The hidden costs of bad data

The hidden costs of bad data

Nobody likes bad data, and presumably we're all working tirelessly to minimize it. After all, bad data has a price.

Some obvious "costs" of bad data include poor deliverability of email/snail mail, inability to target market/message, inability to analyze data effectively, and potential reputational embarrassment.

But there are also many indirect costs for bad data. One example of this is querying and report-writing. When data is bad, writing queries or reports that are accurate and usable can become very time-consuming, as staff (or a paid contractor) has to make extra efforts to filter out bad data. Every time a report has to be refined to address bad data is an increase of direct or indirect costs to the organization.

Another example is loss of trust in the data itself, by staff and, potentially, by the board and members. The more bad data that consumers of the data see, the less likely they are to trust data they see in the future. And of course, this can lead to the cycle of doom.

The cost of bad data is high, especially when you consider indirect costs. Are you doing everything you can to keep your data clean?

(Hat tip to Mike Frye for this idea.)

Wes's Wednesday Wisdom Archives

Perfection is expensive (in fact, it’s not possible!)

April 22, 2026

Perfection is expensive (in fact, it’s not possible!) “Perfection is expensive. The last 5 percent […]

AI is a journey, not a destination

April 15, 2026

AI is a journey, not a destination Lately I’ve noticed a lot of associations talking […]

Action produces information

April 8, 2026

Action produces information “Action produces information. If you’re unsure of what to do, just do […]

Why a single source of truth is so beneficial…

March 25, 2026

Why a single source of truth is so beneficial… The holy grail of data management is […]

Just because you can, doesn’t mean you should

March 18, 2026

Just because you can, doesn’t mean you should I’ve worked in and with associations for well […]

Data doesn’t need to be perfect to be useful

March 4, 2026

Data doesn’t need to be perfect to be useful “Your data doesn’t have to be […]

Don’t just clean data, clean reports and queries

February 25, 2026

Don’t just clean data, clean reports and queries One of the reasons I exhort my […]

Don’t forget, your staff have day jobs…

February 18, 2026

Don’t forget, your staff have day jobs… The vast majority of my work is finite […]

Beware the automated “How did we do?” trap!

February 11, 2026

Beware the automated “How did we do?” trap! One of the downsides of technology is […]

Hindsight is 20/20

February 4, 2026

Hindsight is 20/20 I’m currently working with a client that is moving from their legacy […]

Leave a Comment

Your email address will not be published. Required fields are marked *

Scroll to Top