Our definition

What is PIM? Definition, functions and benefits

In short: PIM (Product Information Management) is software that collects and maintains all of a company's product information in one place and distributes it to online shops, marketplaces, print catalogues and trading partners. It complements the ERP system, which manages prices and stock levels, with descriptions, attributes, images and documents.

A PIM system is the central data source (single source of truth) for everything that describes a product. It gathers data from ERP, PLM, suppliers and internal departments, cleanses and enriches it, and delivers complete, up-to-date information to every channel in the right format.

1 sourcefor everything that describes a product (single source of truth)
5 functionscollect, cleanse, enrich, validate, distribute
90+ vendorsin our vendor-neutral market overview
1.000+ itemsa PIM typically pays off once you have a few thousand items

Updated: October 2026 · by Matthias Kant, PIM-Consultants

What does a PIM system do?

  • Collect data: Import from ERP, PLM, supplier files and legacy systems (Collection).
  • Cleanse data: Merge duplicates and standardise formats (Consolidation).
  • Enrich data: Add descriptions, attributes, classifications, images and translations (Enrichment).
  • Check quality: Manage required fields, validation rules and approvals through workflows.
  • Distribute data: Export to online shops, marketplaces, data pools, print and retailers (Distribution).

The Functions and processes sections below explain these functions in more detail.

Grafik: So funktioniert ein PIM-System. Quellen wie ERP, PLM, Lieferanten und Fachabteilungen liefern Daten ins PIM, das sie sammelt, bereinigt, anreichert, prüft und an Onlineshop, Marktplätze, Print, Händler und KI-Anwendungen verteilt
How a PIM system works: from data sources through five core functions to every channel

PIM, ERP, MDM and DAM: how they differ

A PIM does not replace any of these systems; it complements them. What matters is which system is the master for each type of information.

SystemPurposeTypical dataMain users
PIMProvide complete, channel-ready product information for marketing and salesDescriptions, attributes, classifications, relationships, translations, media referencesProduct management, marketing, e-commerce
ERPManage business operations. Read more in our article on PIM and ERPItem numbers, prices, stock levels, orders, logistics dataPurchasing, sales, logistics, accounting
MDMStandardise master data across multiple domains (Master Data Management). See PIM vs. MDMCustomers, suppliers, products, locationsIT, data management
DAMManage images, videos and documents (Digital Asset Management). Many PIM systems have a built-in DAM moduleProduct photos, videos, drawings, data sheetsMarketing, graphic design
PLMSupport product development and engineering before a product goes on sale (Product Lifecycle Management)Bills of materials, CAD data, technical specificationsProduct development, engineering

Rule of thumb: the ERP knows what a product costs and where it is stored. The PIM knows how to describe and sell it.

Who benefits from a PIM?

A PIM pays off when several of these factors apply: several thousand items or many variants, numerous attributes per product, multiple languages, multiple sales channels, retailers that require data in specific formats (such as BMEcat or ETIM), and product data currently scattered across Excel spreadsheets. Our PIM benefits page explains the practical advantages.

Signs that you need a PIM

  • Product data is spread across numerous Excel spreadsheets, and no one knows exactly which version is up to date.
  • The same product has different information in your online shop, catalogue and marketplace listings.
  • Adding a new channel or entering a new country means weeks of manual work.
  • Retailers require data in formats such as BMEcat or ETIM, which you struggle to provide.
  • Every catalogue requires multiple rounds of corrections because prices, descriptions or images are wrong.
  • Product knowledge exists only in the heads of a few employees.
  • Missing or incorrect information leads to returns and customer enquiries.

If three or more of these points apply, it is worth taking a closer look.

Would a PIM pay off for your business?

Use the PIM checklist to find out in three minutes whether a PIM system would benefit your business and which systems could be a good fit. We will email you an initial shortlist.

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Practical example: a product before and after PIM

Take an industrial components manufacturer with a few thousand items. Before PIM, information about a product is scattered across many locations. Afterwards, a single, complete record serves every channel.

InformationBeforeWith PIM
Item number, price, stock levelERPStill in ERP, visible in PIM via an interface
Technical attributesFree text in an ERP field or in ExcelStructured, filterable attributes, classified using ETIM or ECLASS
Product descriptionsIn the catalogue layout, rewritten for each channelShort, medium and long versions, maintained centrally
Images and data sheetsFile system, multiple versionsIn DAM or PIM, linked to the product
TranslationsEmailed to agencies, returned in WordTranslation workflow within the system
Accessories and successor productsIn the product manager's headMaintained as relationships, available for cross-selling
ApprovalVia email and informal conversationsWorkflow with required fields and channel-specific approvals

How do I find the right PIM?

There are well over a hundred PIM systems on the market. Our overview of PIM vendors covers more than 90 of them. PIM selection in six steps explains how our independent PIM consulting helps you find the right system systematically, while PIM implementation & costs outlines the costs to expect.

What types of PIM systems are available?

SaaS or on-premises

Most vendors now offer cloud-based SaaS solutions. On-premises or private cloud deployments are primarily chosen when internal IT requirements or specific integrations call for them.

Open source or licensed

Open-source systems save on licence fees, but not on implementation, operation or ongoing development. They are a good fit if you have a strong implementation partner.

Suite or specialist

Some systems cover PIM, DAM, MDM and syndication in a single platform. Others focus on one function and are combined with other systems.

The right option depends on your product range, channels, IT landscape and budget. Our overview of PIM vendors provides an overview of the systems available.

Compare PIM systems systematically

Use the PIM requirements checklist to assess vendors against consistent criteria. The SME version, with 46 assessment questions, is available free of charge as an Excel file.

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  • 46 assessment questions in 14 groups
  • Ready-to-use Excel file
Download the checklist

PIM objectives and outcomes

PIM delivers benefits at three levels: strategic, tactical and operational, increasing revenue and reducing costs.

Strategic

  • E-commerce: Improve search engine rankings, increase time spent in online shops and on marketplaces, and unlock cross-selling and upselling potential
  • Faster time to market: Publish content more quickly across channels such as online shops, marketplaces, portals, apps and catalogues
  • Consistent product communication: Complete product information in the correct format throughout the customer journey

Tactical

  • Manage complexity for greater efficiency: Products, variants, bundles, attributes, languages, prices, suppliers, countries, channels, customer-specific product ranges and much more
  • Controlled content distribution for successful omnichannel commerce: Web, apps, marketplaces and portals, catalogues/print, stores, PoS
  • Meet legal and compliance requirements, including CSR reporting

Operational: higher revenue

  • More conversions: Increase time spent in online shops and on marketplaces, enable informed purchasing decisions and reduce return rates
  • Better customer experience: Keyword search, navigation, filtering and comparisons
  • Higher customer satisfaction: Comprehensive product descriptions, product configuration options and better online advice
  • Personalisation: Relevant product relationships for cross-selling and upselling

Operational: lower costs

  • Minimise sources of error in data management through workflow automation and custom validation rules
  • Delegate PIM processes to suppliers
  • Translate and deliver product information quickly for different markets and countries
  • Dynamic, automated processes reduce production times in marketing and sales

How well does your product data support every channel?

The Omnichannel Health Check reveals gaps in your data, processes and systems, and identifies where PIM can deliver the greatest value.

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  • Includes quick wins
Request a Health Check

What a PIM system does

Its functions follow the flow of product information, known as Information Supply Chain Management (ISCM): from collecting data to distributing it across channels.

Collect data
  • Import
  • Display
  • Transform
Cleanse data
  • Clean
  • Link
  • Consolidate
Enrich data
  • Classification & categorisation
  • Attribute management
  • Relationships
  • Media assets
Check data quality
  • Data validation
  • Completeness checks
Distribute data
  • Online shops
  • Apps
  • Marketplaces
  • (B2B) portals
  • Catalogues / print
  • Point of Sale
Process data
  • Versions & revisions
  • Roles & permissions
  • Workflows

PIM: typical processes

PIM can support the following business processes.

Master data management
  • All data at a glance
  • Data transfer and monitoring
  • Product data modelling and editing
  • Product data validation against industry standards
  • Change history with audit trail
  • Data integration and syndication
Category management
  • Category mapping
  • Synchronisation
  • Category tree
  • Data enrichment
  • Product assignment
  • Product ranking
Classification and attribute management
  • Unit of measure management
  • Catalogue & product range management
  • Data quality management
  • Product lifecycle management
  • Publication management
  • Product information enrichment
  • Product localisation and translation
  • Permissions and user management
  • Media Asset Management
  • Workflow management
  • Supplier management
  • Price management
  • Bulk updates
  • Data import / export management

Why PIM is becoming more important in 2026

Three developments are turning structured product data from a competitive advantage into a necessity.

AI search and agentic commerce

AI assistants are increasingly recommending and ordering products on their own. This only works with complete, machine-readable data. Find out more in our article MCP and agentic commerce.

Digital Product Passport

The EU is gradually introducing the Digital Product Passport. Much of the required information belongs in PIM. See DPP and PIM systems.

Mandatory information in retail

Regulations such as the General Product Safety Regulation (GPSR) require additional information in every sales channel. Find out more on our PIM for e-commerce page.

Implementation and costs at a glance

Implementation: A successful PIM implementation starts with clear content rules, responsibilities and a defined vision for the channels, before the system is configured. For mid-sized businesses, the first channel typically goes live within six to twelve months. Find out more under PIM implementation.

Costs: In addition to licence or subscription fees, costs include implementation, data migration, integrations and ongoing operations. Data migration is the most frequently underestimated item. For an overview of cost drivers and total costs over five years, see PIM costs.

Would you like to discuss your situation?

Whether you are exploring your options, selecting a system or already running a project, we provide vendor-independent advice and tell you openly whether PIM is right for you and which system fits your needs.

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Frequently asked questions about PIM

What does PIM stand for?

PIM stands for Product Information Management. It refers to the software and processes a company uses to manage all its product information centrally and distribute it to its channels.

What is the difference between PIM and ERP?

ERP manages commercial data such as item numbers, prices, stock levels and orders. PIM adds everything that describes a product and helps sell it: copy, attributes, images, documents and translations.

Who benefits from PIM?

PIM becomes worthwhile when you manage large numbers of products, variants or languages across multiple channels and Excel or your ERP reaches its limits. Typical users are manufacturers and retailers with several thousand items or more.

How much does a PIM system cost?

For larger mid-sized businesses, software typically costs around 100.000 to 500.000 euros, depending on the system tier, with implementation costing around 150.000 to 250.000 euros. Open-source systems eliminate licence fees, but not implementation costs.

What is a golden record?

The golden record is the complete, validated master record for a product in PIM. It supplies all channels, ensuring that the same information appears everywhere.

What is the difference between PIM and PXM?

PXM stands for Product Experience Management. The term emphasises how products are presented and experienced in each channel. Many vendors use it to describe PIM systems with additional features for channel-specific adaptation, syndication and analytics. PIM remains the foundation.

Do I also need a DAM system?

Not necessarily. Many PIM systems include a built-in DAM module that is sufficient for product images and datasheets. A separate DAM system is worthwhile if you manage large volumes of media, videos or marketing materials that are not linked to products.

How long does a PIM implementation take?

For mid-sized businesses, the first channel typically goes live within six to twelve months. The biggest factors are data quality, the number of integrations and clearly defined responsibilities.

Is an open-source PIM system an option?

Yes, particularly for companies with an in-house IT team or a strong implementation partner. Open source eliminates licence fees, but not the costs of implementation, operations and ongoing development.

Is your product data ready for PIM and AI?

We provide a vendor-independent review of your data model, processes and systems to show you where you stand.

Request an assessment

Or start with the PIM checklist.

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