What Is PIM in Retail?

PIM stands for product information management. It is software that centralizes all product information to create a single source of truth. It reduces the time employees spend trying to locate product information. Consistent data ensures a positive customer experience.

For many retailers, maintaining accurate product information is labor-intensive. Employees scour network directories for needed files. They contact others to locate the most current data. They may create duplicate information if they cannot locate the necessary information. As a result, inaccurate information can quickly spread across the enterprise.

Since most retailers have some online presence, one error can be replicated across the virtual landscape in seconds, weakening customer relationships. Almost 70 percent of shoppers use the Internet to research a product before buying. Nearly 50 percent use social media sources as reliable research tools.

Conflicting information means potential customers look elsewhere. If the product doesn't match the online data, the customer is dissatisfied and may return it. Without a product information management system, retailers are jeopardizing their business growth. So, what is PIM software?

What Is PIM in Retail?

PIM software collects, organizes, stores, and distributes product data from a central repository. The information is curated before storing it in the central repository. With version and access control, retailers can ensure that only brand-approved information is available. The solution allows people from across the enterprise to access information as needed for sales, service, and marketing.

What Is the Function of a PIM?

The primary function of a PIM solution is creating a single source of truth for all product data by centralizing the data in a single repository. Product data can include the following:

• Product Descriptions

• SKUs

• Product Pricing

• Product Reviews

• Product Features and Benefits

• Product Ratings

• Product Functionality

• Product Specifications

If a PIM solution includes digital asset management (DAM) software, organizations can include digital assets such as:

• Product Images

• How-to Videos

• Product Galleries

• Installation Guides

• Owner's Manual

Combining PIM and DAM functionality, retailers can consolidate product information into a solution that allows multiple users to access the data simultaneously, increasing productivity.

What Is the Need for a PIM?

While a PIM's primary function is to consolidate product information, the benefits of that consolidation reach far beyond operational efficiencies.

Data Quality

Without a PIM, product information may be in spreadsheets, attached to emails, or stored on an employee's hard drive. Finding the information, validating it, and distributing it takes time. The process may be repeated multiple times during a product's lifecycle. Not only is the process inefficient, it is also costly.

Only properly vetted data is placed in the repository following an established workflow. A subset of users is authorized to create, modify, or remove information. The process helps cleanse the data so only quality information is available to users.

Consistent Information

Data consistency is crucial to creating brand loyalty. Successful retailers have clear messaging across all product lines. With a PIM, marketing can ensure that the messaging is on-brand. They can make content available to partners so messaging is not lost or diluted.

Employees can use information on a website, product catalog, or sales presentation without worrying about inconsistent or conflicting data. With a PIM, marketing can create materials in different languages, knowing that the original content carries the appropriate messaging.

Collaboration

PIM software facilitates collaboration. With the appropriate permissions, users can access in-progress information to provide comments or corrections. With version control, each submission is tracked to ensure that only the latest data is incorporated into the centralized repository.

Instead of sending files via email for comments or corrections, each reviewer can provide input that is recorded using version control. Tracking changes increases the accuracy, consistency, and quality of published information.

What Companies Market Product Information Management Software?

The market for PIM software is projected to reach $31.98 billion by 2029. New companies enter the market, and existing ones continue to grow. The PIM software examples include established vendors with large market shares, such as Pimcore and Salsify PIM. Other PIM tools in market include:

• Plytix

• Inriver

• Akeneo PIM

• Acquia PIM

• Lumavate

Each PIM solution offers the ability to centralize and manage product data. Some offer added functionality. However, Lumavate is often the preferred solution, given its robust functionality as a PIM. Lumavate's platform has a built-in Digital Asset Management (DAM) solution as well as a Digital Experience Platform (DXP). The DXP offers unparalleled access to analytics to provide insights into product content to improve the customer experience.

Choosing a PIM Solution for Retailers

There's more to choosing a PIM than looking at the Top 10 PIM software providers. You need to ensure that the best PIM solution addresses the following:

Functionality

If your company relies on digital assets for its messaging, you'll need an integrated digital asset management (DAM) component. You can always combine solutions from different vendors; however, the multi-vendor solution rarely delivers the seamless integration of a single product. Lumavate's platform is a fully integrated solution that lets you tie digital assets to product information to create an exceptional digital experience through its digital experience platform.

Integration

Product information does not exist in a vacuum. Pricing information impacts accounting, sales, and order entry. Internal training manuals should change when product improvements are released. Customer service agents should have their resources updated with the latest product information.

To have an enterprise-wide process for updating product information requires integrating a PIM with other solutions. Large PIM vendors may not have the time or resources to maintain an existing interface or develop a new one. If a new integration is needed, you may incur added charges for the development.

Make sure that the PIM software integrates into your critical systems. With over 40 integrations in place, Lumavate may already have the connections you require.

Budget

Cost is always a concern. Many software companies do not provide transparent pricing. Lumavate is not one of them. The platform offers subscription plans starting at $499.

The purchase price or subscription fee is only the beginning. Companies may charge for customization. If you require an option that is not available on the standard product, you may have to pay for it to be developed or wait until it is included in a future update.

Installation

When do you need the PIM software installed? Some companies require their technical staff to install, configure, and deploy the software -- at an added charge. Larger companies may have longer lead times, making it hard to get on their schedule quickly.

Smaller organizations such as Lumavate are more agile and can meet customer installation timelines. Since Lumavate is a no-code solution, non-technical staff can use the software, and onboarding new clients takes hours, not days.

Support

Software is continually evolving. New features are added, and problems are fixed. However, how quickly these improvements are deployed varies significantly. Some companies release annual or semi-annual updates, meaning features or fixes may wait six to 12 months to be addressed.

Other companies, such as Lumavate, use a continuous improvement model, where updated software is released every two weeks. Customers do not have to wait months for critical fixes or features.

Right Solution for Retailers

Lumavate's PIM is part of its digital experience platform that integrates digital assets with product information for an end-to-end product experience. If you're looking for a company with the agility to address the rapidly changing digital world, contact us for a look into the future.