The Benefits of Good Quality Data
Data is the one of the best resources a business can have. Having good quality data means allows you to get ahead of competitors.
There’s little subjectivity when it comes to data, meaning more effective and informed decision making can be made. Good quality data is always accurate, consistent and complete.
While updating and maintaining data quality may seem like a tedious exercise, software solutions are available to simplify the process of cleaning your data greatly.
Discussed below are some of the benefits of having high quality data, and how it allows for more effective marketing campaign execution.
Cost Savings
With a higher quality database comes a reduction in costs due to more accurate data. For example, with large direct mail campaigns that rely on data files with addresses and names, it’s important that the data is up to date. Mailing lists with duplicate or outdated records results in wasted money spent on undelivered post.
The DMA estimate that 75% of businesses waste an average of 14% of revenue on bad data quality (equating to £197.8m every year). Not only does it have negative financial effects, it can also result in damages to your brand. A data breach can garner negative media attention and even permanently tarnish your brand.
Better audience targeting
If your company doesn’t have accurate data means, this results in poor targeting. Inefficient broad targeting occurs, resulting in campaigns being less tailored and in turn less effective.
Poor quality data often lacks important demographic information. This means that companies can only market to the broadest audience, including targets that are unlikely to be interested in the products or services being offered.
A more accurate, highly target list will also result in less money wasted on ineffective broad campaigns.
Better customer relations
Increasing customer satisfaction should be a priority for brands. A good relationship with customers means less churn and better customer retention.
High quality data allows brands to engage with customers with high-end personalisation. When a company appropriately personalises communications with customers, the customer relationship is likely to improve.
Personalisation using high quality data isn’t the only way to improve customer relations, it also helps marketers get a greater understanding of customers’ needs. Gathering data customer behaviour data which can be used to inform future marketing decisions will result in an improved relationship with your customers.
Compliance
Especially with the introduction of GDPR in 2018, businesses need to ensure they’re compliant with rules and regulations when dealing with customer data.
Within industries dealing with sensitive data, compliance is of the upmost priority. maintaining good-quality data can be the difference between being compliant and receiving some hefty fines.
Following data guidelines makes it easier for your organisation to be compliant. This limits the risk of privacy violations and reputational damage. Much like data breaches, compliance is a topic with plenty of media attention. Negative media attention in this regard could possibly have damaging effects on your brand.
Cleansing through deduplicating and merging records results in improved data quality. This has benefits on all aspects of a business.
It’s important that everyone in the organisation understands the benefits of having high-quality and how it impacts their department in the long run.
Do you wish to find out more about the services we offer to improve your data strategy? Be sure to contact us today on +353 1 8041298!
