If you’re an entrepreneur or CEO, you know that your business needs to be up-to-date on customer data to stay relevant in today’s industry. Customer data platforms (CDPs) have the potential to drastically change your business operations, which means that you need to know everything there is to know about them.
This post will cover the future of CDP software like Adobe and what it means for your company. So if you’re curious about the importance of CDPs, keep reading.
Real-time customer data platforms, or RTCDPs, are the future of customer data. McKinsey reports that by 2020, there will be $500 billion in wasted marketing spending due to a lack of visibility into customer data.
Big brands use data to inform their decisions and drive growth; they are using AI and deep learning to anticipate customer needs and are getting smarter about data quality. As a result, customers’ expectations for speed, convenience, and personalization have never been higher.
To stay ahead of the competition today and in the future, companies need to be more agile and focus more on what customers want now. So the question is not if you should invest in a customer data platform (CDP) but how soon you should do it.
Customers want to be known and recognized by businesses. Customers want to know that their preferences are considered in each business interaction. The future of customer data is about delivering personalized, relevant experiences for every customer. For that to happen, companies need real-time access to all structured and unstructured data.
CDPs use artificial intelligence to analyze data and extract insights, creating customer profiles with trillions of data points. They predict customer behavior before it happens and can identify patterns in large data sets. They provide predictive analytics, enabling companies to make more informed decisions that create better customer outcomes. It provides a 360-degree view of the customer, revolutionizing how businesses design products and services.
There is an abundance of data available, but what is really needed is context. Context to answer questions like, Who are my most profitable customers? Or What do I need to know about my competitors? The answer comes from CDP software that integrates disparate customer data into a single source, providing complete context for marketing and sales decisions.
In today’s hyper-competitive world, those who can unlock this value will not only survive but thrive. To succeed in the future, companies must be able to harness insights generated by their own CRM systems and third-party sources such as social media and marketing platforms.
Every customer interaction generates more data, and these interactions will be increasingly diverse and complex. Traditional approaches to aggregating and analyzing data aren’t going to be able to keep up the way CDPs can.