The impact of bad data on your business
Part 1 in this series on Modern Sales Pro’s State of CRM Data for Saas Companies presentation covered the current state of data used by Saas companies and the issues that come as a result. The current view on data was pretty bleak, all things considered, because most businesses are not confident of their data’s accuracy.
It doesn’t paint a clear picture to just look at what’s wrong with the data without touching on what makes this such a problem. This is the topic for part 2: exactly what happens when data is inaccurate and unintelligent?
It is safe to assume that having bad data is something that all businesses should try to avoid at all costs. The Modern Sales Pro lecture goes into detail on the impact of bad data on your business.
Does bad data mean the whole system is bad?
The first impact of bad data they bring up is that having incomplete or wrong data furthers a mistrust in the system. Often people already don’t fully trust their data system, and seeing bad data in it only makes things worse. As a result, companies then put less effort into fixing data quality—if it’s so bad, why bother trying?—which then makes things even worse.
The issues go beyond simple “less effort will be put into data acquisition” because not fixing data quality can have an impact on the company’s revenue. In fact, when businesses were asked about the impact on business because of poor-quality data, the majority of leaders cited missed revenue opportunities. This is why fixing the issue of data intelligence is so important, because it is what will separate a successful company from one that has failed.
Fortunately, there are some very simple and effective ways to improve data integrity and clean up your CRM.
It is important to point out that Modern Sales Pro makes it clear that simply having more data sources and providers will not improve the quality. This means that “providers are leaving gaps for teams to fill when it comes to finding more data sources and keeping data hygiene top of mind within their organization.” However, there is one more significant impact of bad data and that is personalization.
Personalization is important
According to Modern Sales Pros, account intelligence is the key to unlocking personalization. They say that personalization is extremely important because if market teams only rely on “firmographic and technographic data to personalize their digital sales,” they will have a harder time identifying an ideal customer profile, causing it to get lost among unimportant and irrelevant messaging.
In fact, “88% of organizations doing ABM say they’re missing key account insights,” and over 80% also rate their ability to personalize marketing as average or below. Clearly, marketers are having trouble adapting to customers’ expectations of engagement and must become aware of technologies and data insights needed to make personalization possible.
There is still hope for your data
So far, we have only been talking about what is wrong with data and the impact of bad data. However, Modern Sales Pro does provide recommendations for ways to fix all these issues and avoid the problems.
There is a lot to unpack there, which we’ll cover in the final installment of this blog series.
In the meantime, for more about how to stop working for your data and start making your data work for you, check out Introhive’s Digital Transformation guide.