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WHITEPAPER

API-led Commerce
Drives Next-Gen Digital
Experiences
How APIs Enable the
Seamless Integration of
Content and Commerce
Executive Summary
Brands and merchandisers need to deliver
inspiring digital experiences across multiple
touchpoints to be successful in today’s fast-
paced world of commerce. Engaging customers
wherever they are is a key revenue driver. To APIs (Application Programming
quickly respond to customers’ needs and stay Interfaces) make the world go round.
ahead of the competition, organizations need Regardless if you issue an order
a flexible software infrastructure. in a webshop, make a reservation
at your favorite restaurant or pay
Instead of using an integrated software suite,
an invoice online, the chances are
retailers gain agility by following a best-of-
that you are encountering several
breed strategy and connecting multiple
APIs. In most of today’s digital
applications via flexible APIs. These interfaces
interactions, APIs are serving in the
exchange information in the background and
background. In other words, they
expose their data to third-party applications.
have emerged as the foundational
currency for the web.
The BloomReach Digital Experience
Platform supports brands and retailers
in delivering inspiring digital experiences
to their customers. In combination with
the commercetools platform, commerce
functionalities can be easily injected,
creating a seamless integration of content
and commerce elements.

API-LED COMMERCE DRIVES NEXT-GEN DIGITAL EXPERIENCES 2


Website PriceAPI

What is an API?
What exactly is an API? Generally speaking, it to its visitors, and as long as the contract is
is a contract between different applications, active, this relationship works perfectly.
governing how they exchange data as well
as how those data are structured. If two And here comes the really interesting bit:
communication partners agree on a set of it is not only a website that can consume
rules, information can run freely between this data - but also a mobile app, a chatbot
them. application, or an IoT device. In other words,
the data and its structure are completely
So, for example, if PriceAPI has agreed on separated from the way in which they are
returning the current price for a specific represented. They can be rendered as pixels
product, a commerce website (the second on a website, as lines in a messaging app - or
communication partner) can request this even as voice output. In an API-driven world,
information, knowing that content and user interfaces can be as diverse and fancy
format have been defined in the contract. It as they want - the API in the background is
is important to note here that what matters always unimpressed, receiving requests and
to the commerce website is that there is pushing out information to wherever, and by
something behind the PriceAPI, offering whomever, it is needed.
the functionality or data promised by it.
What is not essential is the way in which You can imagine that this underlying principle
this API gathers this information and which can give rise to a broad range of applications,
technology it is using in the background. especially with regard to online retail and the
unique challenges of brands and retailers
In this example, the website consumes the today.
services of PriceAPI to be able to present these

API-LED COMMERCE DRIVES NEXT-GEN DIGITAL EXPERIENCES 3


Why Are APIs Relevant in Commerce?
Consumers spend a lot of their time on iMessage apps), and so on are now the primary
mobile devices, tablets, wearables and even means of communicating with brands. Gone
with “smart” devices like internet-connected are the days when the only way to interact
refrigerators. According to Forrester, by 2021, with an organization is through a browser-
24% of online retail sales will be completed based website on a desktop computer -
on mobile devices1. Social networks, wearable which according to Statcounter2, now only
devices, chatbots (e.g. via Facebook accounts for 42% of all web traffic. We have
Messenger), voice devices (such as Amazon indeed entered what is usually referred to as
Echo, Google Home), smaller embedded the Post-Webshop era.
“micro” applications on mobile devices (e.g.

Internet Usage Worldwide


October 2009 - October 2016 Desktop Mobile & Tablet

100%

90%
Desktop
80%
48.7%
70%

60%

50%

40%

30% Mobile & Tablet


20% 51.3%
10%

0%
Oct 2009 Oct 2010 Oct 2011 Oct 2012 Oct 2013 Oct 2014 Oct 2015 Oct 2016

API-LED COMMERCE DRIVES NEXT-GEN DIGITAL EXPERIENCES 4


Enabling New Touchpoints API-first Commerce Platform
All these new devices and channels need to To account for this, the commercetools
be able to receive and send data so that they platform is strictly adhering to API-first
can be used in a commerce context. And this is principles. This cloud-based technology
where the true potential of APIs lies. keeps background logic and data separate
from the presentation layer so that brands
We saw earlier that in APIs, functionality and merchants can use the flexible commerce
and data are decoupled from how they are APIs in a broad range of scenarios. Via a
used and presented by the application. browser-based management interface, called
This means that an unlimited amount of the Merchant Center, retailers can edit even
completely different applications can access the most complex catalog data via the built-
the same API and use its information in in Product Information Management (PIM)
entirely new environments. The PriceAPI system and make use of a powerful discount
could be consumed by mobile shopping logic. They also have access to an integrated
apps, electronic shelf displays or devices Order Management System (OMS) and can
we don’t even know about yet. If a retailer view the customer data that are stored in the
wanted to create a chatbot which presents database. Being a cloud-native solution, the
prices for specific products, he could use the platform can scale automatically, making sure
existing PriceAPI and only build the customer- that even during high traffic peaks such as
facing chat-bot app that consumes its data. during the Black Friday or the Cyber Monday,
Similarly, a Pinterest integration which would applications stay fast and safe.
display product prices in “buyable pins” also
talks to the exact same API. In other words,
the API only has to exist once, but there can
be quite a lot of consumers. Not having to
develop the entire pricing logic for every new
touchpoint is a huge time-saver, speeding up
time-to-market, which is arguably the most
critical competitive differentiator in today’s
digital revolution.

API-LED COMMERCE DRIVES NEXT-GEN DIGITAL EXPERIENCES 5


APIs Empower Best-of-Breed Strategies
However, commerce is not only product data, And Forrester Research even goes as far as
price and stock information. Increasingly, heralding the end of unwieldy suites:
customers are looking for inspiring shopping
experiences which combine commerce
elements with editorial content. Images,
videos, and entertaining copy add to Software vendors will refactor their
this experience and let brands build an ancient architectures or be left
emotional connection with their customers. behind. The old world of closed,
When it comes to building out content-rich proprietary stacks is dead software
digital experiences, there are two generic walking. In the age of the customer,
approaches you could take: Either the “suite” where business responsiveness
or the “best of breed” approach. trumps technology coherence and
the cycle times of improvement are
Complex software suites have been around measured in days, not years, [...]”3
in commerce for quite some time. Their aim
is to put everything a retailer might need
into one big block of software, containing a
The best-of-breed approach is, by design, way
ton of features both from the commerce and
more flexible and makes full use of the benefits
the DXP realms, often flavoured with CRM
of an API approach. In such a solution, the
functionalities as well. However, there are
goal is to combine (many) different solutions
some challenges to this approach. First of all,
into one giant environment that completely
the features provided might not match the
covers the needs of the organization.
(digital) maturity of your organization. This
could lead to features being used the wrong
way or not being used at all. In addition, you
lose some of the flexibility, mostly because
suites are not easy to integrate with third-
party solutions.

API-LED COMMERCE DRIVES NEXT-GEN DIGITAL EXPERIENCES 6


VS

Not only does this give you a much more networks and a visual interface to let
budget-friendly alternative, it also enables marketers build attractive user interfaces
you to be flexible with your priorities. This and shape the experience. All the required
is where understanding your current level of product data as well as the checkout process
digital maturity becomes critically important. are then integrated via the API of a commerce
As your organization matures, requirements platform, such as commercetools. Following
might very well change. It might even be this best-of-breed approach, every application
that one of the new technologies might be fulfills the specialized functions in its domain,
invaluable for you and your business. Rather instead of having a fully-integrated solution
than having to wait for the supplier of the and the “jack-of-all-trades-master-of-none”
suite (and the following upgrade), the best-of- approach.
breed approach (and architecture) allows you
to quickly innovate by adding new services In the following paragraphs, you will learn
and applications to the mix. how an integration of a commerce platform
and a DXP solution can be done in practice.
This is where modern DXP platforms such as
BloomReach come into play: They typically
provide editor workflows, content delivery

API-LED COMMERCE DRIVES NEXT-GEN DIGITAL EXPERIENCES 7


Building next generation digital
commerce experiences
So far, we have primarily discussed the
benefits of APIs and why you should consider
using an API-based approach to digital
commerce. Now, let’s take a look at how
you can leverage these APIs to build a next- DXP
generation digital commerce experience.

WCMS vs DXP
Most people will be familiar with a Web
Content Management System (WCMS). WCMS
WCMS systems have long been the only
answer when it comes to managing digital
experiences, but with the introduction of
Digital Experience Platforms (DXP) there connected experience where every interaction
is a new way to build out great customer a customer has with any touchpoint is fed
experiences. back to optimize the next interaction. Not
only focusing on the interactions that lead to
As the terminology states, these DXP acquisition, but also on every touchpoint that
platforms aren’t just for content and aren’t just helps maintain customer satisfaction such
for the web, but are used to share any type of as service portals and helpdesks. And this
asset, or group of assets, across any digital optimization is increasingly reliant on AI and
touchpoint - online, in-store, billboard, kiosks, machine learning technologies - either built
customer portals, e-commerce systems, and natively into the DXP or through integrations,
more. leveraging the power of APIs.

The shift towards DXP is twofold. It is first At the heart of the DXP is the ability to
driven by the natural evolution of technology integrate with third party systems. In many
becoming increasingly agile and able to modern digital experience architectures, the
handle more complex tasks. Secondly, DXP will be used as an API orchestration and
DXP comes from the push towards a fully aggregation layer.

API-LED COMMERCE DRIVES NEXT-GEN DIGITAL EXPERIENCES 8


Full Multi-Channel Commerce
The benefit of using a proper DXP becomes do you have to deal with currently widely
really clear when you are using the platform accepted touchpoints like in-store displays,
to power all your commerce experiences. The you also have to start thinking about more
importance of having a connected customer conversational experiences like Alexa or
experience using multiple (digital) touchpoints Google Home.
increases every day. For example, not only

Product |

BUY
NOW

API-LED COMMERCE DRIVES NEXT-GEN DIGITAL EXPERIENCES 9


There are typically two main challenges when In order to empower your marketing team, it
building a full multi-channel experience: makes sense to separate the transactional
side from the experience site. This is where
Time To Market the DXP comes in and the value of APIs
Time to market is always a challenge, becomes really clear.
especially for marketers who want to be able
to build out amazing customer experiences By leveraging the power APIs, the DXP
and respond to customer demands as quickly can serve as a much more agile marketing
as possible. Luckily, it is a challenge that can platform, allowing for rapid innovation and
be solved. increasing time to market immensely.

In general, e-commerce suites are not the Consistency


fastest when it comes to time to market. Keeping the customer experience consistent
Which makes sense, considering that it is on all channels requires a platform that has
the core system that handles transactions. true multi-channel support. Consistency can
Not only does this mean that new feature be seen as a combination of the following
requests by marketing need to fit in the things:
queue of IT work to be done, it also requires a • Content
very detailed QA process whenever changes • Code
are made. • Presentation (Look and Feel)

Rapid Innovation Agile

DXP (Marketing
1.0 1.1 1.2 1.3 1.4 2.0
Platform)

APIs

E-Commerce
1.0 1.1
Platform

Time

API-LED COMMERCE DRIVES NEXT-GEN DIGITAL EXPERIENCES 10


Presentation
Content Code

Digital Experience Platform

Content Presentation
Keeping content consistent in all the It is very important to keep the customer
different touchpoints requires a platform that experience consistent in look and feel. This is
separates the actual content from the look another reason why the separation of content
and feel. This means that an approach where in a presentation-neutral format is helpful, as
content is stored in a presentation-neutral editors will generally not be able to severely
format is desirable, because that allows the impact the look and feel of the channels, as
content to be transformed to any output the templating will be done by the platform.
format using the presentation layer.
It is to facilitate this kind of multi-level
Code efficiency that the BloomReach Digital
The business logic that is executed will have Experience Platform has been designed
to be shared between the touchpoints as to deliver a personalized multi-channel
well. Not only because this will lower the customer experience to all visitors. It has a
initial investment and helps with the ROI, modular approach to building pages, allowing
but also because it helps to keep the quality your marketers to build consistent digital
of the overall platform high. Once code is experiences without any IT involvement.
tested and approved, any touchpoint that
uses it will have this new feature. When done
properly, this could also help with increasing
the time to market by enabling the reuse of
development effort on new touchpoints.

API-LED COMMERCE DRIVES NEXT-GEN DIGITAL EXPERIENCES 11


Example: Home Oasis
Let’s take a look at an example to make this a bit more tangible. The Home Oasis demo site is
a great example where the power of content and commerce come together in a site built on the
BloomReach Digital Experience Platform.

API-LED COMMERCE DRIVES NEXT-GEN DIGITAL EXPERIENCES 12


Reusable Modularity
As mentioned, the platform
uses a component-based
approach to building the
site. Think of it like different
(reusable) building blocks that
your marketing team can use
to build pages.

These building blocks can


be created from scratch or
selected from the extensive
library of pre-built components.

As you can see in the picture


on the left, components can
be configured individually. In
this case to query different
products. You can configure
the amount of products to
show, and even personalize
this, using the BloomReach
Experience Relevance Engine.

What makes the BloomReach


Digital Experience Platform
unique, however, is the ability
to use different backend
systems in a seamless way.
This is where the best of breed
approach really shines.

API-LED COMMERCE DRIVES NEXT-GEN DIGITAL EXPERIENCES 13


Let’s take a look at a some of the typical pages in an e-commerce site:

Home Page
This is where you typically have a combination of content and commerce elements. In our Home
Oasis demo we have several banners and a product grid of products that are on sale or that
match the campaign we are currently running.

API-LED COMMERCE DRIVES NEXT-GEN DIGITAL EXPERIENCES 14


Category Page(s)
Obviously, a very crucial
page in e-commerce sites.
A listing of products and
some filters to help the
user navigate the site.

Product Detail Page(s)


The product detail
page will display all the
attributes of products and
images. Another key part
of the page is the Add to
Cart button, where users
can add items to their cart
and continue through the
funnel.

API-LED COMMERCE DRIVES NEXT-GEN DIGITAL EXPERIENCES 15


Best of Breed: API driven Commerce

Home Category Detail

API API API

BloomReach BloomReach
Commerce Tools
Experience Personalization

The idea is that in the different pages different APIs are used. In the diagram above, the usage
of some of the APIs is labeled. So, by default, the API that is used to supply the products to the
product grids could be the commercetools platform. The data themselves are maintained via the
built-in commercetools PIM.

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A part of the BloomReach product suite is What makes the Experience-as-a-Service
the Personalization product line. BloomReach approach so radically different, is that you
Personalization provides, through our powerful can work inside the Digital Experience
machine learning algorithms, a great way to Platform like, leveraging the benefits of the
provide personalized products based on the full WYSIWYG (What You See Is What You
user’s browsing behavior. Get) interface.

Because everything is based on APIs you could


just switch to a different the provider for the
category listing, while keeping everything else
intact. This enables you to rapidly innovate
and optimize the experience.

Flexible Delivery
Finally, the API approach allows you to be
flexible when it comes to the delivery of
experiences as well. The BloomReach Digital
Experience Platform enables your marketing
team to control any type of experience,
through the Experience-as-a-Service API. You
might have heard of Content-as-a-Service,
which is typically a way to share content
between different sites and devices. While the
principle of Content-as-a-Service is definitely
valuable (and supported by the platform), the
biggest drawback is that it does not allow
for a lot of control of the actual experience,
unless investments are made to make this
possible. In most cases however, it still is a
very disconnected and abstract approach.
Especially for marketers, who are used to a
very visual approach.

API-LED COMMERCE DRIVES NEXT-GEN DIGITAL EXPERIENCES 17


The diagram below shows the different
options that are available in the BloomReach
Experience platform.

Option 2:
Experience as a Service
Option 3:
Full site delivery

Option 1: RID
HYB
Content as a Service HT
M
L
h Delivery
mReac Tie
lo o r
B
Content
Reach Re
N

om po
JSO

o s
Bl

ito
ry

Option 1: Content-as-a-Service All these things combined make the


Allows the retrieval of content from the BloomReach Digital Experience Platform
database in a structured format. Usually extremely well suited to be integrated into
mobile applications or external sites. any (existing) ecosystem, because flexibility
is crucial in today’s day and age, especially
Option 2: Experience-as-a-Service when you are facing challenges around
Allows the page to be built in a full WYSIWYG delivering a consistent, meaningful customer
approach, but the delivery can be done in both experience. Integrating new technology
a structured format, for mobile applications or new digital touchpoints is as easy as
or things like a Single Page Application, or in leveraging the existing APIs.
HTML fragments for inclusion in existing sites.

Option 3: Full site delivery


This is the most straightforward approach
where the full site is handled by the platform.

API-LED COMMERCE DRIVES NEXT-GEN DIGITAL EXPERIENCES 18


Recap and Outlook
If they want to stay attractive in today’s fast- as photos, video and copy. They focus on
paced commerce, brands and retailers need delivering their brand message across all
to make sure to provide the best shopping their chosen touchpoints. The commercetools
experiences possible. They should focus on platform then takes care of the product
being part of their customers’ everyday lives and transactional aspects of this site:
in order to remain relevant - be it via their own product information, which is maintained
webstore, mobile app or any other device out via the built-in PIM can be easily injected
there. In this scenario, APIs are the glue which into the Experience Platform. The same is
hold everything together. They enable fast possible for the checkout process, including
communication between different software payment and fulfillment. Both Bloomreach
applications as well as hardware devices and and commercetools have corresponding APIs
make sure that information can travel freely. which exchange data in the background and
are the basis for seamless experiences.
For merchants, this is good news: as long as
the applications they are using are equipped It is hard to tell how, in five or ten years
with well-documented APIs, they can mix from now, people will discover services and
and match several applications to mirror products and purchase them. With APIs,
exactly what their business model requires. however, brands and merchants are on
Instead of relying on one, monolithic piece the safe side. As long as they expose their
of software which offers everything out-of- content elements and their commerce data
the-box, they are free to use a best-of-breed to the outside world via APIs, these stay
approach, choosing specialized software and usable, regardless of which context. People
use it exactly as they see fit. might be fitted with subcutaneous mind-
reading devices in the future - but an API will
Using the BloomReach Digital Experience always listen on the other end.
Platform in combination with the
commercetools platform is a tangible example
of this approach. Shop-owners build inspiring
shopping experiences with Bloomreach, using
a broad spectrum of content elements such

API-LED COMMERCE DRIVES NEXT-GEN DIGITAL EXPERIENCES 19


About BloomReach
BloomReach brings businesses the first open and intelligent
Digital Experience Platform (DXP). BloomReach DXP drives
customer experience to accelerate the path to conversion,
increase revenue, and generate customer loyalty.

With applications for content management, site search, page


management, SEO optimization and role-based analytics,
BloomReach is a central location for all players who manage
customer experience to come together and intelligently
drive business outcomes. BloomReach’s Web Relevance
Engine (WRE) algorithmically understands content and users,
matching demand and intent data from across the web.
BloomReach is a Leader in the Gartner Magic Quadrant for
WCM, with tools to unlock the powerful creativity of humans to
improve omnichannel customer experiences at scale. Together,
human and machine generate millions of dollars of proven
incremental sales.

BloomReach’s portfolio of customers include: Neiman Marcus,


Staples, REI, Mailchimp, and Air Miles. Created in 2009,
BloomReach is headquartered in Mountain View, CA with
offices worldwide and is backed by investment firms Bain
Capital Ventures, Battery Ventures, NEA, Salesforce Ventures,
and Lightspeed Ventures. Learn more: www.bloomreach.com

API-LED COMMERCE DRIVES NEXT-GEN DIGITAL EXPERIENCES 20


About commercetools
commercetools is a next generation software technology
company that offers a true cloud commerce platform, providing
the building blocks for the post webshop era. We combine
the reliability and stability enterprise businesses need to
thrive with the agility, flexibility, and speed that is essential
for success in the digital industry. Our leading-edge API
approach helps retailers create brand value by empowering
commerce teams to design unique and engaging digital
commerce experiences everywhere – today and in the future.
Our agile, componentized architecture improves profitability
by significantly reducing development time and resources
required to migrate to modern commerce technology and
meet new customer demands.

With offices in Germany and the United States, B2C and


B2B companies from across the globe - including well-known
brands such as Bulls (ZEG), Carhartt WIP, and Cimpress - trust
commercetools to power their digital commerce business
and make all touchpoints shoppable, including voice and IoT
devices, chatbots, and social networks.

Resources
[1] The Top Retail Technologies To Watch In 2017, Forrester, by Brendan Witcher et al, 8 Mar 2017

[2] http://gs.statcounter.com/platform-market-share/desktop-mobile-tablet/worldwide/#monthly-200901-201709

[3] Make The Cloud A Foundation Of Your Digital Experience Platform Strategy. Push Vendors And Service Providers
To Describe Benefits, Not Cloud Marketing-Speak, August 7, 2015 | Updated August 20, 2015. Ted Schadler, Mark
Grannan et al

API-LED COMMERCE DRIVES NEXT-GEN DIGITAL EXPERIENCES 21

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