Integrating a customer data platform into your company operations can improve business performance and drive faster growth. There are a few things to know before investing in CDP, namely, what it is, how it helps businesses, and which options are available. A CDP- customer data platform is a system that compiles data derived from various sources to create a unified customer database. This database is accessible to other systems and also provides comprehensive data-based marketing insights. Therefore, it is an attractive concept for marketers. Before investing in CDP, brands would rely on other data systems which did not give as much control over the marketing database.
Customer data platforms can answer questions that help brands optimize their marketing approach and sale pitch. This is because they have the potential to provide a single customer view. Your specific uses will determine the CDP capabilities you need to implement. This will in turn, help you pick a platform that is suitable for your business or brand.
Six Things to Know Before Investing In CDP- customer data platform
Before investing in CDP, you must consider various aspects such as budget, features, user-friendliness, and more. You can do this by asking questions about the CDP platform you are interested in. But, how can you determine if a platform is the right one for you?
Here are a few basic things to know before investing in CDP.
1. How is a CDP- customer data platform Different from CRM?
A customer relationship management system is not built to process large amounts of data. Its sole purpose is to engage with customers and create a profile. A customer data platform gives you a comprehensive, real-time understanding of your customers. It can connect transactional and order data, profile data, product data, behavioral, web, and mobile data, as well as CRM data.
2. How Can CDP- customer data platform Help Your Business or Company?
Understanding the purpose of a CDP is important before you invest in one. Once you know how it can help you, you’ll be firmer in your decision to invest in one. A customer data platform has the ability to add and change its data sources and act as a central repository. This means, marketers can easily connect the data to create a 360-degree customer profile. Major brands take advantage of this to produce smarter campaigns.
3. Does It Have Machine Learning and AI Technology?
Consumer data is unlimited and constantly expanding. An integrated AI system in your CDP can provide you insights about your customers. This entails how many customers will convert, what their purchasing behavior is, and their spending patterns.
4. Does It Allow Audience Engagement Across Various Channels?
New channels are constantly coming online, and marketers use multiple channels to engage with buyers. The CDP you invest in should be able to support audient activation over all your channels. It is necessary for a customer data platform to share updated campaign audience data.
5. Can It Store Data Indefinitely using CDP- customer data platform ?
Before investing in CDP, you need to know whether it can store your data for a long period of time. Marketers can use full customer behavior histories for accurate segmentation. The more extensive your database, the more reliable information you have to base you marketing and sales pitch on.
6. How Well Does It Save and Update First-Party Data?
Accurate segmentation and conversion optimization also requires a high data quality. Inaccuracies or missing data in contact details or accounts can affect your customer relations and targeting. Therefore, your CDP should be capable of improving and updating your first-party data effectively.
Now that you are aware of some of the most important things to know before investing in CDP, we can talk about some of the best options out there.
The Best CDP- Customer Data Platform and Tools
Of all the things to know before investing in CDP, you should do thorough research into the options that are available to you. Before investing in CDP, identify which features you need to incorporate into your business model. This will help you select the right CDP platform moving forwards.
Some of the most commonly used platforms and tools are listed below for your convenience.
Emarsys comprises of a customer data platform that aligns your marketing challenges with strategies and AI technology to deliver the profitable results. It also gives your customers a highly personalized omnichannel experience. In addition to dozen features and add-ons, it has fully integrated multichannel campaign management, segmentation, personalization, and analytics dashboards.
Segment is a CDP- customer data platform that makes real-time decisions to accelerate growth and personalize customer experience. Your team can access reliable and organized first-party data to connect with businesses. Moreover, Segment have numerous marketing, analytic, and data warehousing tools that can support your business model. Large organizations like Levi’s and Fox, along with fast-growing companies such as Bonobos use Segment.
Leading brands, i.e., Staples, Penn National, and more, use Optimove to make the most of customer loyalty and retention. It creates and manages customer-led journeys on a large scale. Moreover, Optimove is referred to as the leading Relationship Marketing Hub. It accurately measures the incremental impact of any marketing strategies or interactions use. This creates valuable customer engagement opportunities.
Over a 1000 brands and retailers work with Listrak to increase engage and produce revenue through different strategies and methods. This includes practical solutions like leading-edge email and SMS, and more complex behavioral marketing solutions. Their Net Promoter Score focuses on driving results. Hence, Listrak provides a long-term partnership where experts help retailers execute growth strategies to meet their goals. It currently leads in the cross-channel marketing industry.
As an end-to-end CDP- customer data platform, Exponea combines omni-channel campaign execution with advanced customer data analytics. Exponea uses appropriate and consistent communication to create pleasant customer experiences. Therefore, E-commerce businesses use it to convert visitors and build long-term relationships with them. Machine learning technology allows it to self-optimize marketing strategies and maximize profits.
Enterprises such as Starbucks, Lacoste, Victoria’s Secret, and other international brands use SALESmanago. It’s AI hyperpersonalization and advanced analytics features make it a desirable platform. Moreover, it allows you to configure customer experiences across various marketing execution channels. This no-code, AI driven platform uses first-party and zero-party data to provide a combined CDP and customer experience platform (CDPX).
Before investing in CDP, it is best to analyze your business needs and customer base. Selecting a CDP that offers you the features and quality of experience you desire can drastically improve your customer experience. Customer data platforms can give you organized data and powerful insights. Therefore, successful businesses believe it to be worthwhile to invest in them.