APIs and EDI Messaging— the Glue of the Digital Economy

The last year has seen the acceleration of e-commerce and the belief that we do not expect the in-store or terrestrial shopping experience to go back to the way it was in 2019. Regardless, e-commerce has grown much faster than expected and e-commerce globally will grow from an estimated $5 trillion sales this year to a projected $6.4 trillion in 2024.

In many ways, the e-commerce space is the story of the API economy. The integration of systems for content, catalogs, Martech, CRM, e-commerce platforms and so many other systems are paramount for hitting the $5 trillion target this year and in the future. The main purpose of all the integrations is to provide the greatest customer experience, one that puts the best product(s), at the right price, at the right time, for the customer to purchase.

Now, why bring all this up at a company like SmartKargo? Easy, in the logistics part of the e-commerce customer experience, it’s no different – API and EDI are paramount. And they are just as important to the customer experience and the brand promise to the customer. A logistics solution to a logistics e-commerce solution must connect airlines, warehouses, ground crews, freight forwarders, delivery vehicles, and of course, customers. All of these connections need to utilize EDI or APIs and must integrate into an easy-to-use platform for fast and flexible implementation and adaptability.

Does it matter if they are integrated? You know the answer, of course, it does. The integration provides real-time information to your partners, employees, regulatory bodies, and most importantly your customers. Our partner, Azul airlines, has implemented our solution in conjunction with their overall strategic focus. With their attention on building a long-term cargo solution focused on the high growth e-commerce market, they were able to increase revenue by 65.9% year over year.1 This helped in adding significant revenue to their top line, even with the pandemic. Azul is a disruptor in the Brazilian market and is now one of the biggest e-commerce logistics companies in Latin America. And the integrations empower an airline with the capabilities to expand their business and disrupt their normal course of business—with little upfront investment.

The interoperability of the e-commerce ecosystem is made possible by EDI and APIs. They are often the unsung components, but with an overriding need. These integrations make it possible to message within your full ecosystem, your partners all along the chain to drive revenue. The real-time insights that the end customer now expects are only made possible with an integrated system, which makes all e-commerce possible and the end customer happy.