NEWS: EU Regulation Impacts Magento Payment Extensions Beginning 9/14/2019

NEWS: EU Regulation Impacts Magento Payment Extensions Beginning 9/14/2019

Regulatory Technical Standards (RTS) for the European Union’s Payment Services Directive (PSD2) are scheduled to go into effect on September 14th, 2019.

If you are using Paypal, Braintree, Authorize.net, Cyberforce or eWay there are updates that must be made prior to September 14th to ensure that the launch of PSD2 does not result in your customer payments being declined.

The European Union’s revised Payment Services Directive (PSD), also known as PSD2, contains RTS requirements, some that will begin to go into effect as early as September 14th, 2019. This new directive will have a significant compliance impact on most payment processing services when bank transfers and credit cards are being used in sales transactions with  customers in the EU.

Compliance with PSD2 is mandatory and the responsibility of any Merchant to whom the directive applies. It is the recommendation of InteractOne as well as Magento, that all Merchants review and understand this new directive. More specifically; Strong Customer Authentication (SCA) requirements and updates for 3D Secure 2.0 (3DS).  

To learn more and to speak with one of our certified Magento specialists, please call us at  (513) 469-7042 or fill out our Contact page and a team member will be in touch with you shortly. 

InteractOne: Exclusive Alexa Integration Partner

InteractOne: Exclusive Alexa Integration Partner

We are proud to announce that InteractOne has been selected by Amazon as a partner for their new Alexa/Magento integration.

Amazon is now working with Magento merchants to integrate voice into their eCommerce platform’s capabilities. This new integration will allow for Magento merchants to offer their customers a more personalized and streamlined experience the moment they start their Amazon/Alexa shopping journey, including re-orders, wish lists and delivery notifications.

“This is a great opportunity for us,’ said Brian Dwyer, InteractOne Founder and CEO. ‘We’re thrilled that Amazon has the faith in our team of developers to choose InteractOne as an integration partner for this new and exciting Alexa endeavor.”

The InteractOne team has begun working with Magento clients on beta testing for this innovative integration. If you are interested in learning more or being a part of this great opportunity, then contact us on our website, or call us at (513) 469-3355 to speak with a team member directly.

Shipping and Fulfillment That Attracts More Customers: What You Should Know

Shipping and Fulfillment That Attracts More Customers: What You Should Know

Given the advances of Amazon Prime over the past few years, merchants have been forced to innovate and become more competitive in the shipping and fulfillment arena.  Online shoppers now expect low cost or free shipping delivery options within 2 days as well as very short lead times for buying online and picking up in store (BOPIS).  Fortunately, Magento provides many great tools and capabilities to help merchants deliver what customers expect. When leveraged appropriately merchants using Magento are now able to provide delivery and pickup options that better compete with leading market places such as Amazon and Walmart.

Magento Order Management

The first piece of being able to provide competitive shipping, delivery and pickup options is for the website to have immediate access to product inventory stock and location information. Launched at the beginning of 2019 Magento Order Management makes it possible to orchestrate demand and supply across multiple sales channels and sources of inventory. Merchants are able to:

  • Turn stores into mini-distribution centers
  • Create and expose a single view of orders and inventory across channels
  • Provide customers with flexible omni channel fulfillment options
  • Handle complex order & fulfillment needs such as back-orders and BOPIS.
  • Intelligently automate sourcing across channels

Providing customers with low cost shipping delivery options and BOPIS requires a robust integration between backend fulfillment systems and the website.  The Magento Order Management product integrates to backend systems and adds a layer of logic below the website that allows Magento to track inventory across the entire warehouse and store network.  By knowing where all product inventories are located Magento is able to offer customers shipping, delivery or pickup options from the closest warehouse or store. This lowers the cost of delivery and BOPIS turn around time, resulting in higher customer satisfaction and options that are competitive with Amazon.

Front-end Logic

In addition to tightly tracking inventory location, a robust delivery and BOPIS strategy also requires complex front-end logic.  Many factors such as store hours, lowest cost carrier, package dimensions, hazmat restrictions, product customization lead time, perishable product specifications and international regulations must be factored in when providing shipping options to customers at checkout.

That logic can either be powered by a 3rd party plugin and/or custom developed on Magento.  Two very popular 3rd party plugins that connect to Magento via API are ShipperHQ and Termando (also known as “Magento Shipping”).  These tools allow site administrators to configure rate quotes based on many factors such as:

  • Product and cart weight 
  • Product and cart price
  • Product dimensions
  • Product groups
  • Package dimensions
  • Customer group
  • Shipping zones
  • Location (warehouse and shipping)
  • Freight
  • Major carriers  (Fedex, UPS, USPS and DHL)

Rates can further be filtered via restriction, surcharges, discount and renaming rules to provide customers with highly competitive delivery and pickup options.

If a 3rd party tool does not provide all of the features required, additional customization can be performed.  For instance, a merchant may want to compare rates from the major carriers and pick the lowest cost options for ground, overnight and 2nd day delivery while providing those options to the customer with a discount depending on the total value of the cart or the customer’s life-time value.  For this type of need a custom module can be developed for Magento that works in conjunction with native features or 3rd party plugins. Being flexible enough to accommodate this type of high value customization is one of the things that makes Magento so great.

Conclusions

By leveraging Magento’s great order management and stock tracking technology plus 3rd party tools and customization, merchants are now able to be more competitive with fulfillment giants like Amazon and Walmart.  Smaller merchants might not be able to offer the exact same level of shipping value as the big marketplaces, however by improving their shipping options and relying on other strengths that large marketplaces do not have (ie. brand and customer service) we believe smaller merchants  can win back and gain online market share.

Avoiding Technical Debt on Magento

Avoiding Technical Debt on Magento

According to wikipedia “technical debt (also known as design debt or code debt) is a concept in software development that reflects the implied cost of additional rework caused by choosing an easy (limited) solution now instead of using a better approach that would take longer.”

Many of the merchants we’ve engaged in project discovery discussions in preparation for migrating to Magento 2 have been faced with serious technical debt from Magento 1.  The story usually goes something like this…”we have a lot of Magento 1 extensions and customizations that have built up over time…so much that we don’t actually know what extensions are even still needed…and now every time we need to upgrade, or patch Magento 1 it takes a long time, because stuff breaks and out of date extensions and customizations have to be upgraded or fixed”. 

It’s not uncommon for these merchants to have annual technical debt costs that are 25-50% (or more) of the initial site build.  Over the span of a few years this debt becomes a serious factor in the total cost of ownership and makes Magento a not so economical solution.

So how can merchants now migrating to Magento 2 avoid building all the technical debt that we see with Magento 1?  Below are a few guidelines for steering clear of technical debt on Magento 2.

Minimum Viable Product (MVP)

The big idea here is to start with the “must haves”, those extensions or customizations that are absolutely necessary in addition to the base Magento product.  We recommend merchants build a new site with the bare necessities and launch that first. Once the site is live we recommend closely monitoring user engagement with tools like Google Analytics, Hotjar (session recording) and techniques like A/B testing.  Following that process makes it possible to then hone in on feature improvements that are truly needed and sure to provide a return on investment.. 

We’ve seen a lot of extensions installed to Magento 1 because the merchant was trying to copy the user experience of mega brand ecommerce sites.  While it would be nice to have a site with all the features of rei.com, target.com, walmart.com and amazon.com combined, it often is not practical and all those add-on features (extensions) lead to very little or no improvement of site usability and conversion.  Mid-sized merchants are much better off with a minimalist approach (MVP) to add-on features so they can focus their efforts and budgets on better marketing, product catalog content and merchandising.

Template Edits Instead of Installing Extensions

Let’s say a merchant wants to fully expand the filtered navigation (shop by functionality) in Magento 2.  There are several extensions or 3rd party themes out there that could be installed to achieve this design.  However, some simple CSS edits could also be made to the template to achieve the same design. Those CSS edits will be much lower cost to maintain over time and might not need to be updated for 5 or more years.

So for front-end customization, it’s always good to consult with a developer first before using an extension.  The customization might be much more efficiently achieved by simply editing the Magento template files.

 

Don’t Use 3rd Party Theme Template Extensions

While it may be tempting to purchase a theme template extension for your Magento front-end user interface (ie. from Theme Forest), using a theme template can lead to a large amount of technical debt.

These templates are extensive in that they assume complete control of the front-end. They are usually a compilation of 20 to 30 3rd party extensions, plus customization.  Most, if not all, of the code for these extensions is developed by low cost developers and can have some or all of the following issues:

  • Code bloat (loading lots of unnecessary javascript libraries etc…)
  • Doesn’t follow best practices
  • Slows performance speed
  • Javascript conflicts
  • Doesn’t work correctly with Magento or with Varnish cache
  • Disables native Magento features (ie. widgets, click for price, content staging, etc. 

Even though theme extensions seem to contain a lot of value for all the options and features they provide, their technical debt almost always outweighs their advantages. In our experience it is much better to take a less invasive approach to front end theming. This can be accomplished by only making CSS edits and leveraging a minimal amount of customizations and extensions to achieve the right look ,feel and required features.

Purchase Extensions from the Same Company

When possible it’s a good idea to purchase extensions from the same company.  This typically ensures compatibility between all of the extensions that you purchase.  Some of the larger extension providers like Aheadworks have many quality extensions for Magento that are usually compatible with one another.  So if for example, you are looking for a more robust search solution, a homepage hero banner slider, a blog and advanced add to cart, you could buy several of their extensions and avoid compatibility issues that might otherwise exist if you were to purchase all of these extensions from separate companies.

 

Vet Before you Install

    Here at InteractOne we have our senior developers review the architecture and code of extensions before we approve them for install.  It’s easy for a good Magento developer to spot a shody Magento extension by checking its architecture and code. We’ve saved our clients from many low quality extensions through this practice.  If the extension is low quality we send it back to the provider for a refund.

    Housekeeping

    Scheduled, periodic review and cleanup of a Magento site is a best practice that can save a site from becoming bloated or unstable as it matures.  It’s a good idea to review all the extensions in use on a Magento site on an annual or bi-annual basis to ensure old unused or unstable extensions and customizations are being cleaned up, fixed or removed.

    It’s also important to stay up to date with the upgrade releases from Magento and extension providers.  While it’s not necessary to always be on the latest minor release we do recommend never getting more than 2-3 minor releases behind.  Staying up to date ensures security is maintained and extensions are not getting unstable as browser and mobile technology is always advancing.

    Letting a Magento site get a few years behind in releases can end up requiring two to three times the normal effort to upgrade as old upgrade paths are not always well supported by extension providers. Additionally, the launch of a really big upgrade jump can be nearly as complex as a new site golive since there are so many major changes to factor and test for.

    While this list of recommendations for avoiding technical debt with Magento is not all-inclusive it does cover the key points that should help you keep your Magento 2 site running fast, stable and secure for years to come.


    If you’d like to discuss the status of your site or you are ready to migrate to Magento 2, we would be happy to schedule a no-obligation initial consultation. Drop us a note.

    Connecting Your Warehouse to Your Storefront: Integrating Magento with an ERP

    Connecting Your Warehouse to Your Storefront: Integrating Magento with an ERP

    Many merchants migrating to Magento 2 from Magento 1 or from other platforms are faced with the challenge of how to integrate their back office and warehouse enterprise resource planning (ERP) data with their Magento storefront.

    Jump To:

    Pre-built Middleware

    Pre-built Magento Extension

    Custom Development

    The data that most often needs to be integrated is orders, customer catalog and product catalog. Orders must flow from the storefront of Magento down to the ERP for processing. Tracking number information must then flow back from the ERP to Magento. Inventory and pricing information must be kept in sync between Magento and the ERP as well.

    Several options exist for building the integrations described above between Magento and an ERP including, Pre-built Middleware, Pre-built Magento Extension, and Custom Development.

    Pre-built Middleware

    If a merchant is using a popular ERP software like SAP, Netsuite, Microsoft Dynamics (GP, NAV and SL), Epicor, Sage or JD Edwards, there are middleware products available in the marketplace that provide most of the basic integration requirements. These services typically charge a setup fee plus monthly fees based on usage volume or levels of support.

    The middleware product offerings have grown substantially in the last 5 years and are now so robust that many times they can handle all of the integration requirements for small to midsize merchants. The market leader in this category is eBridge Connections. They provide connection to Magento and other ecommerce platforms from almost all of the popular ERP software packages.

    + Advantages of using middleware:
    • Quick Setup – setup time is usually between 4-6 weeks.
    • Good Quality – when the connections have already been installed many times.
    • Lower Costs – using a shared connection can lower costs.
    • Quality Support – many times support staff is available 24/7 to resolve any reported issues.
    Disadvantages of using middleware:
    • Flexibility – this is typically the biggest downside. Many times there are features that cannot be provided to suit specific business needs because the connector must work in a certain fashion to serve all and cannot be customized in any major ways.
    • Not As Robust – prebuilt solutions typically come with a standard feature set that covers basic integration needs. However, more advanced connection points like gift cards, rewards points can be lacking.

    Pre-built Magento Extension

    Because of the issues mentioned below, we recommend a high degree of caution and vetting before using a pre-built Magento extension from the marketplace for integration. While some of our merchant clients have benefited greatly from a low cost extension integration to MOM and Quickbooks, we’ve also had clients suffer costly issues with other extension integrations to Microsoft GP and like systems.

    The middleware product offerings have grown substantially in the last 5 years and are now so robust that many times they can handle all of the integration requirements for small to midsize merchants. The market leader in this category is eBridge Connections. They provide connection to Magento and other ecommerce platforms from almost all of the popular ERP software packages.

    + Advantages of using Magento extension:
    • Low Cost – you purchase the extension once, no monthly fees.
    • Value – if coded correctly you can get a lot of features for the cost compared to custom development.
    Disadvantages of Magento Extensions:
    • Support – often times it takes days for the extension providers to respond to support requests via tickets or emails.
    • Low Quality – there are some really awful integration extensions for sale that were of alpha release quality.
    • Costs – a low quality extension can actually create a lot of cost because of customer service issues, bad data and Magento developer time needed to manage and fix urgent issues.

    Custom Development

    Many legacy ERPs don’t have pre-built solutions or APIs and thus can only be connected through flat file FTP integrations. Or many times pre-built solutions do not contain the features and work flows needed to support the integration business requirements. In these situations custom development is needed to connect Magento to an ERP.

    With this option merchants typically have the choice of developing code on the Magento side that interacts with the ERP or developing code on the ERP side that interacts with Magento’s APIs.

    We are often tasked with developing code on the Magento side that interfaces with an ERP’s API or flat file requirements. This custom code can be in addition a pre-built middleware or extensions or it can stand alone as the entire integration.

    + Advantages of Custom ERP Development
    • Robust Features – features developed specifically to meet business requirements.
    • High Quality – since it can be controlled tightly from the beginning of the project
    • Efficient Code – because it only needs to support the specific needs of the client.
    • High ROI – the custom integration can be constantly improved over time to reduce manual labor and improve efficiency of backend operations.
    Disadvantages of Custom ERP Development
    • Costs – Because the integration is being custom developed there is no cost saving advantage of reusing code from other integration projects.

    In Summary:

    There are many things to consider when planning to integrate Magento to your back office systems (ERP) but one should always step back and consider the long term cost of ownership and potential return on investment. While pre-built solutions are always good to initially consider, it may be that a combination of pre-built and custom development or solely custom development of an integration will provide the best return on investment over time. Check out the ERP work we did for Aladdin Temp-Rite.

    Get in Touch

    Connect with one of our experts today to discuss your ERP Challenges!

    Contact Us

    James Benton ,
    InteractOne Solution Expert