Products traditionally associated with e-commerce are among the fastest-growing segments in global online sales.
According to Statista Market Insights, online sales of home appliances reach $703.5 billion, luxury goods are close to around $495,16 billion per year, while sales of clothing and electronics bring in a whopping $1.84 trillion and $0.97 trillion, respectively.
Annual Online Sales by Product Category
According to the data, about one in four household appliances is already purchased online, and this share is expected to grow to 34% by 2027.
But even despite such seemingly positive statistics, businesses always search for fresh ways to catch the eye of consumers, keep them interested, and make them stick with their brand.
One important tactic that’s getting a lot of attention is product experience management (PXM). It helps businesses create, improve, and deliver great product perception across all media sources.
What is Product Experience Management (PXM)?
Product experience management (PXM) refers to making customers have the best perception when they shop for a product. In other words, PXM means giving customers clear, accurate, and sufficient product information—no matter if people shop online, via their mobile devices, or physically in a store.
Frankly speaking, PXM is not merely holding product details. It is supposed to render product description, images, and recommendations more relevant across different customers. A product would, for example, be displayed differently depending on the region of the shopper, language, or shopping behavior.
With PXM, businesses are able to make shopping more enjoyable and personalized. When customers are given the correct information at the correct time, they feel more confident in their purchases, which will lead to more sales and stronger brand loyalty.
Key Elements of Product Experience Management
It is not unusual to be asked, “What does product management do?” even by experienced business professionals. The fact that product management involves a broad range of activities is one possible reason. They are:
- Product Information Management (PIM): PIM keeping product information precise and up-to-date wherever they’re displayed.
- Digital Asset Management (DAM): DAM is the process of structuring and augmenting digital content such as images and video to be readily shared.
- Content Management: Content management involves developing interesting product catalogs and lists suitable for different individuals and locations.
- Personalization and Localization: This component includes the variation of product interaction based on the user’s preferences, demographics, and location.
- Analytics and Insights: Analytics reveals what customers do and what is going on in the market so things can continue to improve.
PXM and Business Benefits?
Today, product management is in greater demand than it seems. For example, did you know that a fully effective product manager can increase a company’s revenue by 34.2%. In particular, a US product manager makes $111,000, a german around $70,000 euros, an Indian $37,000?
A Table Summarizing PXM and Its Business Benefit
Igniting Consumer Interest
Have you ever heard that 1 in 5 goods don’t satisfy the needs of the client because sellers don’t understand the problems their clients have?
PXM plays the central role of building strong and appealing product impressions that are above transactional level.
With the help of appealing images, captivating reading materials, and easy-to-use displays, businesses can attract the attention of consumers and make them more interested in the brand.
For example, features like 3D product tours, 360-degree views, and user-generated content make the shopping journey more enjoyable and delightful.
These meaningful interactions strengthen the emotional bond between consumers and brands, which leads to greater brand loyalty and preference over time.
Promoting Brand Loyalty
Creating strong brand loyalty is essential for lasting success. PXM helps achieve this by consistently delivering great product perceptions that deeply connect with consumers.
When product experiences line up with what a brand stands for, it helps build trust and honesty, which are important for making customers stick around.
Also, by using info from customers and what they say, brands can make products more personal, fitting exactly what each individual likes and needs. This makes the bond between customers and the brand even stronger.
Optimizing Product Discovery
A good PXM solution makes it easy for consumers to find and explore goods on websites, mobile apps, social media, and in stores. This involves providing detailed product information and making it easy to access and understand.
For example, using intuitive search functions, personalized recommendations, PIM services, and attractive product displays can simplify the discovery process and improve the shopping perception.
By making it easier to find items, PXM boosts the chances of sales and encourages customers to keep coming back.
Creating a Unified Brand Experience
Inconsistent product presentation and messaging can harm consumer trust and weaken brand identity.
PXM solves this by ensuring that product experiences are consistent and go in line with the brand’s vision and values across all channels and touchpoints.
Whether consumers interact with the brand on a website, mobile app, social media, or in-store, they should have a consistent impression that builds familiarity and trust.
By using centralized content control systems and strong governance, businesses can control how their goods are shown and maintain their good representation throughout the customer journey.
Increasing Conversions
The success of PXM can be seen in its impact on conversion rates and sales. By providing a personalized, relevant, and captivating product image, businesses can make the buying process better and entice consumers to purchase more easily.
This can include offering personalized recommendations based on past purchases, providing clear and informative item descriptions and reviews, or simplifying the checkout process.
Additionally, by using data and consumer feedback to continually improve product engagement, businesses can boost conversion rates and achieve long-term growth and profitability.
Best Practices for Implementing PXM
No matter how wonderful PXM is, it is important to implement it correctly in business. In most cases, it involves making product information accurate, engaging, and easy to access via all shopping platforms.
The initial step is having consistent product data. With a master system, like a Product Information Management (PIM) system, businesses can guarantee that all product names, prices, and images are the same regardless of whether customers purchase online, through mobile apps, or in physical stores.
Next, it’s important to provide high-quality content that allows customers to make informed buying decisions. Good descriptions, high-quality pictures, videos, and customer reviews make the products more appealing and insightful. The higher the quality of the content, the more customers will trust and buy the product.
Personalization also plays a major role in elevating the shopping experience. Through AI and customer data, businesses can offer different product recommendations based on what a consumer likes, bought before, or is searching for.
Besides, there is an interesting fact that about 59% of the America’s Gen Z adults surveyed had a positive opinion towards brands using artificial intelligence to develop products and services. In the case of millennials, the figure was over 70%, whereas for Gen Xers and baby boomers it was 57% and 50%, respectively.
Approval of AI-Driven Products by Generation
Future Trends
In the future, some trends will change the way businesses offer products and connect with customers. Augmented Reality (AR) and Virtual Reality (VR) will make shopping more exciting and lifelike.
For example, people might try on clothes virtually or see how furniture looks in their room before buying. This could make shopping more fun and encourage more purchases.
Talking to smart assistants and chatbots will also become more common. Instead of typing, people will be able to ask these tools to help them find products or answer questions, making shopping faster and easier.
AI will play a big role in making shopping more personal. By learning from what people have bought before, AI can suggest products that match their tastes, helping them find what they need without much effort.
Another trend is omnichannel shopping, which means giving customers the same great experience no matter where they shop—be it online, inside the store, or on their phone.
Finally, more people want to buy products that are eco-friendly and ethically made. Businesses that show they care about the planet and treat workers fairly will attract these shoppers by being open about how and where their products are made.