Customer Engagement with CDP

Nov 16, 2021
4 min read

In today's day and age, there is an abundance of data that is used by organizations daily. Transactional data, demographic data, and almost endless quantities of behavioural data are all available to help you understand client behaviour and purchases. These client data give impressions that help organizations not only assess their market position but also improve their services and make their business more customer-centric. Customer interaction and engagement utilizing customer data platforms is the focus of this article.

What is a Customer Data Platform?

Customer Data Platforms, or CDPs, are software packages that build a permanent and unified customer database that can be accessed by other systems. It's a pre-built system that gathers client data from many sources and distributes it to other systems for marketing campaigns, customer care, and other customer experience efforts. A successful CDP should be simple to integrate with your existing data and provide quick access to the information it maintains.

Sometimes, people confuse CDP with CRMs or Customer Relationship Management systems. Despite their identical titles, they each serve a unique role that has a direct impact on the bottom line. CRMs are the most popular tool for managing marketing data among high-performing firms, with CDPs coming in second. Let us now learn the difference between CDP and CRM.

Customer Data Platforms vs. Customer Relationship Management Systems: ‌

The ultimate difference between the two is that CRMs organize and handle client-facing interactions with your staff, whereas CDPs collect data on consumer behavior with your product or service. A client's identity, history of interactions with the sales team, and support issues they've submitted may all be found in CRM data (among many other things). CDP data, on the other hand, may show you every single step a client has made since first contacting your firm, from how they found you to how they use your product. Customer-facing positions, which include employees who engage with customers and prospects, and non-customer-facing roles, which include those who have a direct influence on the customer's experience. Customer-facing positions use CRMs, whereas non-customer-facing ones use CDPs.

Top CDP Provider Companies:

Many companies provide platforms for businesses to get customer insights. These platforms act as a centralized hub, collecting data from a variety of sources and consolidating it into a single database. We've compiled a list of the top ten CDP providers:

CaliberMind:

CaliberMind is a smart platform that uses chain-based criteria to determine the true worth of each channel is contributing to your customers' journeys. It was created to manage a customer's profile throughout their whole life.

Tealium:

Tealium is well recognized for combining disparate pieces of data from disparate sources into a cohesive version. This enables businesses and organizations to gather, analyze, evaluate, and extract consumer data while maintaining the confidentiality of the customers' secret and personal information.

Insider:

Insider's platform helps digital marketers drive growth through the funnel, from acquiring a consumer to activating his account, keeping them engaged, and generating money. You may provide individualized customer experiences across a variety of channels, including mobile web, messaging, emails, site and ad media, and so on.

Exponea:

Exponea is a customer data platform that blends omnichannel campaign execution with powerful customer data analytics to provide an end-to-end customer data platform. It's been cleverly constructed to handle client acquisition, conversion, and retention all under one roof.

mParticle:

mParticle is a customer data platform startup that creates complete, healthy client profiles that synchronize and consolidate consumer data. It was created to improve customer engagement, increase loyalty and retention, and lower vendor costs.

Benefits of CDP:

Because it offers a true and uniform view of customer behaviour, transactions, and goods, a CDP aid organization in understanding their consumers. There are many benefits of customer data platforms, some of them are given below:

  1. CDP collects and combines all first, second, and third-party data in one location. This connection helps businesses to have a deeper understanding of their consumers and achieve their objective of becoming customer-centric.
  2. CDP gives businesses a holistic view of their customers, allowing them to better understand their journey, goods, and transactions. It aids the organization in gaining a better knowledge of customers and their behavior.
  3. CDPs, when utilized correctly, should lead to a company's ultimate goal: increased revenue. The organization may develop a holistic perspective of the client by integrating data from all sources. Higher conversion rates can be achieved as a consequence.
  4. Even though the customer data management platform does not do segmentation, it is a valuable resource. While analyzing all of the data, the organization may discover new audience categories such as online spenders, loyal consumers, or bargain shoppers.
  5. It enables your firm to make your contacts anonymous. Furthermore, because these duties may be completed with a single source, customer data management technologies allow data portability and data insight requirements.
  6. The cost of apps like SalesForce is partially determined by the data that is kept in them. Because the data is mostly stored in the customer data management platform rather than the app, you may be able to save money. A central perspective also saves analysts a lot of time when it comes to data collection and purification.
  7. Having all of your data in one location makes it easier to comply with GDPR and E-Privacy regulations. It enables your firm to make your contacts anonymous. Furthermore, because these duties may be completed with a single source, customer data management technologies allow data portability and data insight requirements.

EndNote:

Any business must know their customers inside out if they want to grow in their respective fields. Customer Data Platforms prove to be a great tool for companies in this case. These platforms act as a centralized hub, collecting data from a variety of sources and consolidating it into a single database. They're also cleverly built to engage with customers and build a profile of them. In this article, we have learned about CDPs, their difference with CRMs, CDP providers, and their benefits to businesses and companies.