Saturday, October 31, 2020

A Customer Data Platform Can Catalyze An Exceptional CX

Liz Alton
September 25, 2020

2 minute read

A customer data platform (CDP) could be your secret weapon to creating a more engaging customer experience (CX).

New research from Forrester suggests that brands serious about customer data and personalization should consider CDP software. But what is a CDP? A CDP is an underlying marketing and customer experience platform that aggregates and organizes customer data from across multiple customer experience touch points into a single customer profile. That profile can then be used by other software programs, apps, and digital experiences within your business to deliver deeper personalization.

Read on to learn about how CDPs can improve your own CX strategies.

CDP software influences CX

CDPs are adopted primarily to improve the customer experience, report 75% of executives in the Forrester study. Executives report a variety of reasons for adopting them, such as:

  • Increasing prospect engagement.
  • Increasing customer conversions.
  • Meeting customers’ demand for personalized experiences.

These types of insights can help you quickly answer questions like: What interactions has a customer already had with your brand? What do you know about their demographics or interests? How can these insights inform the context of future interactions?

CDP software powers CX

What’s a customer experience that isn’t properly based on data? Imagine this: A customer visits a website and searches for a product. The results are based on keyword searches, and finding the right product is hit or miss. If the consumer needs customer support, the agent they’re interacting with knows nothing about them, their history with the company, or even why they might be getting in touch. That’s frustrating on both ends.

When your CX solutions are built on a CDP foundation, data from previous interactions informs every customer touch point. A customer browsing on their phone for a potential purchase may see their recent browsing history on their laptop when they complete the transaction, offering a seamless cross-channel interaction.

If something goes wrong and they need customer support, the agent they’re interacting with has context from their profile and can provide personalized greetings and targeted support from the beginning.

Customer data maturity matters

Establishing a CDP is a great first step, and many organizations find that its value compounds over time. Forrester reports that organizations with mature customer profiles—meaning they incorporate more data sources and have been collecting information for a longer period of time—lead to better business outcomes. Firms with mature customer data profiles are 7.9x more likely to increase revenue by more than 10% using a CDP.

As customer data platforms gather better information and have more raw data for their machine learning tools to work with, you’re able to deliver an even sharper personalized customer experience.

Curious to learn more about how CDPs can improve your CX strategy and deliver a better customer experience? Check out the webcast, “Building a Customer Data Strategy That Lasts.”

Liz Alton
Liz Alton
Liz Alton is a writer and content strategist specializing in B2B technology, digital marketing, and the customer experience. Her clients include creative agencies, Fortune 500 brands, and venture-backed startups. by Oracle is the destination for professionals who are building the next generation of customer experience. Here, you can find breaking news, in-depth analyses, expert insights, and useful tools that will empower you to think and work progressively.