Data is at the heart of any business. It is the company's best asset and should therefore be collected at every point where there is interaction with customers. However, when businesses consider collecting data they should first think about what they want, why they want it and where they can get it from. Sounds obvious doesn't it? The trouble is that many businesses store data 'just in case'. They are consequently in danger of creating a database that is of little use to them and which drains resources trying to keep it up to date.

1. Set objectives

Before attempting to capture data, businesses need to ask some pragmatic questions about what is achievable. Any data capture must be proportionate to the businesses' relationship with the customer. It's a sliding scale. Businesses should, of course, collect the information they need to market to prospects but they shouldn't try to collect in-depth information until they know whether prospects are going to become customers.

2. Get data right from the start

Once a new customer is on board then more information can be collected. A good tactic is to optimise the 'welcome programme', for example asking people to provide details about the products and services they're interested in when they register on a website.

3. Capture the right data

Websites are an effective means of capturing specific data, but also offers a word of caution. Care should be taken not to annoy people by making questions compulsory. Few things irritate web users more than having to hand over information just to view a web page.

More detailed data should be recorded about high value customers than for customers with whom the business has fewer dealings. Time is also a factor and companies should question how long it is reasonable to expect a customer to spend providing the business with data. Businesses need to collect different information for different purposes at different levels, so must look at their requirements holistically. Often that can be very hard for a business to do internally.

Once they get beyond contact information, different businesses naturally need different data, but there are common requirements. Once marketers know their customers' profile they need to know when they are likely to purchase, which of the firm's products are likely to be appropriate for them and the customer's preferred means of communication.

It's very useful to learn how the customer heard about the firm, partly to check on the efficacy of your own marketing and partly to see who's recommending your business.

4. Use technology where appropriate

Some data capture, particularly factual data, can be automated with the customer effectively filling in a form. Human contact is important when collecting information about the customer's relationship with the company, why they like or dislike the product or service and how the business can serve their needs. A greater degree of depth can be gained through manual data capture – client reactions, intonations, nuances, etc. It is not possible to automate intelligent interactions.

Technology can help collect information from a phone conversation. For example, voice recording software uses a speech analytic engine to capture audio data which can then be categorised as part of the wider database. Once such data is collected at the various touch points, it's the job of the data house to rank it and dovetail it into the database in a useable form.

5. Capture lifestyle data

Businesses often find it useful to capture lifestyle data – the sort of information used in the B2C arena – for two specific reasons. Firstly, in larger organisations the more marketers can understand about individual contacts the more they are able to tailor their marketing to suit. Secondly, many small businesses are managed by their owners, so understanding the owner becomes critical to successful marketing. Collecting consumer-type information can be done direct from the individual where it is relevant and will enhance the business relationship. It can then be enhanced from a third-party data source.

6. Get staff to do it

Once businesses have decided what data they need and why, they have to motivate their staff to collect it. The most powerful motivation of all is that staff understand why the data they are capturing is important and how it will benefit them directly. As well as being educated about the importance of the data they are capturing, staff remuneration and recognition packages need to reflect success and accuracy in data capture.

Subtle encouragement can be used too. For example, sales reps – notoriously dreadful at sharing customer information – could be encouraged to pass data on if, when they did so, they were directly helped in their job. They could for example be sent a list of likely prospects who match that customer's profile, or assured that their VIP contact would be invited to a prestigious marketing event. The 'carrot' of help with their work should be combined with the 'stick' of making such data capture part of the terms and conditions of the job.

Data should be collected at all touch points by any member of staff who has communication with the customers. However, different members of staff will collect different information, and people should not be expected to collect data which can be done more easily and efficiently elsewhere; they won't do it well and will find the exercise de-motivating. Emphasis should be on accuracy and capture made as easy as possible for both staff and contact. Technology can help with speed and efficiency and also with standardisation. Problems with data capture usually arise from bad training, poor understanding or lack of knowledge, particularly if a function is outsourced.

7. Use the channel

Capturing data at all touch points includes collecting it from channel partners, resellers and distributors. Businesses must know who has bought their brand in order to accurately plan future business activity, but resellers are understandably nervous of parting with the information as they feel it weakens their ownership of the customer. Co-operation can be encouraged by strict non-disclosure agreements, incentive packages and by being honest about what will happen to the data which partners release. Partner information is also essential to prevent a business accidentally targeting its partner's customers and both looking foolish in front of the customer.

Resellers can be encouraged to share data in very much the same way that staff can be encouraged to capture it: by emphasising what's in it for them. Businesses can offer to include resellers in marketing campaigns, send a mailing on their behalf, and co-operate in marketing events such as fairs and road shows. Equally the end customer can be prompted to contact the business directly through such communications as warranty registration; registering details on a website can be encouraged by offering price reductions on their next purchase through the reseller, for example.

8. Make customers see the importance of data

Some business decision-makers are reluctant to provide information about themselves and their business; again they need to be shown the benefits of doing so. No-one likes answering questions which seem irrelevant and nosey and which might result in unwelcome spam.

Business decision makers need to be tempted with information that would be valuable to them, such as market reports, newsletters and partner deals.

If business contacts can see the benefits of disclosing information, either to themselves personally, their function or their business as a whole – and preferably to all three – they will do so.

Information en mass has no value, but appropriate information can be priceless. It's critical that businesses know exactly what information they need. Never, ever collect data merely for the sake of collecting data.

By Richard Lloyd, general manager, Infogroup/UK

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