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The true cost of poor data: Why retailers can’t afford to look the other way

Author
Amanda Spencer
Published
Thu 05 Jun 2025
Episode Link
https://podcast.the-future-of-commerce.com/episodes/how-bad-data-affects-customer-experience-in-retail-T_btTmbq

From missed sales and inefficient operations to frustrated customers and broken trust, poor data quality is costing retailers more than they realize. As customer expectations rise, even minor data issues can ripple across inventory, marketing, and fulfillment—hurting loyalty and damaging brand reputation.

Inspired by The true cost of poor data: Why retailers can’t afford to look the other way, this episode explores the hidden ways inaccurate data eats into margins, and how top retailers are responding by syncing systems, cleaning databases, and fostering a culture of data responsibility across departments.

What You’ll Learn in This Episode:

1. How Bad Data Undermines the Entire Retail Operation:

  • Mismatched inventory levels trigger stockouts or overstock
  • Marketing personalization fails due to inaccurate profiles
  • Delivery issues and incorrect stock info damage customer trust

2. Why Data Is Everyone’s Problem—Not Just IT’s:

  • 82% of leading retailers are actively addressing data quality issues
  • Data errors cause ripple effects across marketing, sales, logistics, and CX
  • Clean data requires collaboration across departments

3. Four Practical Steps to Fix Retail Data at the Source:

  • Audit and address data gaps across SKUs, customer info, and sales reports
  • Invest in analytics and AI to automate cleanup and insights
  • Integrate systems across online and physical channels
  • Foster a company-wide mindset that values data as a shared asset

4. The Upside: Turning Data Accuracy into Business Advantage:

  • Meet real-time shopper expectations on stock availability
  • Enable truly personalized marketing and loyalty strategies
  • Improve operational efficiency and free up resources for innovation

Key Takeaways:

  • Poor data quality is a direct profit drain and a hidden CX killer
  • It’s not just about IT—data accuracy is a shared responsibility
  • Top-performing retailers are already investing in fixes and reaping rewards
  • Clean, integrated data unlocks efficiency, loyalty, and growth
  • The longer businesses wait, the more the gap with leaders widens

Subscribe to our podcast for expert insights on retail data, customer experience, and digital transformation. Visit The Future of Commerce for the latest thinking on how data shapes modern retail. Share this episode with data leaders, marketers, and retail operators who need to hear why accuracy is now a competitive advantage.

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