In today's data-driven business environment, companies rely heavily on data to make informed decisions and gain a competitive edge. However, managing and utilizing data can be a complex and challenging process.
Here are the 4 key takeaways from this article:
- Reverse ETL helps businesses transfer clean, accurate data from source to destination in real time.
- Businesses should consider factors such as speed, security, fallback/alert systems, and ease of use when selecting a reverse ETL tool.
- It helps automate certain tasks like finding customer data points and updating product information on websites.
- Reverse ETL tools should be cost-effective to scale up, and pricing plans should be flexible.
One of the key challenges businesses face is transferring data from source to destination in real time while ensuring that the data is accurate, reliable, and secure. This is where Reverse ETL comes in - it helps businesses transfer clean, accurate data from source to destination in real time. In this article, we will explore what businesses should keep in mind when selecting a Reverse ETL tool.
Table of Contents
- What is Reverse ETL?
- Modern Data Stack
- Selecting the Right Reverse ETL Tool
- Integrate.io for Reverse ETL
are standard data management techniques among . Indeed, organizations have long been using these processes to create effective .(ETL), and Extract, Load, Transform ( )
However, there has recently been a remarkable rise in the use of Software-as-a-Service (around 91% of organizations with at least 11 employees use a system.) based customer relationship management ( ) , such as , , , Zoho, etc., to store and analyze . In fact,
Organizations use these applications to get relevant insights for making data-driven decisions. They should have a foolproof solution to seamlessly integrate theirinto . And this is where come in.
What is Reverse ETL?
Reverse ETL, as the name suggest, reverses the ETL , or lakes, to destinations like and ERP or other that require data as input.. It is a process of transferring data from sources, such as databases,
Reverse ETL vs. ETL and– Which One to Use?
As such, they use thementioned earlier to perform all their analysis and generate management reports for everyday usage.
However, the problem is that organizations have to transfer the data yet again fromand lakes to such .
Traditional ETL and solutions are not enough to carry out such operations. A typical ETL ingests from several , such as consumer , the internet, or internal business applications, and applies several transformations to clean, filter, , and merge the data. Finally, it loads data in a destination like a database or a .
is similar; the only difference is that it loads the data and then applies the necessary transformations.
Nevertheless, such typical are suitable for businesses whose involves and customized to view and analyze data. However, approaches like these become a bottleneck if mostly spend time working with applications.
Organizations should therefore have a system that updates these applications inwith accurate data so that relevant teams can derive insights more conveniently.
Since Reverse ETL takes data from warehouses and lakes and delivers it to other, it is appropriate for organizations that want to make quick data-driven decisions without spending much time learning other .
Benefits of Reverse ETL
Before the time of reverse ETL, businesses used to build their own Application Programming Interface () to integrate their into operational applications. However, creating and maintaining such is resource-intensive and time-consuming.
So for one, reverse ETL allows companies to avoid the inefficiencies of suchand, instead, benefit from an out-of-the-box solution to establish streamlined data . But there are other benefits to reverse ETL, as discussed below.
Increases Operational Efficiency
Through Reverse ETL, employees can work directly on businessthat let them get more contextualized insights rather than just detecting patterns and anomalies. Indeed, making predictions based on past trends without meaningful context is poor practice.
Sound predictions require subtle assumptions and domain knowledge that is only possible if domain experts can easily access and use the tools they have expertise in. In fact, the very practice of delivering data insights to downstreamis known as .
breaks the between the data and by incorporating data-driven insights into day-to-day operations.
Helps with Data Governance
Since reverse ETL helps build a more unified data Data governance ensures that different teams can easily access and use domain data while maintaining the security and integrity of several data sets., it allows organizations to implement better data governance practices.
The very purpose of reverse ETL is to provide wider accessibility of data to teams across organizations so they can work on platforms they are familiar with.
Provides Scalability through Interoperability
As a business grows, it may have to deal with an ever-increasing volume of data from various sources. Analyzing such a vast amount of data may require teams to have not only access to domain-specific data but data from other functions as well.
For example, themay require financial data to understand the revenue impact of a particular advertising campaign. As such, it would require historical data on the profitability of similar campaigns in the past.
Such interoperability will only be possible if each team can access different data types through all thethey use. By providing valuable data directly to , Reverse ETL will prevent the need to constantly send access requests to central and wait until access is granted.
It will therefore help organizations to scale up business operations quickly as teams will be more agile.
Allows for Product/Service Personalization
Organizations today must add an extra level of personalization to their products or services to remain competitive. For example, E-commerce sites may send product recommendations based on a customer’s purchase history.
Such personalization is possible only if the relevant teams have access to the latest. They can then use it to identify useful patterns or pain points to provide better and ensure a smooth .
Reverse ETL can make this happen as it involves automatedthat constantly update all the relevant systems to reflect the most current state of truth regarding customer behavior.
Why Do Businesses Need Reverse ETL Now More Than Ever?
By leveraging Reverse ETL, businesses can ensure reliable and consistent customer data across all systems in real-time, enabling teams to quickly identify trends and take action for a better customer experience.
Reverse ETL helps businesses reduce time spent on manual processes and maintain data accuracy across systems. By streamlining and automating manual tasks, businesses can stay on top of their operations while also focusing their attention on other areas of the business. This helps them remain agile and competitive in today’s ever-changing digital landscape.
In today’s digital era, data is a valuable asset for almost every type of organization. Reverse ETL allows for leveraging this value through effective datathat boosts productivity by breaking team and improving .
But that’s just the beginning. Traditional ETL andare no longer suitable for working with the so-called (MDS). MDS is a collection of products or services that companies use to unify data from myriad sources for quick use and analysis.
One of the significant benefits of the MDS is that it allows organizations to have a deeper view of their customers’ profiles. In fact, MDS works with( ), such as Insider, Bloomreach, Kalviyo, etc., to help get a 360-degree view of the customer.
Together with, MDS helps improve , which, as discussed earlier, allows teams to carry out daily operations based on feeds.
A brief overview of the MDS components will help understand the role of reverse ETL. There are essentially six components, as listed below.
- This component involves the sources from which an organization fetches . As discussed, it can include databases, , or even .
- covers centralized repositories like or , such as , , or , where load the data.
Data Governance - The next component relates to governance, where the focus is on creating data privacy standards and data catalogs and establishingto measure the effectiveness of .
Data Usage - The main result of all components is to deliver the data in a shape and form readily usable by relevant teams. Business executives can use the data for, whereas, can use it for analytics by directly querying the platforms.
However, it is more efficient to put the Integrate.io, , or come into play which can in warehouses with other applications.into so that operational teams like the sales, marketing or finance can use it in an environment they are most familiar with. And it is here where such as
Since reverse ETL allows for such an integrated approach to data usage, it has several.
Otherof Reverse ETL
managers can directly refer to systems to get vital information on product usage and get an idea of customer churn rate. They can then use the data to reach out to such customers to up-sell and increase customer retention more effectively.
involves automating specific such as sending emails, and newsletters, posting social ads, giving recommendations, etc. The purpose is to spend less time on repetitive tasks and give customers a more personalized touch.
However,tools use systems as their source for directing a customer’s journey. For example, data points in the may indicate that a customer needs help from a customer rep. The tool can identify this touchpoint and perhaps notify a customer rep to contact the customer.
However, for this to happen, the data inmust be accurate. can be a great help by ensuring that applications receive clean and correct data.
E-commerce websites require constant updates to product information so that customers visiting the site across the globe do not face any inconvenience. For example, the website should reflect the unavailability of a product if it is out of stock.
It would be a hassle for a customer if the information is not present and they order the item only to find later that it is unavailable.
As such, organizations integrate their E-commerce sites with inventory management tools to ensure that everything is up-to-date.can help by loading the latest product information into these tools in .
Selecting the right?
Given the importance of reverse ETL, organizations should select a suitableto help them with their efforts. Below are some factors businesses can consider before purchasing a .
Businesses should consider the speed at which thesyncs data from source to destination. The tool should connect easily with several data platforms and build robust connections for quick data transfer. It also means that the tool is compatible with the existing tech stack.
The tool should encrypt data while syncing is in process. Also, the tool itself should not store any data. Its only job is to move data from one point to the other.
Fallbacks and alerts
No matter how reliable a tool is, it should always have a fallback mechanism. In the case of, they should immediately notify relevant team members when syncing fails and perhaps restore the data to its original state if the process stops mid-way.
Also, it should provide detailed event logs so thatteams can identify the records that did not sync. Businesses should also see if the platform causes data loss during syncing.
Ease of Use
The tool should allow users to buildquickly with minimal code. It should support common programming languages and allow the users to write simple queries to create custom .
Lastly, the tool should provide value for money. It should be relatively inexpensive to scale up, andplans should be flexible to match specific organizational needs.
Integrate.io for Reverse ETL
Integrate.io is one tool that stands out in the reverse ETL market. It is a secure and affordable platform that is easy to use and allows users to integrate conveniently with popular and data management platforms through its Representational State Transfer (REST) .
It is a low-code solution that allows customers to build securewithin hours and lets them customize the platform through its rich expression language, advanced , and webhooks.
So book a demo now and transform your business for success.