Information is power, and everyone wants power. That is why companies are going all out to gather consumer data to help them run more effective marketing campaigns. But what happens when the data is scattered across the board and becomes hard to manage? A Customer Data Platform (CDP) is what you need.
Customer Data Platforms are software tools that help companies better understand their customers by providing them with wholesome information about each customer.
Smart businesses leverage insights from these software tools to build better relationships and grow sales. Say goodbye to data silos, as you step into the world of near-limitless opportunities that CDPs offer.
The more a business grows, the more difficult it becomes to manage data. Several teams are formed, and each team possesses data that isn’t readily available to others. This impacts the business negatively because the data gathered is more or less useless.
However, with Customer Data Platforms, all your data is in one place. You can integrate data from several sources like Salesforce, email and advertising platforms, Google Analytics 360, and point-of-sale software. This aggregation of information is vital in developing enriching business-customer relationships that promote loyalty.
Improve Customer Experience
Since a Customer Data Platform can gather peculiar information such as consumers’ browsing behavior and organize it in one place, it provides businesses with a complete 360-degree view of every customer.
This information is beneficial in showing companies which stage of the consumer buying process their customers are in, so they’ll know how to target them.
Also, the comprehensive information that supports service agents’ access through Customer Data Platforms helps them better handle customers’ complaints. This includes purchase history, shipping info, and any previously filed complaints. Excellent customer service is essential for optimal customer satisfaction.
When appropriately utilized, Customer Data Platforms help businesses achieve their primary aim of driving sales. Precise and timely targeting, thanks to seamless information sharing and high customer satisfaction rates, is a sure way to acquire new customers and retain old ones.
Understanding your customers’ needs and keeping them happy is vital if you want to grow your business. A 5% increase in customer retention can boost revenue by up to 95%. Information gleaned from CDPs can also expose fatal flaws in current marketing strategies.
Predict Buyer Behavior
By analyzing the data already available in Customer Data Platforms, it is not difficult to predict customer behavior. You can use the insight gained to refine your marketing campaigns to maximize ROI on every dollar spent.
After every campaign, you can equally study the results with a Customer Data Platform to see what you’re missing and how to fine-tune your strategy. Well-optimized marketing campaigns reduce costs and ensure that only customers ready to convert are targeted.
Discover New Audience Categories
Going through the information available on your CDP can help you discover new categories of customers to whom you haven’t been giving enough attention. This can guide you on business strategies to implement to rake in more sales.
You can further segment each new category based on gender, age, location, and purchase history. With smaller segments, targeting is more precise, and the likelihood of conversion increases significantly. The more data you gather, the more new customer categories you’re likely to discover.
Stay Ahead Of Competition
Staying afloat in business depends on how well you can adapt to changes and use emerging technologies. Ever since Customer Data Platform software became a thing in marketing, more and more businesses continue to adopt it.
This gives the businesses that have already done so an edge over those who are yet to. According to a report by Forbes, 93% of marketing executives agreed that decisions based on customer data gave them an edge.
Also, 53% believed that the transparency provided by Customer Data Platforms helped their teams stay in the loop about ever-changing customer preferences.
The benefits of investing in a reputable Customer Data Platform are as clear as day. We live in a world where consumer behavior constantly changes, and new trends emerge regularly.
A CDP will keep you updated with the relevant information you need to ensure steady growth in your business. Aside from the direct financial benefits that CDPs offer, they also help you stay compliant with privacy laws like the European GDPR law.
Having all your data scattered across different platforms is inefficient and increases the risk of a data breach. The goal of every business is to deliver quality services to their customers. CDP helps businesses achieve that goal.