No matter what your business is in the 21st century, all that businesses can think about is data, when smart devices are at most of our disposal. With the increase in the importance that data eventually has created for itself, it is inevitable to know more about the category that recently is grabbing a lot of attention in the market. Yes, I am talking about the Customer Data Platform (CDP).

So when we do a reality check, we understand that in the modern world, customer experience is completely fragmented. Companies in this digital era are continuously talking to customers on the company home page on various social media platforms such as Twitter, Facebook, and email, and even on mobile apps. But is there a way to coordinate all these experiences on a single platform?

However, when relevant information is not available, businesses can lose a customer simply by sending out a wrong email with misleading information.

So, if you are looking forward to using customer data at its best, it is time to clear the air and get to know everything you always needed to know about the Customer Data Platform.

What is a customer data platform?

It is essential to understand that modern data marketing highly relies on data; therefore, it is not surprising to learn how Customer Data Platform is gaining popularity faster than compared to any other marketing technology.

So, what is a customer data platform?          

As defined by David Raab, a technology analyst, “A customer data platform is a marketer-managed system that creates a persistent, unified customer database that is accessible to other systems.”

(Source: CDP Institute Blog)

One essential point that draws a thin line between CDP (Customer Data Platform) and CRM (Customer Relationship Management) is that CDPs have the capability to bring together and use data from different channels, unlike CRM that is designed to analyze data from a defined channel.

How does customer data platform impact businesses to boost marketing and engage customers better?

Did you know the 21st century secret behind success? It is to know your customer well.

Today a 360-degree view of the target audience is unavoidable to be the best, and this is what perpetually in every marketer’s mind and is becoming more critical than ever.

Today, almost every business uses tools and platforms to collect as much data as possible. So then, what is the problem? Well, companies have information in abundance, but the one big problem that comes across is that the data is stored in various parts of the organization. This makes it highly rigid to actually use the right information at the right time.

But now, there is nothing to worry about as Customer Data Platform is at our rescue. This is a platform that works with data synchronization and delivers a 360-degree view of every customer.

Interestingly, the platform is gaining rapid recognition, and over 78% of businesses already have or are working on their customer data platforms.

Given below is a list of benefits that give a clear idea about how CDPs impact business and boost marketing efforts.


1. Enables marketers to track users across every platform

Unlike CRM platforms that are engineered to track data and analyze it from a single platform, CDPs gather and work on universal data that is further sourced for business actions. This data can also be used to create profiles to be able to work with push notifications via apps or emails.

2. Allows marketers to create a single customer view

Isn’t it great to know your customer at a glance? Well, by compiling all the necessary customer data related to behavior, CDPs provide all the essential information in one view.

3. Eases segmentation

The best part about a CDP is that once it collects user data, it makes it available for further classification to add greater levels of detail and more value to the data available.

4. Deeper customer insight

Customer experience is the key to happy customers and business success. Isn’t it?

Well, CDPs facilitate marketers to provide quality, personalized, and enhanced customer experience that benefits both the customer and business.

How to choose the right customer data platform?

Now that we know how essential CDPs are for business stability, growth, and customer experience, let’s find out how to choose the most appropriate one for your business.

As customer data platform works tirelessly to deliver a deep understanding of your customer and assists in creating personalized experiences, it is essential to pay close attention while finding the right fit for your business.

Therefore, it is highly recommended to evaluate your choices based on the following points:

  1. Data collection
  2. Profile unification
  3. Segmentation
  4. Enable action

Along with the above, do not miss out on asking the CDP vendor relevant questions to find the most appropriate solution for your business.


Remember, the customer data platform offers a dedicated solution to boost customer experience, customer engagement, and assists in offering enriched solutions. A lot of businesses have already subscribed to it. So if you want to be a customer-centric business, it is essential to join the league without any further ado.