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What is the difference between master and transaction data?

Master data summarizes data that is necessary for the regular processing of a data record and does not change frequently. Examples of master data for a contact: first name, last name, address, gender. Examples of another entity like that of a product: name, description, category. There is a separate system type for the management of master data, which is called Master Data Management Systems (MDM).

Unlike master data, which tends not to change frequently (i.e., tends to be slow to change), transaction data is dynamic. Transaction data comes literally from a transaction. In the context of personal data, this can mean many things such as:

  • the purchase of a product
  • a visit to a website
  • subscription to a newsletter
  • registration for a webinar
  • a product complaint

Generally speaking, here we subsume interactions (at touchpoints) with the customer (B2B or B2C), which are stored as data points in the database.

You can consolidate master data and transaction data in a central platform. Or link transaction data with master data via a distributed platform.

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