As a Shopify merchant, handling returns is never ideal, but they’re inevitable. The best you can do is offer customers a seamless return and refund experience.
However, this is easier said than done when an ERP system like SAP Business One manages backend processes. Data must sync accurately between Shopify and SAP B1 to avoid refund errors. But this can quickly become a major headache without a proper system.
Wouldn’t it be great to sync Shopify returns and refunds to SAP B1 automatically? That’s exactly what you’ll see today, as we show you how to set up an automated, systematic, and 100% accurate refund process with ready-made integrations between Shopify and SAP.
Shopify Return and Refund Cycle Process
The Shopify refund process for returned orders involves the following steps:
- Return request: Customers initiate a return request by submitting a form on the merchant’s website or by contacting customer support.
- Return review: The merchant reviews the return request to ensure it meets their return policy.
- Return authorization: If the return request is approved, the merchant sends a return authorization number to the customer along with instructions on how to return the product.
- Return shipment: The customer ships the product back to the merchant.
- Return receipt: The merchant receives the returned product and processes the refund or exchange based on their return policy.
- Refund processing: The merchant processes the refund or exchange and updates the customer on the outcome.
How to Sync Shopify Returns and Refunds to SAP B1?
Now let’s see how you can automatically sync returns and refunds in Shopify to SAP Business One, with APPSeCONNECT’s integration platform.
By implementing our pre-built integration workflows for your system, here’s how Shopify returns and refunds will sync to SAP.
Sales Order Creation in Shopify
When a customer places an order on your Shopify store, the system automatically generates a sales order in Shopify. The details of the product, pricing, customer information, and shipping address are all captured at this point. This order status is typically marked as Unfulfilled, as it is yet to be processed.
Syncing the Order to SAP B1 and Creating the Delivery Document
Once the order is placed in Shopify, it is automatically synced to SAP B1 through APPSeCONNECT. Here, a Sales Order is created within the SAP system with all the corresponding details from Shopify. Now you can review the order, check inventory, and finally generate the Delivery Document.
Delivery Document represents the goods being shipped to the customer, and it triggers the inventory update in SAP B1. At this stage, the status of the order in Shopify changes from Unfulfilled to Fulfilled, reflecting that the order has been processed and dispatched.
Generating a Credit Memo in SAP B1
After the goods have been shipped, the next step is to generate the Credit Memo.
This document acknowledges any changes in the payment terms, such as discounts, returns, or customer complaints. It essentially ensures that the customer is properly credited for their purchase if needed.
The Return Process in Shopify
Now consider the customer returns this order. They will initiate a Return Request on Shopify. Here, our integration will trigger an automatic synchronization to SAP B1. As a result, the system will generate a Return Document under the Sales A/R (Accounts Receivable) module. This document represents the return of the goods and provides all the necessary details about the returned items, quantities, and reasons for the return.
The Refund Process in SAP B1
Next, the system auto-generates an A/R Invoice for the returned goods, followed by an A/R Credit Memo.
The A/R Invoice records the financial aspect of the return, adjusting the revenue for the business.
The A/R Credit Memo reverses the charges applied to the customer’s account.
Once you finalize all these documents in SAP B1, the status in Shopify updates to Refunded. This signals the customer that they’ve received their money back.
Benefits of Shopify Returns and Refunds Sync with SAP B1
When you sync Shopify returns and refunds to SAP automatically with an integration platform like APPSeCONNECT, it will definitely save you a lot of time and effort. But what other benefits will your business experience beyond that?
Accurate and Real-Time Updates for Customers
With the integration between Shopify and SAP B1, customers receive accurate updates on their order status in real time as it always reflects accurately on Shopify. Customers will always know where their return stands, which builds trust and transparency.
Improved Customer Experience with Faster, Accurate Refunds
A smooth and efficient return process is a key factor in customer satisfaction. With quick and accurate processing of refunds, customers have a pleasant experience. Handle their refunds promptly, and they will certainly be more open for future purchases. Providing a hassle-free refund process can boost repeat sales, customer loyalty, and positive reviews.
Better Analytics and Reporting
Syncing returns and refunds between Shopify and SAP B1 offers more comprehensive data for reporting and analysis. With integrated data, you can easily track refund trends, identify patterns in returns, and gain insights into customer behavior. This allows you to make data-driven decisions to improve your products, return policies, or customer service strategies.
Sync Shopify Returns and Refunds to SAP with APPSeCONNECT
Returns and refunds are an integral part of any e-commerce, and having an efficient return and refund process can help merchants build trust and loyalty with their customers. Shopify offers various tools to help merchants manage their returns and refunds. And with APPSeCONNECT you can automatically sync Shopify returns and refunds to SAP Business One.
Want to put this solution into action for your business? Click here to schedule a demo and see the return and refund sync process from Shopify to SAP B1, or contact us today for further information.
