Recency bias is a cognitive bias where individuals place greater importance on recent events over historical ones, often leading to skewed decision-making. In CRM and marketing, this bias can impact how businesses evaluate customer behavior, leading to over-prioritizing recent interactions while neglecting long-term patterns. Understanding recency bias helps companies to create balanced customer insights by integrating historical data with real-time analytics. By mitigating this bias, companies can improve forecasting, refine lead-scoring models, and develop well-rounded engagement strategies. Overcoming recency bias ensures more accurate data-driven decisions and long-term customer relationship management.