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Quick guide to Order Management Systems (OMS)

What brands and retailers need to know about order management systems (OMS) – the core commerce technology.

Nearly three years later, the pandemic has accelerated a shift in consumer buying habits and values, forcing retailers to rethink their fulfillment strategies to remain competitive. As commerce increases in complexity, the need for an integrated and robust technology foundation becomes more important than ever. A functionally rich order management system (OMS) is key to unifying commerce and delivering seamless customer experience.


What is an Order Management System (OMS)?

An order management system is a technology platform that coordinates all the essential functions of a purchase, spanning the entire buyer journey from browsing to buying and unboxing. These centralized platforms facilitate and communicate all the details associated with an order, such as:

  • Where is the inventory currently?
  • Where was the order placed?
  • Where/how should the order be fulfilled?
  • What machine learning (ML) or artificial intelligence (AI) do we have that can optimize the fulfillment process?
  • Who (people) and what (systems) need communication alerts throughout the lifecycle?


An order management system is the core commerce technology unifying customer-facing channels with back-end business technology systems and helping retailers keep the customer as the center of a brand’s experience.


Order Management Features vs. OMS

Order management has become a much more common term in commerce over the last few years. While many technology platforms offer lightorder management capabilities, for the sake of this article, we are primarily discussing dedicated, built-for-purpose OMS platforms focused on unifying the buying process for consumers and retailers alike.


Why an OMS is a must-have for retailers

When it comes to customer experience, perception is reality. Recently, Microsoft reported that 58 percent of Americans will switch companies because of poor customer service. According to research cited in Ruby Newell-Legner’s “Understanding Customers,” it takes 12 positive customer experiences to make up for one negative experience. Simply put, the cost of NOT getting the customer experience right is a risk with a compounding negative impact.


An OMS builds trust in your brand

When a customer purchases from a retailer or brand, they indicate some level of trust with the retailer. Next, the brand must deliver on those promises to maintain trust with the customer.


A positive customer experience often results in repeat purchases, brand loyalty and potentially brand advocacy. A negative experience, as research confirms, results in brand swapping, negative reviews and potentially a lifelong brand detractor.


The right order management system helps curate the best customer experience in the most cost-effective way to earn and maintain the trust of your buyers, turning them into loyal brand advocates.

To learn more about how an order management system can transform your business, download our whitepaper: The ultimate guide to order management systems.


Related solutions

Order Management System

A versionless order management system (OMS) to optimize fulfillment processes and drive top-line and bottom-line growth.

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