Typical cost for data cleaning a database of 10,000 records ranges from $5,000 to $15,000 depending on what is included. While this price tag may seem like a big investment it is not when you look at the alternative. Let’s do the math to see how it compares to not cleaning your database.
- Cost of a Duplicates: To de-dupe 10,000, would cost $1,000 to $3,000 depending on if you are using an automatic de-duping tool or doing it using a deduplication service provider. On average, you can have anywhere from 5-10% of duplicates in your system meaning 500 to 1,000 leads are duplicated. Now let’s look at the cost of a duplicate to your sales rep: Assuming you pay your sales rep $30 an hour, and in general each rep can get though 4 leads an hour. That means that each duplicate would cost your organization $3,750 to $7,500 in un-necessary sales time. That does not include the embarrassment, brand image and administration time of that duplicate. Therefore, by de-duping the database you are actually saving: $2,750 to $4,500 in unnecessary sales costs.
- Cost of Missing Data: To append data can cost you from $0.50 to $5.00 per record, depending on data type and source. Assuming that 30% of your database is missing at least one field you are going to spend $1,500 to $15,000 in data appending costs. However, the alternative is lack of segmentation and email personalization which will decrease your email performance, more time spent qualifying the prospect in a traditional B2B sales funnel and other operational expenses.
- Cost of Bogus or Wrong Data: To validate and clean bogus record you are looking at a cost of $0.05 to a $1.00 depending on a data provider and what you are trying to verify. In a database of 10,000 records that cost equals $500 to $10,000. Consider the alternative, undeliverable emails with a potential loss of sale that cost could be more than $10,000 per email lost!
These are just a few examples of how the cost of cleaning is usually much cheaper than not cleaning your database. It is advisable to clean your database on a yearly basis. If you are looking for a reputable provider of data cleansing services, StrategicDB can help! Contact us today!