01.02.2024 | BJÖRN BAYARD
Product data onboarding refers to the procurement of relevant product information and master data from the respective suppliers. In addition to the need to create transparent and efficient supply chains, a company’s own product communication in particular also depends to a large extent on the quality of the procured product data, which is why data onboarding is a key task for retailers.
This is precisely the reason why the term ‘data onboarding’ falls far too short today. With the massive expansion of digital sales channels, the amount of data, media, and information required to provide all touchpoints with sufficient product content is also growing. Product master data alone will not be enough to convince consumers in online stores or Instagram feeds. Nevertheless, optimum support for purchasing and logistics processes, for example, is still essential.
Retailers are aware of their role as a multiplier for their suppliers’ product sales and now offer numerous opportunities for brand manufacturers to present their products appropriately and comprehensively in stores through retail media and enhanced content concepts, thereby increasing sales figures. The focus is still on the quality of the product content.
PIM: procurement, management, and distribution of product data
Of course, product content must first and foremost be correct, complete, and up to date. Information on product sizes, weights, or packaging, for example, is necessary to make logistics processes as efficient as possible, which in turn has a significant impact on the cost structures of industry and retail. However, there is also a lot of other product content that is important today, as it strongly influences consumers’ purchasing decisions.
What constitutes high-quality product content actually depends heavily on the output channel. Each sales channel has its own requirements in terms of media formats, product descriptions, and targeting. Successfully converting product messages on social media will not work nearly as well in an online store. Consumers expect a different depth of information on each channel, an adapted narrative, and meaningful media support for the customer journey.
For product content, this means that it must be provided in every relevant format. Channel-specific product information, headlines, advertising texts, hero images, and other image sequences must be available just as naturally as basic data such as the size or colour of the product.
The challenges of product content sourcing
This complexity poses major challenges for retailers in the procurement and preparation of product content. This is particularly true as they are generally reliant on input from a large number of suppliers, whose data exchange methods and quality of the product content supplied sometimes differ greatly. In fact, Excel spreadsheets are still the exchange format of choice for many players today.
Consequently, retailers must constantly check whether the data supplied meets their quality requirements and request improvements if necessary. The product content can then be transferred to the retailer’s own data model and prepared for distribution to the various channels.
Depending on the number of suppliers and the quality of the data supplied, these onboarding processes can quickly become very time-consuming and therefore expensive. In addition, both manufacturers and retailers run the risk of incorrect information or outdated data unintentionally finding its way into retail communication channels, potentially leading to misunderstandings, uncertainty, and customer dissatisfaction. In the long term, this can lead to critical damage to the image of both sides.
Solution concepts for more quality and efficiency
To avoid manual integration and thus potential sources of error and inefficiency, there are a few solutions that optimize data exchange between retailers and suppliers:
1. GS1 GDSN
The GS1 Global Data Synchronization Network (GDSN) is a global network of data pools that standardize and centralize data exchange processes between industry and retail. Manufacturers can export their product data and price information to a data pool of their choice and thus make it available to all data recipients at the same time. Retailers, in turn, can obtain their suppliers’ product data centrally and request any additions or adjustments to the product content using standardized communication processes. This reduces manual steps to a minimum and greatly optimizes processes for both manufacturers and retailers.
2. Supplier portals
As not all manufacturers participate in global data exchange, many retailers offer dedicated supplier portals in which the product content can be entered or exported directly. Validation rules automatically check whether the shared data is available in the required format and quality.
3. Automated validation in PIM
Modern product information management systems also have corresponding validation rules that check the imported product content before mapping it to the company’s own data model and, if necessary, inform the user that corrections are required in certain data records.
PIM as the basis for effective product content sourcing
Regardless of whether product content sourcing takes place via the GS1 GDSN, supplier portals, Excel spreadsheets, or external content providers, in the end, the imported product content must be validated and transferred to the target structure of the retailer. This is the only way to ensure efficient product content management processes, including the syndication of product content to the relevant communication channels. This means that PIM systems such as BYRD are the linchpin of product data management – and thanks to extensive import, export, and syndication functions, this applies to both retailers and manufacturers.
Convince yourself and make an appointment with our experts today. We will be happy to advise you.
Best regards
Björn Bayard
