Today's shoppers demand flexibility—they want to browse, buy, and receive products seamlessly across digital and physical channels, often combining multiple touchpoints in a single purchase journey.
While omnichannel commerce paved the way, unified commerce has emerged as a more comprehensive solution. But what's the difference between these two strategies, and why are more retailers moving toward unification? This guide will help you understand both approaches and what it takes to level up your retail operations.
What is omnichannel commerce?
Omnichannel commerce focuses on creating consistent customer experiences across multiple sales channels. While shoppers can move smoothly between social media, online stores, and physical locations, these experiences are typically connected through separate systems that share customer data via integrations. This allows for personalized experiences at each touchpoint, but the underlying systems remain fragmented.
What is unified commerce?
Unified commerce takes retail integration further by connecting both customer-facing channels and backend operations through a single platform. Unlike omnichannel's focus on customer touchpoints alone, unified commerce creates a true single source of truth for all retail operations—where your ecommerce platform, point-of-sale system, inventory management, order fulfillment, and customer data work as one unified system.
This unified approach eliminates data silos and provides retailers with a comprehensive view of their business. By integrating all retail operations into one platform, you can access accurate, real-time data across your operation, leading to better decision-making and an even more seamless customer experience.
Key differences between unified commerce vs. omnichannel
Difference | Omnichannel commerce | Unified commerce |
---|---|---|
System architecture | Multiple systems connected through front-end integrations | Single platform with native integration of all systems |
Technology infrastructure | Separate systems for ecommerce platform, POS, inventory, etc. | One commerce operating system for all retail operations |
Data management | Data syncs between separate systems with potential delays or conflicts | Real-time data flows from a single source of truth |
Customer experience | Consistent across channels through connected touchpoints | Seamless across channels with real-time inventory and customer data |
Business operations | Separate management of different operational areas | Centralized control of all retail operations |
Scalability | Limited by integration capabilities and system compatibility | Flexible scaling with unified platform capabilities |
Cost structure | Multiple subscriptions and integration costs | Single platform investment with unified pricing |
Analytics & reporting | Fragmented data requiring manual consolidation | Comprehensive, real-time insights across all operations |
Operational cost and efficiency
The true power of unified commerce lies in its ability to streamline operations and reduce costs. Traditional omnichannel approaches often require multiple systems, complex integrations, and extensive maintenance—all of which impact your bottom line.
Take Oak + Fort, for example. By unifying their commerce operations, they transformed a three-step order management process into a single action. "This change has reduced 50 hours/week in headquartered staff time, 40 hours/week with customer experience teams, and 10 hours/week from IT support," says Jennifer Pearson, head of technology and ecommerce. "Across our 42 retail locations, we're also saving 80 hours/week of shop floor employee time."
This operational efficiency extends beyond time savings. When Frank And Oak migrated to a unified commerce platform, they eliminated the challenges of managing separate systems for inventory, sales, and customer data.
"We go through constant inventory fluctuations and shifting demands," explains Guillaume Jaillet, chief omnichannel officer. "It was hard to reliably and accurately represent which stores had certain items in stock to our digital customers when they wanted to try something on." After unifying their operations, they reduced operating costs by 47%.
As Alexandra Mcnab, COO of Bared Footwear shares the sentiment: "When all sales are coming through one platform, you don't have to maintain the integrations required when you use different systems to manage each channel. We can re-invest where it matters: delighting customers with impeccable products and service, and growing the business."
Growth
When retailers unify their commerce operations, they unlock new opportunities for growth. Data shows that businesses using a unified commerce approach see an average 8.9% increase in annual sales growth, with some achieving up to 150% quarterly growth in omnichannel revenue.
This growth stems from having a complete view of your business. Unlike traditional omnichannel approaches where data lives in separate systems, unified commerce gives you real-time insights across all channels. This enables you to:
- Track customer behavior across online and in-store touchpoints
- Make data-driven decisions about inventory and merchandising
- Create more effective, personalized marketing campaigns
Pepper Palace experienced this firsthand during their rapid expansion. "Shopify has improved our omnichannel capabilities and allowed us to get customers into our system in-store, so we can retarget them back to our website," explains Corey Hnat, Director of Marketing. This unified approach to customer data helped fuel their growth to over 60 new locations in a single year.
Speed and innovation
In today's fast-moving retail landscape, the ability to adapt quickly and embrace new technologies is crucial. Unified commerce platforms offer a significant advantage here—implementation is up to 20% faster than traditional retail systems, with minimal downtime during deployment.
This speed advantage extends beyond initial setup. Cloud-based flexibility means retailers can expand their operations without large upfront investments, and intuitive interfaces reduce staff training time. As Pepper Palace discovered during their expansion, "the ability to set up and control a store's POS system with a single click was a game-changer," says Corey Hnat, Director of Marketing. "It allowed us to open 60 new locations in a year."
The innovation potential of unified commerce is backed by significant investment in future capabilities. Shopify alone invested $1.7B in R&D in 2023, releasing over 200 platform updates and innovations.
This commitment to innovation was a key factor for Allbirds: "We evaluated some of the old-school guys, knowing we'd get the traditional POS that can handle some complexity right out of the box. But we would've sacrificed a ton of innovation if we hadn't stayed with Shopify POS," explains Travis Boyce, Head of Global Retail Operations.
Omnichannel vs. unified commerce: which is better?
The data makes a compelling case for unified commerce. Retailers using Shopify POS benefit from a unified commerce strategy that boosts sales growth by 8.9% annually on average, while reducing total cost of ownership (TCO) by up to 7% on upfront and up to 16% on ongoing costs.
At Shopify, we believe unified commerce is the future of retail. Our fully integrated retail operating system lets you run your entire business from a single platform—whether you're selling online, in store, or anywhere in between. By unifying your customer, order, inventory, and sales data in one place, you can reduce costs, drive growth, and move faster than ever before.
Omnichannel vs. unified commerce FAQ
What is the main difference between unified commerce and omnichannel?
Omnichannel commerce prioritizes the customer experience across multiple sales channels. Unified commerce aims for the same concept to both your frontend and your backend operations: it combines data from multiple channels to collate business insights and create one point of truth.
What are the main benefits of unified commerce?
Unified commerce offers several key advantages: streamlined operations through a single platform, reduced operational costs, real-time data access across all channels, and a more seamless customer experience. Retailers like Oak + Fort have seen significant time saving across headquartered staff and shop floor employees after implementing a unified commerce strategy.
Is unified commerce more expensive than omnichannel?
Actually, unified commerce typically reduces costs. While omnichannel requires multiple subscriptions and integration costs, unified commerce operates on a single platform investment. Studies show businesses can reduce total cost of ownership by up to 7% on upfront costs and 16% on ongoing costs compared to traditional retail systems.
How long does it take to implement unified commerce?
It depends on your approach. With Shopify’s unified architecture, retailers can unlock the benefits of unified commerce instantly. Implementing Shopify POS is up to 20% faster than traditional retail systems, with minimal operational disruption during deployment. That means retailers can quickly expand their operations without significant upfront investment, and intuitive interfaces reduce staff training time.