A new report shows that network effects, in which the value of a product or service increases for all users with each new user that joins and contributes to the platform, can improve B2B data accuracy to over 95 percent.
The “Customer Network Effects Report: Bringing B2B Data Into the Age of Intelligence” report from Radius also found that network effects can boost audience reach across digital by up to 19 times.
"Network effects have long been a driver of business value and innovation across many industries, particularly for B2C companies," Radius CEO Darian Shirazi said in a statement. "At Radius we are pushing the envelope on what B2B companies can come to expect from data. Now, leveraging customer network effects opens the door to further transform B2B data and develop new marketing innovations."
B2C organizations have been leveraging network effects by taking direct input from customers to improve data accuracy, and Radius has focused on providing increased accuracy in the B2B space by creating a business graph with robust company and contact data, in addition to businesses interaction data from network participants.
The real-time Radius Business Graph draws on 50 billion external signals on over 18 million U.S. companies, leveraging advanced algorithms to unveil the true value of customer relationship management and marketing automation systems, bringing together data, customer insights and execution.
Customer network effects have enhanced the data in this business graph, increasing accuracy for B2B marketers.
“As B2B interactions and other business data points continue to be amassed, the data within the Business Graph gets validated with an additional lens of actual business touchpoints,” the report reads. “This validates that companies are still operating, that contacts still work there and that other business attributes are correct. With this insight, invalid or outdated data gets tossed and only the most reliable data remains. Customer network effects have been pushing the accuracy of the business attributes within the Graph far beyond the leading industry benchmarks and getting it closer to the elusive 100 percent accuracy.”