[VIDEO] The Cost of Bad Data
Welcome to the first of our DiscoverOrg Whiteboard Wednesday series! Today, let’s talk money. Right – that’s what motivates sales guys? You know what motivates me almost As much as making money? Finding out I’m wasting money!
So, question of the day is: Have you ever wondered just how much money having bad data in your sales and marketing system cost you? Come on, you know that you spend way too much time trying to prospect with bad email addresses, bad phone numbers, wrong titles, etc…and it annoys you because it means less time for you to find and close that next deal.
Watch the Video:
Why Your Lead Efforts are Draining Cash
The answer to the question is a super quick math equation.
- Let’s say you have 100,000 target prospects in your database that you’re trying to sell and market to.
- Every single year, 30-50% of those contact records go bad – new job, new company, new office location, retirement…
- Research shows that every bad contact record costs you $11 – even worse, you could have spent your time prospecting to someone that would have bought from you!
- So, if you have 50,000 contacts with bad data and each of those contacts cost you $11, you just wasted $550,000 AND you missed out on all of the deals that your competitors got to first.
Okay, so you might say, great, I’ll go spend $10,000 bucks and buy one of those lead gen lists to add 1m new contacts to my database. That will more than cover the money I wasted.
Will it? Most of those lists are, at best, 70% accurate. So, now, you have 300,000 bad contacts added to your 50,000, and you’ve wasted a bunch of time, $3.9m bucks, plus the $10k you spent.
How to Stop Wasting Money With Sales Prospecting
Your best option for making sales? Go back to those 100,000 target prospects that you KNOW are the right ones for your business and invest in getting and KEEPING accurate and actionable data on them.
At DiscoverOrg, our team spends all day every day doing that for you so that you can stop wasting money, spend your valuable time connecting with the right people at the right time with the right message…and start making more money.