
Email teams at big brands may be getting undone by
their customer data platforms (CDPs), judging by “What’s next for the customer data platform?”, a study by MessageGears.
Of the companies polled, 90% use more than one CDP.
The study finds that 44% use three CDPs, and 23% utilize two or four.
And to what end? Just 10% feel their CDP meets all their needs, while only 1% feel it will meet all their
future requirements.
Moreover, 27% believe their CDP cannot keep up with growing data volume, while 27% face security and compliance issues. And 26% are dealing with performance and
reliability challenges.
(CDPs are defined as software applications that unify a company’s customer data from marketing and other channels. The term was invented by David Raab in
2013).
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The study points toward use of composable CDPs as opposed to packaged CDPs. A packaged CDP is a stand-alone platform that stores a copy of customer data on their own servers.
Of the companies polled, 56% prefer a composable CDP when purchasing a new solution. And of those using one, 86% are satisfied.
Meanwhile, here is how brands use their
CDPs:
- Real-time customer engagement and personalization — 40%
- Cross-departmental collaboration and data sharing —
39%
- Managing and optimizing the customer journey — 38%
- Ensuring data privacy and compliance - 37%
But many use cases just are not available:
- Improve data-driven decision making — 24%
- Improve sales strategies and
performance — 23%
- Enhance data-driven product development — 23%
- Automate and streamline marketing
processes — 22%
- Track and measure customer behavior and trends — 22%
Here is a wish list for CDP
features, including many that could come right out of. the email department:
- Offers AI and predictive intelligence — 67%
- Securely stores and uses
customers’ personal data — 66%
- Data security and compliance features — 65%
- In-depth analytics and reporting — 65%
- Provides real-time access to customer data — 64%
- Data governance — 63%
- Efficient and knowledgeable customer
support — 62%
- Data ingestion — 61%
- Identities highly specific customer audiences — 61%
- Real-time triggers — 59%
MessageGears partnered with Hanover Research to survey 300 technology, marketing and martech professionals in the U.S.
and U.K. in May 2024.