EDI vs. API: What’s the Difference and Does It Matter?

The short answer: EDI is for retailers. APIs are for modern platforms. In practice, most suppliers deal with both.

How EDI Works

EDI uses standardized message formats (ANSI X12 or EDIFACT) transmitted over AS2, SFTP, or VANs. It’s been the standard for retail supply chain communication since the 1980s — and every major retailer still requires it.

How APIs Work

APIs (Application Programming Interfaces) use modern web protocols (REST, JSON) to exchange data in real time. Platforms like Shopify, Amazon Seller Central, and many 3PLs use APIs.

When You Need EDI

You need EDI when your trading partner requires it — which means virtually every brick-and-mortar and omnichannel retailer. Walmart, Target, Costco, Home Depot, Kroger, and hundreds of others mandate EDI compliance.

When You Need API

You need API integrations when connecting to:

• E-commerce platforms (Shopify, BigCommerce, WooCommerce)
• Modern 3PLs and fulfillment centers
• Amazon’s Selling Partner API (SP-API)
• Marketplace platforms

Using Both Together

The modern supply chain often requires both. A supplier might receive retailer POs via EDI while managing their Shopify store via API — and route everything through a single ERP. Spring Systems’ integrated service supports both EDI and API data flows from one unified platform.