When it comes to managing customer data, there are countless options to choose from. Among these, Customer Data Platform (CDP) has become an increasingly popular system for better managing and using customer data. It consolidates useful customer data from various data sources and provides companies streamlined access to a unified view and profound insights about their customers. CDPs, unlike other customer management platforms, are developed specifically with the goals of marketers in mind. The benefits of a CDP are clear but what does a CDP implementation look like, who needs to be involved and how to keep implementation on the track are worthy questions to be kept in mind regarding its implementation. Given are best practices an organization must consider.
1. Single View of The Customer: An organization needs a complete picture of its customers to deliver seamless customer experience. For this, they need to standardize data at all data collection sources. A CDP helps organizations get a complete view of individual customers.
2. Personalization: Delivering excellent customer experience is the root of customization. To overcome the challenge of personalizing CX, organizations should foster the value of universal customer data within their departments. Implementation of the CDP enables the marketers to gauge the impact of personalization in accordance with the improvement in customer engagement, conversions, and customer satisfaction rates.
3. Data Governance and Compliance: Data governance and compliance standards are the cornerstones of customer data and ensure that data collection as per the regulatory requirements including GDPR. This can be achieved through marketing, legal, compliance and information security teams working together to provide the customer data is collected with their consent and safeguarded from data breaches.
4. Customer Analytics and Insights: With the help of a customer data platform, the company can access customer data from one place and draw insights from it.
5. Data Readiness for Artificial Intelligence and Machine Learning: Proper data governance will help organizations achieve completeness of data enabling a single customer view.