  • Retailers looking to create a unified customer experience across online and offline channels.

  • Hospitality providers needing seamless booking and payment systems.

  • Brands moving toward a direct-to-consumer (D2C) approach.

  • B2B organizations looking to enable unified buyer experiences across online and offline channels.

Unified commerce is essential for retailers especially. It connects online and offline experiences, ensuring customers have a seamless journey no matter where they shop. With integrated systems for inventory, payments, and customer data, businesses can boost efficiency and make smarter decisions.

We see all these convenience elements as incredibly additive to connecting Sephora to consumers in their shopping moments and even their adjacent-to-shopping moments. We're very excited to continue on this journey of trying to reach out to shoppers where they are and connecting Sephora outside of our four walls.
AMBER TURLEY

VICE PRESIDENT, OMNI CONVENIENCE & COMMERCE, SEPHORA

How to implement unified commerce?

Implementing unified commerce requires strategic planning and the right tools. Transitioning from siloed systems to a unified approach is no small task, but the payoff is worth it.

Here’s a roadmap to get started:

  1. Assess your needs: Conduct an audit of your current systems to identify gaps and pain points. Are your data silos preventing visibility? Are your customers frustrated by inconsistent experiences?

  2. Choose the right technology: Opt for platforms that support flexibility and scalability. commercetools' composable commerce solutions allow businesses to customize their approach to unified commerce without being locked into rigid systems.

  3. Ensure team buy-in: Change management is crucial. Train your teams to embrace a unified commerce strategy and understand its benefits.

  4. Integrate systems: From point-of-sale (POS) systems to customer relationship management (CRM) tools, ensure all your technologies are seamlessly connected to enable a single source of truth.

  5. Monitor and optimize: Use real-time data to continuously refine and improve your operations, ensuring you’re always meeting evolving customer expectations.

With the right tools and a clear strategy, implementing unified commerce becomes a strategic advantage rather than a logistical challenge.

Unified commerce vs. omnichannel.

While both unified commerce and omnichannel commerce aim to provide seamless customer experiences across multiple touchpoints, the key difference lies in how they manage and integrate these channels.

Omnichannel commerce

Omnichannel focuses on creating a consistent experience across various sales and communication channels, such as in-store, online and mobile, but each channel may still operate independently. The goal is to ensure customers have a similar experience no matter how they interact with the brand. However, these channels often work in silos, meaning data and operations can be fragmented, making it harder to offer a truly integrated service.

Unified commerce

Unified commerce takes omnichannel to the next level. It centralizes sales channels, backend systems and customer data on one platform, ensuring consistent product information, pricing and inventory across all channels. At the same time, unified commerce empowers brands to tailor frontend experiences for each channel, delivering unique customer journeys that meet specific needs. By breaking down silos and enabling real-time data connections, businesses can offer both efficiency and personalized engagement while driving smarter decision-making.

Real-world examples.

Many leading brands are already reaping the benefits of unified commerce by streamlining their operations and delivering seamless customer experiences. These real-world examples showcase how businesses are embracing the power of integration to enhance both their backend operations and frontend customer journeys. Here’s how some top retailers are setting the bar for unified commerce success:

Business leaders need to think about business outcomes — and that’s what we solve for. Composability is what gives you the technical capability to be more successful and get you there better and faster.
MICHAEL SCHOLZ

VICE PRESIDENT OF PRODUCT AND CUSTOMER MARKETING, COMMERCETOOLS

Ready to unify and simplify?

The commercetools product portfolio provides the essential elements to create a commerce solution that’s future-ready so you can evolve your digital footprint without limits. Our composable approach empowers your team to experiment and innovate quickly, delivering the exceptional experiences your customers now expect.

commercetools Composable Commerce for B2B

Simplify complex buying processes, drive innovation and boost efficiency while future-proofing your operations.

commercetools Composable Commerce for B2C

Unleash flexibility, scalability and personalization to seamlessly integrate the best technologies to deliver standout shopping experiences.