CRM plays a pivotal role in every business, facilitating the management and analysis of customer
interactions and data from start to finish in the customer lifecycle. However, if the CRM data
is outdated or inaccurate, it can have a significant impact on the business's ability to
prospect and generate leads.
Do you know? As per recent reports, "Poor quality data costs 30 percent of the average company’s
revenue businesses, or around $700 billion a year." That's why maintaining the integrity of CRM
data is essential for effective prospecting and customer engagement. However, several factors
can contribute to the deterioration of CRM data quality, including:
1. Data Entry Errors:
Human error during data entry can lead to inaccuracies in CRM records. Typos, misspellings, and
other mistakes can distort contact information, purchase histories, and other critical data
points.
2. Lack of Data Validation:
Without robust data validation processes in place, incorrect or incomplete information can find
its way into the CRM system. Failure to validate data at the point of entry increases the risk
of inaccuracies and inconsistencies.
3. Outdated Information:
Over time, customer information can become outdated as people change jobs, addresses, or contact
details. If CRM data is not regularly updated and maintained, it becomes stale and unreliable
for prospecting purposes.
4. Duplicate Records:
Duplicate records within the CRM system
can skew data analysis and waste valuable resources.
Without proper deduplication procedures in place, businesses may inadvertently target the same
prospects multiple times or miss opportunities due to fragmented information.
5. Integration Issues:
Incompatibility between CRM systems and other data sources can lead to integration issues and
data inconsistencies. Poorly integrated systems may fail to synchronize data effectively,
resulting in outdated or incomplete records.
As we can see, poor-quality CRM data can significantly hinder prospecting efforts and undermine
overall business performance. So, now the question is - how to prevent CRM data from going bad
or becoming irrelevant? By leveraging CRM managed services - an outsourced solution where
experts maintain and optimize CRM systems on your behalf. These services can help you manage
your CRM data through:
1. Ongoing Monitoring:
CRM managed services continuously monitor data quality metrics and identify inconsistencies or
inaccuracies in real time.
2. Data Cleansing:
Through automated processes and manual interventions, experts clean and standardize CRM data,
removing duplicate records, correcting errors, and enriching information where necessary.
3. Regular Updates:
CRM managed services ensure that CRM data remains up-to-date by regularly refreshing and
validating customer information from various sources.
4. Integration Support:
These services facilitate seamless integration between CRM systems and other data sources,
ensuring data consistency and accuracy across the organization
5. Compliance Management:
The trained analysts help businesses stay compliant with data privacy regulations by
implementing robust security measures, data governance policies, and compliance checks.
In conclusion, the quality of CRM data significantly impacts a business's prospecting efforts
and overall success. Addressing the root causes of poor data quality and investing in CRM
managed services can help organizations drive sustainable growth through effective prospecting
and customer engagement strategies.