Get more value out of less data: why data quality is more important than data quantity

In recent years, collecting as much data as possible has been the norm for companies. The idea was simple: the more data, the better. But this “collecting frenzy” has meant that many companies have now stored mountains of data without knowing exactly what that data is worth. These large amounts of data often look like an overcrowded attic or storeroom — you keep it, but there is a lot of clutter in between. In this article, we explain why focusing on data quality is more important than ever and how companies can start collecting the right data for valuable insights.

The problem with too much data: a comparison with the attic or storage at home

Imagine an overcrowded attic where all sorts of things have been stored over the years: old toys, broken appliances, forgotten photo albums. Things you don't need right away, but keep 'just in case'. One day, you'll have to clean up that space, for example if you're moving or living smaller. Then it suddenly becomes clear how much unnecessary stuff there is.

For many companies, the same principle applies to their cloud environment. In an attempt to collect as much data as possible, a 'mountain' of information has been stored. This data is often piled up unused and disorganized, without knowing exactly what it all means. This approach leads to high costs, both financially and environmentally, because storage capacity is scarce and expensive. Even worse, this unstructured data often adds little or no value.

Why data quality should be the most important factor

Instead of thinking in terms of quantity, it's more important to focus on qualitative data — data that is valuable and reliable and that provides insight into key trends and company performance. This goes beyond just collecting as much data as possible; it's about collecting data that:

1. Consistent is — Data that is maintained in the same way over time, making trends more visible.
2. Shows variation over time — With data that has been collected consistently over different periods of time, you get insight into changes and developments.
3. Answers the right questions — By focusing on data that really says something about your performance and goals, you get the insights you need for strategic decisions.

The need for granular data for long-term value

Granular data — data collected in detail and consistently over longer periods of time — provides companies with in-depth insight into the variations and patterns that occur in their market. This type of data shows how various factors change over time and how the company can respond to them.

For example, a company that collects accurate and consistent data about customer preferences and purchasing behavior over time can better respond to changing market dynamics and customer needs. It enables organizations to respond more quickly and in a more focused way, which ultimately has a direct impact on customer satisfaction and business results.

Tips for companies: from collecting to data quality

As a company, do you want to switch from collecting data to using data? Here are a few concrete steps:

1. Determine which data is really valuable
   Identify which data really contributes to understanding your company's performance and focus only on that. Ask yourself: which units of measurement are essential to our success?
2. Ensure consistency and quality
   Monitor and improve the quality of the data you already have. Has the data been kept accurate and consistent over time? Are there any errors or holes?
3. Structuring and cleaning
   Organize your data environment so that all data is easy to find and provides immediate insight. Use clear structures and make sure everything is properly documented.
4. Sustainable storage
   Also consider the ecological and financial impact of data storage. By storing only qualitative data, you save storage space and reduce costs. This not only helps your business, but also contributes to sustainability by reducing the pressure on data centers.

The time when collecting as much data as possible was the norm is over. Today, it's about data quality, consistency, and the ability to get valuable insights from what you have. By focusing on qualitative data and collecting it consistently over time, you build a valuable source of information. A clean, well-organized “data cabinet” gives you the insights you need to make strategic decisions and take your organization to the next level.

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