CDP Functional Overview

Customer Data Platforms Overview

Introduction

Customer Data Platforms(CDP) have recently received a lot of attention as they are becoming an essential part of the digital strategy for an enterprise. This article provides an introduction to CDPs to help demystify their functionality and usage. Basically, a CDP is a marketer-managed which creates a persistent, unified customer database that is accessible to other systems. In general, it is built or bought infrastructure operated by marketers who act on real-time signals that the customers provide to in-turn deliver delightful personalized experiences back to the same customers.

Unified Profile Data Sources
  1. Data Governance & Compliance: With greater control over data, and through the creation of a ‘single source of truth’, a CDP mitigates some of the risks associated with adhering to data governance and auditing laws — e.g EU General Data Protection Regulation (GDPR) or CA Consumer Consumer Privacy Act(CCPA).
  2. Data-Driven Performance: Enables a unified view of customers and segments in all tools, including up-to-date static and dynamic attributes and predictive scores, to optimize spend and communication campaigns enabled through real-time operational KPIs/dashboards.
  3. Right Content to Right Customer at the Right Time: CDP coordinates campaigns in an omni-channel manner with maximum effectiveness. This enables orchestration of customer journeys as the customer transitions from one touchpoint to another by delivering consistent communications across all channels.

Types of CDP

Types of CDP

CDP vs DMP vs CRM

CDPs are often compared to Data Management Platforms(DMP) and Customer Relationship Management platforms(CRM).

Vice President, Data Platforms Walmart

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