Understanding The Functionality of CDPs
retailciooutlook

Understanding The Functionality of CDPs

By Retail CIO Outlook | Tuesday, April 09, 2019

Customer Data PlatformsBusinesses today are awash in data than ever before. This data is stored in silos, making it very difficult for organizations to provide consistent customer experience across various channels and consumer devices. Customer Data Platforms (CDPs) creates a persistent, unified customer database that is accessible for marketing campaigns, customer service and all customer experience initiatives to other systems. CDPs are the right starts and are here to stay.

CDPs serve as the hub of companies' customer experience efforts, collecting and bringing together all from all the ways people interact with the company—through email, social media, advertising, CRM, loyalty programs, in-store visits, the Internet of Things (IoT) and more. This gives insights on customer’s behavior and helps understand their motivations, likes/dislikes, and tendencies. A single view of the customer can move with your business and customers to wherever it needs to be. Such a deep understanding of customers can enable real-time delivery of consistent messaging and experiences to an organization's customers across all channels. Marketers are provided with an ability to precisely target buyers and personalize their experiences to improve conversion and acquisition.

With informed knowledge of each customer across many channels, comes the opportunity for the organization to build a lasting relationship with its customers, improve trust and in turn, enhance retention rates. When business is well versed with the market dynamics and customer experience it attains a vertical growth. CDPs optimize customer data with maintained turnkey integrations saving hours of integration work. It also democratizes access and the ability to leverage customer data across organizational departments and customer touch points.

CDPs are complex projects and operations that require buy-in and close collaboration across your entire organization. Proper planning and solid best practices can head off any potential challenge during installation and services.

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