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How Much Duplicate Data is Really Costing You

on December 31, 2017

Introduction

CRM have greatly improved how businesses relate with and manage their customers. Everything from marketing to the actual sale of the product to post-sale services are effectively taken care of by CRM tools. One of the things that can hinder the success of CRM tools is duplicate data. These repeated customer information can prove to be hazardous in ways that prove detrimental to businesses. Duplicate data occurs when the same customer information occurs multiple times in a CRM. Whilst it might not look like this should be much of a big deal, duplicate data is quite insidious. Its insidious nature is the reason why it is almost always being overlooked. We will proceed to help you understand how duplicate data can cost your business.

 

Five ways Duplicate Data is costing you

There are several ways by which duplicate data in CRM costs your business. We have to highlight five such ways below:

  1. Waste of Sales resources: Whenever there is duplicate data in your CRM, multiple sales reps might be given the same customer to work on without knowing it. This will definitely lead to a waste of sales resources as the same effort that would be used in pursuing this one customer could have been used for multiple customers.
  2. Negative Impact on Reputation: When a customer receives the same information multiple times, it gets annoying. When multiple sales representatives talk to the same customer about the same thing, it almost becomes like you are bugging your customers. This also goes for emails and other forms of contact. When a customer becomes disgruntled with your businesses’ aggressive communications, they will think less of you and could unsubscribe from your services.
  3. Poor Forecasts: When you have duplicate data, you are fed with a false representation of your customer base. This means that decisions made off this false representation will definitely be wrong. This is one of the most detrimental effects of duplicate data – you are sure to make inaccurate forecasts and plans based off your customers’ data.
  4. Poor Customer Service: Duplicate data in your CRM means that your customer service representatives cannot identify customers accurately. Whenever a customer has an issue, there will be multiple records and history of that customer’s activities. This will lead to a poor customer service and will definitely leave your customers dissatisfied.
  5. Troubled employees: When employees are constantly dealing with the impacts of duplicate data, they will become dissatisfied with their jobs. When they are getting backlash from customers, they will be troubled. This will lead to a decrease in the productivity of your employees and you could have an uphill battle on your hands.

 

Conclusion

By observing the level of negative impact that can be caused by duplicate data, it can be deduced that duplicate data should be avoided at all cost. There are several other ways by which duplicate data can cost your business. However, now that you are aware of the consequences of these duplicates, you can now make the best decisions concerning your CRM.

Rahul Varshneya is the co-founder of Arkenea, a custom software development company that builds custom mobile and web apps for entrepreneurs and enterprises. Rahul has been featured as a business technology thought leader in numerous media channels such as Bloomberg TV, Forbes, HuffPost, Inc, among others.