There’s really no room for debate. The world of sales and marketing today runs on data!
Think about it. Sales outreach, marketing campaigns, budgetary decisions, forecasts and more – all depend on data to be successful.
It’s so ingrained into business culture that we commonly call ourselves, “Data-Driven” (or as I like to say, “Data-Guided”).
Our worldwide data obsession makes sense too. With clean, accurate data, organizations can optimize nearly every area of the business. Campaigns convert at a higher rate, more revenue rolls in, and organizations can keep their doors open.
Unfortunately, we all live in a world where clean data doesn’t stay clean. There’s no escaping the reality that data, despite how important and expensive it can be, is a perishable resource.
In fact, data is decaying at a faster rate than ever.
This poses a big problem for businesses today. Left unchecked, data decay can and will cause serious financial challenges. Collectively, it’s upwards of a $1 trillion dollar problem.
Data affects the Fortune 10 down to freelance solopreneurs and everyone in between. This isn’t just for global enterprises..
We’re all in this together.
In this article, we’re going to bring you up to speed about:
(Quick sidenote – we use the terms data decay, data loss, and data degradation interchangeably for readability purposes)
Data decay or “data degradation” refers to the rate at which accurate data becomes obsolete or inaccurate.
For sales and marketing, this applies to areas such as:
No Spam. No Nonsense.
Just Quality Content To Your Inbox
Takeaway: This is why databases decay at a rate of 30% or more every year.
Now, it’s important to understand that we’re dealing with a double-edged issue here.
While data quality decays by 30% or more every year, the quantity of records are rapidly increasing by 100-150% every year.
Think of it this way.
Takeaway: As sales & marketing teams, we have to be consciously aware of the data that’s imported into the CRM. It’s not just a RevOps job to maintain cleanliness, it should be an all-hands-on-deck effort.
It’s not pretty.
As of last year, 40% of business objectives are failing because data is a limiting factor.
The success of marketing & sales campaigns is bad data’s first victim.
Delivery rates go down because of bad emails.
In turn, productivity and conversions both suffer tremendously.
Now that’s not too bad!
Let’s compare the same intended result with bad data in the mix:
We warned you the truth would hurt.
There’s more bad news.
With decreased delivery rates (or increased bounce rates), your Sender Reputation will start taking a hit.
Takeaway: With bad data, sending more emails to achieve a the same input is not the answer. It’ll compound the problem and incur huge long term penalties. It’ll take time to recover the score, and in that time you’ll still have reduced abilities to deliver campaigns (which are crucial for business growth).
So if you have hundreds or thousands of bad leads in your system, then it’s going to quickly snowball into an issue that costs hundreds of thousands of dollars.
Hence why 40% of business initiatives are failing due to bad data.
You can learn more about navigating the challenges of data decay with the recommended reading below.
And in case you’re not aware, FoxBound DataScout is a Chrome extension that allows you to build lists of verified prospects & send only clean data to your CRM. All you need to get started is a business email and a LinkedIn account!
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