What is a webhook in e-commerce?
An automated message that one application sends to another via a web address when a specific event occurs, such as a new order or a shipment update.
In short
A webhook is an automated message sent from one application to another over the web when a specific event happens, such as an order being placed or a parcel being shipped. The receiving system gets the data immediately and can react, without having to ask for updates repeatedly.
How does it work in practice?
The receiving system provides a URL, called an endpoint. The sending system is configured to call that URL whenever a chosen event occurs. For example, when a retailer submits an order on a brand's B2B portal, a webhook can send the order details to the brand's integration layer, which then creates the order in the ERP. When a carrier scans a parcel, its webhook can update the delivery status in the customer's account.
Why does it matter for fashion businesses?
Fashion operations depend on timely updates across many systems: payments, marketplaces, warehouses, carriers and wholesale partners. Webhooks provide near real-time notifications at low technical cost, which reduces delays and manual checks. They are commonly offered by e-commerce platforms, payment providers and logistics services, so they are often the quickest way to automate a process.
How is AI changing it?
Webhooks can trigger AI workflows, such as sending a new product to an AI service for automated product tagging or alerting an agent when a return arrives. They also let AI systems report back, for example notifying a merchandising tool when a forecast run is complete. As more processes are automated, reliable webhook handling becomes part of operational resilience.
Common pitfalls
- Not verifying signatures, which lets attackers send fake messages.
- Losing events when the receiving system is down and no retries exist.
- Processing the same webhook twice and creating duplicate orders.
- Sending more personal data than the receiving process needs.
Frequently asked questions
What is the difference between a webhook and an API?
With an API, a system asks another system for data when it needs it. With a webhook, the other system pushes data automatically when an event happens.
Are webhooks secure?
They can be, if set up correctly. Common measures include HTTPS, signed messages, secret tokens, validation of incoming data and limiting what data is sent.