What is Customer Data Validation?


Efforts to gather, organize and ultimately analyze data pertaining to their clientele can provide businesses with a wide range of benefits. From fine tuning a customer relationship management process to anticipating the needs of a customer or client based on their past actions and behavior, data analytics can provide companies with the unique insights and more comprehensive understanding needed to make more effective decisions. While data analytics is a powerful tool with a lot to offer, businesses that fail to validate customer data could be making a costly mistake. Errors and inaccuracies that have managed to creep into a business’s documents, records and other data sets could impede assessment efforts or turn the results of the entire process from an asset into a liability.

Data Validation

Validating data sets is a crucial step of the analytical process, one that helps to ensure higher quality results. From performing spot-checks for projects involving large volumes of documents to the comprehensive efforts needed to confirm or cross-reference all the data being used, validating and confirming information prior to conducting an assessment or an analysis can eliminate mistakes or inconsistencies which might otherwise corrupt the results. Building customer profiles or crafting a marketing strategy based on data that has not been properly validated could end up being a bigger risk than many businesses might realize.

Behavioral Data

Performing an analysis of the past habits and behaviors of individual customers can allow businesses to more easily predict or anticipate their future actions. Data analytics has proved to be a real game-changer in terms building and maintaining more detailed and accurate customer profiles. Behavioral data can reveal a great deal about a customer or account holder, but working with data that hasn’t been properly vetted could lead to no end of problems, issues and complications.

Personal Information

Providing personalized service can go a long way towards improving customer satisfaction. Businesses that rely on customer data in order to determine how best to handle an interaction or what efforts to prioritize when attempting to meet the needs of their customers would be use to ensure that they are working with the most accurate information possible. Inconsistencies with a customer’s personal information can turn even the simplest interaction into an embarrassing and awkward situation, one that had the potential to do lasting harm to a business’s image.

Demographic Details

Sophisticated methods of data analysis have been nothing short of revolutionary when it comes to marketing and promotional efforts. Details that can allow businesses to dial-in on specific demographics often play a crucial role in ensuring that organizations are able to advertise their products and services as effectively as possible. Basing a marketing campaign on information that is incomplete, out of date, or riddled with other inaccuracies can be disastrous. When crafting a more effective promotional strategy, it pays to use only the highest quality data possible.

Curating Account Histories

An accurate account history is often the single greatest tool that businesses have available for building and maintaining positive long-term relations with their customers and clients. Even the most basic account profiles and documented records may suffer from data degradation over time, especially in situations where data is being transferred or migrating to a new platform. Taking extra care to ensure that their customer account information is as accurate as possible can be well worth the additional time and effort that may be required.

When to Perform Data Validation

Performing periodic checks to ensure the validity and integrity of key data sets can be a worthwhile precaution. Taking additional steps to validate data after transferring records to a new format, when devising a promotional strategy or when other errors have been identified can also be a good idea. Data analytics can be a very powerful and versatile tool, but conducting an analysis using out of date information or inaccurate data may lead to any number of potential problems that businesses would be wise to avoid.

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Kevin Schultz is a professional journalist with over 15 years of writing and media experience. He is a full-time contributor to the Themocracy Online News Blog and his insightful writing has been enjoyed by thousands.