How to Overcome Customer Contact Data Challenges to Optimize Connections

New TransUnion research shows outdated information negatively impacts outreach  

With close to 90% of business calls to customers going unanswered and only one in five emails opened, businesses today are having trouble reaching customers. The challenge is partly due to enterprises calling inactive phone numbers, sending emails to blocked or inactive accounts and/or mailing to outdated physical addresses. As a result, operational inefficiencies, reduced revenue, compliance violation risks and a subpar customer experience plague many businesses. On top of that, consumers miss out on important notifications.

We recently conducted a survey to determine just how often consumers change their phone numbers, email addresses and physical addresses. The results confirmed our suspicions that continuously changing customer data creates a significant hurdle for businesses trying to reach customers across the omnichannel experience. Below is a recap of what we learned.

Read the eBook: Can’t Find Your Customers? A Roadmap to Optimizing Connections.

How outdated and changing contact data impacts customer contactability

Consumers are on the move, literally and figuratively. One in five consumers we surveyed said they moved in the past twelve months, 29% changed their email address when they moved and 41% changed their mobile phone number. It’s no wonder CRM data becomes outdated.  

A new trend, email masking (where consumers “hide” their email addresses), is a growing concern, with 18% of respondents saying they currently employ this technique. Furthermore, many consumers have abandoned inactive email accounts, with 23% no longer using a previous address for communication. Mobile phone numbers are also subject to frequent change, with nearly 10% of consumers switching their numbers in the past year and 12% doing so in the past two years. In addition, consumers often neglect to update their primary contant points with organizatoins, and/or dont' check their old email addresses. 

There’s a ripple effect of outdated contact data

The implications of inaccurate data due to constant changes are far reaching and can jeopardize entire outreach campaigns. For example, the lack of insight into outdated email addresses can lead to increased bounce rates, threatening open rates and a company’s IP reputation. A negative IP reputation can then lead to email blacklisting — with domain name systems (DNS) blocking IP blacklisted emails and sending legitimate messages to spam folders.

With increased importance placed on communicating only with intended parties, privacy concerns are at the forefront, including the risk of sharing non-public information (NPI), personally identifiable information (PII) and sensitive data with unintended individuals. Regulatory risks, such as violations of CFPB Reg F, HIPPA and FDCPA third-party disclosure regulations are also significant.

Outbound calling faces a similar set of challenges with a significant percentage of calls going unanswered or reaching phones assigned to different subscribers or not in use. The fear of fraud from robocalls and call spoofing further exacerbates the situation. And for businesses making legitimate calls, not knowing the best time or phone number to reach consumers takes a toll on contact rates, call-center efficiency and customer satisfaction — driving up operational costs and customer churn. CFPB Regulation F imposes limitations on outbound dialing attempts, further reducing the ability to connect with customers.

Steps to creating a successful contact strategy

A well-orchestrated, multichannel outbound communications strategy is essential for meeting customer service goals and achieving business objectives. What’s more, the seamless delivery of communications across channels helps ensure consistency in message delivery and accessibility, reinforcing customer confidence in the brand and fostering loyalty.

Given the challenges we outlined, businesses must take measures and implement solutions that help them stay up to date with actionable consumer data, determine the best channel and time to contact consumers and adhere to evolving regulations. These include:

• Keep CRM data current
  The core of this strategy lies in continuously corroborating CRMS data and understanding when and where customers are most likely to respond.
  
  
• Select the best communication channels
  Choose channels based on customer preferences and responsiveness to further enhance the customer experiences. Knowing where and when customers are most likely to engage better ensures efforts are targeted effectively, maximizing the chances of successful interactions.
  
  
• Comply with regulations
  Staying current with the ever-changing regulatory landscape ensures communications are executed within legal boundaries.

Learn how TransUnion TruContact™ Email Behavior Intelligence and TruContact Phone Behavior Intelligence can help ensure continuously corroborated customer contact data and increase right-party contact rates, customer engagement and revenues.

Read the eBook: Can’t Find Your Customers? A Roadmap for Optimizing Connections.