Seven Signs You Should Build a Customer Data Platform (CDP)

Companies and marketers often face challenges in understanding their customers, leading to ineffective marketing experiences. Without a clear picture of their client base, some businesses market products to customers who already have those products or have no interest in them. This can be caused by fragmented data sources and the inability to utilize them effectively. So, how does one create an integrated view of their visitors and customers?

This is where a Customer Data Platform steps in. A CDP gives marketers a unified view of their customers, with real-time interactions and data stitched in from multiple databases.  This enables the business to compile readable customer profiles to study, analyze, and guide marketing strategies.

The best thing about a CDP is its ability to plug into other systems, allowing marketers to access and use it for further use. How do you determine whether your brand can benefit from a CDP? Here are some helpful criteria.

Incomplete or Limited View of Customers

Every smart business generates and collates data through multiple channels, such as websites, call centers, email, and social channels, to name a few. All this raw data amounts to vast volumes of records spread across different systems. If assembled and presented correctly, this data is a veritable gold mine of information on consumer behavior for marketers. A CDP automates this difficult process, eliminates inaccuracies and duplicates, and seamlessly merges, cleans, matches and combines data to form a comprehensive single source in real time that can be consumed by marketers to maximize sales opportunities.

A CDP provides a single, accurate and 360° view of your customers by easily stitching together different customer data sources on web, social, POS systems, mobile wallet apps, customer interactions, web ordering systems, SKU tracking, and in-app ordering to create a single customer profile—updated in real time. The data is accessible and actionable to any system, allowing you to drive innovation with the latest datasets.

Online Advertising Doesn't Meet Expected ROI

If your online advertising isn't providing the right results, there's a high probability that you're reaching out to the wrong audience or advertising to them at the wrong time. By implementing the CDP and integrating it with your advertising platforms, you can significantly increase the effectiveness of online advertising through very pointed re-targeting in real time.

Sifting Through Customer Data is Daunting

Marketers often face the challenge of cleaning and sifting through large amounts of data—a tedious and formidable process. A CDP allows the unification of data from different sources and automates this task, thereby reducing the need for data cleaning and prep. Now, you can segment, assess, manage, and generate reports with ease.

Campaigns and Communications are not Behavior-Based

Are you unable to trigger campaigns to individual customers based on historical, locational, and behavioral data? Are you facing difficulties in tracking customer behavior across all channels and providing intelligent recommendations based on customer-journey triggers? If you answered yes to both, then a CDP is the solution for you. It allows you to set up targeted campaigns that focus on under performing areas and enticing the right customers.

Failing to Track Consumer Behavior

Several marketers admit that they do not have any analytics in place online or on their provided apps and services. If you are among those, you need to start tracking your consumer's online behavior and usage now to successfully predict their behavior! With access to multiple Internet-accessible devices, being online has become an integral part of our lives and marketers need to keep pace with where their consumers are. A CDP efficiently enables observing and listening to your customers and their needs online in real time. Customers are very vocal and expressive on the web and this information can be accurately interpreted to swiftly serve them relevant content that is more likely to pique their interest.

Missing Real-Time Website Personalization

Wouldn't you want to know if a potential customer arrived on your website? Wouldn't you want to alter the customer experience accordingly? To offer this level of one-to-one personalization, you need real-time information about your visitors. Customization is the key to successful interaction, and this is exactly what you can work towards when you choose to adopt a CDP.

Omni-Channel Marketing Strategy is too Complex

Data that is integrated from a number of sources needs to be streamlined into channels that can be easily consumed by marketers. A CDP integrates data across channels and funnels it into a central location, allowing you a single point of data control and visibility to make better decisions about offering relevant interactions to your customers.

Customer data platforms

A Brighter Future With CDP

A Customer Data Platform orchestrates relevant engagements and streamlines all elements across web, email, mobile and social for a seamless and profitable experience for all involved. By building the right CDP, you're not only able to personalize the experience, but can also reduce the cost of advertising.

The Customer Data Platform has the potential to transform the marketing industry and customer engagement.
Want to learn how other organizations are building their CDP? Reach out to us at cdp@elementsolutions.com

Author: Venu Gooty | February 27, 2018