Undoubtedly, today’s business success is marked by data-driven insights, making data the most valuable asset for every corporate structure. From marketing strategies and sales efforts to building networks and business growth, all facets of a company heavily rely on it. To that end, it is not surprising that 97.2% of organizations have started investing in Big Data and worldwide spending on Big Data analytics solutions is worth over $274.4 billion.
Simply storing large piles of data in your B2B company’s CRM will only be good if it is relevant, validated, and regularly updated.
You see, most people change their email addresses once a year because of ISPs and job switching, while 45% change their numbers every two years. In that case, the details you are harboring in your database will only deliver results. However, turning this problem around could spell good news for your business – effective campaigns, quality leads, more customers, and higher ROI.
But wait, that’s not it – there’s more.
Please keep reading to find out the detailed benefits of B2B data cleansing and, amazing, strategies to leverage it.
What Are the benefits of implementing a B2B data cleansing strategy?
Data cleansing is modifying data to ensure its accuracy and validity.
Studies point out that within a year, around 30% of B2B data becomes invalid and useless. The sad news is that the company still uses its database solutions, leading to massive marketing budget waste. Therefore, a business needs to practice data cleansing at regular intervals.
Let’s explore the importance of B2B data cleansing in detail.
1. Better Decision Making
Are you aware that B2B data decays at an alarming 30% per annum? Probably not.
This indifference can have devastating consequences for your business, initiating significant losses.
However, B2B data cleansing practices rectify all major problems within your database and provide marketers with a clearer picture. It helps to maintain data quality, and you acquire better insights about business practices once you analyze them.
By using an up-to-date database, you make correct decisions keeping your ideal customers, goals, and business segments at the forefront and ultimately contributing to the success of your business in the long haul.
2. Effective Customer Acquisition Activities
A good B2B data cleansing strategy enables marketers to identify with their customers better. From their behavior to a preferred communication channel, location, and preferences – everything is at their disposal to develop a detailed buyer persona and relevant campaigns that engage people.
That said, personalized communication is an added benefit.
A study underlines that 85% of companies have seen progress in customer communication after leveraging effective B2B data cleansing tips.
3. Boosts ROI of Email Campaigns
It is one of the major benefits of implementing data cleansing strategies as for around 81% of B2B companies – email is their most preferred form of content distribution channel.
With an updated data list, you can ensure that you are reaching people who are genuinely interested in your business. This helps to minimize the chances of your mail being tossed aside even before it’s read.
Data cleansing also removes incorrect information that might impact mailing accuracy. This includes details of individuals that have changed their address or even have passed away. By eliminating these contacts, you focus on interested ones to increase the open rate – an essential metric that defines the success of email marketing campaigns.
4. Save Time and Enhance Productivity
Source: Christopher Roberts | Medium
How many hours of a day are wasted by marketers or sales teams on calls and emails to irrelevant contacts who aren’t of importance? Perhaps more than anyone would admit.
Accurate data reduces the time wasted contacting invalid people. It replaces bad data with correct and verified one. Missing contact fields are filled with new information. As such, with such clean and robust database solutions, businesses can save time, and marketers can improve productivity.
Remember, every failed campaign ignored call, or bounced mail comes with some cost, and human resources might be the biggest.
5. Minimizes Data Duplication
Source: Supply Chain Game Changer
Data duplication is one of the major roadblocks in B2B marketing that not just knock trouble on marketers’ doors but also on customers. Let’s see how – assume you have two contacts of the same person Mr Smith J. As such, your message will reach him twice.
Let’s be honest: every time a business reaches out to you with the same message twice, you are bound to feel irritated and probably would block them out for good. As a result, an enterprise doesn’t lose their customer only, but its reputation and integrity also take a blow.
That’s why removing data duplication is crucial for most marketers when acquiring data cleansing services.
6. Reduced Compliance Risk
Source: Business Review
The introduction of GDPR laws has increased the focus on data security and customer permission for businesses more than ever.
Regular cleansing practices help companies keep tabs on their prospect contact permission and ensure that those who have opted in are only contacted. So, with a clean and organized database, you will avoid hefty fines for breaching GDPR and other data regulations.
7. Boost Campaign Results and Revenue
Clean data makes way for better ROI on marketing campaigns and boosts your company’s bottom line.
If marketers have legible information, it is easy to segment the audience. For instance, if your product is meant for large-scale companies and SMEs, you will prefer to segment campaigns. It will lead to tailored content that speaks to them directly and solves their issues. In that case, your campaign is bound to generate quality leads and deliver results.
What Are Some of The Best Data Cleansing Tips for B2B Marketers?
Source: Business 2 Community
The cost of using stale data is a loss of $9.7 billion annually to businesses, and the benefit of leveraging fresh information is already listed above.
Data Cleansing should be of utmost importance because your company’s growth and profit depend on correct data. So, here are some best of the best data cleansing tips for B2B marketers.
1. Set a Plan in Motion to Acquire Quality Data
First, you have to devise a step-by-step plan for data cleansing and appoint relevant resources to oversee the course of action. It is beneficial to have a properly laid out process that answers questions: What does high-quality data mean for you? What fields are critical for you to collect? What metrics and KPIs will you use to assess the quality of your data? What apps to use for entering data and checking for duplicates?
The answers to these questions will be specific to your business type and its practices. Once you have them, you will find an ideal way to move forward. Besides, B2B data providers can also be consulted by the companies to plan a strategy for their desired goals.
2. Implement Data Validation Practice to Determine the Accuracy
Source: Bernard Marr
Data validation is all about checking the quality and accuracy of source data before utilizing, importing, or processing data. It can be done both manually and with automated tools for data validation. Though the vetting process would take hours and heavy human resources in some situations, it is best to hire service providers who can perform this role.
3. Remove Duplicate Data from the Database
Duplicate data is a cause of significant concern for your business. Since there are various points of contact in B2B ventures, duplicate data often leads campaigns to target and reach multiple prospects within the same organization. This extends an already long marketing campaign and increases the chances of your prospect walking out between the sales funnel.
Duplicates result from two common things – inconsistent data entry and multiple data entry points. Some tools exist that help you take care of duplicate data without you having to strain yourself manually searching for copies.
4. Delete Inactive Contacts
No marketers want to ruin time and resources by sending messages to inactive contacts and spam accounts. But the problem is how do you figure out if your campaign is reaching out to actual and interested folks? Thankfully, there are digital tools that detect dummy accounts.
Besides, you can make a habit of studying your email marketing campaign metrics that highlights click-through and open rates. If you have received no response from your messages after a specific period, removing that email address might be good and directing your focus on others on the list.
Keeping them will only hurt your business as you lose money sending irrelevant emails.
5. Take a Keen Look at the Source of Acquiring Data
Often, the root cause of unapt data is gathering incorrect details in the first place. You can only create a healthy database if your source is correct.
You might be using multiple sources to acquire customer data. It is critical to compare all your sources to pinpoint if a specific one is the cause of irrelevant data. Moreover, identifying irrelevant data at the start will save you trouble in the long run. You would use your efforts wisely to roll out campaigns centered on dormant prospects.
6. Standardize the Process of Data Entry
Ideally, you must ensure that you have a Standard Operating Procedure (SOP) in place when acquiring and structuring data to minimize error and confusion. It is great to develop a set of rules that dictate whether values will be uppercase or lowercase, which fields are important when developing a record of prospects, and what unit of measurement the data must use, to name a few things.
7. Data Cleansing Should Be a Regular Practice
Source: Flatworld Solutions
Remember, data cleansing is not just a one-time deal.
Though a Standard operating procedure helps, there must be a complete guarantee that the data entered into your database will remain fresh and relevant.
Whether it was an intentionally fake detail shared by your prospect, an honest mistake, a change in information, or an oversight, some bad data is bound to slip into your database solutions. As such, you should cleanse your data frequently to ensure its authority.
You should set a schedule of how often you want it done – best to do it a couple of times a year. Besides, you can choose to engage in the procedure yourself or hire a firm that offers data cleansing services to save the trouble of finding and scrubbing data.
It’s Time to Start Scrapping Data
Data rules the roost in marketing campaigns today to make a valuable difference in ROI. Nearly all business decisions taken in a B2B company are backed by extensive data gathered from various sources. In that event, it is imperative to maintain the customer database’s hygiene by implementing a robust data cleansing strategy.
Following the B2B data cleansing tips above will ensure that you have fresh data that drives results and produce definite metrics for analysis. When that happens, you are sure to perform perfect customer segmentation, develop tailored messages, and target your prospects effectively.
That said, when engaged regularly, you will witness your marketing ROI maturing in no time, along with your business relations. So, if you have not still considered data cleansing, it’s definitely time to do so!