For years, the phrase "data is the new currency" has been thrown around, but today, it holds more truth than ever. Businesses that truly understand, manage, and leverage their own data have a distinct competitive advantage. Yet, many business owners still struggle to grasp what data actually means for them.

Consider These Quotes Over the Last Two Decades:

In 2006, Clive Humby, British mathematician and entrepreneur coined the phrase,

“Data is the new oil”, drawing analogies with the revolution that oil produced for industry and how data shares many of the challenges in the process of refining, building by-products and distilling data to make it useful to drive business innovation.

In 2015, Natarajan Chandrasekaran, Chairman of Tata Sons wrote this on the World Economic Forum:

In this new digital world, expectations are increasing. Today, customers demand personalized, reliable and durable products and services, at the time and in the place they want them. And thanks to the large amount of data being made available by the billions of connected devices out there, it’s easier than ever before for businesses to meet these expectations. It’s because of these developments that I believe data is the new currency.

In 2017, Jim Barbaresso, who leads Intelligent Transportation Systems at HTNB(American infrastructure design firm, founded in 1914). was quoted as saying, 

"Data is the currency of the digital age." Vehicle data could be the beginning of a modern day gold rush." The gold rush analogy is a common one, made by everyone from Barbaresso to the CEO of Daimler. Here's why there's so much potential: Cars increasingly have sensors and cameras to track their performance and their surroundings. Vehicle sensors, for example, can better tell when an engine part is in need of replacement. A back-up camera doesn't just help us park, it can tell how many pedestrians or vehicles are on a block. These sensors generate data, which can be analyzed to make money.

When we mention data, it's easy to assume we're talking about financial reports, balance sheets, and revenue figures. While those numbers are certainly data, they only scratch the surface. In reality, data encompasses every interaction, inquiry, and transaction related to your customers—their names, contact details, buying habits, service history, and even their expressed interests. Every phone call, website visit, or in-store inquiry is a data point.

The real question is: Are you capturing and utilizing it effectively?

The Power of Data in Marketing & Sales

Imagine running marketing campaigns that only target people who have already shown interest in your product or service. That’s the power of first-party data—leveraging what you already know about your audience to create highly effective, privacy-compliant marketing campaigns. This isn’t cold-calling random numbers; it’s reaching people who have already signaled they are interested.

When businesses collect even basic data—such as a phone number from a caller—they can:

• Retarget potential customers with relevant offers.

• Follow up with personalized messages.

• Improve marketing ROI by focusing ad spend on real prospects.

The more structured and intentional your data strategy is, the more valuable it becomes.

Now you can see why I believe that data is the new currency. But what are the obstacles preventing companies from fully leveraging this new currency? Many of these challenges are self-imposed, stemming from outdated practices, a lack of strategic focus, or resistance to change.

The good news? These obstacles are entirely within your control. By identifying and addressing them, businesses can unlock the true potential of their data, transforming it into a powerful tool for growth and competitive advantage. Let’s explore three of the biggest challenges standing in the way.

1. The Disconnect in Data Management

If you want to know how important data is to a business, sit down with the owner and management team and ask,

"How many in this room would consider themselves proficient with their CRM?"

If you hear responses like:

• "That is used by the sales staff."

• "Jane handles that."

• "We need another training session with the CRM company."

Then you can be assured they don’t truly understand the power of data.

And because of that, many businesses struggle with data silos—where different teams use separate systems that don’t communicate. Sales may use one CRM for prospecting, while customer service uses another database for existing clients. This creates inefficiencies and lost opportunities.

A well-structured Customer Relationship Management (CRM) system should bridge these gaps. Unfortunately, many businesses misuse their CRMs. Instead of being a powerful tool for tracking and engaging customers, it often becomes a policing mechanism—a place where salespeople get reprimanded for missing entries rather than a tool that helps them close more deals.

A CRM should be more than just a data storage tool—it should be a data activation tool. It should help businesses understand patterns, improve customer experiences, and drive sales.

2. The Missed Opportunity of Uncaptured Data

One of the biggest mistakes businesses make is failing to collect or manage customer and prospect data properly. Consider this:

• A potential customer calls to ask about a product but doesn't buy today.

• A website visitor clicks on a service page but doesn’t submit a form.

• A past customer has purchased before but hasn’t been back in months.

If this information isn't captured, organized, and used strategically, it's a wasted opportunity. Some business owners might say, "Well, if they’re interested, they’ll come back." That may be true, but in today’s fast-moving world, consumers are bombarded with choices. If you don’t actively engage them, someone else will.

Strategic, privacy-compliant advertising—targeted to those who have shown interest—keeps businesses in their awareness and on their consideration list. But the only way this can be achieved is if data is captured.

A CRM is a Gold Mining Tool. It captures data from currently active customers and prospects while also housing information on former prospects and inactive customers. If used properly, it constantly gathers new data and increases its value moment to moment.

3. Accountability vs. Data Policing

Another obstacle to effective CRM adoption is how leadership enforces it’s use. Too often, managers use CRMs as compliance tools rather than strategic assets.

For example:

A sales manager requires reps make and log 10 outbound sales calls per week. Without examining the calls and the details entered and using this review as a coaching opportunity, this manager looks at the number and uses it to punish those who fall short. This leads to an unwanted reaction from the sales staff. Due to their fearing consequences, they enter false or low-value data to meet quotas.

This defeats the purpose. Instead of pushing arbitrary numbers, leaders should use CRM data to help sales teams improve. Data should guide strategy, training, and support, not just act as a checklist for managers.

The first area that leaders must embrace, is when sales teams understand why data matters—how it helps them convert more leads, close more deals, and hit their goals—they are far more likely to engage with it honestly and consistently. Second, everyone must understand that CRM use and collecting data is a requirement and a condition of employment.

Accountability is crucial in business. Whether it's being accountable to what you are responsible for or leaders holding people accountable for what they are supposed to do, this is something that is lacking today. CRM use and data collection are among the most impacted areas by a lack of accountability. This failure is costing businesses millions and putting them at a disadvantage. When I speak to owners and managers looking to improve their business, one of the first areas I examine is their CRM usage. Why? Because CRMs require significant investment and are often underutilized—yet when mastered, they become gold mines of opportunity.

The Bottom Line: Own Your Data, Use It Wisely

In today’s business world, data is not optional—it’s essential. Whether you're in automotive, financial services, retail, or any industry, the way you capture, protect, and utilize your data determines your success.

• Are you collecting the right data?

• Are your systems working together?

• Are you using data to engage customers, not just to manage employees?

Companies that take control of their data don’t just stay competitive—they thrive. Those that ignore it? They risk getting left behind.

Now is the time to start thinking about data not as an obligation, but as an opportunity.

Expect to Win!

#xp2win