ReadyTalk

Meet with Confidence

The Cost of Bad Data is the Illusion of Knowledge

Posted by Guest Author on
Share this Post:

improve data accuracy for webinarsToday's post is provided by Tomasz Tunguz, a venture capitalist at Redpoint. Tomasz originally shared this post on LinkedIn. You can learn more about Tomasz on his LinkedIn profile. Because bad data and the associated costs is a theme we talk about often at ReadyTalk, we wanted to share it with our audience as well. A great way to improve data accuracy is to integrate your webinar program directly with your CRM, marketing automation and other technology platforms. Check out our out-of-the-box integrations to improve data accuracy

Each time I open Salesforce in my browser, I think of Steven Hawking. It's because of an aphorism an entrepreneur shared with me a few weeks ago. He said:
 
The cost to fix a data error at the time of entry is $1. The cost to fix it an hour after it's been entered is $10. And the cost to fix it several months later is $100+.
 
Take for example a venture capitalist's CRM tool. If I mistype an email address or the details of the last fund raise, it might cost me a minute or two to fix it at that very moment. A minute of time is worth about $1.
 
If I'm lazy and don't correct the error, later on that day one of my colleagues might search our CRM for the company and comes across the erroneous record which he suspects is inaccurate. First, he will check his notes, then he will call me to verify and then he will change the record. The rigamarole has undermined his trust of my data and the ten minutes he spent correcting my data entry are wasted.
 
Worst of all is if I contact a startup to inquire about an upcoming fund raise with incorrect data. As a result, I could miss an opportunity to partner with a great company because of incorrect timing or lose credibility with the startup's executive team. The cost to the firm could be in the tens of millions of dollars.
 
All because I was lazy updating the CRM record.
 
Data promises compounding returns. The more data you have on a customer or prospect or your own business, the better the insights you can draw and the better decisions you can make. But these returns are blind to the quality of data.
 
Bad data has equally great compounding effects. And as Hawking so succinctly put it:
 
“The greatest enemy of knowledge is not ignorance, it is the illusion of knowledge.” – Stephen Hawking 

Comments for The Cost of Bad Data is the Illusion of Knowledge

blog comments powered by Disqus

Recent Posts

Debunking Webinar Myth #3: Webinars produce quantity, but not quality.

Debunking Webinar Myth #3: Webinars produce quantity, but not quality. Sometimes, we hear from customers that their webinars drove a ton of registrations or high attendance, but...

Debunking Webinar Myth #2: The price per lead is too high.

Debunking Webinar Myth #2: The price per lead is too high. In our first post of this series, we talked about how you can conduct cost effective webinars for your organization,...

Debunking Webinar Myth #1: Webinars cost an arm and a leg

Debunking Webinar Myth #1: Webinars cost an arm and a leg In our experience, most people think webinars cost an arm and a leg. There can be a variety of expenses associated with...

How to Identify and Clean up Bad Data

How to Identify and Clean up Bad Data The implications of bad data are huge, as we discussed in this post. It causes not just direct financial losses to the tune of $600 billion...

Top 5 Webinar Lead Generation Mistakes

Top 5 Webinar Lead Generation Mistakes A webinar is a proven medium to generate high quality leads. However, merely going through the motions does not guarantee leads. For the...

Moving your Organization to a Strategic Demand Generation Strategy [Guest Post]

Today's post is provided by Carlos Hidalgo, CEO and Principal at ANNUITAS. You can follow Carlos on Twitter, @cahidalgo. I had the privilege to present on a webinar sponsored by...

How to Target a Demand Generation Audience vs. a Nurturing Series

How to Target a Demand Generation Audience vs. a Nurturing Series   A basic marketing funnel includes three phases: demand generation, lead nurturing and sales. It's like a person...

Cost Analysis of Webinar Leads

 Cost Analysis of Webinar Leads Webinars have gained popularity as a cost effective lead generation tactic in the past couple of years. Depending on your webinar strategy, the...

Webinar Promotion Q&A with Marketing Experts

Your Webinar Questions Answered by HourlyNerd's Dan Slagen and ReadyTalk's Shawn Cardinal On August 19, Dan Slagen, the CMO of HourlyNerd spoke on ReadyTalk’s webinar series about...