Throughout 2021 we are going to talk about the importance of data enrichment. Why it’s vital, how to do it effectively and the improved outcomes your business could see as a result.
Experian research identified that better customer insight is a critical priority for 8 in 10 organisations*, so it seems highly appropriate that in a far more challenging year than many expected, we help guide you through a topic that could prove a game-changer for your company in the future.
It was all change in 2020
The pandemic has rocked economies, sadly forcing many businesses to completely rethink their operating models. Although there are many businesses that have fallen on hard times, on the flip side, some areas of industry have seen momentous growth (think video conferencing, laptop manufacturers and food delivery services to name a few). In reality, not all businesses are seeing double- or triple-digit growth just yet, but they do have an opportunity to tap into a world in which consumer habits and expectations have shifted significantly to digital.
The power of audience profiling
At a basic level, audience profiling, will help you be far more targeted with your communications, be they sales, marketing or support-led. Pre-empting audience behaviour and understanding key demographics helps you deliver a better service and grow revenues.
The first step is undoubtedly understanding your target audience, what makes them similar and what makes them unique in the context of your business.
> Where to begin – When looking at growing revenue for any B2C business there are typically only three categories of focus when it comes to customers – who do we invest in, who do we nurture and who do we ignore. The real challenge comes when we do not know as much about these consumers as we would like, or alternatively, the information we do collect is limited to their interactions with your business only.
> Enriching profiles with the right data – In some instances, their income will be a large determinant of whether they will purchase a product, in others age acts a leading factor, in yet another proximity to a store network will determine success. By enhancing a company’s insight into their own customers these questions can start to become easier to answer.
> Achieving speed to value – Data held dormant in a CRM will not help grow revenues, neither will long, complicated research projects designed to bolster existing customer information through invasive and expensive questionnaires.
The strategic use of third-party data sets can help enhance the information already held on customers and prospects. From here, more accurate decisions can be made and investments into first party data can be operationalised and transformed into a number of actionable tactics and strategies.
> Speak directly and appropriately to your customers – Recently we’ve seen a large increase in companies wishing to identify which of their customers and prospective customers are more environmentally focused or ‘green’. Relying solely on collected first party data it becomes a difficult question to answer. By attaching third party data to a company’s existing customer database questions like these can be modelled. This can guide the creation of new products, where a company invests or even influence the positioning of existing communications.
Targeted communications will help grow your business
Experian is expertly positioned to help guide you through the complicated world of audience profiling. With our data enrichment services, we can instantly provide an actionable file including behavioural, financial, and demographic information. With over 1,000 attributes from our Experian databases, we can help you connect with the right customers in the most effective way.
Enriching your data will provide insights that help you offer more personalised customer support, more appropriate messages and more timely offers to help your business succeed and grow.
*Experian Global Business Review, 2018