It is a well-known fact that the ecommerce market revolves around consumer behavior. Consumer demands and constant introduction to new touchpoints have left monolithic ecommerce platforms in the past. API-driven ecommerce platforms are growing in popularity. Therefore, allowing organizations to make the necessary upgrades in their systems swiftly and without many hurdles in the way.
Gartner predicted that “by 2022, 10% of the organizations running digital commerce will build that into a platform business to transform into a digital business, and 60% of those will use an open ecosystem to scale the growth.” As we move into 2022, this prediction has proven true. APIs have quickly become one of the secret ingredients to the success of an ecommerce platform. Through those APIs, businesses receive real-time insights into their customers. Likewise, APIs help improve the shopping experience by creating custom, individual solutions for every visitor that easily adapt to retail trends.
Before diving into the definition of API-Driven Commerce, it is crucial to understand the concept of APIs.
API is the short form of the term Application Programming Interface. It consists of a set of rules, protocols, and routines that programs follow to communicate with one another.
Simpler said APIs provide an interface to interact with the program without understanding the logic and complexity of the code.
When it comes to ecommerce, APIs serve as the connecting line between the front end and back end of online business. API-driven ecommerce consists of a structure of different commerce functionalities, connected via different APIs. Common functionalities include cart, checkout, payment, and orders. APIs connect with different programs so that each can benefit from of the available functionalities without having to build it from scratch or even merge it with particular software. Almost every platform has common yet complicated functionalities working in the back end. Incorporating APIs in different platforms will reduce the redundancy of other resources and upgrade times.
How Do APIs Work?
Ecommerce platforms have to cater to multiple requests, responses, and logic at the same time. This makes the go to market process complicated. This is where APIs play a big role. They allow developers to update the website without interacting with the main logic while making the required changes. In addition, APIs disclose information about changes or updates to consumers.
In most cases, REST architecture creates APIs for ecommerce platforms. They utilize HTTP request methods to communicate with the main server and get access to the required information. This information is used by developers who need to integrate the APIs into the ecommerce platform.
Types of API-Driven Commerce Systems
There are two different types of API-Driven Commerce Systems. Each of these creates a different impact on the handling and orchestration of data in the back end, as well as the functionality of the APIs.
1. Commerce-First Model
In this type of model, the user’s front end follows a typical ecommerce platform approach. The APIs are all utilized in the back end to orchestrate data with the ERP, EMS, or any other similar system.
This makes the data management complicated and dependent on different functionalities such as the efficiency of implemented APIs and the total number of available calls for APIs.
2. Experience-First Model
The front end is completely separated from the ecommerce platform in experience-first models. The front end is implemented via platforms such as HubSpot or WordPress. They do not interact with the back end directly. Therefore, all systems are decoupled. Decoupling ensures the smooth performance and interaction of different systems via the APIs.
The main focus of an experience-first model is to implement the platform’s front end in such a way that changes can be made rapidly without creating any significant impact or a need for a change at the back end of the platform. This is a genuinely headless approach that has transformed the world of ecommerce businesses.
There are several benefits to using API-Driven ecommerce platforms.
Meet Customer Needs Better
APIs help understand the interactions that customers have with a website. It gives real-time data about the customers’ needs, desires, and biases. Companies that use the experience-first model in their ecommerce platforms can create front ends that are more likely to appeal to customers as they better understand what their customers want.
Hassle-Free Migrations, Hosting, and Maintenance
APIs make the migrations, hosting, and maintenance of an ecommerce website easy. Pick and choose the best functionalities of different programs, and with the APIs, implement them into your system without any aggravation. It allows you the freedom to create and optimize your business with APIs so you are able to customize it, based on your business’ needs.
Enhanced Reusability
APIs allow users to access the same functionality from different programs and merge them with their business. Eliminating the process of creating the same functionality multiple times saves time and money. The productivity of developers increases as they can work and focus on the core functionalities of the software.
Quick Deployment and Delivery
One of the best things about API-driven ecommerce platforms is that they are not only scalable. New business functionalities can be added to the system at any given point in time. As a result, the development teams can quickly assemble a new platform feature and accelerate it into production.
How to Get Started
When entering into the world of ecommerce, it is vital to understand that the industry has become very dynamic and customer centric. Therefore, it is necessary to create a platform that lives up to the market demands and provides quick solutions for customer needs and demands. In light of this aspect, it is clear that commerce platforms have reaped the benefits of APIs.
Keeping in mind the need to rapidly develop and update systems, UpStart Commerce offers a headless and API-driven ecosystem to its customers. We help organizations build, integrate, or shift business platforms to an environment that makes the system scalable while accommodating their needs. Start your free trial today!
