Data purging is just deleting the old data from the tables in the database.
In my opinion data purging is not needed in transaction tables/records such as sales, purchase etc.
Suppose you have a database application, which records security information like logins, logouts, modifications on the data or audit trails/history of modifications, then it is obvious that this information will require additional space. Since this information will help security administrators for investigation purpose only you can take a backup of this information and can delete.
Furthermore its up to your requirement, that at a given point of time you want to retain data for last (N no of months) then you can keep, otherwise delete all.
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