Data Deployment Error: DUPLICATES_DETECTED

When doing a data deployment, Salesforce may return any of the following errors:
 
“DUPLICATES_DETECTED:Use one of these records?” 
“DUPLICATES_DETECTED:You're creating a duplicate record. We recommend you use an existing record instead.” 

This happens if you have a duplicate rule and you try to deploy a record that already exists in the destination.

There are two possible solutions for this issue:
  1. If you want to go ahead and create the duplicate record, you can deactivate the duplicate rule (Setup > Data > Data Management > Duplicate Rules).
  2. Delete the duplicate records in the destination org.

How did we do?