EDI and the Holiday Season

Nov 21, 2022

The holiday season for 2022 is going to be huge. The National Retail Federation estimates that sales will be about $950 billion. That number includes everything from retail giants, like Costco and Walmart, to small businesses. Let us look at how EDI helps businesses keep goods flowing throughout the holiday season.

Large retailers rely on EDI

Many retailers rely on EDI to deliver hot items during the holidays. They need to get just the right number of items in stock, get those deliveries on time, and make sure that they do not order too many items that they would have to place on clearance after the holidays. EDI allows big retailers like Walmart to order things within minutes instead of hours. Out-of-stocks can be remediated via EDI overnight, so needed items are available the next day. Most large retailers require their vendors to use EDI for this very reason. 

EDI helps with customer satisfaction

It can be critical for a small business to retain their loyal customer base, especially during the holidays. If a small local retailer sells out of something, they might lose that customer to a big retailer. Not only does EDI make it so that small retailers can get the goods ordered that they need on time; they can also pay their supplier quickly. Additionally, if a small business is a vendor for a larger retailer, this helps the small business receive funds quickly. 

Supply chain management during the holidays

EDI integration is a way for businesses to stay ahead of demand during the holiday season. In August of 2022, 11% of American retailers anticipated dealing with shortages in Q4. 16.1% of all supply chain disruptions happen with the distribution and delivery of goods to consignees. This means that a shipment of goods is not getting to a retailer on time. Businesses that use EDI who place an order will get to the top of the supplier list because EDI happens within minutes. 

Why time is of the essence during the holidays

There are many benefits to EDI, such as costs for your business. However, the biggest benefit of EDI is time. Your business cycle is sped up by as much as 60% if you are using EDI. Manual processing of orders can take a minimum of two business days, longer depending upon the responsiveness of your supplier. When you use EDI, your system will place an order or other electronic document in the hands of a retailer within minutes. Your goods will be on the truck, coming to your store. 

How has Integration, Inc. revolutionized EDI? 

Integration, Inc. has been doing EDI integration for businesses since the early 1990s. We work with some of the giant retailers that are out there. But we also service small businesses better than anyone else in the industry. We help connect your business with the large companies that you want to work with, so you can keep up with the holiday demand.

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