Marketers today understand that the success of their campaigns hinges on customer data.
The more you know about your target audience, the easier it is to reach them with the right message, at the right time, in the right place. When leveraged correctly, customer data can help marketers like you educate leads as they move through the customer journey and even close deals without the help of a sales team.
But, doing so requires some pretty high data quality standards. As you surely know, outdated or inaccurate data won’t help you sell to new customers. In fact, bad data can have a serious negative impact on your campaign success (and even your company’s brand reputation).
Data quality should be a top-priority for marketing teams because it guarantees their campaigns operate based on accurate and up-to-date customer insights.
Unfortunately, many companies don’t know how to accurately evaluate their own data quality. That’s where a good data quality health check comes into play:
By conducting a data quality health check, marketers can ensure their customer insights are of the highest standard and completely revolutionize their marketing strategy.
This post shares some key ways a data quality health check can impact your campaign success, but first:
What is a Data Quality Health Check?
According to recent reports, 60 percent of companies have a data quality score of “unreliable.” Over 80 percent of customer records are missing basic firmographic information (like location, industry, or number of employees). And worst of all, the estimated cost of poor data quality exceeds $14 million for organizations. Clearly, most companies would benefit from a data quality health check. But, what exactly does that entail?
A data quality health check analyzes your customer information to uncover:
- Incomplete customer profiles
- Duplicate profiles
- Incorrect or out-of-date information
- Issues with data standardization
Once uncovered, marketers can either manually make adjustments to improve data quality or rely on a long-term solution — like ReachForce SmartSuite — to solve their problems entirely.
SmartSuite is a data management solution that continuously verifies, standardizes, and enriches your customer data in real-time. Doing so allows organizations to always operate with the highest data quality standards and most rich customer insights.
There are countless ways that can positively impact your business, but here are a few of the most important:
#1. Qualify Your Leads Faster.
Here’s a startling fact: 73 percent of B2B leads are not sales-ready when they enter your pipeline.
That means even the most successful lead generation campaigns are only going to convert about 25 percent of your target audience initially. And that’s precisely why identifying those sales-ready leads quickly is so important:
With only one-in-four new leads ready to buy, converting those leads before your competitors should be a top-priority for marketers.
Doing so requires an intelligent, lead scoring strategy powered by high-quality customer data. A good lead scoring process should be automatic and based on insights from your current customers. Of course, the quality of those insights hinges entirely on the accuracy of your customer information. With bad data quality comes inaccurate lead scores. That means you end up directing non-sales-ready leads to your sales team before they are ready to make a purchase, thereby creating a poor customer experience.
It also means your reps waste valuable time contacting those leads when they should be focused on others. Speed is an essential factor when it comes to lead conversion: 35 to 50 percent of B2B buyers go with the vendor who responds first to an inquiry. Responding to a sales-ready lead within five minutes of their initial inquiry increases your chances of contact by 100X versus calling them just 30 minutes later. That’s how a good lead scoring strategy can revolutionize your business, but to do so, you need that high-quality data.
#2. Create More Refined Customer Segments.
Establishing various buyer personas and segmenting your customers based on those personas (plus other variables like sales-readiness and location) is crucial to modern campaign success. B2B audiences expect marketers to know how to speak to them directly. Generalized campaigns don’t just get ignored — they generate negative sentiment with your target audience.
Again, data quality plays a key role in your segmentation strategy. Obviously, poor quality data means less accurate customer segments. But the role of data goes a bit deeper than that — the more high-quality data you have to work with, the more refined your customer segments can be. Splitting up your audience by basic demographics often isn’t enough for the modern B2B buyer. You need to create more granular segments that really speak to that customer in the moment. Achieving that level of segmentation often requires the help of a good data enrichment tool which can unify customer profiles and supplement your existing customer data with third-party information.
#3. Improve Campaign Personalization.
Segmentation is still just the first step in improving campaign performance. Brands also need to focus on personalizing campaigns if they want to see a high ROI from their marketing strategy. 79 percent of consumers will only take advantage of brand promotions tailored to previous interactions with the brand. In other words, the majority of your potential customers only want to work with you if they know you are tailoring your content to them.
Of course, personalization is not possible without high-quality customer data. The information stored in your data management solution addresses the demands for personalization from your audience, but only if the information is accurate and up-to-date. A data quality health check ensures that accuracy so that you can begin using personalization in your marketing campaigns.
#4. Optimize Your Account-Based Marketing.
97 percent of marketers say account-based marketing yields higher ROI than any other marketing activity.
Clearly, with numbers like that, account-based marketing should be a part of your overall strategy. (For more on why, check out this post: 4 Reasons to Move to Account Based Marketing.)
But before you can even consider launching an account-based marketing strategy, a data quality check is necessary. Think about it: account-based marketing is all about targeting your highest-value customers with a best-in-class brand experience. Failing to do so because of poor data quality isn’t just missing out on any old business — it’s letting down your most important customers. A data quality health check first ensures that you target the right accounts for your ABM strategy. Then, once you’ve determined those accounts, it optimizes your campaign strategy to ensure you’re reaching the right stakeholders with the right content to help lead them to a buying decision.
#5. Create a More Efficient Martech Stack.
A data management solution sits at the foundation of your martech stack. As new inbound customer data flows through your lead generation channels, a solution like SmartSuite collects, standardizes, cleans, and enriches that data so that it contributes at the highest level to the rest of the tools in your martech stack. Without that high-quality data, many of the tools in your stack — including automation tools and your CRM — will hold little value. A data quality health check highlights red flags in your data management solution so you can maximize the effectiveness of your data for the rest of your martech stack.
#6. Prove Campaign ROI.
At the end of the day, data quality needs to tie back to marketing ROI to prove worth your time. While each of the benefits covered in this post contributes to higher campaign success, customer data is also the means by which marketers can actually prove campaign ROI. Vanity metrics like clicks, views, or time-on-page don’t necessarily equate to sales. Instead, marketers can leverage high-quality customer data to report on the information that actually matters, like visitor-to-lead and lead-to-customer conversion rates, deal-size by customer segment, and potential high-value accounts to target for ABM. These are the metrics that ultimately demonstrate the ROI of your marketing efforts (and potentially get you a bigger marketing budget next time around).
ROI comes from other places than just new customer acquisition. These last two perks of high-quality data highlight the ways a data quality check can improve marketing to your existing customers, too.
#7. Cut Down on Customer Churn.
Retaining existing customers is considerably more affordable for businesses than acquiring new ones. Many companies have turned some of their marketing attention towards existing customers, but the ones who do it based on high-quality data are ultimately the most successful. Customer data gives marketers an opportunity to learn from previous customer behaviors. For churn prevention, this information is invaluable. Analyzing firmographic trends in churn combined with customer behavioral data (like logins, customer service inquiries, and products purchased) allows marketers to create triggers for future customers that look and act like those who previously churned. In the same way high-quality data helps marketers score leads, customer insights can help score existing customers, too.
Once highlighted, marketers can then target those churn risk clients with the right content and information (again, powered by high-quality data) to retain their business. In turn, that acts as a boost in revenue, albeit through a different channel than lead generation.
#8. Uncover More Upsell Opportunities.
Similarly, trends in firmographic and behavioral data among customers who purchase more from your business after the initial sale can influence your marketing efforts for upsell opportunities. Those same triggers that can alert sales and marketing of potential churn risks can also be used to notify your teams when an existing customer is prime for an upsell. Doing so allows marketers to increase their revenue without focusing exclusively on lead generation efforts.
A data quality health check is the starting point for a successful marketing strategy. The impact high-quality data can have on the entirety of your marketing plan cannot be understated, but to even get the ball rolling you need to know where you stand currently.
Ready to get a FREE data health assessment? Request one today!