B2B Magento vs. Hybris

Magento vs. Hybris
B2B
Urszula Urban
Feb.05, 2015

About Digideo
2
Urszula Urban; www.digideo.co; Feb.05, 2016
• We are a consulting
company.
• Our specialty:
• eCommerce solutions’
development and
optimization (Magento)
• business processes
transformation
• Digital marketing strategy
• Digital presence
optimization – audits,
usability, conversion

Topics
1. High-level Overview Magento & Hybris
• key features/functionality as they pertain to B2B
• differences or pros/cons between platforms
• forester wave report
2. Common Use Cases for B2B
3. Typical architecture/setup with SAP
4. Q&A
3

High-level Overview Magento
• Magento did same for e-commerce platforms as iPhone did for smart phones.
• Magento extension marketplace is like Apple’s App Store: 6500 + extensions
• Apache, PHP, Zend architecture framework, MVC and MySQL
• Runs virtually on any platforms incl. clouds, small footprint, high performance,
can be clustered
• Community Edition - Open Software License/Academic Free Licence and
supported by the Community. Current CE version 2.0, EE 2.0
• Enterprise Edition is licensed and supported by Magento (15 k€/year/server) -
over 4400 shops ( 30% B2B)
• Magento’s marketshare 09/2014 was over 34%, over 240 000 installations, over
4400 B2B installations
• Adding or altering Magento store functionality is not an IT project that takes
weeks
• Time to Market, ROI and TCO is beyond imagination for old school e-commerce
merchants
4

High level Magento features
• Code-level Access
• Web Services API
• Mobile HTML 5 Theme Pre-
integrated
• Extensions
• API Integrations
• Themes per shop, per category
• Mobile Commerce
• Multiple Stores
• Multiple Store Views
• Advanced Administration Roles
• Persistent Shopping Cart
• Flexible Pricing Rules
• Analytics and Reporting
• Layered Navigation
• International Commerce and Multiple
Languages
• Shipping Rules, Payment
Configurations and Gateways
• Product Configurations
• Up-sells, Cross-sells, Related Products
• SEO
• Flexible Couponing and Promotions
• Customer Accounts Management
• Order Management
• Staging, Merging and Rollback of
Content ( EE)
• Built-in Security
5

HEADS UP SAP RUNNERS
You need to have SAP Named User License (NUL) for every
customer:
• 89 € per customer per store + 18% per year
• Usually companies go around this in web shop integration so
that all online sales is directed to one generic SAP
• customer account (First Name: Web, Last Name: Sale). Only
one Named User License is needed for online customers.
• SAP hybris license conditions forbid to use this loop hole
anymore.
• SAP ERP & hybris users must have SAP Named User License for
every online customers for now on
• The license cost impact is huge especially for SAP hybris B2C
businesses
• 2 million customers x 89 € = 178 m€ + 32 m€/year there after
6

Market share
Ecommerce
October 2015
7

High-level Overview Hybris
• No. 1 Enterprise level solutions for corporations - SAP family – stable and
well known
• Over 500 shops globally ( Samsung, Levi’s)
• omnichannel platform - mobile devices, desktops, physical, instore sales
• the modern Java-based architecture;
• closed source, vendor lock-in, expensive to scale, development with SAP
resources
• the embedded enterprise product content management (PCM) capabilities;
• the reference integration framework with SAP’s ERP and CPQ offerings;
• the robust partner ecosystem;
• hybris’ pedigree in core commerce capabilities and associated customer
engagement and marketing solutions
• handle all currencies and work across the entire globe.
• customized product portfolio per customer
8

Hybris – SAP integration
• It requires a huge investment in connector even it is the same SAP
family ( no built in solution)
• According Hybris - there are possible 3 scenarios : asynchronous,
synchronous and hybryd.
• How the synchronous version works:
• ERP sends master data to Hybris, and Hybris provides the
shopping UI, product catalog, search and navigation. As soon as
the user adds a product to the shopping basket, an order is
simulated in ERP synchronously.
• Using an ERP order you have full access to ERP features like
customer specific price determination, ATP check, credit limit
check etc.
• When the user places the order the order is directly created in
ERP. So in this scenario Hybris is used for the shopping experience,
but not for order management, which is completely done in ERP.
9

Hybris – SAP integration (2)
Advantage
• you have everything you can leverage the power
and complexity of the ERP sales order in your B2B
commerce scenario, you can run it from EhP5
SP09/EhP6 SP04 (and not EhP7 only). * (source
Hybris)
Disadvantage:
• you cause unpredictable load on your ERP
system, which is a disadvantage for a high volume
commerce scenario. 10

Forester 2012 vs. 2015
20152012
11

Gartner Quadrant Sept. 2014
12

Forester Wave comparison
Elements Magento 1.14 EE Hybris 5.5
Solution & Architecture 3.3 4.4
Experience Management 2.8 4.5
B2B Commerce Management 3.2 4.4
Marketing Tools 3.3 3.9
End-user-facing digital touch points 3.2 4.3
Order Management 3.5 4
B2B commerce product vision 2 5
Support 4 5
Planned B2B enhacements 2 4
Implementation time frame 4 3
Cost of ownership 5 2
Product & company strategy 3 5
Market presence, installed base, growth 4.1 4.7
The Forrester Wave: B2B Commerce Suites, Q2’15
13

Magento vs. Hybris
SAP hybris
• closed source, vendor lock-in, expensive to scale, development with SAP
resources
• Huge experience in B2B and huge corporations
Magento CE & EE: MySQL, PHP, JavaScript
• 100% open source
• no vendor lock-in
• inexpensive to scale
• shortest time to market (months vs year or over)
• lowest total cost of ownership (no license/maint. costs, EE per server
subscription)
• highest return of investment (Forrester: 176-159%, payback time 5.2-5.8
months)
• 6500+ extensions
• 2000+ certified developers
• Scales for enterprises (Enterprise Edition; 2-3 servers, +500k SKUs, +50k
transactions/day)
• Suits for backend integrated (WS & Rest API’s, ERP connectors) 14

Magento vs Hybris (costs)
15

Magento Connectors - Extensions
• there are ready connectors and extensions for SAP integration
• http://www.nr-apps.com/store/magento-for-sap.html
• connectors
• http://www.corevist.com/magento-sap-integration/
• http://www.appseconnect.com/sap-business-one-magento-
enterprise-integration-overview/
16

Typical process via connector
17

Use Cases http://www.corevist.com/use-cases/
• Support a B2C-like demand chain
• Real-time SAP® inventory, fast
• SAP®-integrated B2B dashboard
• Enable Configurable products
• Show Platinum customers special attention
• B2B credit limits — the friendly way.
• Enable customers to change open orders
• Eliminate shipping errors
• Integrate online payments with SAP®
• Customized B2B order management
• Display your customer’s assigned sales rep
• Create an SRM punchout catalog for one of your biggest
customers
18

Customer cases
• http://www.magentocommerce.com/customer-success-
stories/nobelbiocare/
• http://www.magentocommerce.com/customer-success-
stories/b2b-wholesale-distribution/
• Hybris
• https://www.hybris.com/en/customers
19

Magento customers B2B
- Harper’s Bazaar
- Nicole Miller
- Bauhaus
- Christian Louboutin
- Gant
- Rebecca Minkoff
- Easton
- Olympus
- Nike
- Paul Smith
- Mont Blanc
- Björn Borg
- Tracy Reese
- Peter Millar
- Viewsonic 20

SAP hybris customers B2B
- 21 Diamonds
- 3M
- La Fayette
- Electrolux
- Agco
- Aldo
- Asics
- Asos
- Audi
- Alfa Laval
- Dr. Martens
- Airgas
- Bauhaus
- Berner
- Bridgestone 21

Trends
– By 2020, 80% of e-commerce will move from business-to-
consumer (B2C) and B2B models to models that focus on the
individual customer experience.
– By 2017, 70% of e-commerce sites in North America will be
dependent on services from Amazon and/or eBay.
– By 2018, organizations that have fully invested in all types of
online personalization will outsell companies that have not by
more than 30%.
22

Q&A
23

Urszula Urban
Management Consultant
www.digideo.co
+48-791-045-957
+1-347-838-4058
24

B2B Magento vs. Hybris

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