A new study of 158 consumer brands and industrial manufacturers shows a positive relationship between digital maturity and financial performance.
The study examined how brands and manufacturers use software such as digital asset management (DAM) and product information management (PIM) to bring products to market.
Findings indicate a clear divide based on why businesses purchase this software, with users falling into two groups: Advanced Users and Foundational Users. Furthermore, when overlaid with publicly available financial data, the data indicates that companies using software for strategic growth see increased revenue year over year.
“Advanced users” of PIM and DAM use the tools to syndicate product data and assets to their downstream sales channels, enhance their marketing capabilities, and manage rights and licensing information. Conversely, “foundational users” use the tools for internal reasons, such as efficiency gains and operational improvement.
“Companies that focus on value drivers for PIM and DAM see better ROI, not only from their software investments but also in terms of sales and growth,” said Jeff Morris, Ntara’s CEO. “In our inaugural study, Advanced PIM [39%] and DAM [36%] users were more likely to report positive financial performance. We saw the same trend for self-reported ‘digitally mature’ companies, which are 29% more likely to report positive performance.”
To achieve top-line growth with PIM and DAM, the report says companies need consistent top-down support, including executive sponsors and PXM evangelists.
“As an IT leader, I try to identify the champion who will use the PIM or DAM and manage it long-term. As you layer in these new platforms, you have to know if there is someone in place to take over and own it. It helps with adoption and long-term success,” said Jeff Beyer, CTO of SATCO/NUVO and participant in the study.
Consulting and research firm Ntara conducted this research with sponsorship from their technology partner inriver. Download the study: 2024 US Manufacturers Digital Commerce Benchmark Study.
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