Data is the cornerstone for brands that want to operate at scale and place customers at the heart of everything they do. Everything starts with first-party information, i.e., the data you collect directly from your customers or clients via contact us forms, feedback or surveys. Although it provides useful information such as customers’ names, phone numbers, or postal addresses, solely depending on first-party data can create gaps in your marketing and sales strategies.
Therefore, it must be enriched and updated for better usage analysis and insights. This is why marketers rely on data enrichment to reach new customers. Data enrichment refers to extracting critical customer information from diverse online and offline sources to gain insight into customer behavior and uncover better business opportunities. It is a crucial part of overall data management and works to maintain the quality of enterprise databases.
Here are some ways that data enrichment can assist you in providing exceptional customer service, enabling data-driven decisions, and changing your marketing approach.
Top 5 Benefits of Data Enrichment
Here’s how data enrichment can augment your marketing plans:
Audience Segmentation
You must adopt a personalized targeting approach to reap exceptional results from your marketing campaigns. In other words, you must personalize your marketing campaigns to enhance customer engagement and satisfaction. This can be achieved through audience segmentation, wherein you can group your audience based on several parameters, such as location, buying preferences, demographics, psychographics, etc.
However, you need high-quality and accurate information to support your segmentation efforts across various channels. Data enrichment gives you access to updated customer data, which can be used for creating power-targetted groups involving customers with similarities.
Lead Scoring
Marketing teams use lead scoring to analyze the accuracy of leads (potential customers) by attaching values based on their interest in the product/service. But where do you get the values from? Through data enrichment.
It helps distinguish accurate leads from less appropriate ones by providing critical additional lead information. For instance, if you have a potential customer’s email address and name, you can get additional information such as last name, location, contact, or job profile with data enrichment services. The more data you have, your lead scoring will be more accurate.
Moreover, you can focus more on contacting customers likely to convert into buyers rather than wasting time, effort, and costs on the ones likely to yield negative responses.
Customer Acquisition
Businesses must continuously acquire new customers to thrive. Therefore, you must reach customers when they need you the most. For instance, if they are in the middle of buying a product, you can recommend a product based on their interests.
Data enrichment assists you in creating ideal buyer personas via high-quality datasets. You can deploy the information to know more about your customers, understand their requirements, and create better acquisition strategies. Resultantly, you can reach them when they need you the most and encourage them to engage with your brand.
Develop Better Products and Services
Customers are always looking for unique products and services. Therefore, any business offering their desired products/services that solve their problems gets closer to unparalleled growth.
With data enrichment services on your side, you can get access to valuable data related to:
- Most-demanded products/services,
- Competitors’ best-selling products/services, and
- Latest market trends.
Your team can deploy this data to launch products that satisfy specific needs and precisely meet customers’ demands. Therefore, you can open up new growth opportunities, sell better products, gain customer trust and ultimately enhance profits.
Personalized Customer Experience
Though several businesses offer personalized buyer experiences, data enrichment augments customer experience by giving deeper insights related to demographics, interests, and preferences. The data can be used to offer customized coupons, especially on special occasions like birthdays or anniversaries, or shopping recommendations at the right time. In addition, you can reach your audience through custom ads across diverse channels and devices for maximum engagement. This helps customers connect with your brand as they feel heard and wanted.
How to Choose The Best Data Enrichment Service Provider?
Before you outsource data enrichment services to a third-party vendor, make sure you consider the following:
Is the data enrichment service provider experienced?
Your data enrichment outsourcing partner must have the industry-best experience working with diverse businesses and industries.
Do they have state-of-the-art tools?
Make sure they are well-versed and have access to the latest data enrichment tools and software.
Do they have data analysts and subject matter experts?
Check whether they have an in-house team of data experts and subject matter experts with relevant skills and experience.
Are their data enrichment services compatible with your needs?
Check whether the services offered by the outsourcing partner are accessible and compatible with your existing CRM software or other systems.
Do they maintain data privacy?
Your business data is highly critical and must be in safe hands. Ensure the vendor is ISO: certified, follows strict security protocols, and employs secure data transfer methods. You can also ask them for an NDA before project commencement.
Which sources do they use to extract new information?
Since data enrichment relies on updated and accurate information, the data must be extracted from reliable and trusted sources.
How often is data updated?
Opting for a partner who provides real-time data enrichment for maximum business benefits is better.
Besides you can take a look at the:
- Portfolio
- Client testimonials
- Communication process
- Supported formats
- Turnaround time
- 24*7 support
What’s Next?
Data is undoubtedly playing a considerable role in how businesses flourish. The more you learn about your customers, the higher the chances of success. Therefore, you must implement innovative marketing methods and incorporate new ideas to reach your target customers.
Also, the majority of B2B marketing and sales methodologies rely on customer information. By leveraging data enrichment services, you can eliminate duplicate, out-of-date, and incomplete customer data from your database and get an updated database with detailed customer information. For the greatest business benefits, collaborate with a reputable data enrichment service provider and obtain an updated database.