Managing data integrity with confidence

1. Managing data integrity with confidence Managing data integrity with confidence Rebecca Clayton TFM 9th February, 2005 Rebecca Clayton TFM 9th February 2005

2. Today’s agenda • The importance of data • Data decay • An effective data strategy • Maintaining and enhancing your data • The QAS approach • Benefits of an operational data strategy

3. The importance of data • Inaccurate data costs every time it is used • Data decays if not maintained • Accurate data is vital for decision-making • Inaccurate data affects customer satisfaction - 31% of consumers end relationship due to inappropriate communications Source: NOP World research and Royal Mail

4. Data within an organisation • 87% of organisations use customer data to support strategic decisions Source: NOP World research

5. Organisation-wide issue • Strategic issues: • capturing data consistently • maintaining data • enhancing data • Not just about saving money but making money

6. Manchester United FC • Fan base : 75m in 20 territories • Aim to convert support from fan base into club revenue • Accurate international data capture is vital • Regular clean and refresh policy • Accurate communication = cost savings

7. Red Letter Days • £12m market-leading UK firm • Complex multi-stage order handling and processing must run smoothly • Accurate data capture vital at each stage through all mediums including web • Aim to improve the customer experience

8. Data decay – the causes • 13% of the UK public move each year – 7.7m people • 700,000 people die each year • 1.2m addresses change on PAF each year Source: NOP World research and Royal Mail

9. Data decay – the causes • Data collection from different sources can cause duplications • Lack of budget for regular verification • Lack of awareness of data accuracy solutions available

10. Lets do some numbers • 30 pieces in one month • £1 per piece +0.21p to mail • Over 12 months £435.60 • B2B vs B2C

11. Data decay – the causes “Our problem is the human error factor, we need more internal checks of the actual data inputting” Over 5000 employees, Business Services

12. Data decay – the causes “There are problems where people only put in the data relevant to their department…they are only thinking of themselves” 500 - 999 employees, Finance

13. Improvement in data strategy • 57% organisations use a single company wide database • 67% of organisations now have a standard data quality policy Source: NOP World research

14. Increased routine validation* *Still 13% without any form of validation

15. Increased commitment • Good news • More board buy in • More Investment • More personnel • Concerns • Lack of data accuracy technology

16. Bad data costs Over 80% of organisations believe inaccurate data costs money, across the whole company Source: NOP World research

17. Data potential unrealised • Over 50% did not believe that they were using their customer database to full potential • Says • Marketers 72% • IT Managers 59% • Database Managers 47%

18. Research shows… • Companies have moved on • Data quality increasingly on the Board agenda • More consolidated databases • More investment in data quality • Still some dissatisfaction with data, affecting business decision making • Only 18% ‘Very satisfied’ with data accuracy • Only 20% ‘Very Satisfied’ with completeness

19. Data integrity drivers • Legislation • Mergers and acquisitions • Use data intelligently • Customer retention & growth • -exceed customer expectations, CRM • Instil best practice across the enterprise • Improve cost base and reduce waste

20. The data integrity proposition • More than just names and addresses • Enhancing records • Suppressing records

21. Suppression a hot topic DMA escalates its campaign to get industry to use Suppression as part of lessening the environmental impact of poorly targeted DM. David Coupe, Chairman of DMA

22. Suppression data • Telephone and Fax Preference Services (TPS and FPS) • Over 4 million registrations • Legal obligation to use • Potential fines and adverse publicity • Mailing Preference Service (MPS) • Over 1 million registrations

23. Suppression data • National Change of Address (NCOA) • 12 million records • 100,000 new redirections a month • Gone-away suppression • 18,000 people move daily • Not always together • Not always permanently • 13 items of DM a month

24. Suppression data • Bereavement screening • 700,000 people die a year • £18 million wasted mailing the deceased • Duplicate detection • 70% consumers annoyed by duplicate mail • Individual, family or household

25. Enhancement data • BT’s Operator Services Info System (OSIS) • Telephone number verification, addition, formatting and ex-directory flagging • 50,000 changes a day • Electoral Roll • Name verification, addition and formatting • 35 million records

26. So what can we do about it ?

27. Data strategy – a consistent approach • Enterprise wide champions • Capturing data across different customer touchpoints • Cleaning, maintaining and enhancing • Using data confidently

28. Becoming confident • Self assessment audit • Measure data quality – the complete record • Set targets • Get buy in

29. Measure and improve

30. Get your customers to help • Give customers every opportunity to manage and update their own information • Envelopes, DM, billing, web, email, phone calls, meetings

31. Routine contact validation • Email • Phone • Suppression

32. Report success • Good data is good for everyone • Make it part of the culture • Policies and training • Incentives

33. Why spend the time and effort ? • ‘Productivity, customer satisfaction, growth, and better opportunities to up-sell and cross-sell across the customer base are the primary benefits of improved address data quality’. • Ted Friedman • Principal Analyst, Gartner Research

34. Success over time “We keep getting better with time, hopefully in five years time we will be using our database more, it is an evolutionary process” 1000 - 4999 employees, Finance

35. We can help you with your data integrity strategy. Visit us on stand D40 for advice and live demonstrations. www.qas.com/uk