Bad Location Data is Hurting Your Business. Here’s How to Fix it.
When we did a data cleanse for a major Canadian Telco not too long ago, the results were pretty shocking. We found that 15% of OSS/BSS data was incorrect or not matching proper Civic Address format. That means that an incredible 15% of the company’s spatial information qualifies as ‘bad data.’ This scenario is more common than you’d think. 10-25% of B2B databases contain critical errors, and about 62% of organizations rely on marketing/prospect data that’s 20-40% incorrect.
Bad data is a big problem. It can result in faulty marketing tactics, mismanaged resources, and unhappy customers. Bottom line: Bad data almost always means lower profits.
What is Bad Location Data and Where Does it Come From?
Bad data is often a result of human error, an entry mistake, duplicated information, information that’s missing, or information that’s outdated. Examples of how location data can become problematic includes addresses that no longer exist because a structure was demolished, or a missing street number or municipality name. Additionally, sometimes data is not characterized properly, such as a school characterized as a business, or a residence being characterized as a commercial space.
Data is in constant flux – that’s its nature. You cannot rely on data to remain static, and if you do, it will negatively impact your business. Bad location data inevitably results in inaccurate customer lists or target market audiences. This leads to wasted time and effort in marketing to the wrong population, using the wrong messaging.
Using Quality Data and Geocoding for Your Business
Geocoding is an important part of customer data management, and is used to inform business decisions. It allows you to gather information about customers relative to their locations, revealing behaviours and trends that can be used to develop targeted marketing campaigns. Accurate, quality location data allows your company to effectively reach your target market and communicate customer-specific information that can help sell products and services.
Geocoding can only be done effectively when using clean, accurate data. Marketing to a particular region is most effective when you understand the “where” context of the population in that region to empower decision-making. For example, location combined with demographic information and nearby points of interest can reveal unique consumer trends or behaviours. You can leverage this data to find and market to new customers, as well as to retain your existing customers.
When using clean data, you get higher response rates to marketing campaigns because you are targeting the right people with messaging that is highly relevant to them. A strong geocoding solution offers data on actionable information like population counts, age, race, income, home values and much more. This allows you to estimate purchasing behaviour and determine who is the mostly likely to be responsive to what you have to offer. Digital maps layered with data allows you to analyze customers based on their their location. You ultimately lower costs because you’re no longer spending time on reaching out to addresses that don’t exist, and you maximize profits by developing data-driven messaging tailored to your target market’s wants and needs.
How DMTI Spatial Can Help Your Business
Data changes fast. For example, 10,000 postal codes change monthly, and 130 municipalities change name annually affecting 3.3 million addresses across Canada. DMTI Spatial’s Location Hub is the most accurate address platform in Canada, and keeps your records updated and accurate with high quality GIS coordinates.
Here’s how it works: Customers submit addresses and they are processed through Location Hub. The result is a clean file of addresses that have been cleansed, validated and enriched with the system reviewing everything related to addresses including:
- Street address
- Street name
- Street type
- Street direction
- Postal code
- And more