Data is a crucial commodity for new-age business management. Well-updated data can sharpen marketing and sales operations, assist in customer services and engagement, and protect your business from online fraud. But if your data is unorganized, unverified, and full of errors, it can also result in a loss of capital and resources. That’s why keeping enterprise data updated and clean is so critical, and why businesses must understand the significance of data enrichment and how it can help their operations.
Why is Data Enrichment important?
Data enrichment refers to updating existing databases by adding missing information, rectifying errors, and eliminating duplicate items. It aims to improve the efficiency of the database and make it ready for use. Efficient data helps in better business operations and customer engagement.
One way to perform data enrichment is to hire a team of data specialists in-house, create a data management schedule, and adhere to it. However, this path involves a great deal of time and money. Outsourcing data enrichment services to professionals is another smart way to get your data analyzed for these loopholes. Data experts can add missing or incomplete information to enhance your database in all possible data attributes. Outsourcing is usually quite flexible and cost-effective.
Some types of data enrichment are:
Creating efficient contact data by adding values like phone number, email, job title, and more
adds information like family details, marital status, income level, credit score, etc.
It is the practice of adding complete address data that includes all details for the exact location.
It is the data on customers’ interests, buying histories, and influences.
Benefits of Data Enrichment
Rich data has numerous benefits for an organization. Its advantages are not just limited to scalable goals but also extend to operational efficiency. That is why businesses are widely adopting this process. Some of the benefits are:
Increase Personalized Engagement
It helps you divide the data into different consumer segments. Thereby, focusing on key value propositions, businesses can target respective consumer segments with personalized messages. Consumers tend to respond to meaningful and relevant communication.
Rich Customer Profile for Targeted Marketing
The key to success in business is knowing your customer. If your database is filled with irrelevant information, all marketing campaigns will go to waste. The quality of the data you possess should be enhanced with information about your prospective consumers; data enrichment helps you achieve this landmark.
Better-scoring sales funnel
If you’re equipped with efficient data, it will be evident in the conversion rate of your sales funnel. Unverified bad data can slow down the sales conversion process, but an enriched database can help you quickly convert leads into sales.
Lead scoring is the process of identifying the ideal customers and focusing on them in sales funnels. Rich data helps you do it.
Better Lead Form Conversion Rate
Getting consumers to fill out your website forms is another daunting task made easy with data enrichment. It helps you focus only on the required information to initiate your marketing process, unlike scaring away visitors with huge forms. Equipped with data enrichment, you can ask visitors for the minimum information, like their email.
Less data waste with an updated database
Data enrichment helps keep your database updated. If you have outsourced data enrichment services, the professionals will keep your data updated through regular analysis. People often change jobs, email addresses, locations, or phone numbers. This leads to a waste of data that was acquired earlier. It should be enriched with every current update to keep the data useful.
It is one of the most crucial advantages of data enrichment, as marketing and sales are not the only worries for businesses. Fraudsters are using advanced technology to sneak into databases with dubious intentions. Data enrichment protects you from such instances. It is achieved through regular monitoring and verification of data points.
Legalities like privacy and data sharing and usage laws, such as GDPR, can be managed if your data is enriched and standardized. Using data from unverified sources may lead to illegitimate information entering your business operation cycle. This can lead to a loss of capital and reputation. Consumers who register for “Do-Not-Call” or unsubscribe from your mailing list get removed through a data enrichment process. For added protection, you can also outsource data entry services to verified professionals.
Features of Efficient Data Enrichment
If you are wondering about the characteristics of a good database, the following points can help:
Maintain Data quality standards
According to your data needs, you need to set up respective metrics for data cleansing and standardization. On this line, analyze the types of data that you can regard as complete, verified, consistent, accurate, and deduplicated. Monitor data sources and try to find out any abnormalities. Outsource data entry services to experienced professionals to make sure only credible data gets entered in the process.
Perform Data Matching and Data deduplication
After data cleansing, match it to identify possible duplicates. Many reasons make duplicate entries possible; it can happen after updating or due to similar entries from different sources. For successful data enrichment, the process of deduplication is crucial. It helps remove duplicate entries from your database.
Perform Data Segmentation
Analyze your target audience and business goals before you perform data segmentation. It can be considered the most crucial part of the data enrichment cycle. It helps narrow down your data points to the closest business prospects. Focused segmentation will help you achieve the goals of data enrichment.
Regular Monitoring and Updating
Consumer data keeps changing. For the success of your data enrichment process, it is important to keep a regular vigil on the available updates. There is no benefit to wasting marketing time and investment on outdated consumer data. Scrutinize your data for updates at frequent intervals and also monitor your database against the set data quality standard metrics.
Data enrichment continues to be a powerful tool in the data-driven consumer industry. It is a process that can help you remain competitive and grow and can do wonders for your sales and marketing operations.
Thankfully, with the availability of professional data enrichment service providers, you do not need to build a dedicated infrastructure for the same. You can begin the journey toward an enriched database by outsourcing data entry services to experienced professionals.