This is the third in a series of blog articles designed to help law firms make the most of Customer Relationship Management software (CRM). If you haven’t read the first two, you may want to catch up on them first: Legal firms: choosing a CRM and How to implement a CRM in small to mid-sized law firms.
How to begin your CRM journey
Your law firm is now at the stage where you’ve chosen a CRM, and you’ve designed an implementation strategy, and now you’re asking yourself how to begin your CRM journey. At this juncture, there’s a real chicken-and-the-egg scenario that often catches firms by surprise: dirty data.
You have what might be many years worth of client data clogging up whatever system you used to use to keep track of it all. You may not know it, but it’s full of junk. Outdated contacts. Duplicates. A lot of stuff that’s worse than useless, it’s obscuring what’s actually valuable in your data.
So, do you clean up the data in advance of implementing your CRM, or do you transfer your data all in one, centralized location and look at cleaning it up further down the road? Good question. I’m glad you asked.
At Introhive we always recommend clients begin their CRM journey with clean data. We help clients start off on the right foot with accurate data, which immediately solves a variety of challenges and pain points.
To help you navigate this important phase in your CRM lifecycle, let’s take a look at the consequences of using CRM with bad data, and how AI-driven automation is best implemented at the first stages of a CRM investment.
Bad data is everywhere
You might be wondering why the statistics around CRM and dirty data seems so high: 30 to 70% of data entered is already inaccurate. How can that be? Well let’s looks at in these terms, according to statistics gathered by Reachforce:
- Up to 20% of all postal addresses change every year
- Up to 18% of all telephone numbers change every year
- Up to 21% of all CEOs change every year
- 25-33% of email addresses will become outdated every year
- In the next hour, 58 business addresses will change, 11 companies will change their names, and 41 new businesses will open, not to mention how many companies will go out of business
- Up to 66% of people change companies or job functions every year
Reading through those statistics, it starts to make a little more sense how data decays so rapidly. Which is why it’s important not only to regularly clean up your CRM data, but to start your CRM implementation with accurate data. Using AI-driven automation is one of the easiest and most effective ways to stay on top of data health.
Another factor to consider is that the older the data gets, the less accurate it is. So it’s not usually necessary to back farther than a year with your old data; everything you need to bring forward into your CRM is accessible within that time frame. An automated cleanse of old data using AI can easily handle the past 12 months worth of information and pull out only what’s trustworthy and useful.
Consequences of using bad data
While it’s hard to put an exact dollar figure on the cost of using bad data, there’s no question that it is affecting your law firm’s bottom line. According to Informatica, bad data “sucks out profit in many, many ways, including things like product returns, mis-addressed invoices, lost sales time, wasted marketing materials, and email blacklisting.”
Not only that, but we all know the value of a lifetime client, and having bad data often leads to poor client experiences because of inaccuracies. The cost of using dirty data is vast and varied throughout an entire organization, bleeding money and hurting future prospects.
Cleaning up data is easy with AI
AI-powered data enrichment automates the data cleanup process—saving administrative time and cost. With the 12 months of back data cleanup that’s included with Introhive, the implementation is actually quick and painless, ensuring you start off right with your law firm’s CRM investment.
Case Study: Hitachi Solutions Europe
As a global consultancy, Hitachi Solutions Europe was seeking a more innovative way to leverage technology to increase their client experience management. The firm wanted a way to collect more data and client intelligence in Microsoft Dynamics 365 for the sales team without requiring consultants and account managers to increase their workload with manual data entry.
In addition to capturing more, clean data in CRM, Hitachi Solutions also needed to map who was interacting with key client accounts—and how often—to ensure they had the right coverage to proactively manage their diverse clients’ needs.
Learn how Hitachi Solutions delivered the following results within the first four months of deploying Introhive:
- 370 hours of employee time saved from manual data entry and meeting prep
- 32,778 contacts surfaced and relationships mapped amongst 60 users
- 9,908 missing contacts identified in email exchange for CRM intake
Begin your CRM journey with Introhive
Curious about how Introhive can use the power of AI to help your firm clean up data, improve workflows and give your people more time to do what they do best? Book a demo today, we’d love to show you around.