THERE ARE A VARIETY OF CAUSES BEHIND THE CHALLENGE OF DATA DEGRADATION IN CONTACT CENTERS .
It is not difficult , then , to imagine how inaccurate contact data contributes to poor CX and increased customer churn rates in the insurance industry and others like it .
When companies fail to reach their customers due to outdated information , those customers often become dissatisfied and choose to switch to competitors . This churn results in lost revenue and the cost of acquiring new customers .
In the realm of political campaigns , contact centers need accurate voter data to help candidates target the right demographics , tailor messages effectively , and mobilize supporters .
Data decay in these contact centers results in wasted resources , unreachable contacts , and ineffective outreach strategies . Political campaigns that fail to address data decay struggle to engage with their target audience , influence voter behavior , and achieve campaign goals .
When contact information becomes outdated in many contact centers , including those of political campaigns , agents waste valuable resources .
They spend time on failed attempts to contact customers when their efforts could have been allocated to addressing the needs of other customers or engaging in more profitable activities .
Additionally , contact centers involved in lead generation rely on accurate prospect data to identify potential customers , nurture relationships , build segmentation strategies , and drive conversions .
The contact centers forced to deal with inaccurate data face disconnections , wrong numbers , and nonexistent contacts : all of which hampers agents ’ abilities to generate leads and close sales .
However , data decay can result in reputational damage in any industry . Contact centers rely on accurate and up-todate data to provide personalized CXs .
When customers receive irrelevant communications or are repeatedly contacted using incorrect information , it negatively impacts the company ' s reputation .
This creates a loss of trust that is challenging ( if not impossible ) for a business to rebuild , and which affects their financial bottom line .
Furthermore , regulatory compliance is a critical concern for contact centers . Outdated data may expose organiza- tions to compliance risks , especially regarding data privacy and protection regulations . In certain scenarios , failure to comply can result in hefty fines and reputation damage .
UNVEILING DATA DEGRADATION CAUSES
There are a variety of causes behind the challenge of data degradation in contact centers .
First , the accuracy of a company ’ s data depends on the proficiency of the people entering it into the database . Errors during the manual input of data - such as typos , spelling mistakes , inconsistent formats , or poor handwriting - can all lead to instant data degradation .
Second , a company cannot guarantee the quality and consistency of its data without implementing well-defined data governance .
Without strict guidelines and rules governing data creation , storage , and use , data becomes vulnerable to degradation . Data governance ensures the data a call center collects is consistent across all channels and conforms to the company ' s best practices .
Third , data decay often occurs over time due to inadequate data storage and retrieval systems .
A robust data storage and retrieval system that accommodates a business ’ s scale plays a significant role in maintaining the integrity of that company ’ s data . The system should be optimized for easy retrieval and analysis and have reliable backups in place .
Despite a contact center ’ s best efforts , several factors inevitably contribute to data decay . Over time , customers inevitably change their phone numbers , email addresses , or physical addresses without businesses ' knowledge .
Customers ’ marital status and preferences may also change , such as their preferred communication channels or specific product interests .
STRATEGIES FOR COMBATING DATA DECAY
In essence , contact centers serve as a frontline defense against data decay . They are poised to help organizations across various industries maintain high-quality data , improve operational efficiency , and enhance CXs .
DATA DECAY
THERE ARE A VARIETY OF CAUSES BEHIND THE CHALLENGE OF DATA DEGRADATION IN CONTACT CENTERS .
When contact centers prioritize data quality and invest in verification solutions , they empower businesses to stay ahead of the curve , drive better outcomes , and adapt to the evolving data landscape .
To effectively combat data decay - and ensure the integrity of their customer data -, contact centers must first establish clear data governance policies and procedures to define roles , responsibilities , and processes for data quality management .
A company ’ s governance policy should outline data collection , storage , and usage procedures . It is also critical to ensure that all stakeholders understand and adhere to the guidelines in the policy .
Next , contact centers must stay current with and utilize the latest automation tools and data management systems . Integrating these supports can enable companies to collect , validate , and update data in real time .
Technology advances allow contact centers to verify the accuracy of contact information as it ' s collected , ensuring its validity from the point of entry . When integrated into a company ’ s CRM platform , these tools streamline processes and ensure accurate information is readily available .
Regular data cleansing processes also help contact centers ensure their databases are free from outdated or inaccurate information .
This strategy involves verifying and updating customer contact details at regular intervals by scrubbing data to identify and eliminate incorrect entries , duplicate information , and inactive contacts . Periodic audits go a long way toward identifying and rectifying inaccuracies in a contact center ’ s database .
When contact centers implement a robust consent and preference management system , they allow customers to update their own contact information and communication preferences .
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