Marketing is referred more to science these days rather than art. All thanks to the advanced technology. Rather than depending on their intuition or gut feelings, marketers are checking out various digital platforms and the latest tools for tracking the customers and their reactions or reviews for an effective marketing campaign.
And this happens only when the data is accurate and updated. But what happens when the data is outdated or bad?
Well, not every data obtained from sources is good enough for the business. Some sources or platforms might have a huge database, but if the party fails to update it, the data is surely of no use. And this can be problematic for the marketers out there using the data. Many marketing agencies depend on third parties for data collection, while other agencies have data-collecting teams in their offices. However, in both situations, the data collected might be irrelevant.
Through this post, let’s discuss how bad data is harmful to marketing campaigns in various ways.
Why is an Outdated Database BAD?
For any business, the database is the fuel that keeps its company running through successful marketing campaigns and sales. This means every piece of information stored in the database is very important right? But that’s not true. Not every piece of database is helpful for the business.
Having a huge database is not only limited to searching data from different sources and storing it. It comes with a broader concept where the companies need to keep the database updated at regular intervals to keep it accurate, correct, complete, and single entry. When the data is outdated or incomplete, it surely leaves a negative impact on the business when used.
How is an Outdated Database Bad for the Business?
Bad quality data or outdated data is harmful to the business as it results in a loss in productivity, efficiency, and monetary value for the company. It badly affects the decision-making systems and ruins the business slowly.
Here are some more serious significances when a bad database is continuously used while making important business decisions and even marketing campaigns.
Damages the reputation of the brand
The brand name holds a vital role in the market. People simply rely on the brand name and make investments in the products and services of any business. But when the business uses bad data while working on marketing strategies, it can surely destroy the trust people or customers have in the brand name. Establishing a brand name requires both time and effort, however, the same can be ruined with a small piece of bad database.
Affects the productivity of the company acutely
One of the serious mistakes committed by various businesses is that they use old databases which aren’t been updated for years. Hence, when the marketing campaigns are carried out, they fail to reach the customers due to a lack of required information. In this way, the bad data would affect both the productivity of the business as well as the efficacy too. Rather than completing the entire process of marketing in the very first attempt, the business would have to wait for the data to be updated so that the information reaches the right customer.
Increased chances of missing golden opportunities
Using incomplete and inaccurate data while working on marketing strategies would hurt the business. Due to such a database, businesses might miss out on certain important and terrific opportunities. When carrying out marketing strategies, having the right list of target customers is essential. If it isn’t ready, the information or message would be delivered to the wrong individual and this would have an impact on the sales or profit of the business.
Wastage of both money and resources
When any company goes through any bad circumstances, it suffers from both loss of resources as well as money. Similarly, when the company uses a bad database for any marketing campaign, loses both its resources and money. When a campaign is planned, the company spends a lot hoping for a good return on the investment when the campaign is successful. But when the old or outdated database is used, the company simply has to say goodbye to the invested amount. Hence, the failure of the campaign due to the old database results in a waste of effort, resources, energy, time, and money.
Failure to make the right decision
Every company collects data from the market through various sources. This data is used by the analysts while making essential statistical and logical decisions for the company including marketing strategies. If the database isn’t updated regularly, or if the Excel sheets and graphs used are inaccurate, the analysts are sure to make wrong decisions. And this would surely have a huge impact on the business. Hence, the database needs to be updated or maintained so that the analysts can make accurate decisions for the success of the company.
Failure in plans and demotivation of staff
When any company starts any new project or campaign, every staff member is involved in one or the other way in the project. They put all their efforts and time into the project, and when the project doesn’t give those profits or benefits, it demotivates them as well. The idea of starting everything all over again just because a small decision was taken wrong lessens their morale and they wouldn’t work with a firm mind as they had worked in the initial project. Hence, using poor data can reduce the self-confidence of the staff members. At times, they might also quit the job.
After going through all the above-mentioned points, it is determined that an accurate and efficient database is crucial to avoid its negative impact on the entire business. When the data is well managed, acquired, and evaluated, it can help in developing effective marketing campaigns to achieve desired goals. Bad data is similar to a rotten egg, a mistake, or a weak link which needs to be avoided so that problems don’t pile up to hinder the success of the business.
If you are not able to reach your target audience due to old database and are failing in your attempts again and again then you should turn to services like database building services and data cleansing in which DataPlusValue will help you completely. At DataPlusValue we believe that bad data leads to bad leads. Therefore, we are a team of professionals ready to assist you from creating new B2B list database to keeping existing databases updated so that you can make effective decisions and design successful marketing strategies. For more information, contact us today and focus on increasing the value of your business by generating leads.