What is data enrichment and why is it important to your business? We discuss in this primer.
As companies in different industries became more computer literate and learned about the numerous benefits they could experience by using their data correctly, enriching data was now an essential step for plenty of brands worldwide.
Companies that want to make better and more informed decisions will often incorporate the steps of data enrichment. Through this process, data containing raw and unuseful information is enriched, thus transforming the existing data and making it extremely valuable to businesses.
Once a company gains a deeper insight into its customers’ lives, it can easily personalize its content and build a flawless customer record. As a result, data enrichment strategies are a vital part of a company’s long-term marketing campaigns.
About data enrichment
As a process of transforming the already-existing datasets by adding first-party or third-party data, data enrichment allows companies to find answers to big-picture questions as they have more helpful information to rely on.
A service that specializes in enriching data helps companies gain deeper insights into their business to enhance the customer experience thanks to enriched data that evaluates customers’ likes, wants, and needs. That way, a brand can stay relevant and connected to its target audience at all times.
Data enrichment types
Even though there are countless methods and strategies for enriching data, we can define three main types:
Demographic
Enriching demographic data lets you target specific demographic groups. Whether you want to base your advertisements on a certain age, gender, occupation, or any other demographic group, demographic data enrichment allows you to pinpoint those groups, which will ensure the messaging is relatable to the client base.
Geographic
Using geographically enriched data, companies can ensure their content is relatable to a specific time zone, region, country, or even city. Geographic data enrichment allows businesses to check the IP addresses of their users and find more information about their real-life location. That way, it’s easier to create geographically targeted content that’ll be relatable.
Behavioral
Finally, behavioral data enrichment uses customer behavioral patterns as a primary factor for getting more information about the users. Online behavioral patterns, such as interest areas and motives for making purchases, are the key factors for determining the effectiveness of campaigns.
The importance of data enrichment
While companies can experience many benefits to enriching their data, let’s take a closer look at the top three benefits we singled out in this article:
Data accuracy improvement
Even if you already have a dataset that’s intended to collect more information about your customers, the chances are it’s not powerful enough, and it doesn’t provide insightful data. However, with enriching data, making raw data more functional has never been simpler.
Better customer targeting
Data enrichment also enables businesses to target their main audience to design advertisements and launch marketing campaigns that’ll prove relevant to customers. Higher brand visibility, improved conversion rate, better sales, and increased ROI will soon follow.
Enhancement of customer experience
Providing a personalized experience is the crucial feature for enhancing customer experience. With data enrichment, companies can find out more about their customers, which will allow them to come up with features that incorporate personalized messaging and relevant suggestions.
How to enrich your data
Data enrichment will equip your company with numerous benefits, but it is a complicated process that implies the use of big data. If you’re unsure how to enrich your existing data, here are some handy suggestions:
Set a goal for data enrichment
Because a business can achieve all kinds of results with data enrichment, it’s impossible to do all of them at once. Therefore, before embarking on your journey, it’s essential to establish a goal you’re trying to achieve with this mission.
Use the right tools for data enrichment
As the critical step of the data enrichment process, selecting the right tools for this task is essential to secure reliable information that’ll lead to profitable results. Do your research and use the tools that will provide satisfactory data. Another alternative is to use a data enrichment service.
Stay up to date
Enriching your data isn’t something you do once. Instead, it’s an ongoing process that requires constant attention and supervision. Stay up to date by checking the data and enriching it further as time goes by.
Conclusion
Refining your company’s database with data enrichment will supply you with everything a business needs to move forward and achieve success. By incorporating different methods and techniques, you’ll quickly notice a difference in how existing and potential customers perceive your business.
