And that is the reason why data enrichment is crucial.
Data enrichment helps eliminate the unfavorable data and accumulate the data collected from various sources. The unstructured and unorganized data leads you to wrong information and causes low efficiency in the work.
Hence, data enrichment services help you get the fine quality data sets you can use for your business purpose.
Now the question is: What is data enrichment?
Data enrichment is a process that involves cleansing and appending existing data sets and connecting them with external data sources. The process that improves data quality by filling blank spaces and correcting “poor” information can be considered data enrichment.
The terms data cleansing and appending are defined as:
Data cleansing: It refers to removing unwanted, outdated, inaccurate, and corrupt entries from data sets.
Data appending: It involves upgrading obsolete or incomplete records with the faultless and latest information.
Data Enrichment Process
- Define Your Objective
Irrelevant and incorrect data can result in indecision and diversions, so it’s ineffective to enrich existing data with added information that isn’t beneficial. Before enriching data, ensure your objectives are clear and how you’re going to use them.
- Evaluate Data Set
Assess your existing data’s quality, completeness, and accuracy before you commenced the enrichment process.
Find out errors in the data set to take more time sorting through redundant and unneeded data.
- Audience Segmentation
Enrichment should always help in segmentation—and vice versa. It is crucial to limit and restrict your data sets to focus on your target segments, as the more you limit, the more ROI you’ll get on data enrichment activities.
Benefits of Data Enrichment
Data enrichment has innumerable benefits that make it one of the essential processes for companies.
- Cost Saving
Data enrichment is the process that helps in cost saving because it doesn’t store information that is not useful for the business. Instead, it includes enhancing data with third-party sources for the benefit of the organization. Thus, the process helps you use your funds on activities that positively affect your business’s bottom line.
- Foster Customer Relationships
Enriched data helps promote personalized communications, improves customer relationships, and increases business opportunities. With updated data available, businesses can set up communication strategies that meet customer preferences and requirements.
Customers will buy only when they feel that your company understands their needs.
- Maximizes Customer Nurturing
Data enrichment helps businesses in customer nurturing by identifying target segments to be nurtured. A target segment offers value-added information that has the potential to induce a purchase.
- Boost Successful Targeted Marketing
Targeted marketing is the marketing future, and many businesses know that the ‘one’ marketing approach does not fit all. Thus, switching to targeted marketing can prove beneficial.
An organization needs data enrichment for targeted marketing to be successful.
- Increase Sales
The data enrichment process ensures you have a relevant, consistent, clean, and accurate data set to increase sales efficiency and boost ROI. Moreover, it offers upsells and cross-sells options because a business has consistent data and knows its customers well.
- Eradicate Redundant Data
Redundant data costs a company notably. It results in customer loss, revenue loss, and a damaged reputation. Redundant information is the most common issue in organizations because they are uncertain of the data to let go of and data to keep.
Data duplication is the most common factor in raw data and affects data quality. Data enrichment eliminates duplicate data and hence enhances data quality.
- Improve Customer Experience
Customers expect more from brands when it comes to their experience. They expect brands to value them, know them, anticipate their requirements, and be pertinent. Data enrichment enhances customer experiences by giving complete information on customers. Through this, businesses can anticipate customer needs and requirements and remain relevant through personalized marketing.
The Bottom Line
One can have a sigh of relief from missing or incomplete information, wrong mailing addresses, old contact details, duplicate records and unyielding information, and so on.
When you outsource data enrichment services to an expert, he will ensure that every piece of information stored can be utilized efficiently, maximizing your communication and transmission efficiency and reducing the space required to store such information.