In an increasingly data-driven world, the capacity to analyze your product information, efficiently distribute it across multiple channels, enhance its quality and accuracy, and promptly identify and rectify any errors becomes crucial. Leveraging a Product Information Management (PIM) system can significantly streamline your operational processes, ensure data consistency, and facilitate the scaling of your business in a competitive market. In this piece, we’ll explore considerations for selecting a product information management solution for your retail business.  

What is a Product Information Management (PIM) Solution?  

Product information management (PIM) software is a data management tool for businesses to access and edit product information in one centralized location, otherwise known as the one source of truth. A PIM solution is vital for digitally minded businesses selling through multiple channels, such as in-store, eCommerce, and mobile apps, as it creates an immersive and engaging product experience for the customer no matter how they’re interacting with your brand.  

An Omnichannel Retail Experience  

PIM solutions will play a crucial role in delivering on these three expectations. The PIM software market is projected to grow at ~12% a year to ~$25 billion by 2030, underscoring how quickly the industry is adopting this technology. According to some estimates, companies lose around $10 million a year due to poor data management and quality. Chris Hauca, general manager of SAP Commerce Cloud, shared that a PIM can help “businesses drastically reduce the time users spend on routine tasks in creating, managing, and syndicating quality product information.” A PIM therefore can help mitigate those losses by centralizing knowledge, standardizing product information across suppliers and channels, and freeing up employees for more meaningful work.  

As retailers compete for loyal customers, providing a seamless experience across channels will continue to be paramount. Additionally, customers expect personalized and rewarding service through dynamic content and compelling loyalty programs, further demonstrating the need for retailers to have a powerful solution that can help them meet these evolving expectations and demands.  

PIM solutions retailers use today 

Akeno is a popular option for retailers to use. It has a free version with limited features for retailers to try out before committing to the paid version. Akeno is a SaaS-based solution compatible with other channel platforms through third-party integration. This allows the functions to work well, improving data quality and consistency along with customer satisfaction, as the products are streamlined creating fewer returns, improved experiences, and quicker time-to-market. Leading global brands, manufacturers, distributors, and retailers, including Chico’s, The Very Group, TaylorMade Golf, Rail Europe, Kering, and more, trust Akeneo. 

Salsify is another popular option for retailers to use as a PIM solution. It’s scalable, providing easy integration of assets across channels, and user-friendly, as the templates make exporting easy. This solution provides similar benefits to Akeno, such as streamlined product data and higher customer satisfaction, and is trusted by some of the largest retailers in the world including Mars, L’Oreal, Coca-Cola, Bosch, and ASICS. 

Selecting the Right PIM System 

Implementing a PIM system can provide numerous advantages to a retailer, including increasing production capability, which can allow for more creative and channel-oriented product launches, and with new products, a PIM solution can help ensure inventory accuracy and improve customer satisfaction rates. Additionally, a PIM solution can dramatically improve customer loyalty programs by providing visibility into customer data, enabling retailers to specifically cater rewards to individuals’ preferences. Understanding which factors should be prioritized for your business requires some due diligence.  

When deciding which PIM software is right for your business, here are three steps that will set you up for success: 

1. Consider the consistency across all channels, including data control, in/export capabilities, integrations across other systems, workflow automation, and the size and scalability of your business. 
2. Assemble the right team in place to determine the most important business requirements. 
3. Host workshops with the eventual end-users of the software to understand the functional needs of the software and build out a to-be system document. 

Clarkston Can Help 

An investment in a PIM solution is typically only the starting point for our retail clients. Regardless of whether your organization is taking on a large transformation or simply evaluating PIM solution options, the retail experts at Clarkston Consulting are ready to assist. Reach out to us today, and we can help you plan your organization’s next steps into the exciting space of product information management. 

Contributions from Ian Civiletti