What Is a DAM vs PIM?
by Lumavate | Last Updated: Dec 16, 2023
by Lumavate | Last Updated: Dec 16, 2023
A Digital Asset Management (DAM) solution and a Product Information Management (PIM) solution can both be used to help companies consolidate product details. The difference is that DAM technology can store digital assets whereas PIM technology is the key to bringing product data under a single umbrella. The two solutions are often confused because most PIM solutions include DAM functionality, which can lead to incorrect assumptions about how this technology comes together.
When companies have PIM technology, they can forego spreadsheets, hard drives, and multiple platforms that were likely storing their information beforehand. PIM software consolidates SKUs, product names, product dimensions, pricing, and features. It can help customers and employees understand the benefits of the product before it’s purchased, reducing the need for returns. DAM takes it a step further, giving companies the chance to store product demos, images, and owner’s manuals. It can greatly reduce confusion among customers, departments, vendors, or third-party partners.
When finance and customer service have fundamentally different goals for looking up a product, PIM with built-in DAM functionality is a proven way to organize information so it’s easy to find the answer. If the information of a product needs to be altered, whether that’s an updated user manual or a pricing change, it can be updated to real-time. This way, there’s no lag between when the change occurs and when everyone has access to the information.
A DAM system gives companies the ability to store, manage, and update digital files. It’s typically shared across internal departments and external partners that require access to these assets. These capabilities are often more necessary for companies that they realize before they invest in the technology. With so many products on the market these days, it’s all too common for details to get lost in the mix. When people need concrete answers to their questions, customers might turn to outdated websites or product review sites. Employees and vendors can take their cue from old folders or files, making assumptions that can turn out to be inconvenient at best and destructive at worst.
As SKUs proliferate, a DAM system can help people keep track of countless products in a company’s portfolio. Both a PIM and a DAM can also be helpful for branding, allowing marketers to maintain consistency across the board even as new categories in a company debut. For example, let’s say that a toy company devotes most of their product line to children, but its leadership team decides to come out with a line of action figure collectibles marketed exclusively to adults. A DAM would make it possible for a company to concentrate all the materials for the collectibles into one space, including pictures and spec sheets.
Doing so would give customers and employees the ability to distinguish one line from another, using the platform’s design to instantly show users that the products were created for adult fans of different kinds of toys. When it comes to the type of DAM you choose, it’s important to find a system that can integrate with your current technology. Some PIM software manufacturers claim that they offer DAM functionality, but the DAM functionality is actually offered through a third-party partner. If one company adjusts or improves the software after you purchase it, it can end up causing more hiccups along the way than companies were prepared for.
Companies need a PIM because they’re often working with disparate data found in any number of locations. Employees can easily turn to a spreadsheet for current pricing, a folder for images, and an individual hard drive for a product video. So much of this data turns out to be poorly labeled, often only stating the core product details as opposed to the individual product specs that customers and employees need to move forward with a decision. Every product may list the same benefits, making it look as though one is the same as another.
When you have a PIM solution integrated with a DAM system, you have an effective way to gather product highlights in one place. Regardless of how different the products in a company’s portfolio are, a PIM also allows companies to add their brand’s signature elements to the product so there’s no question of the relationship between them. A quality PIM solution will be engineered with both employees and customers in mind, so it can reinforce a company’s consistency and inspire loyalty in its clientele. When there’s so much choice on the market, the right technology can put all the information on display. When the product information is updated, the changes can be made in real-time, so there’s less miscommunication within a company and fewer complaints on the consumer side.
There are an array of PIM tools in market. As the demand for this technology grows, companies continue to race to get the best versions of the product on the market. This has led to a slew of promises about its functionality, all of which do seem to promise the moon for companies that are fed up with the ever-present disorganization. If you’re looking for the best PIM software 2023, you should know that each PIM and DAM offers its own unique set of advantages and disadvantages. However, it can be difficult to tell what your experience will be simply by researching different company’s marketing claims or even by reading through reviews of the product.
Whether you’re considering Plytix PIM, Salsify PIM, or Pimcore, PIM software examples don't always follow the same rules. For instance, a solution may claim to be user-friendly and adaptable when it can really only operate efficiently with the help of an external team. It may promise to adapt to an evolving company when it doesn't have the capability to scale. Lumavate is a PIM software example that has managed to edge out many of its competitors thanks to its robust functionality. This isn't just product information management or digital asset management, it's a Digital Experience Platform (DXP) that takes into account the entire buyer's journey.
When a prospective customer first stumbles upon a product, they're often interested in basic facts about it. A DXP can show them what they're looking for, so they can decide whether they want to explore further. This software is an example of a PIM that has managed to solve multiple problems at once, empowering customers and professionals alike to carve out straighter, more efficient paths to their goals.