Nearly every business that uses data suffers from common data quality issues. That’s just a fact. The most common problems with business data are inaccurate data, outdated contacts, incomplete records, and duplicates. Clean and accurate data is critical for finding new customers and responding to current customers’ needs.
Research has demonstrated that poor data quality costs businesses at least 30% of their revenue. According to Gartner, “The average financial impact of poor data quality on organizations is $15 million per year.” This can add up to enormous losses with some estimates saying it costs the US economy over $3 trillion annually. And since every year 25-30% of data becomes inaccurate ignoring the problem makes it progressively worse—it’s critical to have a data cleansing strategy for your business.
Data quality means much more than just having accurate information; it encompasses the reliability, completeness, and relevance of the data collected. Ensuring data quality is essential for businesses to make informed decisions, drive efficiency, and ultimately, reduce operational costs. When you enhance data quality, you are not just enhancing the accuracy of your data but also ensuring that it serves its intended purpose effectively.
Clean data increases overall productivity and allows for the highest quality communications efforts. Benefits include:
FEWER ERRORS MEAN BETTER RESULTS AND HAPPIER CLIENTS.
REMOVAL OF ERRORS WHEN USING MULTIPLE DATA SOURCES.
MONITORING ERRORS AND BETTER REPORTING TO SEE WHERE ERRORS ARE COMING FROM, MAKING IT EASIER TO FIX INCORRECT OR CORRUPT DATA FOR FUTURE APPLICATIONS.
PROPER DATA CLEANING TOOLS WILL MAKE FOR MORE EFFICIENT COMMUNICATIONS AND MARKETING EFFORTS.
Data cleansing includes fixing structural errors (typos, nicknames, etc.), removing duplicates and outdated entries, handling missing data through removal or enhancement, and validation of existing data. The availability of a correct, complete, validated and duplicate free address data is important to your communication and marketing efforts. Regular and rigorous data cleansing ensures your message is reaching the right people with minimal waste and unnecessary duplication.
It is critical for businesses to embrace the importance of data cleansing. Businesses are dependent on their data and even though data cleansing can be seen as time-consuming and repetitive, it is a process that needs to be a priority.
Many businesses underestimate the true cost of poor-quality data, which can lead to incorrect analyses, misguided strategies, and wasted resources. Inaccurate data can infiltrate your systems, causing significant financial losses and operational inefficiencies. By recognizing the impact of unreliable data, companies can take proactive measures to mitigate these risks and ensure their data is a valuable asset, not a liability.
Implementing robust data management practices is crucial to assure data reliability across your organization. This includes regular data audits, validation checks with MaxCASS OS or AddressPro, and employing advanced data cleansing techniques with MaxDup OS. By prioritizing these strategies, businesses can minimize errors, streamline processes, and enhance the overall integrity of their data. When you make a concerted effort to Enhance data accuracy, you lay a solid foundation for sustainable growth and success.
Here are the top 6 key strategies to ensure your data is always on point:
1. Create clear data governance policies, that outline the roles and responsibilities for data collection, storage, and use.
§ Assign stewards who are responsible for the accuracy and integrity of the data sets. Using address verification software (MaxCASS OS/AddressPro) and de-duplication software (MaxDup OS) ensures that your data is always clean, current, and correct.
2. Create data quality requirements, including metrics to measure progress such as using a Product Monitoring tool.
3. Create a data quality process.
§ Sort your data with PowerSort.
§ Cleanse and standardize data with MaxCASS OS or AddressPro
§ De-Duplicate your data with MaxDup OS
§ Implement a customer data hub to create a golden record
4. Leverage your technology for automation, use tools that work together to create a cohesive work environment. Anchor’s AutoPilot solution allows users to define a job and parameters and kick start the necessary application.
5. Foster a culture of data quality by training employees on the importance of a golden records and best practices for data entry.
6. Continuously improve your data quality by re-evaluating your data on a weekly or monthly basis. Adapt your strategies as needed based on your businesses needs.
By simply implementing any assortment of these strategies, you can ensure your data is accurate and reliable. This will empower you to make better decisions and improve your overall customer experiences to help achieve your business goals.
When you improve data quality, the benefits are far-reaching, impacting various aspects of your business. High-quality data enhances decision-making, boosts operational efficiency, and leads to more accurate forecasting. Additionally, quality data can help in identifying new opportunities and optimizing customer interactions, which in turn generates quality leads that are more likely to convert. Investing in data quality is not just about avoiding problems; it’s about unlocking new potential and driving your business forward.
The correlation between data quality and lead generation is undeniable. High-quality data provides a clearer understanding of customer preferences and behaviors, enabling businesses to tailor their marketing strategies effectively. By focusing on generating quality leads, companies can ensure that their marketing efforts are not wasted on uninterested or unqualified prospects. This targeted approach results in higher conversion rates and more meaningful customer engagements.
Recognizing the importance of data quality is the first step toward more efficient and cost-effective operations. By taking active steps to ensure data quality and consistently striving to increase data quality, businesses can safeguard their data integrity and reap the numerous benefits of accurate, reliable information. Don’t let inaccurate data hinder your progress; embrace the power of clean data with MaxCASS OS and AddressPro today and watch your business thrive.