Unified Commerce is the integration of all retail channels, from in-store to online, into a single platform. By breaking down silos and enabling real-time synchronization of inventory, customer data, and sales, unified commerce offers a superior experience for both retailers and consumers. Yet, despite its clear advantages, many retailers have yet to truly make the leap.
What’s stopping them? Below, we explore five key barriers to adoption and why these objections can (and should) be overcome.
1. Misconception: “We Already Have Unified Commerce”
Many retailers believe they’ve implemented unified commerce because they’ve connected their POS and eCommerce systems using middleware or APIs. Or by using a built-in integration. This is not the same as having a truly unified commerce system. And, for complex, growing operations, the cracks will soon start to show.
- The Problem: Middleware solutions create fragmented systems that only synchronize data at intervals, leading to delays and inconsistencies. These systems often require manual intervention to reconcile inventory and sales data.
- The Risk: Retailers may experience inaccurate stock counts, delays in customer service, and operational inefficiencies, all while believing their system is optimized.
The Single Source of Truth – The True Retail Gold Standard
Unified commerce is about creating a single source of truth— where inventory, accounting, CRM and marketing information is managed within a centralized system in real time. Platforms like Zoku, built on NetSuite, ensure data accuracy across all operations without the need for middleware. Understanding this distinction is key to truly unified commerce and to achieving retail 2.0.
2. Loyalty to Legacy Software: “If It’s Not Broken, Why Fix It?”
It’s understandable that retailers are reluctant to replace legacy systems, particularly when a platform is familiar to users and has “got them this far”. Many retailers rely on legacy systems that have served them well for years. These systems are often deeply embedded into their operations, making them reluctant to switch. Even if these platforms are not designed to handle the complexities of modern, omnichannel retail.
In fact, it’s not always clear to a retailer that they are being limited by technology infrastructure. It’s also difficult to identify systems out of a sense of loyalty or the belief that, since they “work,” there’s no need to upgrade. This mindset can stem from significant past investments in software, training, and IT infrastructure.
- The Problem
- Legacy systems are siloed, creating data inconsistencies across sales channels and operational inefficiencies.
- While these systems may still function, they often require excessive IT support and customization to meet today’s demands.
- The Risk
- Businesses miss opportunities to enhance efficiency, improve customer experiences, and compete effectively in a fast-changing retail landscape.
- Retailers may face increased costs, errors, and delays as they attempt to manually reconcile data between systems.
Expense Vs Investment
The cost of maintaining dated tech often outweighs the benefits of upgrading. Unified commerce systems streamline processes, reduce IT overhead, and provide actionable data insights, ultimately delivering a higher return on investment. Retailers can position the upgrade as an investment in future growth rather than an unnecessary expense.
3. Fear of Operational Disruption
Retailers often avoid making big changes to their technology stack out of fear that the transition will disrupt day-to-day operations. For businesses with tight margins and busy peak seasons, even brief downtime can feel like a risk not worth taking.
- The Problem: Implementation concerns, such as training employees on new systems or migrating data, can seem daunting.
- The Risk: Delaying the switch perpetuates inefficiencies and missed opportunities for growth.
Switching Not Ditching
Modern unified commerce platforms are designed with scalability and user-friendliness in mind. Vendors often offer robust support, including training programs and staged rollouts to minimize disruption. For example, Zoku Engage allows retailers to maintain operational continuity while transitioning to new systems, ensuring both staff and customers experience minimal interruptions.
4. Misunderstanding the Value of Unified Commerce
It’s common for retailers to not fully understand the benefits of unified commerce. It’s understandable to see tech upgrades as luxury that do not address their most pressing issues. Staffing issues, supplier payment This can stem from a lack of awareness about how much inefficiency is baked into their current processes.
- The Problem: Retailers may not recognize the value of real-time synchronization, integrated inventory, and seamless customer experiences.
- The Risk: Businesses operating on siloed systems risk falling behind competitors who leverage unified commerce to enhance agility and customer satisfaction.
Why This Objection Can Be Overcome
In the end, the proof is there to be seen. Case studies like Mercato, which reduced inventory holding by 27% and increased efficiency by integrating retail and F&B operations, demonstrate the tangible impact unified commerce can have on profitability and customer engagement.
5. Cost Perception: “It’s Too Expensive”
For many retailers, the upfront cost of transitioning to a unified commerce platform feels prohibitive, particularly for small and medium-sized businesses.
- The Problem: Retailers focus on the initial expense without fully considering the long-term savings and revenue opportunities.
- The Risk: Businesses may incur hidden costs from inefficiencies, IT support, and lost sales opportunities by sticking to outdated systems.
Fast Measurable ROI – Turning Cost Into a No-Brainer Investment
Unified commerce platforms deliver significant ROI through operational efficiency, reduced labor costs, and improved customer retention. Flexible pricing models, like those offered by Zoku, make these platforms accessible to businesses of all sizes. Retailers need to evaluate costs in terms of long-term benefits, not just short-term expenses.
Unified Commerce: The Next Step for Retail
Despite these barriers, unified commerce is the future of retail. Retailers who adopt it gain:
- Agility: Real-time data synchronization allows quick responses to market changes.
- Efficiency: Streamlined operations reduce costs and eliminate manual workarounds.
- Customer Loyalty: Seamless, personalized experiences build lasting relationships.
The hesitations holding retailers back—misconceptions, legacy systems, fear of disruption, misunderstanding the value, and cost concerns—are all solvable. The key is understanding that unified commerce is more than an upgrade; it’s a transformation.
Retail 2.0 is here. The question isn’t whether to adopt unified commerce—it’s when. And for retailers ready to make the leap, the rewards are undeniable.