Tuesday, 28 June 2016

How to avoid bad data and ensure the flow of valuable data

Businesses in the present day and age have streamlined their attention to building relationship with the customer. A marketer's prerogative has changed focus from product to customer. Unlike in the past when marketers used to emphasise on the produced product to woo audiences highlighting the product features, current day scenario has changed and requires marketers to concentrate on the consumer and his exact needs. Businesses want to learn about the need of the consumers and produce accordingly. The rapid speed of internet expansion connecting billions of users and the even more faster creation, generation, sharing of data online is helping business understand their customer better. Data has become the quiet essential maze that businesses look into to learn about the customer and draw out plans and strategies that brings customers closer to businesses vis a vis creating long term relationships. With data holding such prominence it becomes imperative for businesses to have data that is verified and accurate. No business would want to address Sir.Williams as Mr. Hudson, especially when the intent is to establish a connect.


How to avoid bad data and ensure the flow of valuable data



Causes for inaccurate data

Experian’s study also revealed 23 percent of businesses pointing out to having inaccurate or bad data. The primary reason for the data being inaccurate cited by 60 percent of organisations was missing or incomplete data, followed by 54 percent pointing to outdated while 51 percent hinting towards duplication as the cause.


Impact of inaccurate data

The idea of gathering verified, accurate data is to identify each consumer for the purpose of personalisation with an intention to improve the customer experience. In a study by experian 75 percent businesses mentioned that their efforts at improving customer experience was severely challenged due to inaccurate, faulty data.


So what exactly can be done to ensure that there is absolutely no confusion between Sir.Williams and Mr.Hudson and each gets served personally as per their interests and taste.


Clean up

As the first and foremost step towards optimising data after identifying the inaccuracies is to set the record straight. Data has to be skimmed through to weed out duplicates, ensuring information in a particular field is rightly mentioned as per field requirement and that data is maintained in a standard format.


Data optimization

Once the available data is streamlined and set into a specific format, business should ensure there a is standard procedure in place that oversees the collection of data. Data optimization will ultimately reduce delivery costs, provide a full view of the customer, and enhance business decisions intended to improve competitiveness.  


The quest to connect to new consumers and expand the business is existent in every organisation. Each organisation tries to source their data through different providers. Data providers are aggregators of data, collecting it from various sources as such the veracity of the data has to to be established before putting it to use.


Mentioned below are some guidelines businesses can adhere to while deciding on a data provider:


How often does the data provider update his data.

The updating of data holds value as data goes stale at the rate of 35 percent a year. Outdated data can be a waste of time and energy and a wasted effort for marketers.


Ensuring the sources the provider utilises to gather data.

It is important that the provider is transparent about the means and sources he employs to collect the data. Any hesitance on part of the provider in sharing the desired information could be because the provider uses unfair means of data collection which is not verified causing cash burn or adversely impacting reputation.


Abiding by the regulations for data collection set by the state.

Data has become a precious resource not just for business but for unscrupulous individuals such as identity thieves, spammers and hackers. Various states to protect their citizens have established laws that govern the way data is being collected and use. It is important that the provider abides by the rules of the land as information collected otherwise can be cause of legal action by the state.


Customer Identity Management as Software as a Service

Businesses can utilize cloud based customer identity management platform which provides user registration solution for the business through email and Social Login. The solution not just helps registration but in the process collects valuable first party data through progressive profiling in case of email registration and second party data shared by the social network in instances when the user uses an existing social id for registration. In both instances the data  collected is verified data that can be used by the organisation. In fact the platform provides the data in segments through its customer insight feature which makes the data more useful for marketing efforts.


Conclusion

Data is going to reign supreme in time to come as 98 percent businesses wish to utilise it for the purpose of insight. With data providing competitive edge over others businesses will look to get their hands on any amount of data that they can assess and access. In such a scenario what will hold importance is the quality of the data available lest businesses will fall into a trap losing resources and reputation.

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