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In this video tutorial, Mark Davis from Optimum Technology Transfer explains how to use the REPLACE function in Excel. He emphasizes his interest in text or string functions, which are useful for cleaning and standardizing data. The specific example he discusses involves order IDs composed of two numbers, followed by four characters, and then three additional numbers. Davis aims to standardize these IDs by replacing the varying four characters within the string. He mentions having created several other videos on similar topics, focusing on how various text functions operate in Excel.