Today’s business world is occupied with modern technology and data-driven analysis. Data has become the most asset for successful and competitive business in the local and global markets. However, this all-encompassing data collected from customers become old and redundant if kept idle for a long time.
This is especially true when customers change their preferences and provide information like postal addresses, email IDs, and phone numbers. Though data is vital, it must be accurate, relevant, and updated for successful business plans. Therefore, it is important to clean unnecessary data from the database in which garbage data cleansing plays an important role.
What is Data Cleansing?
Data cleansing is also referred to as data scrubbing. It is the process of removing, updating, and rectifying inaccurate, incomplete, irrelevant, or corrupt data in the database to ensure top-notch quality data within a database.
In this process, the data set is checked to remove duplicate copies, decreased data files, incorrect details like addresses, and data files for people who opted out of communications through customer service.
Data cleansing identifies unnecessary data and modifies, replaces, or deletes it. As a result, businesses ensure that customer data is accurate and used productively and meaningfully to increase the brand’s value.
Multiple data sources result in incorrectly formatted, corrupted, duplicate, or incomplete data within the data set. It results in inaccurate and unreliable outcomes and algorithms.
But data cleansing reduces the probability of inaccuracy within the data set and ensures communications are sent to people interested or benefitting through the organization’s product or service.
It is a part of effective data management. Data entry services are also available to ensure precise and accurate data within the database. These services provide skilled and experienced data entry professionals with advanced technology. In addition, it helps the core team focus on their responsibilities efficiently.
Outsourcing Data Cleansing to A Service Provider
Organizations face several challenges due to incorrect data. Outsourcing data cleansing services can help them address multiple issues such as manual data correction, troubleshooting, inaccurate invoice data, and error rectification.
It minimizes the cost by maintaining a competent and clean database. The data used in data cleansing includes accounting databases, mobile databases, point of sale systems, social media data, and CRM data.
Customer, sales, prospects data, customized database, and procurement and spend data. Data cleansing solutions include:
- De-duplicating data
- Correcting values in the entity list
- Cleansing name, address, and email IDs
- Removing incomplete, irrelevant, incorrect data within the dataset
- Marketing databases—online, offline, and digital
- Retail omnichannel data
- Address data enrichment
- Data integrity and correction
- Data scrubbing
- Upper/lower case names conversion
- Gender addition and correction
Business Benefits of Data Cleansing
Here are some apparent benefits businesses can derive from data cleansing:
- Enhanced decision-making
Customer data is fundamental to making a plausible and compelling business product or service development decisions. B2B companies witness increased data every twelve to eighteen months.
Data quality is important in a vast database. Here, data cleansing maintains the quality of the dataset. It ensures accurate analytics with up-to-date data. It helps build a more profound and better understanding of customers leading to improved decision-making processes and long-term business growth.
- Improved customer acquisition efforts
Data cleansing boosts customer acquisition efficiency by creating an efficient customer list with correct information. However, clean, up-to-date, and accurate data is essential for effective marking initiatives.
Following regular data quality and cleansing routines help manage multi-channel data of customers and target audience effectively.
- Increased revenue
As the data cleansing provides accurate and up-to-date data, it results in a great Return on Investment (ROI) in communications and marketing campaigns. In addition, customers provide higher responses when targeted with consistent and appropriate messages.
Clean data assists the marketing team in identifying interested customers and targeting individuals through personalization and customization, leading to generating high-value business.
In addition, it helps receive increased interactions and responses from customers boosting overall business growth and revenue.
- Reduced cost and waste
An updated data list resulting from data cleansing makes sure businesses are contacting people having an interest in their message. In addition, it reduces waste associated with physical marketing methods such as direct mailing wrestling in the garbage without attention.
Data cleansing also removes inaccurate details of people, such as an address, phone number, and email ID that no longer work or aren’t viable. Reducing inaccurate names from the list reduces the amount of printing and distribution in direct mail. In addition, it helps save money and prevent environmental damage caused by marketing campaigns.
- Increased productivity
The marketing team spends a lot of time on calls and emails to non-existing contacts or people. Data cleansing ensures the customer list is valid with accurate details.
Thus, a clean and well-maintained database helps the team reduce time in contacting invalid customers by phone or email. In addition, it boosts productivity with quality and hygienic data and positively impacts the business.
- Protecting reputation
Reputation is one of the crucial parameters for a successful long-term business. Therefore, people receiving irrelevant and spam information from a particular company damages its reputation significantly.
Data cleansing ensures accuracy in communications while reaching out to people. As a result, it maintains brand integrity and its reputation.