What is Headless Commerce? A Detailed Guide!

What is Headless Commerce?

Let’s first understand what exactly “headless” in headless commerce means – 

The term "headless" in headless commerce refers to the "head" being the front-end (the user interface or customer-facing part of an eCommerce site, like the website or app) and the "body" being the back-end (the system that manages products, payments, orders, etc.). 

Let’s now understand what is headless commerce?

Headless eCommerce is an approach that separates the front end (what customers see) and the back end (where data is managed) of an online store. 

This is done via API (Application Programming Interface), allowing data to the exchanged smoothly between them. This separation provides greater flexibility and customization, enabling businesses to create unique, tailored customer experiences.

This setup means businesses can implement new ideas on the front end. It includes testing a new website design or mobile app layout, without needing to change anything on the back end. At the same time, they can update or experiment with the back end without affecting the customer experience on the front end. 

Unlike traditional eCommerce, where both are tightly connected. Headless eCommerce allows businesses to use any custom front-end design or technology while still relying on a stable back-end system for inventory, orders, and payment processing. 

In short, headless commerce keeps the two sides connected while allowing businesses to innovate quickly by making changes to each independently. This approach is highly flexible and enables a seamless customer experience across multiple platforms.

Example: 

Let’s say a company sells skincare products online and wants to offer a highly interactive shopping experience through a mobile app, website, and smart mirrors in-store. 

With a headless eCommerce setup, they can use a single back end for all these channels. It ensures that product information, stock levels, and customer accounts are consistently up-to-date. 

The design team can then create unique, optimized front ends for each channel—like a visually engaging mobile app, a user-friendly website, and an interactive smart mirror display—all powered by the same back-end data.

Headless Commerce: Latest Statistics & Data

Check the following headless commerce statistics and data:

How Does Headless Commerce Work? 

Let’s understand how headless Commerce works:

1. Back End Stores Data: The back end manages inventory, product details, customer information, and payments. This part of the system is stable and remains the same regardless of how or where customers access it.
2. APIs as Connectors: APIs act like messengers, allowing the front end to "talk" to the back end. Whenever a customer takes action—like viewing a product or making a purchase—the API pulls the necessary information from the back end.

3. Front End Displays Data: Different front ends, like a website, mobile app, or even smart devices, can then display this information in unique ways tailored to each platform.

In short, headless eCommerce allows brands to have a consistent back end but customized front ends for different customer experiences.

3 Types of Headless eCommerce

Here, we’ve listed 3 types of headless commerce. Let’s discuss:

1. API-Driven Headless eCommerce

In API-driven headless eCommerce, the front-end and back-end are connected via APIs (Application Programming Interfaces). These APIs allow the front-end to pull data from the back-end (such as product information, inventory, orders) and display it to users across multiple channels.

How it works: The front-end (website, app, or any other digital interface) requests data from the back-end through APIs. The back-end handles the core eCommerce functions (like payment processing and inventory management), while the front-end only handles presentation and user experience.

Benefit: This model offers the highest level of flexibility, enabling businesses to integrate different third-party services (like marketing tools, CRMs, or payment gateways) seamlessly.

2. CMS-Integrated Headless eCommerce

CMS-integrated headless eCommerce involves using a headless Content Management System (CMS) to manage and deliver content (like product descriptions, images, blogs, etc.) independently from the eCommerce platform’s back-end. The CMS is responsible for content management, while the eCommerce back-end handles product and transaction management.

How it works: The CMS allows marketers and content creators to update and manage the content of the site via an easy-to-use interface. This content is then delivered to various front-end platforms (website, mobile apps, etc.) through APIs, while the back-end manages eCommerce functions.

Benefit: This model is ideal for businesses that prioritize content-heavy sites and need to frequently update content (e.g., blogs, product pages, promotions) without impacting the eCommerce functionality.

3. Progressive Web App (PWA) Headless eCommerce

PWA (Progressive Web App) headless eCommerce combines the flexibility of headless architecture with the performance and user experience benefits of PWAs. A PWA is a web application that functions like a native mobile app, offering offline capabilities, fast load times, and a mobile-first experience.

How it works: In a PWA headless eCommerce setup, the front-end (the web app) is decoupled from the back-end, and PWAs fetch data from the back-end via APIs. The PWA offers an app-like experience on mobile and desktop, including push notifications and offline functionality, while the back-end remains responsible for core commerce functions.

Benefit: PWAs deliver an app-like experience on the web, which boosts engagement, increases conversion rates, and improves load times, especially for mobile users. It's perfect for businesses aiming for high performance, especially on mobile devices.

Headless Commerce vs. Traditional Commerce vs. Microservices

Here we’ve listed the differences between headless commerce, traditional commerce, and microservices. Let’s understand in detail:

Feature	Headless Commerce	Traditional Commerce	Microservices
Architecture	Decouples front-end (UI) from back-end (commerce engine)	Monolithic: Front-end and back-end tightly integrated	Breaks down the system into independent, small, self-contained services
Flexibility	Highly flexible, can customize both front-end and back-end	Limited flexibility; changes to front-end often require back-end changes	Highly flexible; each microservice can be independently updated or replaced
Customization	High level of customization for different devices and channels	Less customizable; relies on pre-designed templates or themes	Each microservice can be customized individually (e.g., payment, shipping)
Development Speed	Faster front-end changes, but requires more development resources for integration	Slower to change, as updates require modifying both front-end and back-end	Fast development cycles for specific services, but more complex to manage
User Experience	Provides a highly tailored UX for different platforms (web, app, IoT, etc.)	Uniform, traditional website-based UX	Can provide highly specialized UX for each service, but coordination is needed
Integration	Uses APIs for integrations between front-end and back-end, and with third-party tools	Limited to the built-in integrations; less flexible in terms of APIs	Each microservice communicates with others via APIs, making integrations easier but complex to manage
Scalability	Scalable, easy to add new devices, platforms, or touchpoints without disrupting the back-end	Harder to scale as changes affect both front-end and back-end	Highly scalable, as each service can scale independently
Maintenance & Upgrades	Requires separate management of front-end and back-end; can be more complex to maintain	Easier to manage as everything is integrated, but changes require more testing	Each service is managed separately, which can simplify updates but adds complexity in coordination
Development Cost	High initial development cost due to customization, but can reduce long-term costs	Lower initial costs but may lead to higher long-term costs due to limitations in flexibility and scalability	Initial development may be costly and complex due to managing multiple services
Time to Market	Faster time to market for front-end updates, but initial setup can take longer	Slower to market due to the tight integration of front-end and back-end	Faster time to market for individual services, but coordination between microservices can delay overall project delivery
Example Use Cases	Large, omnichannel businesses needing personalized experiences across platforms	Small-to-medium businesses looking for a simple, single-site solution	Large enterprises needing highly specialized, independent services for different business functions (e.g., payments, order fulfillment)

What are the Benefits of Headless Commerce?

Following, we’ve listed top 5 benefits of headless commerce. Let’s discuss:

1. Flexibility & Customization

With the Headless eCommerce architecture, you can design and optimize the front-end for many touchpoints, such as websites, mobile apps, voice assistants, etc. It makes it easier to create highly personalized experiences for your customers. Whether you need to update the look or incorporate new technologies, you can quickly adapt and change.  

2. Faster Time to Market

This division speeds up the deployment of new features, upgrades, or campaigns because front-end changes don't require back-end rebuilding. As a result, businesses remain adaptable and can respond quickly to changes in the market or customer demands. 

3. Improved Performance & Speed

Faster load speeds and a more seamless user experience are associated with greater SEO rankings, lower bounce rates, and happier customers. Speed is particularly crucial for eCommerce since slow websites can have a detrimental impact on conversions and sales.

4. Scalability

As new devices or technologies (like wearables and augmented reality) become available, you may include them into your eCommerce ecosystem without having to completely overhaul the system. This ensures that your business can adapt to new possibilities and challenges without being limited by outdated technology.

5. Omnichannel Experience

Customers will always have a seamless experience with your brand, regardless of where they interact with it. In order to obtain consistent product and customer data, customers can, for example, start their shopping on a mobile app, continue on a website, and complete the transaction on a voice assistant.

3 Real-Life Examples of Headless Commerce

Here we’ve thoroughly discussed top 3 popular headless commerce examples. Let’s learn:

1. Nike

Nike, a well-known producer of athletic apparel, has implemented a headless eCommerce model. It helps Nike improve consumer satisfaction and provide a more flexible, personalized shopping experience.

Moreover, Nike is able to provide information to several touchpoints. It includes website, mobile app, and social media channels, without being constrained by the conventional eCommerce strategy. As it maintains a clear separation between its front-end and back-end.

This enables companies to incorporate cutting-edge technologies like artificial intelligence (AI) to make product recommendations and to provide smooth, customized experiences for different client groups.  

Feature	Description
Highly Customized Front-End Experience	Delivers a tailored and visually appealing interface that aligns with brand identity and enhances user engagement across devices.
Seamless Integration with Mobile Apps and Other Touchpoints	Offers smooth connectivity with mobile apps, IoT devices, and other digital platforms, enabling a unified shopping experience.
Advanced Personalization Using Customer Data	Utilizes customer data to deliver personalized recommendations, offers, and content, increasing customer satisfaction and retention.

2. Amazon

Amazon uses a headless architecture in part to manage its marketplace's enormous volume and intricate user interface. Amazon's backend technology is modular, allowing for a range of customer-facing experiences across platforms.

This includes mobile applications, Alexa-powered voice shopping, and even third-party websites, despite the strong connection between its app and website. Their API-first architecture enables faster updates, more flexibility, and support for a range of devices and experiences. 

Feature	Description
API-Driven Architecture for Scaling	Facilitates seamless integration with various services and allows for rapid scaling to meet growing business demands.
Multi-Device and Multi-Platform Experience	Ensures consistent and responsive shopping experiences across desktops, mobiles, tablets, and other digital touchpoints.
Highly Dynamic and Personalized Product Recommendations	Utilizes data-driven algorithms to offer tailored recommendations, increasing engagement and conversion rates.

3. L'Oréal

The multinational cosmetics behemoth L'Oréal has expanded its online presence and offered highly customized purchasing experiences using headless eCommerce. 

To provide a consistent and customized experience across several touchpoints. It includes social media platforms, branded websites, and even AR-powered try-on experiences, the company employs a headless system. 

For skin analysis and product suggestions, L'Oréal incorporates cutting-edge technologies, including artificial intelligence (AI), into its headless eCommerce backend.

Feature	Description
Integration with AR and AI for Personalized Beauty Experiences	Enhances user engagement by allowing virtual try-ons and customized product recommendations powered by AI.
Consistent User Experience Across Various Touchpoints	Provides a unified and seamless experience whether users access the platform via mobile, desktop, or in-store kiosks.
Customizable and Fast Content Delivery	Ensures rapid loading times and enables tailored content for different regions, languages, and customer preferences.

Top 3 Headless Commerce Platforms

Following, we’ve discussed top 3 headless eCommerce platforms. Let’s discuss:

1. Shopify Plus

One of the popular eCommerce platforms, Shopify Plus offers headless capabilities. Shopify Plus allows businesses to decouple the front-end from the back-end through storefront APIs. 

Shopify Plus allows brands to create fast and interactive storefronts for mobile, video games, and other platforms. It also interfaces seamlessly with systems, including CMS, ERP, PIM, and CRM. It works best for corporate enterprises and mid-market. 

Feature	Description
API-First Architecture	Shopify Plus offers robust APIs that allow for advanced front-end customization and integration with various tools, such as payment gateways, CRM, and ERP systems.
Ease of Use	The platform is designed to make it easy for merchants to efficiently manage their eCommerce operations.
Scalability	Ideal for large, rapidly growing businesses that require a platform to handle high traffic volumes and extensive product catalogs.
Best For	Perfect for brands seeking flexible, enterprise-level headless solutions and seamless access to Shopify’s extensive app ecosystem.

2. BigCommerce

BigCommerce is a flexible, API-driven platform that makes headless eCommerce easy for businesses. Also, BigCommerce enables customers to design distinctive front-ends and utilize its extensive commerce engine. It assists to handle orders, payments, items, and much more. 

Feature	Description
Open APIs	Allows seamless integration with third-party apps and offers customization options for the front-end experience.
Built-In Features	Provides a range of built-in tools such as multi-channel selling and marketing features out-of-the-box.
Multi-Channel Flexibility	Supports sales across web, mobile, marketplaces, and social media platforms, ensuring a seamless omnichannel experience.
Best For	Ideal for merchants seeking an enterprise-grade, highly customizable, and scalable eCommerce platform with seamless omnichannel integration.

3. CommerceTools

CommerceTools is a cloud-based, headless commerce platform offering extensive eCommerce capabilities across multiple touchpoints. It includes mobile apps, websites, VR, and voice assistants.  It's a powerful choice for businesses that must create unique, dynamic customer experiences across several touchpoints. 

Feature	Description
API-First Architecture	Fully API-driven, enabling the separation of front-end and back-end with easy third-party integrations.
Scalability & Flexibility	Ideal for businesses needing complex, multi-region, multi-brand, and multi-channel solutions.
Microservices-Based	Modular microservices allow businesses to scale and use only the needed services, providing greater efficiency and flexibility.
Best For	Works best for both B2C and B2B enterprises requiring highly customizable, scalable, and future-ready solutions.

How Much Does Headless Commerce Cost?

The cost of headless commerce depends on various factors, including the platform, customization needs, and the scale of the business. 

For enterprise-level headless commerce solutions, such as Shopify Plus or CommerceTools, cost ranges from $15,000 to $1,20,000 or above. It includes setup, licensing, and ongoing maintenance. Additional costs may arise for front-end development, third-party integrations, and API management. 

Smaller businesses or those with simpler needs may find more affordable headless solutions. But it's generally more expensive than traditional monolithic eCommerce platforms due to the need for greater technical resources and flexibility.

Get in touch with Apptunix to execute your headless eCommerce strategy while minimizing costs and expertise to scale your business. 

How Apptunix Will Assist You With Headless eCommerce?

Apptunix is a leading eCommerce app development company specializing in headless commerce solutions. We help businesses build flexible, high-performance online stores by decoupling the front-end from the back-end. This enables personalized user experiences across multiple devices while enhancing scalability, performance, and seamless integrations with tools like analytics and CRM.

With Apptunix, you can easily implement omnichannel strategies, stay competitive, and deliver exceptional customer experiences. Our expert developers and designers will create a robust headless eCommerce platform to drive your business growth.