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ANA Acquired Data Benchmark Report
ANA Acquired Data Benchmark Report
MARKETING
TABLE OF CONTENTS
3 Introduction 27 Analyst Bottom Line
The Achilles heel to the demand generation process, is at its very foundation: the quality of the data. Prospects don’t always
cooperate by surrendering their correct or complete contact information on those beautiful landing pages marketing creates. Even
when the data in marketing automation or CRM systems is initially correct, it doesn’t stay that way: people change jobs or retire.
Companies move, merge, are acquired, change business focus and go out of business. There are many reasons why the data in
key marketing and sales systems goes stale or bad. Current, accurate and complete data is necessary for marketing to run effective
campaigns and for sales to engage with prospects. Yet, less than half of participants in this study report having an effective
process to ensure the quality of data in their key systems.
Two broad approaches exist to improve data quality, accuracy and completeness: an in-house data hygiene process, and using
external data or services. In a study sponsored by Dun & Bradstreet, Demand Metric studied both approaches, looking closely at
the use of acquired data in sales and marketing applications/solutions.
The goal of the study was to learn how companies are using acquired data and how that data is making a difference in
campaigns, demand generation and other key results. This report details the findings of this study, providing benchmarks for
acquired data performance and making the case for its use.
EXECUTIVE SUMMARY
Data quality is every organization’s ongoing challenge. The participants in this study’s survey shared information about their current
data quality status, issues and usage of acquired data. A majority of survey respondents were from B-to-B organizations that are
experiencing revenue growth. Companies in the survey ranged in size from less to $10 million to over $1 billion.
Some of the key findings that came from the analysis of survey responses include:
§ Data quality issues are not the exception, but the rule. The average rating for data completeness, currency and accuracy does
not exceed 50% for any of these quality dimensions.
§ Data quality is directly related to data hygiene practices, but only 39% report having an effective process for this.
§ Only 4% say their budget for improving data quality is ample.
§ 80% of respondents say data problems interfere with sales and marketing efforts sometimes, frequently or always.
§ Just under half of firms surveyed are using purchased or acquired data in their key sales or marketing systems.
§ Over three-fourths of study participants report that acquired or purchased data is somewhat or very important to helping
improve the accuracy, currency or completeness of data in key sales or marketing systems.
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EXECUTIVE SUMMARY
§ The most important result coming from the use of acquired data is producing better ROI for sales or marketing, according to
80% of survey respondents.
§ The greatest challenge to using acquired data, identified by almost one-third of study participants, is having confidence in the
quality of the data.
This report details these results and other insights from the analysis of this study’s data. For more detail on the survey participants,
please refer to the Appendix.
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THE STATE OF DATA QUALITY
Figure 1: Less than half of study participants report high quality for any of these dimensions.
The study first established the current state by asking
Data Quality Status participants to rate their data quality across three dimensions:
High Median Low
1. Accuracy: data that is free from errors
30% 2. Currency: data that is recent
3. Completeness: data is not missing key fields of info
Completeness 49%
21% Figure 1 shows this current state.
43%
One conclusion to draw from Figure 1 is that data quality
Currency 45%
issues are not the exception, but the rule for most
12% organizations. For any of the data quality dimensions in
40% Figure 1, the percentage of participants in the “High”
category doesn’t reach 50%.
Accuracy 48%
12% In fact, the “High” category consists of the responses of
0% 10% 20% 30% 40% 50% “Very high” and “High”, with less than 10% reporting “Very
high” data quality for the currency and completeness
H i g h P e r f o r m a n c e M a r k e t i n g
dimensions, and just 13% for the accuracy dimension.
DEMAND METRIC
Acquired Data Benchmark Study, Demand Metric, July 2015, n=158
Looking at these three dimensions, completeness
is the one causing the most concern.
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THE STATE OF DATA QUALITY
Figure 2: 42% of participants have no data quality improvement process, or only an ineffective one.
20%
24% Just over one-third of participants report having an effective
19% process for ensuring or improving data quality. Of this
18% number, just 6% claimed that their process was “completely
10% effective.”
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THE STATE OF DATA QUALITY
Figure 3: 80% of study participants report having minimal to no funds for data quality.
Respondents indicated the level of funding available to their
Budget for Improving Data Quality data quality improvement efforts using these options:
§ None
Ample 4% § Inadequate: not enough for what is needed, but some.
§ Minimal: enough to do all that is most urgently needed.
Moderate 16% § Moderate: enough to do what is needed, plus some.
§ Ample: enough to do all that is wanted and needed.
Minimal 47% Figure 3 summarizes the data quality budget status. The
picture this study has so far painted is one where sales and
marketing data quality is a concern for a majority of
Inadequate 18%
organizations, less than 40% have an effective process for
improving it, in part because 80% have minimal to no
None 15% funding for doing so.
0% 10% 20% 30% 40% 50% These conditions raise some red flags about data quality, but
are companies finding ways to cope, or are they negatively
H i g h P e r f o r m a n c e M a r k e t i n g
impacting the business? If these data quality conditions were
DEMAND METRIC
Acquired Data Benchmark Study, Demand Metric, July 2015, n=158
not adversely impacting businesses, then there would be no
cause for concern. The following section of this report
explores the impact of data quality.
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THE IMPACT OF DATA QUALITY ISSUES
Figure 4: 63% of study respondents report moderate to major adverse impact from data quality.
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THE IMPACT OF DATA QUALITY ISSUES
Figure 5: Data problems pose a moderate to significant impact for 57% of the survey sample.
Significantly 15%
The survey dug deeper to better understand how seriously
data problems impact the sales and marketing funnel and the
Moderately 42% things that occur within it, such as generating and qualifying
leads, then closing business from them.
Slightly 32% The results of this inquiry can be found in Figure 5.
DEMAND METRIC
Acquired Data Benchmark Study, Demand Metric, July 2015, n=158
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THE IMPACT OF DATA QUALITY ISSUES
Figure 6: For 80% of study participants, data problems interfere with sales and marketing efforts
between “Sometimes” and “Always”.
Always 6%
The scope of the impact of data problems is very broad, and
Frequently 23% it is also important to understand the frequency with which
these problems occur.
Sometimes 46%
The survey probed even deeper to measure how often data
Rarely 18% problems interfere with marketing campaigns or sales efforts.
The results are shown in Figure 6.
Never 1%
Only 20% of respondents rarely or never experience data
problems that interfere with the success of sales efforts or
I don't know 6%
marketing campaigns.
0% 10% 20% 30% 40% 50%
H i g h P e r f o r m a n c e M a r k e t i n g
DEMAND METRIC
Acquired Data Benchmark Study, Demand Metric, July 2015, n=158
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THE IMPACT OF DATA QUALITY ISSUES
There is a relationship to the severity (Figure 5) and frequency (Figure 6) of data problems and the effectiveness of the data
cleaning process (Figure 2). Figure 7 highlights this relationship.
Figure 7: An effective data cleaning process helps mitigate the severity and frequency of data problems.
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THE IMPACT OF DATA QUALITY ISSUES
Figure 8: More than half of the respondents have the ability to complete basic segmentation.
Segmentation Ability
DEMAND METRIC
Acquired Data Benchmark Study, Demand Metric, July 2015, n=158
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THE IMPACT OF DATA QUALITY ISSUES
A strong relationship was also seen between the study variables of data problem severity (Figure 5) and segmentation ability
(Figure 8). The implication is that data problems make segmenting customer data more difficult or even impossible. Figure 9 shows
the impact data problems have on the ability to segment at any level.
Figure 9: Data problems impair the ability to segment customer or prospect data.
Severity of data problems on key funnel processes such as Ability to segment customer or prospect data on any level (Fig.
lead gen, closing business (Fig. 5) 7)
H i g h P e r f o r m a n c e M a r k e t i n g
Acquired Data Benchmark Study, Demand Metric, July 2015, n=158
DEMAND METRIC
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THE IMPACT OF DATA QUALITY ISSUES
The type of problem that seems to have the greatest impact on the segmentation ability is the currency of data. Figure 10 shows
this impact.
Figure 10: Data problems impair the ability to segment customer or prospect data.
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THE IMPACT OF DATA QUALITY ISSUES
§ Will make flawed decisions about expansion
This study has shown that sales and marketing data quality issues affect the majority, and the impact of data problems is serious,
interfering with sales and marketing success. These same problems are affecting a pillar of the marketing strategy planning
process: market segmentation.
Acquired or purchased data is one solution to data quality issues, and its use is explored in the next section of this report.
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MARKETING WITH ACQUIRED DATA
Figure 11: Acquired data usage in key sales and marketing systems is balanced.
H i g h P e r f o r m a n c e M a r k e t i n g
DEMAND METRIC
Acquired Data Benchmark Study, Demand Metric, July 2015, n=158
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MARKETING WITH ACQUIRED DATA
Large companies are more likely to acquire data than are small ones, as Figure 12 shows.
Figure 12: Small firms are less likely to use acquired/purchased data.
DEMAND METRIC
MARKETING WITH ACQUIRED DATA
Figure 14: By a large majority, acquired data is important to improving the quality of data in key sales or
marketing systems.
57%
The sales or marketing systems listed in Figure 13 are all
40% using acquired data at or above the average usage level
shown in Figure 11.
H i g h P e r f o r m a n c e M a r k e t i n g
DEMAND METRIC
Acquired Data Benchmark Study, Demand Metric, July 2015, n=158
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MARKETING WITH ACQUIRED DATA
Figure 15: Over one-third of study participants report using acquired data for five years or longer.
5 or more 34%
3 to less than 4 3%
Years
1 to less than 2 18% The mean for the responses represented by the Y-axis in
Figure 15 is from 3 to less than 4 years.
Less than 1 12%
I don't know 5%
DEMAND METRIC
Acquired Data Benchmark Study, Demand Metric, July 2015, n=158
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MARKETING WITH ACQUIRED DATA
Figure 16: Two sources of acquired data dominate this list.
DEMAND METRIC
Acquired Data Benchmark Study, Demand Metric, July 2015, n=158
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MARKETING WITH ACQUIRED DATA
Figure 17 shows the top three acquired data sources for various sales and marketing systems in use by survey participants.
Figure 17: Top sources of acquired data for various sales/marketing systems.
Marketing automation Trade shows, conferences & events Brokers or other providers Media sources
Email marketing Trade shows, conferences & events Brokers or other providers Media sources or manual web searches (tie)
Social media marketing Trade shows, conferences & events Brokers or other providers Manual web searches
Content marketing Trade shows, conferences & events Brokers or other providers Manual web searches
Branded, online community Trade shows, conferences & events Media sources Social media or Analyst/research firms (tie)
Personalization Trade shows, conferences & events Brokers or other providers Media sources
Customer experience Trade shows, conferences & events Brokers or other providers Media sources
Mobile marketing Social media Brokers or other providers Trade shows, conferences & events
H i g h P e r f o r m a n c e M a r k e t i n g
Acquired Data Benchmark Study, Demand Metric, July 2015, n=158
DEMAND METRIC
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MARKETING WITH ACQUIRED DATA
Figure 18: The ways that acquired or purchased data gets into key sales/marketing systems.
Regularly scheduled imports 23% Real-time, direct integration of acquired data into key sales
or marketing appears third on the list in Figure 18. This is the
ideal approach, but even for users of CRM and Marketing
Other means 2% Automation, whose systems have rich data integration
capabilities, the percentages of those fully utilizing these
0% 20% 40% 60% capabilities are low.
H i g h P e r f o r m a n c e M a r k e t i n g
DEMAND METRIC
Acquired Data Benchmark Study, Demand Metric, July 2015, n=158
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MARKETING WITH ACQUIRED DATA
Figure 19: Acquired data helps boost the ROI for sales and marketing.
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MARKETING WITH ACQUIRED DATA
Figure 20: Confidence in acquired data quality is the greatest challenge in using it.
What are the challenges of using acquired data?
Challenges in Using Acquired/Purchased Data
Figure 20 ranks them.
Having confidence in the
quality 29% The top challenge – confidence in the data quality – that
respondents identified in Figure 20 is significant. Most of the
Understanding how to fully
exploit it 22% other challenges are technical in nature, and are overcome
with adequate training or support. The confidence challenge
Effective use in campaigns/
marketing efforts 17% is different.
H i g h P e r f o r m a n c e M a r k e t i n g
DEMAND METRIC
Acquired Data Benchmark Study, Demand Metric, July 2015, n=158
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ANALYST BOTTOM LINE
Marketing is constantly scanning the horizon for new and better approaches to demand generation. The business of generating leads
and nurturing them is an activity where technology and creativity are choreographed in a way to produce impressive results that keep
leads flowing and revenue in the sales pipeline. The most technically advanced and creative campaign, however, can’t overcome the
fatal flaw of poor quality data.
For almost every company, data quality issues are like ants at a picnic: you can count on having them. Few companies in this study
have figured out how to completely solve their data quality issues. Data problems are more than just an annoyance: 57% of studied
firms report moderately to significant negative impact on the ability to generate and qualify leads, then close sales.
As serious and impactful as data quality problems are, simple solutions are within the grasp of every company:
§ Data hygiene. As serious as the reported impact of data problems is, 61% of firms in this study have either no process for improving
data quality, or one that is ineffective or neutral at best. This study didn’t explore the reasons for the lack of priority around this
matter, but logic can. Data quality issues are like termites in the marketing infrastructure. By the time you detect that you have them,
the problem has become very serious, and the resolution is expensive. With data quality, an ounce of prevention is definitely worth
a pound of cure.
§ Budget. A reason many organizations don’t have an effective process is because they don’t allocate any money or resources
toward having one. Data is an asset and it deserves the same level of investment to preserve and even grow its value as any other
corporate asset does. The natural forces at work on data will quickly erode its quality unless organizations intervene with funding
and resources for a quality improvement process.
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ANALYST BOTTOM LINE
§ Consider acquiring data. Even when marketing is doing all it can to collect, clean and maintain the organization’s sales and
marketing data, the data set will still have flaws. The greatest concern identified in this study is completeness of the data, and that is
where acquired or purchased data is often most useful. Acquired data can supplement marketing’s existing collection of customer
and prospect information, filling in key data gaps that would otherwise impair marketing campaigns and sales efforts.
§ Use the most direct integration path. Fewer than one-third of acquired data users are exploiting direct, real-time integration of that
data. The best option is to put the data in the place the sales and marketing teams look for data: CRM and Marketing Automation
systems. Exploit connectors that enable real-time integration to external data sources, particularly to streaming data sources that
can enrich and constantly refresh stagnant data in sales and marketing systems.
Data is a critical sales and marketing asset, but one that is often under-maintained. Any effort to improve data quality will provide a
return.
Acquiring data can provide richness in the form of more accurate business and contact information, employee and revenue figures,
financial ratings, digital and social intelligence, all of which provides marketing a wider, straighter path for its campaigns and marketing
communication. The proven result is better sales and marketing ROI.
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ACKNOWLEDGEMENTS
Demand Metric is grateful to Dun & Bradstreet for sponsoring this benchmarking study.
Demand Metric also appreciates those participants that took the time to provide their input into this study.
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ABOUT DUN & BRADSTREET
Dun & Bradstreet (NYSE: DNB) grows the most valuable relationships in business. By uncovering truth and meaning from data, we
connect customers with the prospects, suppliers, clients and partners that matter most, and have since 1841.
Nearly 90% of the Fortune 500, and companies of every size around the world, rely on Dun & Bradstreet’s data, insights and analytics
for their organizations.
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ABOUT DEMAND METRIC
Demand Metric is a marketing research and advisory firm serving a membership community of over 55,000 marketing professionals
and consultants in 75 countries.
Offering consulting methodologies, advisory services, and 500+ premium marketing tools and templates, Demand Metric resources
and expertise help the marketing community plan more efficiently and effectively, answer the difficult questions about their work with
authority and conviction and complete marketing projects more quickly and with greater confidence, boosting the respect of the
marketing team and making it easier to justify resources the team needs to succeed.
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APPENDIX: SURVEY BACKGROUND
The Acquired Data Benchmark Study survey was administered online during the period of March 3, 2015 through April 17, 2015.
During this period, 201 responses were collected, 158 of which were complete enough for inclusion in the analysis. The data was
analyzed to identify insightful relationships between variables in the study and to ensure the statistical validity of the findings. The
representativeness of these results depends on the similarity of the sample to environments in which this survey data is used for
comparison or guidance. Summarized below is the basic categorization data collected about respondents: