Digital Asset Management (DAM) can perform a pivotal role in an organization's digital strategy, enabling it to store, organize, and distribute digital assets like images, videos, and documents. Yet, many organizations hesitate to invest in a DAM program, often citing cost as a primary concern.
While the initial expense may seem daunting, the true cost of inaction can be even more substantial. In this article, we'll explore the costs of postponing DAM implementation and discuss why it's crucial to invest in a DAM program sooner rather than later.
The Cost of Inefficient Workflows
Without a DAM program in place, employees are compelled to invest valuable time in searching for digital assets across multiple platforms and systems. This inefficiency can result in workflow bottlenecks, missed deadlines, and, ultimately, revenue loss.
According to studies conducted by IDC, some workers spend anywhere from 8-12 hours per week searching for information. In other research, IDC found that less than 20% of a worker’s time is spent using the data they searched for, while the other 80% went towards looking for, organizing, and governing that data.
Acknowledging that no survey response is perfect, let’s use some of these statistics to quantify some of the costs of not investing in a DAM program. Using the low end of the range provided by the IDC research, let’s suppose each digital marketing team member spends about 8 hours per week searching for and organizing the perfect assets to use or reference in their campaigns. This means that if you have a two-person digital marketing team and they each make $25 per hour, we have the following variables:
- 8 hours/week searching for assets/team member
- 2 members of the team
- $25 earned/per hour by each team member
This amounts to an internal cost of $400 per week for searching for and organizing digital marketing assets. Over an entire year, that’s a total cost of $20,000 for your organization. Although these numbers may not be entirely accurate, they demonstrate how quickly the cost of inefficiencies can explode.
Investing in a DAM program streamlines workflows, reduces search times, and boosts overall productivity, decreasing this cost and freeing your team to spend more time putting assets to work for your organization.
The Cost of Inconsistent Branding
Inconsistent branding can pose a substantial challenge for organizations, especially those with multiple departments or locations. Without a centralized DAM program, it becomes easy for employees to inadvertently use outdated or incorrect branding materials, resulting in confusion and a lack of brand consistency.
For organizations reliant on their brand reputation to attract and retain customers, this can be particularly detrimental. Investing in a DAM program ensures all employees have access to the latest branding materials, mitigating the risk of inconsistencies and preserving a strong brand image. This builds long-term brand loyalty and makes your brand feel more authentic to consumers who are overwhelmed by daily advertisements.
The Cost of Security Risk
Digital assets hold significant value and require stringent protection. Without a DAM program in place, organizations are vulnerable to security risks. These risks include external threats like data breaches, theft, or leaks of sensitive information. They also include legal action for the misuse of a licensed asset, copyright infringement, or breach of contract with specific partners or talent.
Many DAM platforms offer features like secure storage, access controls, user and asset permissions, and audit trails, reducing the risk of security breaches and safeguarding valuable assets. They can also provide your team with peace of mind by allowing them to document usage permissions clearly, automatically archive out-of-date or expired assets, and allow users to access only the assets they need for their specific role.
Investing in DAM
As we’ve seen, the costs of not investing in a DAM program can be substantial. Inefficient workflows, inconsistent branding, and security breaches can all result in revenue loss and harm to an organization’s reputation. On the other hand, by investing in a DAM program, organizations can optimize their workflows, maintain brand consistency, and protect their valuable assets.
At Stacks, we recognize the importance of a robust DAM program. Our team of experts can assist you in building and implementing a DAM program that aligns with your organization’s unique needs. Don't delay any further! Get in touch with us today to explore how we can help you streamline your workflows, maintain brand consistency, and safeguard your valuable assets.