Product Information Management (PIM) solution becomes inevitable for modern-day businesses. Over the years, the PIM system has been transforming how businesses control their business operations. But in recent years, businesses especially involved in commerce activity show more importance on having digital PIM solutions to gain a competitive edge in the marketplace.
This article elaborates why modern businesses show more interest in having Product Information Management (PIM) solutions.
Who needs a Product Information Management (PIM) solution?
Before discussing who needs a PIM system, Let us explain what is PIM?
Well, a PIM is a system that collects, manages, organizes, and enriches the product information/data in a centralized location. Also, it helps to streamline the business operation by sending accurate product data/information to multiple channels in time.
With the PIM solution marketers can able to access the right product information on time which will be more beneficial for creating product catalogs and running successful promotional campaigns.
To get better insights about product information management, don’t miss to read What is PIM? – An Ultimate Guide for Product Information Management Services.
A digital PIM system plays a key role in improvising the business value chain, so the PIM system interconnects all the departments of a business. Here we have listed a few of them for your reference.
Marketing & Sales
There is no need to explain why the marketing & sales department of a company requires a PIM solution. The consolidated and enriched product data/information is the key for conducting an effective marketing campaign at every possible customer touchpoint.
Supplying department deals more with the product data/information including the price and product inventory stock details. They are responsible for managing product inventory volume.
The procurement department handles product details like price, quality, contract details, and supplier details. They collect and store that product information; also they streamline that information according to the supplier’s need.
Research & Development
Well, when it comes to the business value chain, no department going to miss it. The R&D development or design division of a business will utilize the PIM system to improvise the product development process.
Customer Care Department
The customer care department always is in touch with consumers by handling complaints, addressing FAQs and so. They are the right person to raise a special request to enhance the product-related data/information or product catalog or documentation according to the consumer’s mindset.
Finally, PIM digital system allows customers to add their reviews to the products along with photos & videos based on their experience with the product.
Why is the PIM solution so important?
The ultimate aim of the PIM solution is to offer product enrichment and enhancement at the same time. Also, with the PIM system, multiple team members are able to manage and edit product data/information which is stored in a single location. More importantly, the PIM system is designed to store all the edit works done by the users, so that business leaders are able to track all those changes done in the future and make necessary decisions.
The usage of the PIM system becomes so handy for the businesses that handle hundreds of products, unlike small businesses they can’t hire product specialists to maintain their huge sum of product list. In addition, here are a few more vital reasons that make usage of the PIM system essential for a business.
In today’s market, you can find a lot of software or tools that assist business leaders in evaluating, managing, and distributing products. However, none would offer benefits as the PIM solution does.
1. Increasing Business Efficiency & Productivity
A Digital PIM solution is a central hub and a one-stop solution for all your team needs on finding relevant product information/data. With the presence of the PIM digital system, your employees don’t need to spend more time on locating, organizing, and managing product data/information. Instead, they can utilize those saved time on launching new products and creating more efficient product catalogs.
Having an organized and well-maintained PIM system will always help businesses to keep things under control and allow business leaders to focus more on launching new products.
2. Improves Quality of Product Content
Using a PIM system will enrich the product content and get desired attention from the consumers. As a business leader, you would always expect consumers to read out the product data thoroughly however it won’t happen until it is perfectly optimized. If you fail to meet the expectation of the consumers, then surely they will move on.
A PIM system optimizes your product content and offers you the right infrastructure where you can streamline your business operation. Having a PIM digital solution will allow business leaders to present well-optimized product content along with attractive images and videos.
3. Provides Complete Control Over Product Information & Product Relationships
The integration features provided by the Product Information Management platform helps business leaders to streamline their product data/information process. Also, it gives complete control over the product information stored in multiple systems across business entities.
In addition, the PIM system helps businesses to make better relationships between products through its relativity. With the product relationships, businesses are able to achieve good sales and customer satisfaction.
4. Offers Single Source of Truth (SSoT)
PIM systems act as a single source of truth for product data allowing all the employees of an organization to access the same data/information while making an important business decision. The centralized data storage location ensures everybody in the organization/business access the single version of the product data.
5. Enhances Customer Experience (CX)
PIM allows Businesses to create customer-centric catalogs and structures for their products. Because of that, consumers can easily find what they are looking for. Once consumers start finding the right products in your store it will eventually lead to building a positive customer experience (CX).
Having a positive customer experience is a big plus for organizations/businesses that look to expand their business operation. A PIM system makes things easier for consumers to find the right products from your store and enhances the customer buying experience.
6. Increases ROI Of The Business
Modernized PIM solutions assist businesses in many ways and boost their revenue. It simply increases your sales conversion rate and transforms your sales significantly. Also, with better product data management consumers will show more interest in buying your products and the ratio of product returns will reduce dramatically.
As per the study report, a modern designed PIM system reduces product returns by 40% and increases the sales conversion rate by 4x, this eventually plays a positive role in a company’s/business’s ROI.
To explore the benefits of implementing a PIM solution for your business, visit What Are the Benefits of PIM (Product Information Management) Systems?
How to select the right PIM solution?
As today’s world experiencing digital transformation in every sector, businesses and organizations now moved on from asking, what is Product Information Management and starts recognizing the digital benefits of a Product Information Management platform.
Many Product Information Management platforms are available in the market so it is quite confusing for the brands to understand which one is right for their business.
However, the real quest for businesses begins with how to select the right PIM system? Well, this section will clear you on this, take a look.
Very often modern businesses face hard times in managing their product data on multiple spreadsheets, managing supplier data, and facing data on-board challenges.
So, you should consider picking a PIM solution with desired onboarding data capabilities allowing you to quicken the data uploading process along with easy digesting product digital assets. Also, it should ease the flow of communication between the entities including vendors.
Data management is the second biggest problem faced by modern businesses. Product data plays a major role in gaining a good customer buying experience; businesses need to provide rich and accurate product data/information.
A PIM solution offers such internal data enrichment and allows business leaders to set data quality and completeness standards. This allows modern businesses to address the necessity of quality data in today’s market.
For every business, data distribution is the final stage that requires businesses or organizations to connect with multiple systems.
A digital PIM system offers a seamless integration that allows easy communication between multiple systems and introduces automation in data transfer/distributions. Thus data distribution becomes so easy and accurate between various departments of a business/organization.
Apart from that, before stepping into the process of finding the right PIM system make sure you are well-determined with your business scope and requirements. By doing so, you can pick the right Product Information Management platform which offers exactly what you looking want for your business.
While selecting the PIM platform, you need to make sure it contains advanced features and functionality. To get insights into the most important features of PIM solution, read Must Have Features of Product Information Management System.
Product Information Management trends 2021 and beyond
Digitalization has led to the continuous evolution and implementation of new technologies for the development of the business. These advanced technologies enable scalability, flexibility, and smarter systems for managing operations, product data, and customer data.
Take a look over the latest Product Information Management Trends.
Use of AI and ML for improved data quality
Making use of Artificial Intelligence (AI) and Machine Learning (ML) in the PIM system improves the quality of product information. These technologies help in tracking the user’s search pattern, the product journey, and the data collection.
It leads to gathering information from different touchpoints. It provides a bigger picture of customer behavior and needs and optimizes sales and marketing.
Smoother product data sharing and distribution
Connecting the PIM system with the internet allows the organization to easily share and distribute the data to the different stakeholders.
The improved user using augmented reality
PIM implementation enhances the customer experience. Augmented reality enables the best experience for the customers.
Completeness of product data
Today’s customers are tech-savvy and they make use of different platforms for gathering the information for the products of their interest. They do detailed research for the product before making the purchase. PIM allows providing the best and accurate information to the customers’ thus building trust.
Make effective strategic decisions
PIM system allows the company to make strategic decisions. It allows managing the different product attributes and enables promoting them across the different multiple channels and leading markets.
The different participants like the vendors, suppliers, and dealers play an important role in enriching the product details and adding value to it. PIM allows access to multiple users for accessing the data based on their role.
Making use of the omnichannel strategy allows the company to deliver the products to the customers along with end-to-end personalization. With an omnichannel approach, it is possible to purchase online or pick from the local market store.
It allows the customers to check the product before picking it. This ensured consistency, accuracy, flexibility, and also quick response to the queries.
Audio-visual-based product information
Customers prefer checking out the product specification, technical data, and graphical details of the product before making the purchase. PIM allows in managing the digital assets and providing the images, audio clips, and videos of the product that help in better product promotion.
Reach out to the global market with marketplace integration
PIM system is advanced and allows the enterprise to connect to the different leading marketplaces at a single click. PIM modules allow the company in mapping Product data on the preferred marketplace. This allows in adding revenue by increasing sales in different marketplaces.
For any product-based company for the development of the business, it is important to have accurate and best product information. A Product Information Management system allows the organization to provide the best details to the customers based on which customers select and purchase the product. Using a robust PIM system having all those latest Product Information Management Trends will help the organization to stay ahead of the competition.
To explore more about the latest trends of Product Information Management, read Product Information Management Trends to Watch Out in 2021 & Beyond.
Hope this article would give you a clear vision of the digital PIM solutions and what they offer to modern business. However, the benefits of the PIM system are not limited to the above-listed points. In today’s technological renaissance, modern-day business requires such innovative investment in PIM solutions to reap those advanced benefits.
So what are you waiting for!
By this time almost 55% of organizations or businesses involved in eCommerce have already switched to a PIM environment. Don’t make it too long; start grabbing your opportunity by adopting to the PIM environment now.