My 2017 Sales Resolution: Grow Revenue Using Fresh Data
January 3, 2017 5:30:12 AM | By Matt Benati
Which is better: fresh or stale data? It sounds like an easy question, right? We all want to be using fresh data. As soon as a list is created, however, it begins to decay. Contacts leave their company, get promoted, change their email address, or otherwise mess up your perfect database.
Working with fresh data is critical for connecting with leads, learning more about them, and closing deals. And, closely monitoring changes in contact data gives you the ability to identify trigger events early, creating a huge timing advantage over competitors.
But keeping databases updated is hard.
Or is it?
The Problem With Stale Data
Zoominfo research has found that the average email marketing database degrades by 40-60% each year. If the owner of that database did nothing to update it, it would be completely useless in just a couple of years.
Most organizations attempt to update their database in one of two ways:
Database cleansing tools – these services are pricey and only partly effective; same with purchased lists, as they begin to decay the moment they’re generated.
Manually emailing and calling – even if you are able to reach everyone in your database, this process is time-consuming and tedious, and a poor use of your sales representatives’ time.
And despite these efforts, a recent ZoomInfo survey about data decay found that an astounding 94% of businesses suspect their databases contain inaccurate information, and as much as 50% of IT budgets go toward database rehabilitation. In total, bad data costs US businesses $611 billion annually.
That’s a lot of bad data; and a lot of money for pseudo-clean data.
The Benefits Of Clean Data
Common sense tells us that inaccurate contact information directly correlates to a decrease in connect rates. But the organizations that expend the energy to keep their databases updated will tell you that the benefits go far beyond improved connect rates.
Continuously appending and cleansing your database means you are always learning more about your contacts. Increased account based intelligence (ABI) leads to the ability to segment your lists and send personalized, targeted messaging. Of the B2Bs surveyed by ZoomInfo, half of them said that untargeted email campaigns generated a response rate of less than 3%, and that those same untargeted campaigns cost 3.6 times more than their targeted counterparts.
Let that sink in. Putting the time and effort into ensuring clean data means you have to work more upfront to segment your lists and personalize messaging. But it actually costs less in the long-run to do so.
When it comes to clean data affecting your bottom line, 66% of B2Bs said that clean data was directly related to increased revenue, and a 25% higher conversion rate between the inquiry and MQL (Marketing Qualified Lead) stages.
How To Get Fresh Data
If you want to be in the elite 6% of organizations that are confident about the accuracy of their data, then you have to be working with the freshest data possible. That means continuously appending and cleansing your database. Not monthly. Not quarterly. Not annually. Continuously.
If you cringe when you think of the time, money and effort involved in continuously updating your database, what would you say if there was a way to automate the process?
You’d probably say that the only way to automate it is to have your leads fill out a form any time their information changed.
Well, that’s pretty much what LeadGnome does.
LeadGnome is an email mining solution that takes just two minutes to set up and runs seamlessly in the background. Every time you send an email campaign, LeadGnome automatically analyzes the responses and extracts Account Based Intelligence (ABI) that you can use to update your database.
Check out this blog for the 6 basic types or reply emails your campaigns return, what ABI you can glean from them, and how to leverage it for sales opportunities and revenue growth.
While there are many signature scraping services available that claim to do something similar, LeadGnome goes beyond this basic technology and analyzes the entire reply, including the unstructured body of the email. When you integrate LeadGnome with your CRM and marketing automation platforms, your contacts are automatically updated and tasks are scheduled for sales reps based on workflows (Marketo users: check outthis blog to learn how to grow your revenue with LeadGnome!).
The Trigger Event Bonus
One thing ZoomInfo didn’t cover in its survey is the competitive timing advantage of using fresh data. We know that stale data means failed initiatives, and fresh data means more revenue. But what happens when you capitalize on fresh data before your competitors?
When you’re continuously updating your database by mining your campaign reply emails, you’ll learn about important trigger events, such as when a lead leaves the company or gets promoted, as soon as you send an email campaign and receive an auto-response. If your competitors don’t find out about those changes until a hard bounce is generated, it could mean a 3-6 month timing advantage for you.
And as you’ve likely heard from us, Founder of SHiFT Selling, Craig Elias says that when you’re the first in, you’ll win the deal 74% of the time.
Get Fresh Data Using LeadGnome
An updated database is critical to the success of your sales and marketing teams, and LeadGnome is the only automated solution that continually appends and cleanses your data. Check out our free eBook TurboCharge Your Account Based Marketing Strategy for more ways to leverage email mining.
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