Increase efficiency and effectiveness
If data is the new oil, then CDP is like a refinery and a supply chain all in one, getting the data ready to use and getting it where it needs to go.
Unification of siloed data and more efficient data management
Customer data is typically spread across a vast amount of tools and systems that don’t communicate with each other. With legacy tools and systems, teams spend their time hunting data (or waiting for others to collect it) rather than examining and pulling impactful insights from it. By combining data from various tools and systems, a CDP creates a unified database of your customers — a single source of truth that all systems draw from to power analytics, personalization in marketing and service, and financial forecasting, among other initiatives.
Cost savings and improved performance with marketing communications
Better knowledge of the customer base allows for more precise targeting, which lets marketers hone in on their intended audience and only spend money on ads and offers that are more likely to be successful. And once they identify the right audience, they can draw from rich data to better personalize ads and experiences, yielding a better return on marketing spend.
Amplify existing technology investments
Brands today already have investments in an array of technology to power their business. A key part of a CDP’s success lies in its ability to integrate and work smoothly with any existing tech tools. By feeding downstream tools with the most accurate and up-to-date customer profiles, brands can dramatically increase performance.
For example, a good CDP will help brands power up personalization tools like Braze and Persado to formulate and deliver the best messages to the right customers, or feed Business Intelligence tools like Tableau and Looker with more accurate customer profiles, resulting in better information. It can also hydrate big marketing clouds like Salesforce, Adobe, or Oracle with more reliable profiles so that you have solid data going in and solid results coming out. A fully flexible and interoperable CDP lets brands keep going with what they’ve got and not interrupt any existing workflows while improving the impact of these tools.
An engine for customer-centricity
The right CDP will place customers at the center of your business, allowing you to set strategies and tactics based on customer behavior and speak to customers like the individuals they are. When done right, the outcome is happy, loyal customers and an advantage over your competitors.
And on the way to increasing revenues by cultivating faithful customers, a good CDP also cuts down on current costs around data management and marketing and protects the tech investments you already have. Not a bad deal at all.
Interested in learning more about what a CDP might look like in action? Check out our guide to using customer data across the enterprise.