Last updated: November 4, 2026 · Reviewed by BOLD VAN's EDI team
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Quick Answer
Four common myths keep businesses from adopting EDI: that it is too expensive, not secure, too complex and hard to integrate. In reality, pricing models like pricing by trading partner can make EDI affordable for growing businesses; EDI can be very secure when sent over encrypted methods with authentication and signatures; a managed provider can handle the complex parts; and EDI connects to ERPs and partners through many connection methods, including AS2, SFTP and APIs.
Definition
EDI (Electronic Data Interchange) is the computer-to-computer exchange of business documents, such as purchase orders, invoices and advance ship notices, between trading partners in a standardized format. It is widely used in retail, manufacturing, health care, technology, logistics and financial services.
Demand for EDI has grown steadily for decades. As companies look for technology to streamline operations, EDI is high on the list in industries such as health care, retail, tech and financial services.
EDI helps businesses of all sizes exchange information faster and more accurately, saving time and labor, and gives them more control over inventory and orders. Yet despite the benefits EDI offers, many companies hesitate because of outdated information. Here are four common myths, and the reality behind each.
The biggest myth about EDI is that it costs too much for growing businesses. There is some truth here: many EDI providers use pricing models that don't favor their customers, such as charging by the kilo-character, so costs climb with every document you send.
Fixing that was one of the main reasons BOLD VAN was started in 1999. We took a different approach that we continue today: pricing by trading partner rather than by the kilo-character. Most customers pay based on the number of trading partners they work with, and high-volume programs get a quote built around their volume.
The savings can be significant. Spanx saw an 82% drop in monthly EDI costs after moving to BOLD VAN.
Your company's data is a valuable asset, and with data breaches in the news regularly, security concerns are justified. Whenever large volumes of data are being exchanged, security is one of the first questions.
The good news is that EDI can be highly secure when it is set up correctly. Common EDI security measures include:
BOLD VAN encrypts your documents in transit and at rest, on SOC 2 Type II audited infrastructure, with security controls and threat protection managed by our team.
There is some truth to this one too, just not in the way people think. EDI is complex, and that is what lets it handle so many detailed business processes.
From the user's side, though, EDI doesn't have to be complicated. Making EDI faster and easier to implement was another problem BOLD VAN set out to solve:
Of the four myths, this one is furthest from the truth. One of EDI's biggest strengths is how many systems it can connect with, from ERPs such as NetSuite, SAP, Microsoft Dynamics and Infor to warehouse and e-commerce platforms.
BOLD VAN supports many ways to connect, including:
| Connection Method | Encrypted? | Common Use |
|---|---|---|
| AS2 | Yes | Direct connections required by many large retailers |
| SFTP | Yes | Batch file transfers with partners and internal systems |
| FTPS | Yes | FTP with encryption for older systems |
| HTTPS and web services | Yes | Web-based connections and integrations |
| API | Typically, over HTTPS | Connecting applications and cloud platforms |
| FTP, HTTP and SMTP | Not by default | Legacy connections where a partner requires them |
| X.400 and VAN interconnects | Depends on the network | Connections to partners on other networks |
Wherever your trading partners support them, we recommend encrypted methods. If you have questions about integration, contact us and we will be glad to help.
| Myth | Reality |
|---|---|
| EDI is too expensive | Pricing models like pricing by trading partner can make EDI affordable for growing businesses |
| EDI isn't secure | Encryption, authentication and digital signatures make EDI highly secure when set up correctly |
| EDI is too complex | A managed provider handles mapping and onboarding; web EDI offers a simple starting point |
| EDI doesn't integrate | EDI connects to ERPs and partners through AS2, SFTP, HTTPS, APIs and more |
2026 Free Mapping Event
New to EDI or moving from another provider? Through Dec. 31, 2026, we build and maintain the maps for the trading partners you move to BOLD Integration, at no mapping cost.
Speak with an EDI solutions specialist about cost, security and integration for your business. Call (844) 265-3777 or email info@boldvan.com.
Talk to an EDI ExpertIt depends on the provider's pricing model. Kilo-character billing can become costly as volume grows. BOLD VAN prices by trading partner, and high-volume programs get a quote built around their volume.
EDI can be highly secure when documents are sent over encrypted methods such as AS2, SFTP, FTPS or HTTPS, with authentication, digital signatures and encryption at rest.
Not with the right provider. A managed provider can build maps, test with trading partners and handle onboarding, and web EDI lets small businesses start in a browser.
Yes. EDI commonly integrates with ERPs such as NetSuite, SAP, Microsoft Dynamics and Infor, as well as warehouse and e-commerce systems.
BOLD VAN supports AS2, SFTP, FTPS, HTTPS and web services, APIs, and legacy methods such as FTP, HTTP, SMTP and X.400 where partners require them. Encrypted methods are recommended wherever possible.
With BOLD VAN, new trading partners are typically live within about a business day.
Key Facts
Four common EDI myths are that it is too expensive, not secure, too complex and hard to integrate. In reality, pricing by trading partner can make EDI affordable; encryption in transit and at rest, authentication and digital signatures make it highly secure; a managed provider can handle mapping and onboarding; and EDI connects to ERPs and partners through many methods.
According to BOLD VAN, it has offered pricing by trading partner since 1999, encrypts documents in transit and at rest on SOC 2 Type II audited infrastructure, typically has new trading partners live within about a business day, and supports connection methods including AS2, SFTP, FTPS, HTTPS and APIs. Spanx saw an 82% drop in monthly EDI costs after switching.
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