CRM data is in such a terrible state that practitioners sometimes falsify it to get what they want. And many would leave their jobs over it, judging by The State of CRM Data Health in 2022, a study released Thursday by Validity.
Of the marketers polled, 75% say employees have faked data to tell the story they wanted decision makers to hear, with 33% saying they have faked it often and 42% saying they have done so sometimes. And 82% have been asked to find data to support a scenario even if it is not accurate.
But 87% say leaders rely on CRM data to make key decisions for their departments. Ninety-one percent contend that the data to support these decisions is inaccurate, with 51% saying it is often inaccurate and 40% sometimes.
There is a real cost to all this: 44% say their firm has lost 10% in revenue due to poor-quality CRM data, and 64% are so dismayed that they would consider quitting if additional resources were not allocated to support data quality.
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And while 76% claim their CRM data is good or very good, this confidence may not reflect reality.
For instance, 75% acknowledge that their firm has lost customers due to duplicate and/or inadequate outreach caused by bad data. And 50% have lost new sales for the same reason.
Also, 69% say their firms fail to pursue or complete potentially valuable initiatives.
Moreover, bad data quality has prompted firms to delay or halt email campaigns and other efforts:
Specifically, companies suffer from these problems:
What’s driving this storm of bad data?
For one thing, 79% say data decay has increased due to COVID-19. But the study identifies these three syndromes:
1. Leadership doesn’t prioritize data quality
Only 19% say CRM data quality is a high priority for their leadership
While 25% of leaders are aware of data-quality issues, they do not support initiatives to improve the situation.
Another 14% say leadership is oblivious to data quality, and 24% say management does what it wants regardless of what the data says.
2. Management responsibilities are murky
The respondents say:
3. Organizations think they are taking steps to improve data quality — but take the wrong ones
Here is what they are doing:
Validity surveyed 1,241 customer relationship management administration workers in the technology, retail, e-commerce, professional services, healthcare, travel, distribution, or manufacturing sectors.Of these, 606 were in the U.S., 318 in the U.K. and 317 in Australia.
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