More companies are staring to recognize the value of PIM and the market is growing
Product Information Management or PIM for short is a growing market globally. The overall annual growth rate for the PIM market is forecasted at 25.1% from 2019 to 2027. The solid growth rate is due to that many companies see the value of the PIM systems and this naturally results in increased demand. Since PIM is still a relatively new technology, there are many who understandably are hesitant about the decision. Questions like which solutions are winning the market are on the minds of many.
PIM is an investment. And before you know which solution you want to invest in, it is a good idea to know the expected return (ROI). As with so much else, it only makes sense if the investment is profitable. Fortunately, in the vast majority of cases, an investment in PIM is exactly that. But what should you actually consider when assessing the ROI of such an investment?
Where does a PIM system create value?
Product Information Management has many benefits. Imagine what happens if your product data is incorrect, for whatever reason. Maybe you have a dissatisfied customer who demands a refund because they have been misinformed about your product. They might complain to a friend who tells it to someone else, and that does not only mean loss of sales but also loss of brand value - something that is even harder to regain.
And even worse, if errors in product data cause a delinquency, you may not have lived up to the standard for declarations or something else. This is exactly where PIM helps your business.
With PIM, you have complete control over your data, and especially the versioning of data, as you have one source of truth, where there is in doubt about the validity of the data.
In addition, a PIM system also saves your departments a lot of time regarding manual entry of data. This is especially true if your company needs to move all product features and information from all sources onto the product. Another scenario is when publishing product data for your sales channels. Both scenarios accumulate wasted time, wasted opportunities and drastically increase your time-to-market. With a PIM system you move time from manual entry of data to initiatives that create more value and potential sales for your customers.
How to calculate ROI?
Your business is unique, and therefore the way PIM brings value to you is also unique. Some experience great benefits in one area, while others experience it in another. Therefore, it can be difficult to come up with an accurate assessment without having a deeper knowledge of your business. But in general there are some benefits that always apply - the degree of the various benefits depends on your business.
Increasing revenue through:
Faster time-to-market
Increased average order value
Potential to reach new markets through streamlining
New languages will be less challenging due to PIM's powerful languages management
Data supports the customer throughout the buying process and thus increases the conversion rate
PIM makes it easier to generate good SEO texts
Reduced expenses through:
Medarbejdere arbejder mere effektivt med produktdata
Ved at kunne arbejde på tværs af sprog
Aldrig skal lede efter seneste version af et givent produkt
Arbejdsprocesserne ved produktberigelse er overskuelig og klart defineret
Mængden af kredit-notaer falder da kunden har bedre datagrundlag ved køb af produkt.
PIM reducerer udgiften til copywriters, da håndteringen af tekster foregår mere effektivt
PIM standardiserer leverandørdata
Employees work more efficiently with product data
By being able to work across languages
Always being able to see the latest version of a given product
The processes of product enrichment are manageable and clearly defined
The amount of credit notes decreases as the customer has access to better data when purchasing products
PIM reduces the cost of copywriters as the handling of texts is more efficient
PIM standardizes supplier data
We offer a free DEMO of Perfion, inriver or Dynamicweb PIM, so you can see which PIM system is right for you. After a DEMO session, we will be able to calculate your ROI, depending on which PIM solution you choose.
When calculating ROI, we look at reduced costs, process optimization and increased sales as a result of a PIM implementation.
At PicoPublish, we have implemented more than 60+ PIM solutions, and we are ready to help you with yours. Our expertise covers a wide range of industries and companies.
We're ready, are you?