6 Common Problems With CRM DataSeptember 4, 2013 By Sal Pecoraro
The six most common problems with CRM data include:
1. Missing Key Information: CRM data often contains gaps in information. Relying on basic demographic data or purchase history is no longer sufficient. Supplement basic info with more detailed information, such as purchasing preferences or Web history. Without this type of information, it's difficult to understand how to reach customers effectively.
2. Out-of-Date Information: Customer information changes often, but the data marketers most use to reach customers doesn't always update as quickly as we'd like. Whether a consumer has moved to a new city or has changed his or her purchasing habits, campaigns will not be effective if marketers are relying on information that does not update as customers' lives change.
3. Incorrect or Unverified Data: Similarly, the data used for marketing campaigns needs to be accurate from the start. Marketers often rely on unverified data that could be incorrect. For marketing campaigns to be effective, it is crucial for marketers to reach consumers in a highly targeted way. Without verifying information, marketing efforts and resources could be wasted.
4. Lack of Insight: Even if CRM data is up-to-date and accurate, it's still just data. It provides marketers with as much information about a customer as possible, but doesn't reach conclusions. Marketers need to use this information to uncover their own insights to effectively reach consumers at the right time, through the right channel and with the right message.
5. Inability to Find New Prospects: While CRM data can be useful for reaching current customers, it does not help marketers reach new customers. It's important for marketers to effectively reach consumers who have the potential to become loyal, long-term customers.
6. Privacy Concerns: CRM databases are not responsive to the challenges of multichannel marketing in an increasingly privacy protected society. It is important for marketers to identify and contact clients and prospects according to their unique privacy requirements.