When a business is scaling up, irrespective of its nature, there is a growth in the number of products. An increase in the number of products would result in a larger product catalog and the responsibility to manage the data of the products.
As a seller, to be in this competitive market, you will have to sell across multiple channels and platforms. Selling omnichannel will require a solid product catalog management platform and product information management-PIM.
Sources believe poorly maintained product information can cause companies to lose around 3.5% of their sales annually. This data shows how vital it is for companies to have the right product information management software to be successful.
More and more businesses are now adopting product information management software to stand out among the rest and attract more users. In this read, we will understand what PIM is, how PIM benefits businesses, the need to adopt good PIM tools, and questions you need to ask yourself before choosing the PIM software.
What is Product Information Management?
Product Information Management is a collective process of managing product data. This process includes the collection, refining, maintenance, and distribution of the available product information of your company.
It can also be termed a central repository that is responsible for consolidating, enhancing, and managing product information.
What is a Product Information Management Software?
A retailer, a wholesaler, or a manufacturer needs to control its product information and have it in one place to make it manageable. This is where PIM software helps businesses.
A product information management PIM software is a collection of tools and various processes which help eCommerce businesses manage their product data efficiently. Its main purpose is to assure a combined, comprehensive, and crisp product data in one single place or a repository.
A good PIM software will help eCommerce businesses deliver a better customer experience, have increased productivity for the marketing strategies that are involved in the business, expand into numerous sales channels and make sure the best product data is delivered.
Product information management software is an extended aid to product content management.
Moving on to understanding the need for PIM software for eCommerce businesses.
The Need for a Product Information Management PIM software
eCommerce businesses need a system to manage their product information and product catalogs to speed up their processes. They also want to minimize errors and let the businesses function smoothly.
All this cannot be achieved without having robust PIM software in place. Product information management directly impacts the marketing strategies and sales conversions. Strong management platforms help online businesses function well in the market.
PIM solutions create a central repository for all your product data. With PIM software your business gets streamlined processes to deliver better customer experiences.
Sources also believe 47% of the product data that is entered has at least one work-impacting error. To minimize such errors and have more efficiency in the process, product information management platforms are important. They give businesses a detailed insight to ensure the product information is precise and accurate across all the distribution channels.
Here are a few reasons why all eCommerce businesses need good product management platforms for product content management.
- A 360-degree view- PIM provides a 360-degree view of the product data. Benefits? Accuracy, consistency, relevant information. Such product data is then fit to be shared across multiple channels. With the right product information being entered on the management platform, the customers can have a better and more relatable view of the products through this product data.
- Have a strong omni-channel presence- Businesses that sell on various distribution channels need to make sure their product catalogs can have an omnichannel presence. For this, the product content management should be in the right place.It is observed that companies that have well-laid omnichannel foundations tend to retain 89% of their customers. Delivering the right experience to the customers which include all the right information in proper formats across various distribution channels is an easy task with the PIM solution.
- Global expansion- Consumers get attracted to product pages or descriptions that are in their native languages. Can we achieve this with manual management of product data? Even if we do, this can be a mammoth task. This is when PIM solutions come into the picture. Through product information management platforms eCommerce businesses can target international audiences in their preferred language. PIM translation management modules make it easy and error-free. This is another reason why PIM is a major need for eCommerce businesses.
- An improvised data quality- In competitive markets, you have to make sure all your information is up to date and accurate. A small data entry error could make a huge difference, leading to lost customers or a bad brand image. PIM automates the process of data entry. This automation gets the work done faster and eradicates errors. A good PIM solution could do wonders in such cases.
- Creates personalized shopping experiences- Studies have found, around 71% of customers end up feeling frustrated when their shopping experience doesn’t have a personal touch. Even in cases like these, PIM solutions come in to rescue businesses. A product information management platform can help businesses build personalized experiences which can include content, promotions, campaigns, and everything around it to give users a better experience. PIM is like a foundation built to deliver some great customer experiences. Product information management software is a need for all modern businesses.The more data businesses have, the complex product content management gets. Manual data entries might look like a lot of errors and operational inefficiency. This is why product information management platforms are important.
Now the question is, which PIM software to choose? Let us understand the tips and tricks to choose the right PIM software for you.
5 Questions You Should Ask Yourself Before Making The Decision
1. What will the PIM solution achieve for you?
Different businesses have different KPIs for their product information management platforms across various distribution channels. Here are a few generalized ones that every business can count in-
-integration of all product data with respective prices and availability in real-time.
-reduce the time to market by a certain percent.
-reduction in time spent while editing the product catalogs through efficient product content management.
-have a user-friendly onboarding process for new products and product variants across all distribution channels.
2. Is the product information available in a user-friendly format?
Does it have standard exports or are they customizable? If your eCommerce business enters data in unique fields, you might want the data to be exported in the same format.
In such cases, it is important to have customizable tools that allow you a lot more flexibility.
Well, it is annoying for the end-user/customer if the product information is not exported in a user-friendly format. You may lose your customers to the competition.
Customers prefer easy-to-use search functionality. And it is favorable for the seller too. When customers can search the products easily, the chances of purchase are high.
3. Can I upload pictures and manage my digital assets?
If you are a business that requires the right product images and descriptions together, your business needs to invest in a PIM solution that lets you upload and edit pictures appropriately. Product information management platforms also come in with asset management features. Both of these features will be important in cases where you want to deal with heavy media.
4. How complex is your product data?
The level of complexity of your information has to be determined so that you can choose the right tool accordingly. The complexity, in this case, might refer to the number of data sources your business has, the number of distribution channels, the product lifecycle management, the number of product variants, the number of languages for the product content to be in, and much more. Once you’ve figured all of this out, you can make the right decision.
5. How closely do I have to link my PIM solution to my ERP?
Just like any other management platform, ERP systems i.e. the enterprise resource planning systems use singular databases to store all the data in one place.
A tight ERP-PIM integration creates a two-way flow of data. Your stock information is updated on product pages through this integration. It is very helpful in inventory management when you are handling a multichannel business.
All the channels are updated with the product information and availability. ERP-PIM integration is an asset for companies who want to improve their order management and product information management through SKUs.
Final thoughts
The facts and their explanations show product information management software is essential for businesses. We have also discussed how to choose the right PIM software to avail the highest benefits out of it. By understanding its need and asking the right set of questions, we can surely get to choose the right management platform which can create a great impact on the business.
