Why Data Cleansing Services are Important for a Business

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Every enterprise processes and stores huge volumes of customer data. However, with time, customers tend to change their personal information and details like contact numbers and addresses. Thus, businesses are needed to regularly update their data to reduce any errors in data entry, or else these errors can negatively impact sales and customer satisfaction. The chief purpose behind data cleansing services is to discover inaccurate data and boost its quality by rectifying any detected errors.

Data Cleansing and Its Importance

Data cleansing is a process in which unclean data is analyzed, identified, and corrected from your data set. It is important for businesses to keep their data updated and clean at all times. Organizations having a clean database can decrease gaps in business records and boost their returns on investment. Data cleansing is the data management task that reduces business risks and increases business growth. It validates data accuracy in your database by dealing with the missing data. It also involves removing structural errors and duplicate data. Error-free data allows you to use customer data accurately like delivering accurate invoices to the right customers.

B2B data cleansing services become very important for businesses that consume data in huge volumes. When unwanted data is removed, more space gets allocated to the data that is yet to be collected. By keeping only, the useful data, the process of data analysis is also simplified. Generating valuable business actions and insights becomes easy when data is cleansed effectively. There are multiple benefits of having clean data. It makes the database organized and helps in improving business performance. Here are some important advantages of data cleansing you need to consider:

Better Customer Insight

Clean data offers businesses better insights into customers. This in turn supports a business’s ability to create a positive customer experience. When a business has a clear picture of its customers, it becomes easy to improve sales strategies, marketing messaging, and customer service. Connecting with the target audience becomes easier with marketing campaigns that have accurate data.

When your data is not clean, your analytics will derive wrong conclusions about your customers. Also, your customer service can be affected when customers receive poorly targeted messages. Thus, you need to make sure that the quality of your customer data is top-notch. This helps you in receiving the maximum value from customer analytics and insights.

Better Decision-Making Process

Certain organizations have large data scattered across a range of departments. A lot of times, this results in incorrect data. More bad data can get generated when there’s a disconnection among different departments. Errors in shipments, payments, and inventory can also occur. Incorrect data leads to ineffective decision-making and affects your day-to-day business decisions. Your inventory, purchasing, and sourcing decisions also get deeply affected. When you do not have data cleansing services, ineffective decisions can result in huge financial losses.

Clean data helps in supporting better analytics and allows you to make efficient business intelligence solutions. Data cleansing helps a business by collecting, reconciling, managing, and connecting multiple data sets to attain updated information management. When you have clean data across the different departments of your business, you get to make better decisions.

Decreased Risk of Compliance

Your GDPR compliance efforts can be at stake when your data is unclean. This occurs when you send emails to a customer who recently unsubscribed from your business for receiving marketing emails. To avoid such violations, you need to have data cleaning to remove any corrupt data that affects your GDPR compliance. When databases are cleansed on a regular basis, you get to ensure that your business does not end up contacting people who have opted out of communications. This way you save yourself from the huge fines linked with breaching GDPR. You also get to protect identifiable information within your database. This information can include marketing efforts, trade secrets, and interactions with business partners.

Error-Free Internal Systems

When there is unclean data, information comes in as incomplete and inaccurate. When accuracy is maintained in internal data, mistakes in communication are reduced. This provides an easy method of resolving issues in the workplace. Also, clean data helps your employees with easy access to business documents. It results in a smooth process of gathering and distributing feedback. Thus, accurate data makes it easy to facilitate efficient workplace communication.

Better Productivity

Your business faces a loss in productivity when your employees have to always deal with unclean data. They get caught up in examining data problems instead of concentrating on their core activities. When you use B2B data cleansing services, you get to save valuable business time. This allows your business to boost the capacity of its workforce.

By contacting customers with out-of-date information, your employees lose out on their productivity and there is no growth in business revenue. Thus, to make sure that the efforts of your employees add to business value, you need to maintain a clean database. This will also help your employees in making the best use of their office hours.

Growth in Business Revenue

Dirty data results in huge business losses. Issues like lack of customer data and incorrect demographic data can be costly affairs for a business. To reduce the impact of dirty data on your finances, you need to keep your data clean. Clean data helps you in performing better customer segmentation and targeting customers more efficiently. This increases the customer response rate and boosts customer engagement. When you prioritize clean data, you get to generate more ROI. The quality of your business and sales relations also begin to improve quickly.

Reputation Management Strategy

One of the consequences of dirty data is duplicate data. This can prove to be a nuisance for your business as your sales team might end up calling one customer multiple times a day. This can result in your business losing out on profits. Also, when you send emails to addresses that are outdated, you increase spam complaints and bounce rates. If your customers keep receiving irrelevant information from you, they might end up abandoning your business. To protect the reputation of your brand, you require a data cleaning process that makes sure you only get to connect with the right people. This can also prove to be an effective strategy in maintaining your brand integrity.

Improved Sales and Marketing Efforts

Clean data has a positive impact on your sales and marketing efforts and helps your company boost its ROI. Your customer acquisition efforts start delivering positive results and your marketing performance increases with the help of clean data. When you ensure quality in your data management, your marketing outcomes automatically improve.

How Outsourcing Data Cleansing Services can be Beneficial for Your Business

Cleaning your database is a challenging task as it takes a huge amount of your time and resources to complete it. To ensure that your customer data is error-free, it is best to outsource your data cleaning services. Getting your business data cleaned by skilled data professionals can boost your lead-generation process. You will decrease the time spent on resolving errors in data and improve the productivity of your business resources. And, since your service provider will have access to the right automation solutions, you wouldn’t have to worry about losing your important data.

Outsourcing will ensure that your company always has access to clean data for producing accurate metrics for the purpose of analysis. This will help you perform better customer segmentation, target your customers more effectively, and improve your business performance.

About the author


Gurpreet Singh Arora

Gurpreet is an industry veteran, serving as the Operations head of the Damco Group with a demonstrated history of working in the Information Technology and Services industry, and running profit center operation. His expertise proves pivotal in driving business efficiencies by streamlining and reorganizing the existing processes.