Geocoding for Business
Considerations for selecting geocoding technology to support a winning Location Intelligence business strategy.
Understanding the significance of location That’s the whole point of geocoding. Business operations in industries as diverse as insurance, financial services, and telecommunications are more reliant than ever on Location Intelligence.
Location Intelligence is the art and science of analyzing the connections between geospatial locations (latitude and longitude coordinates) and what exists or occurs in these locations (customers, businesses, crimes, weather events, traffic, etc.). But before you can analyze the connections, you need to define them, associating each location-based record with accurate geospatial coordinates. Location is at the heart of key business questions:
- How can we sell to more homes within our service area?
- Is the insured property in an area with increased risk of natural or manmade hazards?
- Is our home loan portfolio overexposed in a high-risk market?
It’s tempting to think of geocoding as a simple conversion process: Input a street address or location name, output geographical coordinates. If that’s all there was to it, buyers would justifiably look for the least expensive geocoder that delivers reasonably accurate results. However, there are many potential pitfalls in the geocoding process. If you are unaware of these, not only might you obtain inaccurate geocodes, but you also might not realize they are wrong.
This could have a major impact on your business outcomes.
What to look for in a geocoding technology
- Matching – The interpretation of an input address and matching it to reference data.
- Positional Accuracy – How close the geocode is to the specific addressable location you are targeting.
- Throughput – How many records per unit of time the geocoder can process. It’s an essential business consideration.
- Metadata – The data you have about your geocoding results, which enables operational automation and insights.
- Deployment Options – Where will the geocoder reside? On what platform will it run? How will it integrate?