Product MDM vs PIM

Wondering how Product MDM vs PIM stacks up? When comparing Product Information Management or PIM to a Master Data Management system, or MDM system, it is important to consider what your business needs all around. But before diving into this topic, let's understand the two types of systems we're looking at.

What Is a Master Data Management System?

Master Data Management (MDM) allows a company to centralize the process of managing the master data within an organization. A Master Data Management framework is a comprehensive method of managing and integrating critical data assets within an organization. The Master Data Management process serves as a hub where all data can be synchronized and stored across the entire organization.

What Is Master Data?

Generally, master data is the core data that is essential to the operation of any organization. It can include information about customers, products, vendors, employees, or any other entity related to the business. Master data can be distinguished from transactional data in that it does not change frequently, and so needs to be maintained over an extended period of time. Product master data is essential product information like descriptions, attributes, classifications, pricing, and relationships with other products.

Why Master Data Management Is Important?

Master Data is the core information that allows a company to run effectively, and Master Data Management is one of the most effective ways to make certain this information is accessible to those who need it to do their job. It can also provide a wide range of metrics, and so allows for a company to improve.

Master Data Examples

Customer master data: Information about customers, such as names, addresses, contact details, account numbers, and credit limits.
Product master data: Details about products or services offered by the organization, including descriptions, attributes, pricing, and specifications.
Vendor master data: Data related to suppliers or vendors, including company details, contact information, payment terms, and tax identification numbers.
Employee master data: Information about employees, such as personal details, job roles, department assignments, and compensation details.
Asset master data: Details about physical assets owned or managed by the organization, such as equipment, vehicles, or real estate properties

What Are the Benefits of Product Master Data Management?

Effective Product Master Data Management allows for consistency and accuracy across a business. The centralization that Master Data Management tools provide helps data governance topics, improves data quality, enhances decision-making, and supports a wide range of business procedures.

Product Master Data Management specifically has its own set of benefits. Product information, which includes Stock Keeping Units (SKUs), pricing, features, benefits, dimensions, functionality, product images, how-to videos, operator manuals, troubleshooting guides, and more is critical to a business' success. When product master data is stored in a Product Information Management (PIM) solution, it can provide the most benefits, particularly a PIM with a built-in Digital Asset Management (DAM) solution to easily manage product-related digital assets like images and videos. These benefits include:

Ensures data consistency and accuracy across the organization
Establishes responsibility for updating product information
Shortens the time-to-market for creating and managing marketing and sales materials
Reduces the use of inaccurate data in both external and internal materials

What Are MDM Tools?

A lot of emphasis can be placed on making sure that top master data management tools are available to your company. This can lead to obsessing about which are the top 10 Master Data Management tools, or Master Data Management tools Gartner most recommends. But it is not so simple about reviewing a Master Data Management tools list and ticking off what you need. While making certain that an MDM tools list meets your organization's needs is an important consideration, it is not necessarily the most important one.

Master Data Management roles and responsibilities are a critical component of MDM platforms, often more important than knowing which is the best MDM tool? Master Data Management companies, while offering important solutions, can sometimes create more problems than solutions.

What Is Product Information Management?

At first glance, Product Information Management (PIM) can look quite similar to a Master Data management example. But PIM fulfills a more specific role than Master Data Management Solutions. PIM is a specialized software solution to centralize and manage product information within a business. A PIM creates a centralized place for storing and maintaining product data, including attributes, descriptions, images, videos, specifications, pricing, and more. This allows many people within an organization to effectively manage and access this important information.

PIM systems are specifically tailored to meet the needs of businesses like retailers, manufacturers, distributors, and e-commerce companies that deal with a large number of products.

Why Is Product Information So Critical?

A well-implemented PIM can provide the following advantages:

Centralized Product Repository: PIM systems provide a single source for all product-related information, consolidating data from disparate sources and systems into one place.
Data Enrichment and Standardization: PIM solutions allow users to enrich product data by adding attributes, images, videos, and other multimedia content. They also support data standardization to ensure consistency and accuracy across product catalogs.
Workflow Management: PIM systems often include workflow management capabilities to help collaborative content creation, review, and approval amongst teams involved in product data management.
Channel Syndication and Publishing: PIM solutions allow organizations to distribute product information to sales channels, websites, marketplaces, and catalogs in a consistent and automated manner.
Integration with Other Systems: PIM systems integrate with other enterprise systems, such as ERP (Enterprise Resource Planning), CRM (Customer Relationship Management), e-commerce platforms, and digital asset management systems, ensuring seamless data exchange and synchronization.
Data Governance and Compliance: PIM solutions support data governance initiatives by enforcing data quality rules, ensuring data integrity, and facilitating compliance with regulatory requirements, such as GDPR (General Data Protection Regulation).

But above all else, the use of a PIM helps customers buy and use a company's products. This is the information a customer needs to select and purchase a product, and can even help with troubleshooting post-purchase.

What Is the Main Purpose of Product Information Management?

The main goal of a PIM is to have all product information in a single location. This includes a wide range of data such as SKUs, pricing, features, benefits, dimensions, functionality, as well as multimedia content like product images, videos, manuals, and guides. An effective PIM solution will incorporate a robust database specifically designed for managing product data. This ensures that the marketing materials and product information, both internal and external, is up-to-date and accurate.

Who Uses PIM Software?

PIM (Product Information Management) software is used by many businesses across industries, often by manufacturers, retailers, distributors, wholesalers and any other type of company that requires centralized management of product data. Here's a breakdown of who uses PIM software.

Within a company, ownership of the PIM solution typically belongs to the marketing team or product management team, especially in organizations that do not have a dedicated team for product information management. However, many departments within the company will need to use the product information stored in the PIM:

Sales Teams: Sales teams rely on the product information stored in the PIM to effectively communicate product features, benefits, and pricing to potential customers.
Customer Support Teams: Customer support teams use PIM data to assist customers with inquiries, troubleshoot issues, and provide accurate information about products.
Product Management Teams: Product management teams are responsible for maintaining product data integrity within the PIM and using it to make strategic decisions about product development and marketing.
Marketing Teams: Marketing teams utilize the rich product data stored in the PIM to create marketing materials, such as product catalogs, brochures, and online advertisements.

What Are the Primary Tools Which a PIM Employs?

Product Information Management (PIM) tools allow an organization to centrally store and manage all types of product data. This includes a wide range of information such as product descriptions, SKUs, pricing, features, benefits, dimensions, and functionality. The main purpose of PIM software is to ensure that product data is accurate, consistent, and up-to-date across the entire company.

In addition to textual information, product data managed by PIM software can also include related digital assets, especially if the PIM solution incorporates built-in Digital Asset Management (DAM) functionality. These digital assets may include product photos, how-to videos, owner's manuals, spec sheets, and other multimedia content. By integrating DAM capabilities, PIM solutions provide a comprehensive platform for managing all kinds of product information.

One of the key features of PIM software is its ability to allow multiple users to log in and update product data in real-time. This collaborative functionality enables teams from various departments, such as marketing, sales, product management, and e-commerce, to work together to seamlessly maintain and update product information. Whether it's adding new products, updating pricing information, or editing product descriptions, multiple users can simultaneously access the PIM system to make changes, ensuring that the data remains accurate and synchronized.

What Is the PIM Competitive Landscape Like?

There are numerous Product Information Management (PIM) solutions available today, each offering the ability to centralize the management of product data while also providing additional functionality tailored to specific business needs. Some of the notable PIM solutions include:

Plytix: Plytix is a PIM solution designed to help businesses manage their product data efficiently. It offers features such as centralized product information storage, data enrichment, and multichannel distribution.
Pimcore: Pimcore is an open-source PIM solution with a wide range of features including product data management, digital asset management (DAM), web content management (WCM), and e-commerce capabilities.
Salsify: Salsify is a cloud-based PIM platform focused on empowering brands to deliver exceptional product experiences across all digital touchpoints. It offers features for managing product data, digital assets, and syndication to various sales channels.
Inriver: Inriver is a PIM solution designed to streamline product information management and enable product storytelling. It offers features such as product data enrichment, workflow management, and integration with e-commerce platforms.
Catsy: Catsy is a PIM solution aimed at helping businesses manage product information more efficiently. It offers features such as centralized product data storage, data synchronization, and support for various sales channels.
Lumavate: Lumavate stands out as a preferred solution due to its robust functionality as a PIM, Digital Asset Management (DAM) solution, and Digital Experience Platform (DXP). It offers features for centralizing product data, managing digital assets such as images and videos, and delivering personalized digital experiences across multiple channels.

While each PIM solution offers the ability to centralize product data management, Lumavate distinguishes itself by providing a comprehensive suite of tools that encompass PIM, DAM, and DXP functionalities. This integrated approach allows businesses to not only manage product data effectively but also deliver engaging and personalized digital experiences to their customers across channels, making it the preferred choice for companies looking for a robust solution to their product management needs.

What Is the Best Way to Choose a PIM?

When choosing a Product Information Management (PIM) solution for your business, it's important to consider several questions to make sure the software fits with your company’s needs and goals. Here are key five questions:

What functionality do you need? Identify the specific features that are essential for your business. This can include centralized product data management, digital asset management (DAM), workflow automation, data enrichment tools, or multichannel distribution capabilities.
What other systems do you need to integrate with? Determine which other systems within your organization need to integrate with the PIM solution. This can include e-commerce platforms, ERP (Enterprise Resource Planning) systems, CRM (Customer Relationship Management) software, or content management systems (CMS). Ensuring integration with existing systems is crucial for data consistency and efficiency.
How will the product information be used? Consider how product information will be used across different departments and channels. This includes marketing materials, sales collateral, e-commerce websites and mobile apps.
What type of budget is defined for this initiative? Define your budget for implementing a PIM solution, including upfront costs for software licensing, implementation, customization, training, and ongoing maintenance. Consider the total cost of ownership over the long term to make sure that the chosen solution is sustainable with your budget constraints.
What is your timeline for implementing a solution? Determine your timeline for implementing a PIM solution and achieving the desired outcomes. Consider factors like deployment complexity, data migration requirements, customization needs, and internal resource availability. Establishing realistic timelines makes certain of a smooth implementation process.

The Many Benefits of Choosing Lumavate as Your PIM

While evaluating PIM solutions, Lumavate stands out as a comprehensive choice due to its complete Product Experience Management (PXM) functionality. The Lumavate Platform offers a robust suite of tools, including:

Product Information Management (PIM) solution for centralizing product data management.
Digital Asset Management (DAM) functionality for storing product-related digital assets.
Digital Experience Platform (DXP) for building engaging digital product experiences.
Text messaging capability for personalized customer communication.
Comprehensive form builder solution that integrates with the company's system of record.

Lumavate is unique in its breadth of functionality, offering a comprehensive solution that addresses various aspects of product management and customer experience. Lumavate is often 75 percent more cost-effective than competitive solutions with less functionality, making it an excellent choice for businesses seeking both a versatile and cost-effective PIM solution.

How Much Does a PIM System Cost?

Pricing of a PIM system can actually be quite complex. Some software bases pricing on the number of SKUs stored in the PIM, while others base it on how many times that the product data is accessed. Lumavate, on the other hand, is quite unique amongst PIM Solutions in that it offers transparent pricing, including a PXM Platform that starts at $499 per month. This creates an affordable solution that is typically 75 percent more effective than its competitors.

Why You Need More than a PIM

While a PIM solution is indispensable for companies dealing with physical products in order to centralize, centralization alone is not enough. The value of product data is in its accessibility across a wide range of channels.

Accurate product data stored in a PIM is merely a foundation, and in order to be truly effective, it has to be integrated into marketing materials and digital experiences. Many PIM solutions lack built-in functionality for this and often require extensive third-party software solutions or custom-built integrations to allow product data to be used to its full potential.

Lumavate takes a different approach by offering a comprehensive solution that includes a built-in Digital Experience Platform (DXP) seamlessly connected to its PIM solution and Digital Asset Management (DAM) functionality. This integration allows Lumavate users to create dynamic digital product experiences in minutes, pulling in all product data and related digital assets in real-time.

With Lumavate, companies can centralize their product information and use it effectively across marketing, sales, and customer service materials without the need for extensive technical resources or complex integrations. This means product data is not only stored centrally but also available for easy use across digital platforms and marketing materials. This allows businesses to deliver consistent and engaging product experiences across the board.

What Lumavate Offers

Lumavate is a comprehensive Product Experience Management (PXM) platform giving companies the power to effortlessly create and manage digital product experiences. It offers a built-in Product Information Management (PIM) solution, Digital Asset Management (DAM) functionality, Digital Experience Platform (DXP), text messaging, form builder, as well as over 40 integrations. This all-in-one solution enables manufacturers and sellers of physical products to efficiently manage product data, update digital experiences, send targeted text messages, collect registrations, and much more.

Lumavate provides an unmatched breadth of solutions at a fraction of the cost compared to platforms offering less functionality, making it the go-to choice for businesses seeking comprehensive product experience management.

How to Implement Lumavate

Implementing Lumavate is simple. Begin with a 14-day free trial or schedule a demo. Subscription plans start at $499 per month, with same-day onboarding upon purchase. Designed for marketers, Lumavate requires no technical expertise to operate. Professional services are available for initial product data implementation if needed. Many companies launch digital product guides within days and expand Lumavate usage to websites, sales resources, and events soon after.