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Ecommerce vendor lock-in

How do you avoid getting locked in to a B2B ecommerce vendor?

Af: Anders Thue Pedersen, Business Unit Manager, Ecommerce
» More about AndersAnders on Linkedin

Once you have chosen a B2B ecommerce solution, you typically get locked in to it, because the cost of switching to something else later can be high. This is especially true for solutions where the subscription grows with your revenue, and solutions where moving your data requires large amounts of consulting hours. This is not the case with Abakion B2B Ecommerce, because it has a fixed subscription price instead of a revenue-based price, and it has built-in tools for bulk-importing and updating data, which make it cheap to switch to the solution from an existing platform.

Why do you get locked in to a vendor once you have chosen a B2B ecommerce solution?

You get locked in to a vendor because the cost of moving your data, your customers, and your setup to another solution later can be so high that it isn’t worth switching, even if you are unhappy.

This is especially true if the price is calculated as a percentage of your revenue. That kind of model is often cheap when you start out with low revenue, but becomes more expensive as you grow, without you necessarily getting more out of the solution. By that point, switching is often too expensive to carry out, because it requires consulting hours to move data and rebuild the setup somewhere else.

How does Abakion B2B Ecommerce reduce the risk of lock-in?

Abakion B2B Ecommerce reduces the risk of lock-in by having a fixed subscription price instead of a revenue-based price, and by having tools that make it cheap to move data in.

The subscription therefore doesn’t go up just because your revenue does. And if you’re coming from another existing B2B solution, there are built-in tools for bulk-importing and updating data, so the cost of switching to Abakion B2B Ecommerce from another solution stays low.

What questions should you ask about lock-in before choosing a vendor?

You should ask how the subscription is calculated, and what it actually takes to move your data if you ever want to switch vendors.

Good questions to ask a vendor are:

  • is the subscription calculated from revenue, from the number of orders, or is it a fixed price?
  • what does it cost to move your data in, if you’re coming from another solution?
  • are there tools for bulk-importing and updating data, or does it have to be done manually or by a consultant?
  • what does it cost to move your data back out again, if you ever decide to switch away from the solution?

Frequently asked questions

Is a revenue-based subscription price always a bad idea?

No, not always. It can be cheap to start with, but you should work out what it will cost as your revenue grows before you choose it.

Does Abakion B2B Ecommerce have a revenue-based price?

No. Abakion B2B Ecommerce has a fixed subscription price, so the price doesn’t go up just because your revenue does.

Can I easily move my data to Abakion B2B Ecommerce from another solution?

Yes. There are built-in tools for bulk-importing and updating data, so the cost of switching stays low.

What is the biggest risk with lock-in in practice?

The biggest risk is that you keep paying for a solution you’re unhappy with, because it’s too expensive to switch to something else.

Should I ask about lock-in risk even if I’m happy with a vendor right now?

Yes. Your situation can change, and a solution that looks cheap today can become expensive if your revenue or your needs grow.

Is lock-in risk connected to the implementation time from article 6?

Yes. A solution that takes a long time and many consulting hours to implement typically also takes a long time and many consulting hours to move away from again.

How do you avoid getting locked in to a B2B ecommerce vendor?

How do you avoid getting locked in to a B2B ecommerce vendor?

What criteria should you check before choosing a B2B ecommerce solution?

What criteria should you check before choosing a B2B ecommerce solution?

Give customers access to your data with punch-out and API access

Give customers access to your data with punch-out and API access

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