How a Leading Distributor Transformed Their PIM System with Pimcore?

Our client, a leading distributor of electrical and plumbing products, faced significant challenges in managing product information across multiple systems and channels. Data inconsistencies, inefficient product enrichment, and difficulties in distributing product data to eCommerce platforms hindered business growth and customer satisfaction.

To address these issues, the distributor implemented a Pimcore-based PIM solution. This solution centralized product data, streamlined workflows, enhanced product information, and facilitated seamless data distribution.

By integrating data from SAP, Affiliated Distributors (AD), and Industry Data Warehouses (IDW), the PIM system improved data accuracy and consistency. The implementation of Pimcore resulted in significant improvements in product data management efficiency, increased sales and revenue, and enhanced customer satisfaction.

The solution delivered a strong ROI by optimizing product information management processes and enabling data-driven decision-making.

About the Client

The client is a prominent distributor of electrical and plumbing products, operating across 26 stores in Missouri and Illinois. With a strong market presence, the company has been serving the industry for several decades.

The business stocks over $15 million worth of products and manages inventory at each branch, replenished daily from their central distribution center. However, the rapid growth and expansion of product lines presented challenges in managing product information effectively.

The company previously relied on disparate systems and manual processes to handle product data, leading to inconsistencies, delays, and inefficiencies. The need for a centralized platform to streamline product information management became increasingly evident to optimize operations and enhance customer satisfaction.

Business Challenges

The client encountered significant challenges with its existing in-house PIM system. These challenges were twofold, comprising both functional and technological aspects that hindered their efficiency and growth.

Functional Challenges

1. Time-consuming Updates to Product Information

The distributor's in-house PIM solution required substantial manual effort to update product information. The process of adding or modifying product details was labor-intensive and prone to errors.

This inefficiency led to delays in making updated product information available to stakeholders, affecting both internal operations and customer experiences.

2. Difficulty in Syndicating Product Information Across Various Platforms

The existing system struggled with the efficient syndication of product information to various sales channels and eCommerce platforms. As the distributor expanded its online presence, the need to consistently update and synchronize product data across multiple platforms became increasingly critical.

The in-house PIM's limitations resulted in inconsistent product information, leading to potential customer dissatisfaction and lost sales opportunities.

3. Managing Non-Stock Items Effectively

Non-stock items, which are products not regularly kept in inventory but sourced based on customer demand, presented a unique challenge. The in-house PIM system lacked robust features for managing these items efficiently.

This resulted in difficulties in tracking availability, processing orders, and providing accurate information to customers, thereby affecting businesses’ ability to respond swiftly to market demands.

4. Creating Product Kits

The business often needed to create product kits, a combination of several products sold together as a single unit. The in-house PIM solution did not support the seamless creation and management of these kits.

This limitation made it challenging to offer bundled products, which are essential for certain customer segments and marketing strategies, thereby restricting potential sales growth.

Technological Challenges

1. Scalability Issues as Data Volume Increased

As the product catalog and customer base grew, the in-house PIM system struggled to handle the increasing volume of data. Scalability issues emerged, resulting in slower system performance and longer processing times.

This affected the overall efficiency of data management tasks and the ability to quickly respond to business needs.

2. Integrating with Affiliated Distributor (AD) for Improved Data Influx

Integration with external data sources such as Affiliated Distributor (AD) was a critical requirement for the client. AD provides extensive product data that could significantly enhance own product information.

However, the existing PIM solution lacked robust integration capabilities, making it difficult to import, cross-reference, and utilize this external data effectively. This limitation prevented the business from fully leveraging AD’s data to enrich its product catalog and improve data accuracy.

PIM Implementation To Address The Business Challenges

To address the challenges faced by the client and streamline its product information management, a comprehensive Pimcore-based PIM solution was implemented. This solution transformed the distributor’s business processes and significantly improved data management and operational efficiency.

Pimcore Import

• Automated Nightly Imports: The system will perform automated nightly imports from SAP, AD, and IDW, ensuring that the latest product data is always available.

• CSV File Management: Separate CSV files for products, vendors, and customers will be managed by Pimcore, which will import and update these files automatically.

Product Views

• Three Product Views: Each product will have three distinct views - SAP Data, External Data, and Master Data.

• Editable Master Tab: The SAP Data and External Data tabs will be non-editable to maintain data integrity. The Master Data tab will be editable, allowing for product enrichment by authorized users.

Create New Product

• Controlled Product Creation: Only the marketing team will have the authority to create new products, ensuring consistent data entry standards.

• Non-Stock Items and Kits: The marketing team will also have the ability to add non-stock items and create product kits, catering to diverse customer needs.

Cross-Reference and Duplicate Identification

• Cross-Referencing Data: The system will cross-reference SAP products with external data using UPC, vendor name, and part number to enhance data accuracy.

• Duplicate Management: Mechanisms will be in place to identify and handle duplicate products, maintaining the integrity of the product database.

Product Enrichment Workflow

• Marketing Team Responsibilities: The marketing team will be responsible for enriching products and managing meta-data, ensuring that product information is comprehensive and accurate.

• Sales Team Involvement: The sales team will update SAP descriptions with an approval workflow in place to ensure consistency and accuracy.

Vendor and Customer Management

• Nightly Imports: Vendor and customer profiles will be imported nightly from SAP, ensuring that contact information and associated price rules are up-to-date.

• Detailed Information Management: Detailed information on vendors and customers, including contacts and associated price rules, will be managed within Pimcore, providing comprehensive data for business operations.

Results

The implementation of the Pimcore-based PIM solution for the client led to substantial improvements across multiple facets of their operations. These improvements not only addressed the challenges they faced but also provided significant PIM benefits, delivering measurable business value that enhanced their overall efficiency, data quality, scalability, and customer service.

Efficiency Gains

Streamlined Product Information Updates and Syndication

• Automated data imports from SAP, AD, and IDW ensured up-to-date product information, reducing manual effort and errors.

• Efficient syndication across multiple platforms meant quicker updates, providing customers with the latest information.

Reduced Time and Effort in Data Management

• Centralized data management in Pimcore simplified processes, saving time on data entry and enrichment tasks.

Improved Data Quality

Enhanced Product Information

• Structured workflows for data enrichment improved the quality and consistency of product information.

• Cross-referencing capabilities ensured accurate and reliable data.

Centralized and Accurate Data Management

• Centralizing product information eliminated inconsistencies and fragmentation, providing a single source of truth.

• Automated nightly imports kept data accurate and up-to-date.

Scalability

Scalable Data Management

• The solution handled increasing data volumes efficiently, supporting business growth.

Improved Integration with AD and IDW

• Seamless integration enriched product data, providing comprehensive and accurate information.

Better Customer Service

Efficient Management of Non-Stock Items and Kits

• Advanced features for managing non-stock items and creating product kits improved product offerings and customer satisfaction.

Accurate and Accessible Product Information

• Reliable and up-to-date product information enhanced the customer experience, building trust and loyalty.