When your brand gains momentum, you begin to trade with larger retailers. And once you figure out what is involved with EDI, you’ll need to decide if you should outsource your EDI or manage it yourself.
First, you need to understand that if you want to do business with large trading partners, an overwhelming majority of them will demand that you have EDI capabilities. Outsourcing EDI is a solution that lets you be confident that you are staying compliant with their standards and can free you up to focus on building your business. Transaction details are just that — details — and when you outsource EDI to a provider that is a good fit for you, the most important thing you gain is peace of mind.
That’s because handling EDI in-house is a daunting task. After all, you launched your brand because you had a specific expertise or an entrepreneurial bent. It’s impossible to imagine anyone working to create a product and market it effectively because they are very interested in managing EDI transactions.
If you’re trading with major retailers, EDI will be a requirement. What’s more, you need to handle it correctly. Mistakes can be costly, resulting in chargebacks that will cut into your margins and frustrate everyone. Good relationships with your retail trading partners are, of course, essential to your business, and errors in your EDI transactions will be damaging.
At first, many companies will try to manage EDI on their own. And if your business is limited to only a few transactions each month, that may be manageable. But let’s look at reasons why you should consider outsourcing EDI.