Understanding The Connection Between PIM And PXM
Modern consumers want personalised shopping experiences. They want more information about the products they buy. This desire for personalisation has become a driving force within the Product Information Management (PIM) space. And with the pursuit of creating better product experiences comes the creation of new phrases. Enter Product Experience Management (PXM).
What is PXM?
PXM is a methodology based on delivering products at the right time and in the right format for consumers. It allows consumers to be fully immersed in a buying experience that’s unique to them. In other words, it’s about supplying product data in context and gives a consumer everything they need to make a buying decision.
The rationale of PXM is broken down into three categories:
- Content – This is all product data working together. It includes digital assets, product descriptions, material, colours and more. All product content needs to be enriched at every stage of the buying journey. Otherwise, consumers will shop elsewhere because there is a lack of detailed information.
- Context – This involves looking into how consumers are interacting with products on every channel and tailoring your marketing accordingly.
- Analysis – A strong selling point of PXM is its use of analytics. It’s meant to help brands get a deeper understanding of how customers are interacting with products. By determining how consumers are behaving at every touchpoint, you can develop better buying experiences.
What are some examples of PXM?
- Personalised product descriptions that resonate with a consumer’s interests and activities.
- Cross-selling and upselling items that match a buyer’s personal preferences. For example, an environmentally-conscious consumer might favour a specific kind of material like organic linen. A fashion retailer could suggest several garments that feature the material.
- Creating personalised visual experiences around products. This could involve using an augmented reality (AR) tool to showcase how furniture might look in a home.
There’s certainly a lot of debate surrounding PXM and how it relates to PIM. In today’s fast-paced ecommerce world, it’s worth considering that having a great PIM is key to succeeding with PXM.
Let’s take a look at some of the myths around PXM and break them down:
Myth: PXM isn’t the same as PIM
Reality: The concept of PXM has been around for many years. Creating memorable buying experiences is essential for increasing sales. But as personalisation has become more important for ecommerce, PXM has emerged as a popular marketing tactic. Vendors are using the acronym to differentiate themselves
So, the basic idea behind PIM and PXM is fundamentally the same. Both processes involve personalising data to create richer experiences for customers. And many PIM features have the ability to provide a deep level of personalisation.
For example, PIM can localise product data for buyers in different countries. This might involve translating product descriptions into languages such as German or French. From a personalisation perspective, localisation is great for tailoring a product to a specific customer in a specific location.
The experience can be bolstered further by incorporating high-res photos or a video. Consider tying the digital assets to relatable themes around the consumer’s personal needs. The end result is a product page that provides the right information and a better buying experience.
Another aspect of personalisation in PIM is scoping. A brand can tailor product experiences for different marketplaces e.g. B2B and B2C. Companies can scope their data to fit the technical language specifications of B2B buyers. To market to B2C consumers, brands could scope their product descriptions to feature emotional language.
With scoping, companies are able to present a product within the context of a specific marketplace. Therefore, consumers within that marketplace will have personalised experiences specific to them.
“PXM isn’t PIM 2.0. It’s PIM in collaboration with other information. If you’re going down the experience management route, you need to have data from sources that aren’t available in what we’d consider PIM information.”
Myth: PXM doesn’t need PIM to be successful
Reality: From a selling perspective, an awesome PIM solution is vital for high-quality PXM. Rather than being a separate system, think of PXM as an outward result. PIM is what you use to enrich product data. PXM is how you stage the experience.
But PXM doesn’t necessarily have to be exclusive to PIM. Customer information, logistics and stock data are important as well.
A customer relationship management (CRM) system is an ideal component for PXM. Many ecommerce companies keep up to date information about their customers. Whether it’s an email address or phone number, this data is key to finding out more about consumers.
Combine CRM data with information from an ERP system. Find out what people have ordered from your store and if anyone else has ordered similar products.
With this wealth of data, companies can learn how to target their products towards specific people. So, not only will you have richer product data in PIM, you’ll be able to create the personalised experiences that they crave.
Myth: PXM will replace PIM in the future
Reality: The simple answer is that PXM is already here. It’s already happening with PIM. The technology has the functionality to be able to generate engaging customer experiences.
But personalisation is certainly important for the future. As consumers become more demanding, brands will need to figure out how to cater to their specific needs. Tailoring product data is at the heart of developing these connections.
That’s why PIM is going to be essential for creating and managing personalised product data for years to come.
Two sides of the same coin
The lines between PIM and PXM have become blurred. But rather than being the next stage of PIM, PXM is a helpful colleague. They are two sides of the same coin. When it comes to creating better customer experiences, they share the same characteristics. But to create truly great PXM for consumers, having a great PIM system is a must.