Marketing and Sales Efficiency

It’s a simple equation. Well maintained, accurate data in your CRM boosts sales revenue and can decrease operating costs.

The problem?

According to Gartner, that simple fact is often ignored. The result is more than 25% of data in Fortune 1000 companies is inaccurate, incomplete or duplicated which causes significant impacts to your bottom line (12%-15% or more in lost revenue) from reductions in productivity, wasted resources, and missed opportunities. That doesn’t include the loss of reputation or poor customer service that resulted from the data issues.

The number of organizations who suspect their data might be inaccurate in some way has increased to 92%, up from 86% last year. The volume of inaccurate data is also rising. On average, respondents think that 26% of their total data may be inaccurate, up from 22% in 2014 and 17% in 2013. And there is a growing recognition of the cost implications that data errors have with 23% of businesses saying that revenue has been wasted as a result, an increase from 19% last year.

According to Sirius Decisions…

  • 25% of the average B2B database is inaccurate
  • 60% of companies surveyed had an overall data health scale of “unreliable”
  • 80% of companies have “risky” phone contact records

Marketing Automation

Companies that use marketing automation can quickly gain efficiency by focusing on quality data because the systems depend on accurate data to be effective:

  1. Target Marketing – if you need to breakout segments of your list, you need complete data to do so or otherwise your segment will be inaccurate and you could miss connecting with your next customer.
  2. Personalizing Content – we’ve all received a mass email where our first name was missing and {firstname} was in the greeting. But if you don’t have data structure, your sales team could be leaving notes in random fields. Such as updating the first name field with “no longer there” or “really bitchy”. Those show up in your personalized emails as “Good morning Johnny no longer there” or “Good afternoon Catherine really bitchy”. FYI, those get instantly deleted (and if someone complains, you’re most likely getting fired).
  3. Lead Nurture Sequences – the right relationships with the right prospects helps generate sales. An incorrect email means your message will never be seen.
  4. Lead Engagement Sequences – the right content to the right prospect helps generate sales. If you don’t know what interests them, you don’t know what to send them.
  5. Lead Scoring – your sales team can use this to determine where people are in the sales funnel. If you have duplicate records or inaccurate data, this generates inaccurate lead data and tons of wasted time.
  6. Lead Automation Rules – should your leads drop into a new campaign when their lead score reaches a certain threshold? This won’t happen if your data isn’t current.
    Analytics and Reporting – how do you decide next steps? You look at your reporting for patterns, trends, and performance. Decisions need to be made on actual data from real history, not guesses based on opinions.

How can you tell if your database is in good shape? Look for minimal duplicate records, completed data fields, the right phone number, and check your email sending analytics for low bounces and low unsubscribes.

Did you know that marketing automation drives a 14.5% increase in sales productivity and a 12.2% reduction in marketing overhead? Businesses that use marketing automation to nurture prospects experience a 451% increase in qualified leads.

How to Get the ROI for Data & Marketing Automation

Where do you start? Simple. Start at the beginning. Data cleaning and sales efficiency go hand in hand. Dirty data is never eliminated. It should be an ongoing process.

Feeling overwhelmed yet? Most do. In fact, 92% of the global research respondents say they find some element of data quality challenging. In 2015, 84% of companies plan to make some sort of data quality solution a priority for their business, either implementing a new system or improving what they already have.

  • Audit your CRM (or marketing automation tool if they are the same). How many records do you have; leads, contacts, accounts? Know what’s used, what fields to eliminate, and what to add. Information is valuable. And that value lies in your data. Knowing your data is key.
  • Check the health of your data. Where does your email deliverability rate? Do you have a threat risk in your email? How many records contain a phone number? Tools such as HuBuCo can help you cleanse.

When do you see results? Rather quickly. 75% of companies using marketing automation see ROI within 12 months, 44% see it within 6 months. Specifically, companies that automate lead management see a 10% or greater increase in revenue in 6-9 months. You’ll also see a 70% faster sales cycle times, and 54% improvement in quota achievement. Quality Data + Marketing Automation Efficiency = CRM Boosts Sales Revenu