What is geocoding?

Geocoding is the process of converting a textual address or location description into geographic coordinates, such as latitude and longitude. It allows you to associate a specific physical location on Earth with a set of numerical coordinates, which can be used to precisely locate and map that place on a map or in a Geographic Information System (GIS). Geocoding is the process of providing exact locations, which provides information for accurate spatial analysis.

Geocoding is commonly used in various applications and services, including mapping platforms, navigation systems, location-based services, and data analysis. It enables the identification and visualization of addresses, landmarks, or any other place of interest on a map, allowing users to find directions, calculate distances, and perform spatial analysis.

When geocoding an address, a geocoding service or software typically uses a combination of geospatial data, such as street names, city names, postal codes, and other location-specific information, to determine the corresponding latitude and longitude coordinates. These coordinates can then be used for various purposes, ranging from displaying locations on a map to performing advanced spatial analysis and data visualization.

Forward geocoding

Forward geocoding is simply the process of adding longitude and latitude to a physical address. For example, by plotting the location of our customers we can then use that information to plan where to invest in new infrastructure, such as for example, a 5G tower or a new store location.

Reverse Geocoding

The IoT is driving the reverse.

With reverse geocoding, we have a GPS coordinate for our location – typically the installation point for infrastructure such as a fibre line, an electricity meter or even a new automated teller machine. Reverse geocoding converts from these coordinates to a human-readable address.

In this way forward and reverse geocoding work together to link our customers to our products and services.

Why geocode?

Of course, geocoding is simply a means to an end. The value comes from the insights that location data adds to our customer data – allowing us to enhance the customer experience and profitability by serving them where they live and work.

How accurate is geocoding?

A geocode to five decimal places is accurate to around 1m – but geocodes can be as accurate as 1mm if we go to 8 decimal places.

For geocoding, we need an accurate, high-performance data set linking addresses and coordinates, that can be easily accessed.

When we match our address to the data points the accuracy of our result will govern the accuracy of the geographical point returned – for example, we may geocode to the exact street address, to the street segment (if we can’t find the house number), or to the suburb (if we can’t find the street.). Typically accuracy will be higher in urban areas than in rural areas, as reference data sets are better for urban areas. Our results also depend on our ability to standardise the address data provided.

Watch our two-minute video for a brief introduction and demonstration of geocoding using the Precisely APIs.

In conclusion, geocoding isn’t just about converting addresses; it’s about unlocking the potential of location data. It’s a tool for businesses to sharpen their strategies, cater to their customers, and navigate the ever-changing landscape of data. Whether you’re adding points to a map or turning coordinates into human-friendly addresses, geocoding is the key to making your data speak the language of location.