6 Best Ways to Save Costs with Data Providers: A Strategic Guide

In the dynamic landscape of data acquisition, maximizing value while minimizing costs is a paramount concern for businesses. As organizations strive to harness the power of data, understanding how to optimize the acquisition process becomes crucial. At DataVertex, we bring you the six best ways to save costs with data acquisition, ensuring you make informed, cost-effective decisions.

1. Compare Unit Pricing Across Different Data Providers

Key Points:

• Evaluate the unit pricing structures of different data providers.

• Calculate the cost per 1000 or per 1 million data points to identify the most cost-effective options.

In a diverse market of data providers, understanding the unit pricing can be a game-changer. By comparing costs, you can make informed decisions that align with your budget while ensuring optimal data quality.

2. Choose Data Providers with Comprehensive APIs

Key Points:

• Identify the core attributes (personal email, work email, phone number, location, work experience, etc.).

• Utilize the plethora of meta data to better serve end users across industries and global regions (supplemental keys, certifications, tags, etc.)

Evaluating data providers across core attributes and meta data. Maximize performance of the core, while building out industry specific features with meta data.

3. Run Comprehensive Data Sample Testing Before Acquisition

Key Points:

• Tailor the data sample to the align with the company’s target industry or global region

• Ensure the acquired data meets quality standards, checking contact finding rates and verified phone number rates.

Quality assurance is crucial. By running comprehensive tests, you can verify the accuracy of the data, ensuring you invest in valuable and reliable information.

4. Refresh Only Frequently Used Data

Key Points:

• Sequence the order of API calls for purchased data providers.

• Optimize costs by using the cheaper API calls first and resorting to higher-priced APIs only when necessary.

Efficiency is key. Optimize costs by strategically sequencing API calls, prioritizing cheaper options and utilizing higher-priced APIs when lower-cost alternatives yield no valid results.

5. Consider Bulk Flat File Acquisition

Key Points:

• Evaluate bulk flat file acquisition for large datasets.

• Compare unit prices between bulk acquisition and on-demand models to identify cost-effective options for large-scale data needs.

For organizations trying to enter a new market or product segment, bulk flat file acquisition can offer significant cost savings. Compare unit prices to determine the most economical approach for your specific dataset needs.

6. Check Before Renewal on Data Usage Rate

Key Points:

• Assess data usage rates before renewing contracts, ideally keeping an annualized calendar of renewals to spot saving opportunities

• Optimize plans based on actual usage, considering smaller plans or trimming the number of data vendors to maximize overall value.

Before renewing contracts, evaluate actual data usage. Optimize plans by choosing smaller sizes or streamlining vendors, ensuring you maximize value while minimizing costs.

Conclusion: Making Informed Data Acquisition Decisions

In the ever-evolving landscape of data acquisition, informed decision-making is the cornerstone of success. By implementing these six strategies, businesses can save costs, optimize data quality, and position themselves for success in the dynamic world of data management. At DataVertex, we're committed to empowering organizations to navigate this landscape with precision, ensuring every data acquisition is a strategic investment in their growth.

If you need more professional help to optimize your costs with Data Providers, don't hesitate to reach out to DataVertex to get a free consultation today!