marketingtechoutlook

Choosing the Right Customer Data Platform

By Marketing Tech Outlook | Tuesday, September 24, 2019

The incorporation of customer data platforms has enabled organizations to better understand their consumers and enhance their experiences.

FREMONT, CA: In this age of digitalization, data-driven marketing strategies are essential for business organizations to maintain a competitive edge in the market. The incorporation of robust customer data platforms (CDPs) has enabled them to bolster their capabilities in meeting the needs of their customers. CDP enables organizations to consolidate the customer data gathered from various marketing channels and analyze it. It facilitates a robust interface for activating customer data and enabling personalization across multiple channels. It also offers a unified customer database which can be easily accessed by other systems.

CDP empowers organizations to gather data from multiple channels, including CRM, customer service software, company website, and social media profiles, and analyze it to achieve a better understanding of their customers. The insights from the CDPs can drive targeting, personalization, and marketing capabilities of the business organizations.

The challenge lies in choosing the right CDP. However, organizations can select a solution most suitable for them by assessing the platforms for the following core capabilities:

Consolidation and Storage

A robust CDP facilitates a centralized repository for gathering and storing individual customer data from multiple channels, including structured and unstructured data. The customer information can include identification data such as names, emails, demographic data, and behavioral interactions with the company.

Unification and Processing

Organizations can seamlessly consolidate profile information from various devices and customer records. It should be able to remove duplicates and aggregate the different data points such as first-party data, information systems, data hubs, and marketing interactions into unified customer profiles. A robust CDP can ensure the accuracy and compliance of the data by establishing data standards across the business processes. Organizations can leverage infrastructure-focused CDPs to achieve precise and centralized single customer view, which can be leveraged for decision making and marketing strategies.

Segmentation and Analytics

The CDP should be able to segment the data based on different customer pools and conduct an accurate analysis of the data. Along with collecting and storing data into consumable formats, several CDPs leverage predictive analytics and machine learning capabilities to draw insights from the data. A right CDP can facilitate an intuitive user interface for the marketing executives to seamlessly access customer insights.

Coherence and Optimization

Once the data is collected and the insights are generated, the CDPs should be able to optimize the insights before they can be used to drive customer engagement and loyalty. By eliminating data silos, CDPs can facilitate marketers with actionable insights. CDPs with data orchestration capabilities offer enhanced customer segmentation and prioritization capabilities for customer campaigns.  They can accommodate pre-scheduled and real-time campaigns, leveraging the capabilities of artificial intelligence (AI) models to optimize the results.

Action and Personalization

The CDPs should be able to provide robust personalization capabilities by accommodating the integration of third-party services, including personalized mailing and messaging. It will enable marketing organizations to offer data-driven personalized experiences to the customers. Access to accurate insights will allow marketers to promote enhanced personalization through the creation of smart segments. The CDPs should also be able to send instructions to executions tools such as email marketing campaign system, mobile messaging system, and so on.

However, organizations must also focus on why they need CDP. By identifying their most pressing business needs, they can choose the best solution for their business. Defining and prioritizing specific use cases will help organizations in successfully deploying a CDP. 

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