Data hygiene has become increasingly important to marketers and the increasing volumes have only made it harder but essential in the current environment. To overcome this challenge, the need for quality data has led to automated data enrichment tools. In this article, we’re looking at what data enrichment is, who needs the tools, and its benefits.
Changing times demand that marketers stay on top of their game and customer data is the number one priority, as is keeping that data clean and updated, in other words, data enrichment. Appending or enriching data is more than data cleansing. While data cleansing includes identifying and removing invalid or incomplete data, enrichment is the process of merging and enhancing first- and third-party data by adding missing information from multiple sources. This helps unify, segregate, and tidy up large volumes of data to build a comprehensive single view of the customer for more informed marketing decisions.
“Data enrichment encompasses technology and devices used, user activities, and any data point that might help sales and marketing teams better their efforts,†says Editor-in-Chief, ToolboxOpens a new window . “Today there are several SaaS-based tools as well as specialist data enrichment vendors available to help with this ongoing requirement.â€
That’s where data enrichment tools and processes come in.
What You Need in a Data Enrichment Tool
Enriching data is no easy feat and the need for artificial intelligence and automation is profound, even necessary, which is why identifying the right software becomes essential. You need a data enrichment tool that:
- Sanitizes data to ensure complete and updated information – adds missing phone numbers, company name, verified email addresses, job functions, company revenue, and benchmarking data
- Identifies new leads from trusted websites and social sites, with geographic, demographic, behavioral, and professional data for highly targeted personalized marketing campaigns
- Builds a wholesome account view for your database, and creates custom rules to cleanse that data to understand buying intent
- Integrates with marketing automation platforms and email marketing platforms to make outreach more efficient and less expensive
These are some of the features to look out for when picking your data enrichment tool. If you’re still wondering why you need one, let’s look at the benefits of AI, machine learning, and automation in the enrichment process.
“Much like every other aspect of data management, data enrichment isn’t something you can do once and then never do again. Data enrichment processes need to run on a continuous basis. The time commitment for keeping data up to date is a strong argument for automating the process. Machine learning algorithms that run on a continuous basis can substantially streamline the data enrichment process because they can match and merge records much faster than a human data steward.â€
~ Todd Hinton, VP of Engineering, Data Management for Redpoint GlobalOpens a new window
Whom Does it Benefit and How?
The challenge of incomplete or inaccurate data haunts marketers and sales professionals the most. Quality leads fuel business goals and revenue outcomes depend on their ability to reach and convert those leads. A well-functioning data enrichment process or tool helps you do your job in a much more efficient and prompt way, which is key for a brand looking to accurately target the right consumers at the right time. Since this process is not a one-time activity and needs to be a continuous process, the most efficient way is to automate it with a tool. Let’s look at the benefits of a data enrichment tool.
1. Aids with data compliance
Data enrichment tools and processes can ensure compliance with data privacy laws like GDPR and CCPA, which regulate the types of customer data that can be stored, transparency in collecting data, data-handling practices, consumer rights, and so on. Without the necessary steps to comply with data regulations, you might have to discard potentially valuable data or risk being penalized. The tool can ensure your data is accurate, complete, and legal. An ongoing enrichment process can also ensure changes in regulations are taken into account and that your data is secure.
2. Saved costs
Redundant data is common in organizations as marketers could be unsure about what needs to be stored or let go. Without data enriching, raw data could have duplicates, and multiple leads with incorrect and incomplete information that could lead to customer loss and revenue loss. Also storing large databases can be an expensive affair, especially if that data is inaccurate. Data enrichment enables you to save money since incomplete or unnecessary information is not stored and only good quality, processed data that’s ready to use in your sales and marketing campaigns, prevails.
3. Enhanced personalization and customer experience
A spray and pray or one-size-fits-all marketing approach does not work anymore, and more marketers are turning to targeted marketing, which requires data enrichment to segment customers effectively. And while customers might not always want to share their data, they expect some amount of personalization from brands. For a company, that entails, understanding their customers and their pain points and priorities to help them make the right buying decisions. Data enrichment helps take personalization to the next level with unique information about customers that helps nurture them with valuable information, anticipate their needs, stay relevant, create customized messaging and experiences, and influence purchase decisions. With relevant data, marketers and sales teams can build meaningful relationships with customers and cater to their needs and preferences, which increases the chances of retaining customers and earning their trust and loyalty.
4. Improved sales
Data enrichment tools enable marketers and sales teams to create efficient lead capture forms asking visitors for only must-have information, which saves them time and helps generate a robust customer persona. This helps create quality lead data. In-depth customer profiles can help sales teams define the data points that are most relevant for lead scoring, which highlights areas for focus when enriching lead data. The enriched data ensures you reach the right prospects, thereby increasing sales efficiency and ROI. Having a complete, unified consumer identity can also help sales teams cross-sell and upsell, which will directly improve revenue. It can also expand the range of customers and segmented categories that can help evaluate and score leads to help your sales team set effective priorities.
Learn More: Customer Data Platform: Build Vs. Buy? Exclusive Expert Insights for 2020 and BeyondOpens a new window
To Sum Up
Data enrichment is an important tool in the modern marketer’s playbook as it helps target the right audience and make informed decisions. It gives campaigns the boost they need to meet business goals as well as take personalization and customer experience to the next level. While data enriching might seem like a small part of the data universe, it undoubtedly has a significant impact on sales and marketing. If you can relate to the challenges, it might be time to invest in a data enrichment tool.
What are your thoughts on data enrichment tools? Have you tried them? Tell us in the comments below. For the latest news and trends update in the world of marketing, follow us on TwitterOpens a new window , FacebookOpens a new window , and LinkedInOpens a new window .