Fortune 500 Companies Check Billions of Location Points Every Day: Here’s Why

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Many have called the current era the Information Age, but it’s easy to see that we’re living in a more specific time dedicated to data, data and….

Ah yes, the data.

As Clive Humby, Chief Data Scientist at Starcount, once said, “Data is the new oil.” Data is worth real money. According to a study at the University of Texas at Austin, a 10% increase in data usability can generate $2 billion in revenue for a large enterprise. With that kind of money at stake, it’s no wonder that at least 20% of the Fortune 500 use smart tools to verify their location database.

Location data – items such as addresses, latitude/longitude coordinates and geospatial information – can be used to reduce waste in parcel delivery, verify risk factors for insurance purposes, prevent scams and make decisions for the future.

However, if the information is inaccurate or unverified, it can cause major problems for the companies it is intended for.

So why are Fortune 500 leaders investing in location data intelligence? Here are some of the reasons.

Better data saves money

Data only works for a business if it is accurate and clean. Bad data has been shown to cost between $8 million and $15 million per year.

Consumer error, voice-to-text issues, transposed numbers and more can turn what should be a database goldmine into a money pit. Using technology to verify addresses reduces these issues and can get you back on track.

Inaccurate information can also cause other costly problems. Physical mail and packages sent to the wrong address – or to an address that doesn’t exist at all – is like throwing money in the trash. Worse still, important documents that require a response or have legal ramifications may actually land you in regulatory trouble. The resources spent up front checking these locations means nothing is wasted when you read to start shipping things.

Verified locations reduce scheduling errors

Communications giant Verizon relies on reliable location data and geocoding to know where to place 5G towers to ensure their consumer base is covered. Physical operations considering expansion should gather geographic and demographic data to create a strategic plan. Any business that transports goods or professionals needs access to accurate addresses and route information.

Planning is always based on data. Setting goals and projecting milestones based on desires rather than actual facts can set a business back years. If the location data is minimal, you’re wasting time and energy on things that aren’t actually there. The only thing worse than bad planning is starting with bad data.

Accurate data shows you where resources belong

When the American Red Cross decided to provide smoke detectors in underserved areas, they needed reliable location data to create a map showing volunteers exactly where to go and who to talk to. They received data from around the country through the US Fire Administration, but the data was not standardized. In this case, cleaning up and verifying the scene actually saved lives.

The same principle applies to any brand looking to allocate limited manpower and resources in the most efficient way possible. With accurate location data, maps and models can be created to show where your customers are, where certain types of activity are taking place, and where risk factors are, so that resources can be appropriately allocated. .

Conclusion

Saving money, planning for the future, and spending resources wisely are some of the major issues facing CEOs. Investing the time and capital needed to verify location data provides the tools needed to address these issues.

As we look to the future of business, data is arguably one of the most valuable assets a business can have. It makes sense to protect this asset, ensuring it is accurate, verified and organized.

Vijay Yadav is a Smarty Engineering Team Leader.

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