What information do you need before creating a synthetic dataset?

Creating a synthetic dataset requires careful planning and specific information about your original data, intended use cases, and privacy requirements. You need to document data characteristics, statistical properties, relationships, and compliance considerations before generation begins. Understanding your data’s structure, purpose, and regulatory constraints helps ensure the synthetic dataset meets quality standards while maintaining privacy protection.

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“bluegen.live enables EDF to develop innovative commercial offers and predictions using synthetic customer data, while ensuring privacy with a secure solution.”

— Laurent Bozzi, EDF Research Expert

What exactly is a synthetic dataset and why do you need one?

A synthetic dataset is artificially generated data that mirrors the statistical properties and relationships of real data without containing actual personal information. These datasets are created using advanced machine learning algorithms and statistical models that learn patterns from original data to produce new, privacy-safe alternatives.

Organisations choose synthetic data over real data for several compelling reasons. Privacy protection ranks highest, as synthetic datasets eliminate the risk of exposing sensitive personal information while maintaining analytical value. This makes them particularly useful for software testing, where development teams can work with realistic data without accessing customer records.

Machine learning model training benefits significantly from synthetic datasets, especially when dealing with data scarcity or imbalanced datasets. You can generate additional training examples to improve model performance and create edge cases that rarely occur in real data. Research and development teams use synthetic data to accelerate innovation cycles without waiting for data access approvals or navigating complex privacy agreements.

Regulatory compliance becomes simpler with synthetic data, as it helps organisations meet GDPR, HIPAA, and other privacy regulations whilst enabling data sharing between departments or external partners. The data maintains utility for analysis and testing whilst removing privacy concerns that typically restrict data usage.

What information about your original data do you need to collect first?

You need comprehensive documentation of your data’s structure, statistical properties, and relationships before generating synthetic alternatives. This includes data types, distributions, correlations, and metadata that define how your dataset behaves and what makes it valuable for your intended applications.

Start by cataloguing basic structural information: number of tables, columns, and rows in your dataset. Document each column’s data type (categorical, continuous, integer, timestamp) and format specifications. For structured data, identify relationships between tables and the keys that link them together. Note any hierarchical structures or dependencies that exist within your data.

Statistical properties require detailed analysis of distributions, ranges, and patterns. Record minimum and maximum values for numerical columns, frequency distributions for categorical data, and correlation patterns between variables. Document any seasonal trends, cyclical patterns, or time-based relationships that affect your data’s behaviour.

Identify domain-specific relationships and business rules that must be preserved. For example, if certain combinations of values are impossible in real-world scenarios, document these constraints. Note any derived columns (like BMI calculated from height and weight) that follow mathematical relationships.

Missing data patterns matter significantly. Document which columns commonly have missing values, whether missingness follows patterns, and how missing data relates to other variables. This information helps ensure synthetic datasets maintain realistic data quality characteristics.

How do you define the purpose and scope of your synthetic dataset?

Defining purpose and scope requires establishing clear objectives, use cases, and success criteria for your synthetic dataset. This process determines what the synthetic data needs to accomplish, who will use it, and how you’ll measure whether it meets requirements for your specific applications.

Begin with a detailed use case description that explains exactly how you’ll use the synthetic data. Will it train machine learning models, test software applications, support research analysis, or enable data sharing with external partners? Each use case has different quality requirements and acceptable trade-offs between utility and privacy.

Establish specific success criteria that define when synthetic data meets your needs. For machine learning applications, you might require that models trained on synthetic data perform within 10% of models trained on real data. For statistical analysis, you may need synthetic data to preserve key correlations and distributions that support your research hypotheses.

Define the target audience and their technical requirements. Data scientists need different characteristics than software developers or business analysts. Consider technical constraints like file formats, data volumes, and integration requirements with existing systems or workflows.

Set boundaries around what the synthetic data should and shouldn’t include. Determine which columns are essential for your use case versus those that can be simplified or excluded. Consider temporal and spatial resolution requirements – daily versus monthly data, regional versus individual-level detail.

Document quality expectations for different aspects of the data. Some use cases prioritise maintaining exact statistical distributions, while others focus on preserving relationships between variables or supporting specific analytical techniques.

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“Synthetic data is very important to improve privacy when working with registry data.”

— Bart Pijls, Medical Director at LROI

What privacy and compliance considerations should you address upfront?

Privacy and compliance planning requires identifying applicable regulations, sensitive data elements, and acceptable risk levels before synthetic data generation begins. This upfront analysis determines which privacy protection techniques to apply and how to balance utility with privacy requirements.

Identify relevant privacy regulations that apply to your data and use case. GDPR affects European data subjects, HIPAA governs healthcare information in the United States, and sector-specific regulations may impose additional requirements. Each regulation defines different standards for data protection and acceptable use.

Classify information sensitivity levels within your dataset. Special category data like health information, financial records, or demographic characteristics require stronger protection than general business data. Document which columns contain personally identifiable information and which combinations of attributes might enable re-identification.

Assess your threat model by considering realistic adversaries and potential attack scenarios. Who might attempt to extract information from your synthetic dataset? What background knowledge might they possess? Understanding realistic threats helps calibrate appropriate protection levels without over-engineering privacy measures.

Define acceptable disclosure risks for your organisation and use case. Some applications tolerate higher privacy risks in exchange for better data utility, while others require maximum protection regardless of utility impact. Consider the potential harm if privacy breaches occur and your organisation’s risk tolerance.

Plan for ongoing compliance monitoring and documentation. Synthetic data generation processes should include audit trails showing how data was created, which privacy techniques were applied, and how quality was validated. This documentation supports compliance audits and helps demonstrate due diligence in privacy protection.

How do you choose the right synthetic data generation approach for your needs?

Selecting the appropriate generation approach depends on data availability, quality requirements, and privacy constraints. Different techniques work better for specific data types and use cases, ranging from statistical models for simple datasets to advanced neural networks for complex, high-dimensional data.

When you have limited or no historical data, domain knowledge-based approaches work best. You can create statistical models or simulations based on expert understanding of how your data should behave. Large language models can also generate example data from text descriptions, providing starting points for further refinement.

For structured datasets with sufficient training data, several proven approaches exist. Classification and Regression Trees (CART) work well for datasets with clear decision boundaries and categorical relationships. Variational Autoencoders (VAEs) excel at capturing complex distributions while providing good privacy protection through their probabilistic nature.

Generative Adversarial Networks (GANs) produce high-quality synthetic data that closely matches original distributions, making them suitable when statistical accuracy is paramount. Diffusion models represent newer approaches that can generate diverse, high-quality samples while offering good control over the generation process.

Consider privacy-utility trade-offs when selecting methods. Approaches with stronger privacy guarantees often produce less statistically accurate results, while methods optimised for utility may pose higher disclosure risks. Your risk tolerance and compliance requirements should guide this balance.

Evaluate technical requirements including computational resources, training time, and expertise needed for implementation. Some approaches require significant GPU resources and machine learning expertise, while others can run on standard hardware with minimal technical knowledge.

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“Our strategic use of synthetic data has delivered remarkable success, showcasing its transformative potential in data innovation while ensuring privacy and transparency.”

— H.E Younus Al Nasser, CEO of the Dubai Data and Statistics Establishment

Frequently Asked Questions

How much original data do I need to create a high-quality synthetic dataset?

The minimum data requirements vary by generation method and complexity. For simple tabular data, you typically need at least 1,000-10,000 rows for basic statistical approaches, while complex neural network methods like GANs may require 50,000+ samples for optimal results. However, quality matters more than quantity – clean, representative data with good coverage of edge cases will produce better synthetic datasets than larger volumes of poor-quality data.

What are the most common mistakes when creating synthetic datasets?

The biggest mistake is insufficient documentation of the original data’s characteristics and relationships before generation begins. Other common errors include ignoring domain-specific constraints, failing to validate that synthetic data preserves critical statistical properties, and not testing the synthetic dataset with actual use cases before deployment. Many teams also underestimate the importance of iterative refinement and quality assessment.

How do I validate that my synthetic dataset is actually useful for my intended purpose?

Validation should mirror your actual use case as closely as possible. For machine learning applications, train models on both real and synthetic data and compare performance metrics. For statistical analysis, verify that key correlations, distributions, and relationships are preserved. Always test synthetic data with downstream applications and gather feedback from end users who will work with the dataset in practice.

Can I combine multiple synthetic data generation methods for better results?

Yes, hybrid approaches often produce superior results by leveraging the strengths of different methods. For example, you might use statistical models to establish basic distributions and relationships, then apply neural networks to add complexity and edge cases. You can also generate different portions of your dataset using specialized methods – time series data with temporal models, categorical data with tree-based approaches, and continuous variables with probabilistic methods.

What should I do if my synthetic dataset doesn't pass privacy audits?

Start by identifying which specific privacy metrics failed and why. Common issues include insufficient noise addition, preserved rare combinations that enable re-identification, or inadequate anonymization of indirect identifiers. You may need to adjust generation parameters, apply additional privacy techniques like differential privacy, or reduce data granularity. Document all changes and re-test with realistic attack scenarios.

How often should I regenerate synthetic datasets as my original data changes?

Regeneration frequency depends on how quickly your original data evolves and your use case requirements. For rapidly changing datasets like financial transactions, consider monthly or quarterly updates. For more stable datasets, annual regeneration may suffice. Monitor key statistical properties and performance metrics of applications using synthetic data – significant drift indicates it’s time to regenerate using updated source data.

What's the best way to handle highly imbalanced or sparse data when creating synthetic datasets?

Imbalanced data requires specialized techniques to avoid synthetic datasets that over-represent majority classes. Use stratified sampling during training, apply class weighting in generation algorithms, or employ techniques like SMOTE for minority class oversampling. For sparse data, consider dimensionality reduction before generation, focus on preserving sparsity patterns, and validate that synthetic data maintains the same level of sparsity as your original dataset.

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