The 2021 CDP marketplace is diverse
There are now three categories in the CDP marketplace says Real Story Group, although they do overlap.
Real Story Group says that the CDP marketplace in 2021 is far from homogenous. “While most vendors will claim to do everything, the fact is they can’t,” writes RSG VP, Research & Advisory, and MarTech contributor Apoorv Durga.
Three flavors of CDP. RSG now perceive three categories in the CDP marketplace, although they admit there are overlaps. The first is the marketing suite-dependent CDP. This includes CDPs built from the ground up to serve marketing suites -— the obvious examples being Adobe, Oracle, SAP and Salesforce. There are, in addition, examples of formerly independent CDPs being integrated with suites, like AgilOne with Acquia.
The other two categories are process-oriented and engagement-oriented solutions. The former (in which RSG includes ActionIQ and mParticle, for instance) are primarily focused on data management and cleansing, identity resolution and the creation of profiles. The latter emphasize activation of profiles — engagement, orchestration, personalization and so on.
Why we care. The CDP marketplace is not static. On the one hand, we’ve seen a steady picking off of independent CDPs by marketing suites which don’t have that capability natively. On the other hand, we’ve indeed seen enterprises using CDPs for their own specific needs rather than according to what the CDP offers. We heard from Oracle, for example, that many customers use the Oracle Unity CDP by loading in data needed for a specific purpose — they don’t attempt to load all their data and create a single source of truth.
Interesting times. Let’s see what the CDP space looks like a year from now.
Snapshot: Customer Data Platforms
Marketers today face increasing pressure to provide a unified experience to customers across many channels. And these avenues are growing each day. That’s why customer data platforms, or CDPs, have become more prevalent than ever. These help marketers identify key data points from customers across a variety of platforms, which can help craft cohesive experiences.
Cisco’s Annual Internet Report found that internet-connected devices are growing at a 10% compound annual growth rate (CAGR) from 2018 to 2023. COVID-19 has only sped up this marketing transformation. Technologies are evolving at a faster rate to connect with customers in an ever-changing world.
Each of these interactions has something important in common: they’re data-rich. Customers are telling brands a little bit about themselves at every touchpoint, which is invaluable data. What’s more, consumers expect companies to use this information to meet their needs.
Meeting customer expectations, breaking up these segments, and bringing them together can be demanding for marketers. That’s where CDPs come in. By extracting data from all customer touchpoints — web analytics, CRMs, call analytics, email marketing platforms, and more — brands can overcome the challenges posed by multiple data platforms and use the information to improve customer experiences. Learn more here.