For the fourth edition of Tealium’s State of the CDP 2023 report, we surveyed over 1,200 professionals worldwide in B2B, B2C, and B2B2C industries through an independent firm. The responses revealed that Customer data platforms (CDPs) have proven critical to organizational growth during demanding times, especially as we see a global tightening of the collective purse strings. In addition, brands with a CDP have been more easily able to navigate economic or industry challenges, recession-proof the organization, and unlock new opportunities by breaking down internal silos and streamlining customer communications.
And all of these benefits coming out of long-term and short-term CDP usage have led to one definitive truth: companies that invest in a CDP vastly outperform those that don’t and their usage has led to tremendous success across the board. In fact, the most experienced CDP users showed greater confidence in their decisions, better ability to manage spending, healthier budgets, and, most importantly, a bigger return on their marketing dollars than companies with little or no CDP experience.
For example, the survey showed that 74% of companies with a CDP saw ROI and value within the first year. On top of that, three-quarters of respondents realized the value in their CDP in less than one year, and 89% within the first 18 months. That said, the study only emphasizes that investing in a CDP not only helps companies achieve their goals and find stability during unstable times but it pays off quickly.
Additionally, in today’s landscape, customer experience is the new currency. And companies must have a plan for collecting and organizing the data necessary to create relevant experiences, as well as the functionality to activate the data in a meaningful way. The study revealed that a CDP is the way forward. Companies with a CDP (93%) are more satisfied with their ability to create relevant customer experiences through their customer data than those without a CDP (49%). Not only that, but the study also revealed that brands with a CDP are twice as satisfied with meeting marketing objectives (90%) vs. those without a CDP (44%).
However, these findings don’t mean brands that have a CDP aren’t being impacted by the challenges facing companies worldwide, like unstable economies, broken supply chains, and growing regulatory requirements for how companies use customer data. It does mean that companies who use a CDP are better prepared to address all these challenges and have bypassed the major side effects and jet streams being felt by companies without a CDP.
Take a closer look at the report to see more insightful stats and how brands like yours are leveraging this powerful tool.
In a digital economy that is becoming increasingly complex and competitive, innovative brands are turning to customer data platforms (CDPs) to unlock new value from their ever-growing data stores. As the number of data sources continues to grow and the need to coordinate marketing processes becomes increasingly demanding, CDPs provide a centralized platform for managing customer data.
By 2023, CDPs are expected to be more prevalent than ever, and their value to businesses will be even more significant. The growth of data-driven enterprises requires their data to be integrated, used, and managed in efficient and effective ways. With a CDP, companies can collect, refine, and analyze both structured and unstructured data from various sources, and activate it in real time to power better customer experiences and drive better outcomes.
Data-driven organizations stand to benefit from a CDP in many ways. For example, it allows them to create unified customer profiles that unify and centralize customer data from multiple sources, allowing them to respond more quickly and accurately to customer needs and drive better customer loyalty. Additionally, CDPs facilitate the delivery of personalized experiences by enabling a deeper understanding of customer preferences and behaviors, and they provide marketers with near real-time access to insights that can be leveraged in marketing campaigns.
The ability to integrate CDPs with other marketing and customer-facing software, such as marketing and customer relationship management (CRM) solutions, is also transforming the way companies leverage and manage customer data. With seamless system integrations, users can easily pull data from various sources, visualize and interpret it, andact on it in real time.
By 2023, the use of CDPs will further simplify the marketing process and make it easier for organizations to capitalize on the value of their data. By having access to a comprehensive, unified view of customer data, companies will be able to create more efficient and effective customer experiences, optimize their marketing campaigns and processes, and drive better outcomes. As a result, brands that invest in innovative CDPs will be well positioned to benefit from the value of their data and gain a competitive edge in the digital economy.