Data Decay Rates, reasons and major CRM By Asian Country
Data decay is silently eroding the foundation of B2B marketing efforts across Asia, with significant variations by country. This report examines the current state of B2B data decay in key Asian markets, helping businesses understand the scope of the challenge and implement effective data management strategies.
Country | Decay % Monthly | Decay % Annually | Major Reasons Contributing to Decay | Major CRM Used |
Asia (General) | 2%–5% | 22.5%–70.3% | High workforce mobility, frequent job changes, mergers/acquisitions, lack of data maintenance, regulatory changes | Salesforce, HubSpot, Microsoft Dynamics |
China | ~2%–5% | 22.5%–70.3% | High employee turnover, rapid business growth, mergers, frequent contact/job changes, evolving regulations | Salesforce, Zoho, Microsoft Dynamics |
India | ~2%–5% | 22.5%–70.3% | Job role changes, lack of data standardization, manual data maintenance, frequent business restructuring | Zoho, Salesforce, Freshsales |
Singapore | ~3% | ~30%–70.3% | High workforce mobility, economic shifts, strict data privacy laws, rapid market changes | Salesforce, HubSpot, Oracle NetSuite, Monday CRM, Pipedrive, Zoho CRM, Freshsales |
Malaysia | ~2%–3% | 22.5%–30% | Talent supply-demand gap, evolving business landscape, lack of regular data cleansing | Salesforce, HubSpot, Microsoft Dynamics, Pipedrive |
Vietnam | ~3%–4% | 24%–40% | High employee turnover, rapid economic changes, frequent company restructuring | Freshsales, LeadSquared, HubSpot, Salesforce, Kapture CRM |
Indonesia | ~2%–4% | 21%–24% | High turnover, evolving market, lack of data validation tools | Barantum, Microsoft Dynamics, Salesforce, HubSpot, Zoho, SAP |
Japan | ~2% | 22.50% | Lower turnover, industry-specific changes, mergers, and rebranding | Salesforce, HubSpot, Odoo, Oracle NetSuite, Pipedrive, Sansan, Synergy! |
South Korea | ~2%–3% | 16%–20% | Job changes, company restructuring, digital transformation | Salesforce, Zoho CRM, Thryv CRM, Monday CRM, Pipedrive |
Philippines | ~3% | ~17.5% | High attrition, workforce mobility, external market changes | Recruit CRM, FreshTeam, Firefish, CleverStaff, Salesforce, HubSpot |
Understanding B2B Data Decay
B2B data decay refers to the gradual deterioration of business database accuracy over time. On average, 2.1% of B2B data decays monthly, resulting in approximately 22.5% annual decay. More alarming reports from Gartner suggest B2B contact data can decay as fast as 70.3% annually. This means if your organization starts the year with 10,000 contacts, you might be left with just 3,000 usable contacts by year-end.
Data decay occurs due to various factors, including:
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Employee turnover and job changes
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Business restructuring, mergers, and acquisitions
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Office relocations
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Changed contact information
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Technological and industry shifts
The financial impact is substantial, with 44% of companies reporting annual revenue losses exceeding 10% due to CRM data decay.
Impact on B2B Marketing Effectiveness
The high data decay rates across Asian countries create significant challenges for B2B marketers. According to Forrester’s Marketing Survey 2023, B2B marketing decision-makers in Asia Pacific cite data quality and accessibility as major obstacles to achieving their goals.
The consequences of this rapid data decay include:
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Wasted Marketing Resources: Companies invest in reaching prospects using outdated contact information, resulting in bounced emails and failed outreach
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Reduced Campaign Performance: Poor data leads to diminished marketing results and lost sales opportunities.
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Revenue Impact: As previously noted, 44% of companies report annual revenue losses exceeding 10% due to CRM data decay.
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Compliance Challenges: The explosion of data types and volumes makes it difficult to create a comprehensive view of marketing data, while privacy laws limit what marketers can store and use.
Strategies to Combat Data Decay in Asian Markets
Regular Data Audits
Implement systematic data verification processes to identify and correct outdated or inaccurate entries. This “spring cleaning” approach should be tailored to match the decay rate in your specific Asian markets.
Data Validation/ Email Verification Tools
Use specialized software that can validate data accuracy before campaign deployment. This is particularly important in high-turnover markets like Vietnam, China, and Indonesia.
Data Appending
Fill information gaps using external sources to add depth and context to your database. LakeB2B, for example, specializes in Southeast Asian B2B data, maintaining local offices and staff in Malaysia, Singapore, and Dubai who understand regional markets.
Partner with Regional Data Providers
Work with data providers who focus specifically on Asian markets. These specialists often “employ more than 100 Business Discovery Agents, who carry out over 50,000 activities into data every week” to ensure accuracy.
Encourage Direct Updates
Make it easy for clients and contacts to update their own information, creating a self-maintaining aspect to your database.
Conclusion
B2B data decay presents a significant challenge across Asian markets, with rates varying considerably by country. The highest decay rates appear in Vietnam (24%), Indonesia (21-24%), and China (20-25% for skilled workers), while more developed economies like Japan show comparatively better data stability.
As one expert notes, “If 10 percent is the ideal turnover rate, which allows an organisation to remain stable and transformable with new people every 10 years, then obviously we can’t be at ease with the current 24%”. The financial implications are severe, with data mismanagement costing U.S. B2B companies $3.1 trillion in lost revenue annually.
To succeed in Asian markets, businesses must implement proactive, region-specific data management strategies that address the unique patterns of data decay in each country. Without such measures, the potential for misallocated resources, strained client relationships, and missed opportunities will continue to undermine B2B marketing effectiveness across the region.
About the author
Gautam Mane is a renowned B2B Data and marketing expert with over 20 years of experience. He is also the CEO and Founder of EmailAddress.ai.