The Business Value of Geocoding in 2019
Geocoding is the process of associating a data record with a specific point on the surface of the earth using latitude and longitude (“latlon”) coordinates. In today’s global economy, having precise and reliable location information regarding both customers and logistics has become vitally important for many enterprises. In this article, we’ll take a look at some specific ways geocoding can add value to your business.
More Accurate Location Information
The process by which businesses ingest location information usually involves, at some point, humans transcribing street addresses and postal codes, and adding them to data records. Because of that essential human element, it is not uncommon for such entries to contain errors. In addition, location information that includes street addresses can become invalid or inaccurate when, for example, an urban road network changes or a rural area begins to be built up.
Inaccurate location information can translate directly into increased operational confusion, higher product delivery costs, and decreased customer satisfaction. But geocoding minimizes such disruptions. One of the first things a good geocoding application will do is to validate street-level location records using a comprehensive geodata database, and correct (or at least flag) any inconsistencies or inaccuracies.
Better Business Intelligence
The use of big data analytics to uncover business opportunities and risks is growing rapidly. In many cases, a critical element of such analyses is the inclusion of relevant location information, so that significant geospatial relationships are taken into account. However, raw street addresses and postal codes do not provide sufficient information for analytics or machine learning applications to discern the geospatial relationships between entities. For example, the way in which “123 Elm Street” and “456 Oak Street” relate to one another geographically is not readily apparent, even if both addresses are in the same postal zone.
By converting street-level address information into standard latlon coordinates, geocoding provides all the information needed to allow a business analytics system to directly factor geography into the analytical process.
More Precise Customer Targeting
Geocoding produces latlon location information that is accurate, precise, and mappable. The precision and reliability of this geocoded data, along with the ability to represent it on maps so that humans can readily visualize it, facilitates targeted marketing to potential customers in designated geographical areas.
For example, borderlines based on postal codes (such as ZIP+4 in the U.S.) are unlikely to correlate with actual demographic boundaries. So, a campaign that aims at delivering marketing materials to certain ZIP codes in order to reach a particular demographic population is likely to result in a lot of wasted effort and expense. But with geocoding, the outlines of the target area can be precisely delineated to conform to the actual living patterns of the desired population.
Syncsort Provides a Comprehensive Geocoding Solution
Syncsort’s Trillium Global Locator allows you to incorporate top-of-the-line geocoding functionality into your business information applications. It validates, corrects, and standardizes postal address data on a global basis, while adding precise latitude and longitude coordinates. Access to all functions is provided in real time through industry-standard interfaces, such as REST, .net, and Java APIs.
Whether it’s extracting location-based business planning insights through big data analytics, formulating an appropriate marketing strategy based on the demographics of a target area, or determining the most efficient routes for product deliveries, having the kind of accurate and precise location information that Syncsort’s Trillium Global Locator provides can give your company a real competitive advantage.
Interested in learning more? Read our new eBook: Move your Business in the Right Direction with Global Address & Geocoding Tools.