Real-Time Data Integration: The Definitive Guide

Luke Smith
Enterprise Solutions Architect
March 31, 2023
Matt Tanner
Developer Relations Lead
March 31, 2023
Luke Smith
Matt Tanner
Enterprise Solutions Architect
Developer Relations Lead
March 31, 2023
25
 min read
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Real-time data integration has become increasingly critical in today's business landscape as organizations strive to make data-driven decisions and improve operational efficiency. With the exponential growth of data, businesses need to integrate data from various sources in real-time to gain insights quickly and make informed decisions. Real-time data integration involves capturing, processing, and analyzing data in real-time. With this process in place, data can be made available to decision-makers instantly. In this blog, we will explore the concept of real-time data integration, its importance, benefits, challenges, and use cases across various industries. We will also discuss the tools and technologies used to implement a robust real-time data integration strategy. Whether you're a business leader, data analyst, or IT professional, this blog will provide valuable insights on how real-time data integration can transform your organization and drive better business outcomes. With the stage set, let’s jump in

Table of Contents

What is Real-time Data Integration?

In the simplest of terms, real-time data integration is the process of collecting, transforming, and delivering data from various sources to a target system in real-time or near real-time. By using this approach, organizations can ensure that the target platform, generally the platform users will access to garner insights, has the most up-to-date information available from all sources. The result of doing this is allowing for better decision-making and faster response times at all levels of the organization

Real-time data integration involves the use of specialized tools and technologies that can efficiently and reliably collect and process data from various sources. Some sources where this data might originate include databases, data warehouses, cloud-based applications, social media platforms, and IoT devices. The data from these sources are transformed into a format that can be easily consumed by the target system and delivered in real time to ensure that the data is always current.

Real-time data integration is especially important in today's fast-paced business environment. Most organizations exist in an environment where the need to respond quickly to changes in the market, customer behavior, and other factors is crucial. By having access to real-time data, organizations can make better decisions, identify new opportunities, and quickly respond to emerging threats.

The Importance of Real-time Data Integration

As mentioned in the previous point, real-time data integration is crucial for businesses in today's fast-paced digital landscape. Let’s take a look at some key reasons why real-time data integration is important to modern businesses.

Better decision-making: Real-time data integration provides businesses with timely and accurate data that can inform critical decision-making. For example, a retailer could use real-time sales data to adjust pricing strategies, inventory levels, and marketing campaigns in real-time to optimize sales and revenue.

Improved customer experience: Real-time data integration enables businesses to offer a personalized and seamless customer experience. For example, an e-commerce company could use real-time data on customer behavior to recommend products and services tailored to their preferences and buying history.

Operational efficiency: Real-time data integration helps businesses optimize their operations by providing real-time visibility into critical processes and systems. For example, a logistics company could use real-time data on shipment locations, weather conditions, and traffic patterns to optimize delivery routes and improve on-time performance.

Competitive advantage: Real-time data integration can provide businesses with a competitive advantage by enabling them to respond quickly to market changes and emerging opportunities. For example, a financial services company could use real-time data on market trends and customer behavior to develop new products and services that meet evolving customer needs.

Risk mitigation: Real-time data integration can help businesses mitigate risk by providing real-time visibility into potential threats and vulnerabilities. For example, a cybersecurity firm could use real-time data on network activity and threat intelligence to identify and respond to cyber threats before they cause significant damage.

When it comes to the importance of implementing a real-time data integration strategy, real-time data integration is essential for businesses seeking to remain competitive, agile, and responsive in today's fast-paced digital landscape. By leveraging real-time data, businesses can make better decisions, optimize operations, and offer a superior customer experience while mitigating risks and identifying new growth opportunities.

Real-time Data Integration Processes

Real-time data integration, sometimes thought of as a singular entity, actually contains a few separate processes. The end-to-end process of real-time data integration can be broken down into three main parts: data capture and ingestion, transformation, and data loading. Let’s take a brief look at the particulars of each stage in the process.

Data Capture and Ingestion Stage

This stage involves capturing data from various sources such as databases, sensors, social media, and other systems. The data is then ingested into a data processing system in real time. Some common methods for capturing data include change data capture (CDC), log-based ingestion, and message queuing.

Transformation Stage

In this stage, the raw data is transformed into a format that can be easily consumed by the target system. This can involve cleaning, enriching, and joining data from multiple sources to create a unified view of the data. Data transformation can be done using tools such as extract-transform-load (ETL) or extract-load-transform (ELT) processes.

Loading Stage

The final stage involves loading the transformed data into a target system or data warehouse. This can be done in real-time or near-real-time, depending on the needs of the business. Loading data can be done using different methods such as streaming or batch processing.

It's important to note that real-time data integration is a continuous process that requires monitoring and optimization to ensure data accuracy, consistency, and completeness. This involves the use of monitoring tools and data quality checks to identify and correct any issues that arise during the integration process. Each stage has its challenges, potential issues, and, depending on the use case, complexities when it comes to implementation. Next, let’s dive a little deeper into each of the stages in a real-time data integration process. In this review, we will look at techniques employed in each part of the process in more detail.

Capturing Data

Capturing the data is the first step of any real-time data integration process. There are a few places where this data may be captured. For instance, data may be captured from devices such as sensors or IoT devices. Data can also be captured from user interactions in an application that triggers database operations, such as create or update operations. Content generated by end users as part of activities performed on a website can also be a source of data for analytics systems, such as a social media post, rating, or comment. Data can also be obtained from the logs of servers or machinery. Let’s spend some time exploring potential data sources a bit further.

Types of Data Sources

Real-time data integration involves capturing data from various sources in real-time or near-real-time. Here are some common types of data sources used in the data capture and ingestion stage of real-time data integration:

Databases: Databases are a common source of data for real-time data integration. They include traditional relational databases such as Oracle, MySQL, and PostgreSQL, as well as NoSQL databases such as MongoDB and Cassandra.

Web data: Web data can be captured from websites, social media platforms, and other online sources. Examples of web data sources include Twitter, Facebook, and LinkedIn.

Sensors: Sensors generate a large amount of data in real time and are commonly used in IoT applications. Examples of sensor data sources include temperature sensors, pressure sensors, and motion sensors.

Log files: Log files generated by servers, applications, and other systems can be a valuable source of data for real-time data integration. Examples of log data sources include server logs, application logs, and system logs.

Message queuing: Message queuing allows applications to communicate with each other in a decoupled manner. Examples of message queuing systems include Apache Kafka and RabbitMQ.

Cloud storage: Cloud storage solutions such as Amazon S3 and Microsoft Azure Blob Storage can be used as a source of data for real-time data integration.

Data Capturing Techniques

Next, let’s look a bit closer at how data capture techniques can be used to accurately collect the data from the sources mentioned above. Real-time data integration involves capturing data from various sources in real-time or near-real-time. Here are some common techniques for capturing data in the data capture and ingestion stage of real-time data integration:

Change Data Capture (CDC): CDC is a technique used for capturing changes made to a database. It allows only the changes made since the last integration cycle to be captured, reducing the amount of data that needs to be processed. CDC can be used with traditional relational databases as well as NoSQL databases.

Direct database querying: This technique involves querying a database directly to retrieve data in real time. This is generally done in specific time intervals, sometimes referred to as micro-batching or polling. It can be useful when real-time data integration is needed and CDC is not feasible.

Web scraping: Web scraping involves automatically extracting data from websites. Even though it is more intensive and a bit hard to parse through the data, it can be useful for capturing web data that is not available through APIs.

APIs: Application Programming Interfaces (APIs) allow direct access to web data and other online resources. They are commonly used for capturing data from social media platforms and other web services. APIs have defined interfaces which means querying them is generally quite simple and the data returned is in an expected format.

Message queuing: Message queuing systems such as Apache Kafka and RabbitMQ allow applications to communicate with each other in a decoupled manner. They can be used for capturing messages and processing them in real time.

Log-based ingestion: This technique involves capturing data from log files as they are written. Where CDC can leverage a log-based approach for databases and different types of data stores, log-based ingestion can be useful for capturing data from servers, applications, and other systems that generate log files.

Stream processing: Stream processing involves processing data as it is being generated or captured. It can be useful for processing large volumes of data in real time and generating real-time insights.

Transforming Data

After data is captured and ingested into a real-time data integration pipeline, it needs to be transformed into an appropriate form for loading or further analysis. The transformation of data may involve changing its type, finetuning the data, or detecting and stripping outlying values.  The next sections will look at common techniques associated with data transformation.

Data Mapping

A common technique employed when it comes to data transformation is data mapping. Appearing in various styles, here are some common data mapping techniques used during the load stage of data integration:

Field-to-field mapping: This technique involves mapping individual fields from the source system to corresponding fields in the target system. It is a basic form of mapping that is used when the source and target systems have a one-to-one mapping of fields.

Value mapping: Value mapping involves mapping values from the source system to corresponding values in the target system. It is used when the source and target systems have different value sets or when data needs to be translated or transformed during the integration process.

Concatenation mapping: Concatenation mapping involves combining fields from the source system into a single field in the target system. It is used when multiple fields from the source system need to be combined to form a single field in the target system.

Lookup mapping: Lookup mapping involves mapping data from the source system to a lookup table in the target system. It is used when the target system requires additional data that is not available in the source system.

Conditional mapping: Conditional mapping involves mapping data based on certain conditions or rules. It is used when the integration process requires certain data to be mapped based on specific criteria or rules.

Transformation mapping: Transformation mapping involves transforming data from the source system before mapping it to the target system. It is used when data from the source system needs to be transformed to meet the requirements of the target system.

Data Filtering

Another technique used in the transformation stage is data filtering. This is done to remove unwanted rows, columns, or data types before loading the data into the system. Let’s take a look at a few of the approaches that can be used.

Row filtering: Row filtering involves selecting only the rows from the source system that meet certain criteria or conditions. It is used to remove unwanted data from the source system before loading it into the target system.

Column filtering: Column filtering involves selecting only the columns from the source system that are required for the integration process. It is used to reduce the amount of data that needs to be processed and to ensure that only the relevant data is loaded into the target system.

Data type filtering: Data type filtering involves filtering data based on its type. Since data types can vary from system to system, it is used to ensure that data is compatible with the target system before it is loaded.

Null value filtering: Null value filtering involves removing any rows or columns that contain null values or replacing the null values with a value that fits the schema. It is used to ensure that the data is complete and accurate before it is loaded into the target system.

Data range filtering: Data range filtering involves selecting data from the source system based on a specific range of values. It is used to ensure that only the relevant data is loaded into the target system.

Regular expression filtering: Regular expression filtering involves filtering data based on a specific pattern or regular expression. It is used as a more flexible way to remove unwanted data from the source system before it is loaded into the target system.

Data Aggregation

The last technique we will review at the transformation stage is data aggregation. This technique is used to aggregate and combine data in different ways. By aggregating data during the transformation stage, new values can be generated which may allow users of the target system to more easily view trends and insights. Although this may also be done at the query level once loaded into the target platform, it may also be helpful to do this at the transformation stage as well. Let’s take a look at a few tactics in the data aggregation toolkit.

Summarization: Summarization involves aggregating data by calculating summary statistics such as sum, count, average, maximum, and minimum. It is used to provide a high-level overview of the data and to identify patterns and trends.

Grouping: Grouping involves aggregating data by grouping it based on certain criteria such as date, location, or product. It is used to provide a more detailed view of the data and to identify specific trends or patterns within the data.

Joining: Joining involves combining data from multiple sources based on a common field or key. It is used to provide a more complete view of the data by combining data from different sources.

Roll-up: Roll-up involves aggregating data at a higher level of hierarchy such as by region or by department. It is used to provide a more summarized view of the data and to identify patterns and trends at a higher level.

Drill-down: Drill-down involves disaggregating data by breaking it down into smaller subsets or levels of detail. It is used to provide a more granular view of the data and to identify specific trends or patterns within the data.

Pivot: Pivot involves transforming data from a long format to a wide format or vice versa. It is used to provide a different view of the data and to identify patterns and trends that may not be visible in the original format.‍

Loading Data

The concluding step of the data integration process is to load the data into the target system or business analytics systems for storage or onward delivery and analysis. Below are some approaches that are employed as part of the loading phase of the real-time data integration pipeline.

Data Loading Techniques

There are quite a few ways to load data into the target platform. Below are some common data loading techniques used during the load stage of data integration.

Full Load: Full Load, also known as snapshot loading, is a technique used to load the entire data set into the target system. In most data integration setups, this technique is commonly used when the target system is being loaded for the first time. It may also be used when a complete refresh of the target system is required.

Incremental Load: Incremental Load is a technique used to load only the data that has changed or been added since the last load. This technique is commonly used when the target system needs to be updated frequently, and the amount of data to be loaded is large.

Parallel Load: Parallel Load is a technique used to load data in parallel to reduce the time required to load large volumes of data. This technique involves breaking up the data into smaller chunks and loading them in parallel across multiple processing nodes.

Batch Load: Batch Load is a technique used to load data in batches or groups. This technique involves breaking up the data into smaller groups, by a size or time threshold, and loading them in batches to optimize the load process. In legacy systems, this was a common way of integrating data.

Real-time Load: Real-time Load is a technique used to load data as soon as it becomes available. This technique is commonly used when the target system requires real-time updates, and the data needs to be available immediately.

Delta Load: Delta Load is a technique used to load only the data that has changed since the last load. This technique is similar to Incremental Load, but it is more granular and only loads the changes that have occurred, rather than the entire data set.

Data Validation

Data validation is also an important technique when it comes to loading data. This ensures that the data loaded into the system fits specific requirements. Let’s look at some common data validation techniques used during the load stage of data integration.

Data Profiling: Data Profiling is a technique used to analyze the data and identify any anomalies, inconsistencies, or errors in the data. This technique involves analyzing the data to identify patterns, relationships, and outliers.

Data Quality Assessment: Data Quality Assessment is a technique used to evaluate the quality of the data based on predefined criteria. This technique involves defining rules or criteria for data quality and evaluating the data against these rules to identify any issues.

Data Verification: Data Verification is a technique used to verify the accuracy and consistency of the data. This technique involves comparing the data in the source system with the data in the target system to ensure that they match.

Data Auditing: Data Auditing is a technique used to monitor and track changes to the data. This technique involves tracking the changes made to the data and recording them in a log or audit trail.

Data Cleansing

The last technique we will explore is data cleansing. Although there may be some overlap with techniques discussed in the above section about data loading, this process makes sure that data is consistent and fits the expected format, such as normalizing the data during the load. Below are some common data cleansing techniques used during the load stage of data integration.

Data Standardization: Data Standardization is a technique used to ensure that the data is consistent and conforms to a specific format. This technique involves converting the data into a standard format or structure.

Data Parsing: Data Parsing is a technique used to separate the data into smaller, more manageable components. This technique involves splitting the data into fields or columns based on predefined rules.

Data Enrichment: Data Enrichment is a technique used to add missing or incomplete data to a dataset. This technique involves filling in missing data using external sources such as reference data or third-party databases.

Data Deduplication: Data Deduplication is a technique used to identify and remove duplicate data from a dataset. This technique involves identifying duplicate records and retaining only one copy of the record.

Data Normalization: Data Normalization is a technique used to organize data into a structured format. This technique involves organizing the data into tables with clearly defined relationships between them.

Real-time Data Integration Architecture

It can be convenient to think of the architecture for real-time data integration as the flow of data from a source system through a data integration server and onto the target system. However, there are various patterns through which real-time data integration can be implemented. The possible patterns include the migration pattern, the broadcast pattern, the bidirectional pattern, and quite a few others. In this section, you will look at the underlying components that are common to these approaches.

Components

1. Source systems

Source systems are the initial systems in which the data is stored. They are the primary points in which the data is generated or updated. A source system may be a database, web service, IoT device, or any other appliance or software that creates data. Source systems serve as inputs into a data pipeline and have data in specific formats. An organization could have many source systems interconnected to various applications.

2. Data integration server

A data integration server is a software application that facilitates the process of combining data from different sources into a unified view or dataset in a target platform. It provides a centralized platform for data integration and transformation, allowing users to access, process, and manage data from multiple sources.

Some examples of data integration servers include:

Arcion: A no-code, real-time data replication tool that uses log-based CDC to provide EL capabilities with sub-second latency. Available on-premise and cloud and configurable through CLI and a sleek UI.

Informatica PowerCenter: A popular data integration tool that allows users to integrate data from multiple sources, transform it, and load it into a target system.

IBM InfoSphere DataStage: A comprehensive data integration platform that supports ETL (extract, transform, load), ELT (extract, load, transform), and ETLT (extract, transform, load, and transform again) data integration workflows.

Microsoft SQL Server Integration Services (SSIS): A data integration tool that enables users to extract data from various sources, transform it, and load it into a target database or data warehouse.

Talend Data Integration: A powerful data integration platform that supports a wide range of integration scenarios, including batch processing, real-time integration, and cloud integration.

Oracle Data Integrator (ODI): A comprehensive data integration platform that supports a wide range of data sources, including relational databases, big data platforms, and cloud-based applications.

These data integration servers are designed to be the central hub of a data integration implementation. These systems help organizations streamline their data integration processes, reduce the time and effort required to integrate data from multiple sources and improve data quality and consistency.

3. Target Systems

Target systems are also commonly referred to as destinations in a data integration setup. They are the final stop of the data and could be another database, data warehouse, or even a business intelligence application. After passing through the integration server, data at this stage is in the appropriate format for storage or analysis. Target systems contain data that has been transported and transformed from the initial storage, source, or input systems where the data was generated.

Real-time data integration involves a complex flow of data from source systems through a data integration server and onto target systems. While various patterns can be implemented, certain components are fundamental to all approaches. These components include source systems, data integration servers, and target systems. Data integration servers, in particular, play a critical role as the central hub of data integration implementations. By providing a centralized platform for data integration and transformation, data integration servers help organizations streamline their data integration processes, improve data quality, and reduce the time and effort required to integrate data from multiple sources.

Benefits of Real-time Data Integration

Now that we’ve covered the basics of data integration and explored some of the more complex aspects, it’s time to look at the benefits they can bring to an organization. Here are three major benefits and their impacts on the businesses that implement them.

Faster and Timely Decision Making

One of the most talked about benefits of real-time data integration is how it enables businesses to make faster and more informed decisions based on up-to-date information. With real-time data integration, businesses can quickly access and analyze the latest information, allowing them to identify trends, patterns, and issues as they occur. This can lead to more effective decision-making and a competitive advantage over businesses that rely on slower, batch-based integration methods.

Improved Operational Efficiency 

Real-time data integration can also help businesses improve their operational efficiency by providing a more accurate and complete picture of their data. By integrating data from multiple sources in real time, businesses can identify and resolve issues more quickly, automate manual processes, and streamline workflows. This can lead to cost savings, increased productivity, and better customer service.

Enhanced Data Quality

Lastly, real-time data integration can help businesses maintain the quality of their data by identifying and correcting errors in real time. By continuously validating and cleansing data as it is integrated, businesses can ensure that their data is accurate, complete, and consistent across all systems. This can also help to augment the benefits mentioned in the previous points such as better decision-making, improved customer satisfaction, and increased revenue.

In summary, real-time data integration has several benefits for businesses, including faster and timely decision-making, improved operational efficiency, and enhanced data quality. By implementing real-time data integration, businesses can gain a competitive advantage, improve customer satisfaction, and increase revenue. Across different industries and verticals, real-time data integration can bring a massive boost to the businesses that implement it.

Challenges of Real-time Data Integration

While real-time data integration offers many benefits, there are also some challenges that businesses may face when implementing this technology. Here are three major challenges and their potential impact on a business:

Complexity and Cost

One challenge that affects most organizations that implement real-time data integration is that the investment in infrastructure, software, and skilled resources can be significant. The complexity of real-time integration may also require specialized tools and technologies that can be expensive to implement and maintain. This can heavily depend on the current technology stack you are using, including what source and target support is needed. This can result in higher costs and longer implementation times, which may impact a business's ability to realize a return on investment.

Data Quality and Consistency

Real-time data integration requires data to be consistent and accurate across all systems. Inconsistent or inaccurate data can lead to incorrect decision-making, poor customer service, and lost revenue. Maintaining data quality and consistency can be challenging, particularly when integrating data from multiple sources in real time. Although tools can sometimes help with this, there is a limit to the amount of assistance a tool can offer.

Security and Privacy

A major concern, especially for highly-regulated industries, is that real-time data integration can pose a risk to the security and privacy of sensitive data. Data breaches or unauthorized access can result in legal liabilities, financial losses, and damage to a business's reputation. Protecting sensitive data requires implementing robust security measures, which can be complex and expensive. Like the previously mentioned challenge, selecting the right tools and technologies can help to alleviate a good chunk of the concerns in this department.

Overall, real-time data integration can present several challenges for businesses, including complexity and cost, data quality and consistency, and security and privacy. Addressing these challenges requires careful planning, investment in technology and resources, and ongoing monitoring and management. By overcoming these challenges, businesses can realize the benefits of real-time data integration and gain a competitive advantage despite the potential pitfalls.

Real-Time Data Integration Use Cases

Looking at some real-life scenarios where real-time data integrations are used can be helpful to understand possible use cases more fully. Real-time data integration has numerous use cases across various industries. Below are a few examples of industries and use cases where real-time data integration is used.

Financial Services

Real-time data integration is critical in financial services for monitoring market movements, detecting fraud, and managing risk. For instance, a bank can use real-time data integration to monitor transactions for fraudulent activities. If an unusual transaction is detected, the system can trigger an alert, and the transaction can be investigated in real-time.

E-commerce

E-commerce companies require real-time data integration to provide a seamless and personalized customer experience. For example, an online retailer can use real-time data integration to track a customer's browsing behavior and purchase history to recommend relevant products. If a customer abandons their cart, the retailer can send a real-time notification to the customer to incentivize them to complete the purchase.

Healthcare 

Real-time data integration is also a crucial technology in the healthcare industry. Many hospitals and clinics use it to provide timely and accurate diagnoses, manage patient data, and monitor treatment outcomes. For instance, a hospital can use real-time data integration to monitor patients' vital signs in real-time and alert medical staff if a patient's condition deteriorates or potentially becomes concerning.

Manufacturing

In manufacturing, real-time data integration is essential to optimize production, monitor equipment performance, and improve supply chain management. For example, a manufacturing company can use real-time data integration to monitor equipment sensors to identify potential issues before they lead to a breakdown, thereby minimizing downtime and losses in production output.

Transportation

Real-time data integration is critical in the transportation industry for managing logistics, monitoring vehicle performance, and improving customer experience. For instance, a ride-hailing company, like Uber or Lyft, can use real-time data integration to track the location of drivers and passengers, estimate arrival times, and optimize routing.

In summary, real-time data integration has numerous use cases across various industries, including financial services, e-commerce, healthcare, manufacturing, and transportation. These examples demonstrate how real-time data integration is used by companies across all of these different industries.

Conclusion

In conclusion, real-time data integration is a crucial process that enables organizations to collect, process, and analyze data as it is generated. With real-time data integration, businesses can make informed decisions based on up-to-date information, detect and respond to issues quickly, and improve overall operational efficiency. However, implementing real-time data integration can be challenging, and it requires careful planning, effective technology solutions, and skilled professionals. Therefore, businesses must ensure that they have the necessary resources and expertise to carry out real-time data integration effectively. By doing so, organizations can unlock the full potential of their data and gain a competitive advantage in their respective industries.

If you're looking to improve your organization's data integration capabilities, then Arcion could be the solution you've been searching for. With its log-based approach to CDC, Arcion can capture changes from a variety of sources and replicate them in real-time to target systems, making it an efficient and non-intrusive data integration solution.

By using Arcion, your organization can benefit from accurate and up-to-date data, enabling you to make informed decisions, improve operational efficiency, and gain a competitive advantage in your respective industry. Moreover, Arcion's data transformation, validation, and enrichment capabilities can help you process and prepare data in real time and deliver it to target systems or applications in a format that is optimized for your specific needs. The best part: the entire platform is no-code and allows for data pipelines to be built in a matter of minutes.

So, if you're ready to take your data integration to the next level, consider using Arcion. With its powerful CDC technology and advanced data integration capabilities, you can achieve real-time data integration and gain valuable insights that can help you drive business growth and success. To get started, contact our team of data integration experts and implement your real-time data integration solution with ease.

Matt is a developer at heart with a passion for data, software architecture, and writing technical content. In the past, Matt worked at some of the largest finance and insurance companies in Canada before pivoting to working for fast-growing startups.
Luke has two decades of experience working with database technologies and has worked for companies like Oracle, AWS, and MariaDB. He is experienced in C++, Python, and JavaScript. He now works at Arcion as an Enterprise Solutions Architect to help companies simplify their data replication process.
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