Johannes Crepon of Paramount Data Management (PDM) knows a lot about product data. That might sound boring to some business founders who are more focused on developing actual products than on the data behind them. However, having the right product data is crucial for any automotive aftermarket e-commerce operation. Without ACES, PIES and other data standards, figuring out which parts fit which vehicles and other important information quickly becomes a mess, and selling those parts becomes almost impossible.
Johannes experienced this firsthand when he launched his own e-commerce business focused on selling hot-rod and classic Mustang parts in Europe. As the company grew, adding more parts to the site quickly became challenging with data of varying quality. Pivoting from his original business, Johannes founded PDM to address the challenges of inconsistent, fragmented and complex data in the automotive industry.
On this episode of the “Only The Strong Survive” podcast, Johannes sits down with host Dan Kahn to discuss the important role product data plays. It is an in-depth and interesting discussion of an often-overlooked but critical subject.
Click on the icon above to listen to the entire episode, and here are our top five takeaways:
Accurate product data offers many benefits.
Product data affects every channel of your business.
Understanding the reasons for having good product data makes your brand more successful.
Create the right infrastructure to ensure product data is accurate across your company.
Build the right team and continuously invest in it.
The Benefits of Good Product Data are Huge
Some think of product data as minuscule details that don’t really matter. However, it affects everything from how your product appears on a site to whether consumers can even find it in the first place. Not paying attention to or having bad product data can have a significant negative impact on sales, as online consumers have little patience for errors.
“If you take it (product data) seriously, you will come out ahead. It is such an opportunity for companies now to really differentiate themselves from knock-off products and other companies,” said Johannes. “Building a brand and having that effort you put into it pay off has never been greater in my opinion.”
All Channels Benefit from Good Product Data
Another misconception about product data is that it is narrowly focused. However, because it affects so many aspects of e-commerce, the benefits of good data reach far and wide. Sales, marketing, wholesale distribution and all of your other channels perform better when product data is accurate.
“The beauty is that while you have that one channel you are optimizing for, all of your other channels are going to benefit from good product data,” said Johannes. “All channels will benefit from you taking cataloging seriously, at least for one channel to start. Then companies start to see the benefits across all their channels.”
Don’t Just Check the Box
Product data is about a lot more than just checking a box. According to Johannes, the companies that win with product data are the ones that have a clear understanding of what it is for. Without that vision, perfecting product data quickly becomes just another mundane task on a to-do list.
“The most successful suppliers we onboard are coming with a very specific objective. If the goal is that they just want to have ACES and PIES because someone told them to, whether external or internal, then they typically fail, because they are just checking a box,” said Johannes. “The most successful suppliers come with an objective. They see that they have an opportunity to grow their business with a customer, but they need better product data.”
Build Your Infrastructure First
Johannes notes that for any entrepreneur starting a business, it is important to consider where product data lives and to build a proper infrastructure around it. Often, product data comes from multiple sources and resides in different systems. If that data doesn’t match across your company, it can be extremely frustrating for your customers.
“This is why it is so important, this is true whether you are a hard parts supplier or a performance parts supplier, as you are setting up your company, and if you are taking it seriously and it’s not a side hustle, to really start thinking through what are the data points that are relevant to your business and which system owns that data point and how are those systems connected,” said Johannes. “You don’t want to run down the road, and a year later, you are trying to normalize and sync a lot of different systems. There is nothing more frustrating for a reseller than if they get data from you, but your website tells a different story.”
And Build the Right Team
As an entrepreneur himself, Johannes has naturally had his fair share of struggles. The key to getting through them (and avoiding some of them in the first place) is to employ the right people. Just as important as building your team is to continuously invest in it, especially in a rapidly evolving workspace.
“Build the right team and invest in your people. AI has a sense of doom to it that everyone is going to be out of work. Frankly, some people will be negatively affected as AI becomes more present,” said Johannes. “But on the flipside, people who embrace it and don’t shy away from it will benefit greatly, especially in their own professional careers. This is why, for me, as a CEO with a team of amazing people, I want to make sure they are not falling behind. It serves us as a company, but it also makes all of us so much more successful professionally.”
