63% of the company codes are wrong or irrelevant... So What?

63% of the company codes are wrong or irrelevant... So What?

Have you ever heard about the Nace in Belgium, SBI in The Netherlands or Naf codes in France? Depending on the country you stay, you would have heard about this if you work in Marketing, Finance or Communication...

When any company starts its activities, the entrepreneur has to determine the core business of the activities. Based on this official classification, lots of applications are used: public barometers, marketing segmentation, etc.

Unfortunately, it appears that 63% of those codes are wrong or irrelevant...

Different reasons explain this situation: 

  • Many companies change their activities for reasons of opportunity or reorientation. It represents every year 5% of companies that make this kind of change.
  • Lots of companies include various and irrelevant activities in their economic codes such as real estate whereas it’s not one of their core businesses, just in case of, one day, they could use this code to run a potential business.
  • The latest update of the classification happened in 2008 in Belgium. Since that time, a lot of new economic activities or concepts have been created due to technology innovation or socio-economical concepts (such as "sustainability", "take away" etc). 
As a result of this, some companies suffer from lack of accurate and correct data. Here are some domains where the problem is real:
  • Barometers: it’s quite impossible to find out companies based on key concepts like e-commerce, sustainability, take away, etc, because it’s not referenced in the economic codes. How do you want to issue barometers without accurate data of what companies really do?
  • Communication: if you don’t have an accurate company activity, it’s quite complicated to fine-tune your communication. It will oblige you to communicate massively and broadly, with a lower return on investment. You will never be able to target only the Japanese restaurants, as this code doesn’t exist as such. However, it could save you money in return on investment thanks to better targeting.
  • Sales prospectionthe market of prospection is getting bad due to overloading of commercial messages. The return on investment is lower than ever, whilst competition is increasing. The most accurate data of companies’ activities is more than ever vital. It is a matter of return on investment and swiftness: you must be the first to communicate with a prospect!
  • Financedetermining what a company really does is crucial: it will help to support the concerned company in its growth with the most relevant services, to benchmark it with similar companies, and to detect potential fraud.

Does this make sense to you?

Basically, as an entrepreneur, my wish was to identify investment opportunities of manufacturing companies with potential in e-commerce in Belgium. Along the way to achieve my goal, I met several entrepreneurs, corporates, fondations, and all thought having concrete applications with this tool related to their businesses. From sales prospections up to fraud, there is a strong demand for a tool able to identify correctly what a company does.

That's the reason why we developed Thanks to its artificial intelligence technologies collecting open data, public data and private data, provides its tools to its clients. Feel free to ask a demo if you think you can use our technology for your business... 

You will get the wow effect for sure!

Have a good day!


By Thomas Pirenne