Data wash

In this article you can learn more about the concept of data washing and data validation. What is data washing and how can your business use data washing in your everyday life?

What is data washing?

Datavask comes from the English "data cleansing" or "data cleaning".

Data washing is a process that can detect, correct and remove incorrect information in a dataset so that the database is "cleaned" of incorrect information, hence the name data washing.

Basically, you can wash any data, but it will often require reference data, so the data is washed against a reference. This could be addresses washed against DAWA (Danish Addresses Web API), CPR numbers washed against the CPR register, or company information washed against the CVR register.

In Denmark, addresses, CPR numbers and CVR numbers are often washed.

Why should you clean your customer data?

There are many reasons to data wash, but the most important reason is that data washing helps ensure that your data in your systems is always up to date and not misspelled. Spelling mistakes in your CRM, ERP or financial system can have major consequences if the person who entered the information has entered it incorrectly.

For example, if your customer information is incorrect, your company may send goods or invoices to the wrong address, or you may never find the customer again if you didn't have the correct address in the first place.

Correct customer information is crucial in a debt collection case

Most people don't think about it on a day-to-day basis, but incorrect customer information can be especially crucial if you find that a customer is not paying one or more invoices.

If you have the correct information on a debtor, company or private individual, you will always be able to search for them again, either via the CPR or CVR register, for example if they have moved from the address they gave you.

Every day, lawyers and debt collection companies search for companies and individuals who have, for example, moved from one address to another using the CPR register. However, if you don't have the correct address or full name, it is never possible to find out where the person has moved to. As a result, the debt collection company or lawyer usually has to abandon the debt collection case for you.

This could be avoided if you had data wiped your information and were sure that the debtor lived on the 2nd floor and not the 2nd floor of an apartment building.

When should you data wash?

Basically, you should data wash as often as possible or at a frequency where it makes sense for your business.

If you have many customers who frequently change address or are in a situation where it is important that the customer's address is always correct (sending out physical invoices, delivering products, etc.), then you should data mask more often than if you have few customers and the address is less important.

Most people choose to data mask their information at customer creation, but that's a shame. Because individuals and businesses often change their name or address, it's important to always have this information up to date, and it won't be if data wiping is only done at customer creation.

An increasing number of companies have started data washing at a fixed interval: daily, weekly, monthly or annually. Which frequency suits your business is up to you to decide, but the more often you do it, the less risk there is of incorrect information in your customer data.

Get help with data washing with Qatchr

At Qatchr, we help you data mask your customers so you have the correct information about them: names, addresses, but also credit information and accounting information. In this way, Qatchr gives you a good picture of your customers, whether they are private or business customers. At Qatchr, we can data mask both private and business customers, and we data mask the most common information that companies require.

When the information in your customer database is up to date, you are in the best position to assess your customer's creditworthiness. By performing regular credit checks on your customers, you can maintain a healthy and dynamic credit policy that safeguards the financial health of your business.