Because marketers rely so heavily on data for their CRM campaigns, data cleansing of customer databases is critical.
The core benefits of cleaning data include:
A complete and accurate view of your database
People move home, change jobs, email addresses, etc, which is why up to 30% of a database can go stale within a year, leading to valuable customer data becoming quickly obsolete. This can lead to various issues that impact negatively on CRM, wider customer engagement and business intelligence.
It’s only when you obtain clean and reliable data that you get a clearer picture of your customers, which results in better segmentation and the delivery of a single customer view (SCV).
Improve targeting and maximise ROI
A clean customer database means significantly improved marketing activity, as there’s no bounce backs from emails, or returns from incorrect addresses to hamper communications with your prospects. An important part of this requires deduping records, matching and merging data, so you don’t waste time and money sending out marketing material to stale and duplicate prospects.
Also, bear in mind the 1-10-100 rule, that it costs on average £1 to verify the accuracy of a record at point of entry, £10 if it needs to be cleaned and £100 if nothing is done. This doesn’t include the additional cost of mis-deliveries of shipments, direct mail, missed opportunities and undetected fraud.
It’s only by having clean, up to date and verified data that it’s possible to deliver a standout customer journey, leading to better sales, cross and up sell, stronger revenue streams and improved ROI.
For those brands serious about having a positive reputation with customers, it’s accurate customer data that will help provide this via the delivery of better communications. It ensures they can be more engaging across various channels, offer tailored promotions, speedy deliveries, and provide value across a range of systems and practices, such as at point of sale. Clean customer data also helps marketers to elevate their customer retention efforts to meet future customer expectations.
Deliver a data cleansing strategy
A data cleaning strategy is vital. A good place to begin is to analyse your data. Are there certain parts of your database that have the most issues? Where is revenue being lost? It can sometimes be hard to spot problems, so take some time to do this.
It’s important to request a complementary data audit from a data cleansing specialist – one that really digs down to provide vital insight on your data. Feedback should then be given on the data in the database, along with advice on how to get the most out of it.
Data cleaning is never a one-off process. This is why it’s important the solution sourced should be a SaaS service that ensures that your data is clean, verified and up to date as it enters your systems, and can automatically prevent your data from going stale each year, saving you money and giving back better ROI in the long term.