Product Data Management in eCommerce
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Over the years, the eCommerce space has witnessed substantial and steady growth thanks to technological advancements and innovations. The evolving customer expectations regarding product viewing and purchase also have been a key driving force for the shift in the eCommerce landscape.
Today’s customers have shifted their focus from brick-and-mortar stores to the easy, convenient eCommerce platforms to view/purchase products. The purchase decision-making journey has become more complex as now more customers are looking up for product descriptions, reviews, and recommendations from their peers and friends, both online and offline, before making a purchase decision.
The product information available on an eCommerce platform is quite crucial for the business owners. Product data has the ability to make or break the eCommerce business. The quality and accuracy of product information available on the eCommerce platform is essential for encouraging the customers to make the purchase. Here comes the role of a Product Data Management System.
What is a Product Data Management System?
A Product data management system can be referred to as the application that acts as a centralized location for storing and managing product data sourced from a diverse range of channels and sources. Product management systems play a crucial role in standardizing product information and streamlining the process of distributing product information across a multitude of sales channels.
PDM systems can be easily integrated with specific aspects of your other eCommerce software such as control systems and inventory tracking.
The ultimate objective of a product data management system is to overcome the challenges of product information management, ensure distribution of the top-notch quality product information, and enable eCommerce brands with the opportunity and tools to improve their product data at all times.
Key Challenges in Product Data Management for eCommerce businesses
Inaccurate Product Data
Product data accuracy is vital for eCommerce success. If you are not yet convinced, we have some interesting statistics to reinstate the fact.
According to a study conducted by Forrester Consulting for UPS, 65 percent of e-commerce returns occur due to mistakes at the retailers’ front. Besides, 22 percent of customers return products as there is a deviance in the actual and portrayed image of the product on the eCommerce platform.
The loss goes beyond the product returns. The inaccurate product data on the eCommerce platform may impact the customers’ perception of the brand, and its product/service offerings. This loss in trust and perception may turn out pricey for the eCommerce brands.
A product data management system can ensure that accurate product data is being published and updated in real-time across the brand’s e-presence.
Organizing massive amounts of content
Globalization has changed the face of many industries, eCommerce being at the top. Globalization is followed by an increased product portfolio and the responsibility to manage a massive amount of product data across the multichannel sales environment.
This makes it challenging for eCommerce brands to easily update, streamline content, and standardize product information. Doing this manually can be tedious and time-consuming and not a pragmatic approach. A robust product data management system, however, can change the scenario, in a positive aspect.
Reduction in productivity and efficiency
Managing high volume SKUs across multiple platforms manually is not a scalable option. Lost productivity, lowered morale, and possibly carpal tunnel syndrome are some of the rather harsh impacts of it.
Without a central hub that provides easy access to standardized and centralized information, eCommerce businesses can expect a lot of back and forth and pricey mistakes. Besides, this will impact the productivity, and efficiency in both external and internal fronts.
The Objective & Advantages of Leveraging a Product Data Management System
Product data management services have been at the forefront given the rapidly evolving eCommerce landscape. They have indeed become one of the fundamental aspects of eCommerce operations, lately.
The fundamental benefits of a product data management system are many. A robust PDM system improves the manner in which an eCommerce business deals with product information in a holistic manner.
Here are the major ways a PDM system can impact an eCommerce business:
Improves Data Management
A product data management system acts as a central repository for all the structured data pertaining to the products. It enables the team by reestablishing clear outlines for individual responsibilities and ownership pertaining to product data management. With an unarguably efficient workflow, it improves the product information quality, accuracy and ensures on-time updates.
Improves Customers Experience
Customer experience is vital for business success. A product data management system ensures that the products are accurately, and adequately described, segregated, and stocked. This goes a long way in helping the customers to easily and quickly locate the products on the eCommerce platforms. It boosts their product perception and offers up-selling, and cross-selling opportunities.
A robust product data management system enables eCommerce brands and retailers to collate product information from a multitude of sources that includes suppliers, to offer accurate, precise product data available for the end-users. PDM systems reduce the time spent on the data entry, which encourages eCommerce brands to rather utilize this time in optimizing their range of products. Unequivocally, it will boost the sales, and revenue streams.
Improves Speed to Market
Time to market is vital in today’s ever-competitive marketing landscape. Getting the new products introduced to the end-users is essential for ensuring the product gathers necessary attention from the intended user base. The delay in time to market can be translated to lost sales and revenue opportunities. Product data management systems are one of the best methods of expediting the time to market effort.
Improves the Searchability of Product Information
With the growing popularity and wide-scale adoption, mobiles and smartphones have become the ultimate device of choice for daily tasks, be it ordering something online to listening to music.
In the eCommerce space, accessibility to real-time product information is vital. The sales team needs these data to address technical questions pertaining to the products decisively. A robust PDM system will ensure that all the latest product data is in one central repository and is easily accessible, 24/7. By leveraging a PDM system, eCommerce businesses can reduce unnecessary costs, empower their personnel, and nurture a good relationship with customers.
If you are looking for best-in-class PDM systems, do get in touch with the experts at Vinculum, today!
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