Customer Data Platform: Criteria for Implementation and Switching a CDP

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• What is a CDP
• Advantages of using a CDP
• Current CDP offers
• Difficulties in CDP implementation and operation
• Criteria to consider when choosing or switching a CDP
• Steps to switch your CDP

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What is a CDP

A Customer Data Platform (CDP) is a technological platform that collects, integrates, and manages customer data from various sources to provide a unified view of the customer in real time. It collects data from various sources, such as customer relationship management (CRM) systems, e-commerce systems, websites, social media, and other customer touchpoints. The platform then integrates and organizes this data into individual customer profiles, which can be used for audience segmentation, message personalization, customer behavior analysis, and other marketing activities. They are an evolution of customer data management (CDM) systems and offer more resources to handle large volumes of data, integrate multiple data sources, and provide actionable insights in real time.

Advantages of using a CDP

Using a CDP allows a business to gain systemic capabilities such as customer data collection, integration, and storage, audience segmentation, marketing campaign personalization, real-time data analysis, and compliance with data privacy regulations.

Current CDP offers

The offering of platforms on the market is extensive, each with its own characteristics and specific functionalities. Some of the main CDPs currently available include Adobe Experience Platform, Salesforce Customer 360 Audiences, Segment, Tealium AudienceStream, Redpoint Global, Optimizely (Episerver), BlueConic, Lytics, and iClubs.

Difficulties in CDP implementation and operation

For companies that intend to make a first implementation, it is important to emphasize that the challenges include inadequate data collection, incompatible data integration, data security, regulatory compliance, complex integration, and lack of skills and resources. It is important to assess these risks and ensure that appropriate measures are taken to mitigate them.

On a daily basis, operating and maintaining a CDP brings the need to observe multiple aspects, including data collection and integration, data cleaning, campaign personalization, data analysis, technology integration, and regulatory compliance. It is important to have the appropriate skills and resources to overcome these difficulties and get the most benefit from a CDP.

Criteria to consider when choosing or switching a CDP

A critical point within this day-to-day operation is noting the main dissatisfactions with current installations such as:

• Complexity: Some users may find CDPs too complex and difficult to use, especially if they have no prior experience in data management.
• Data integration: data integration can be a challenge in some CDPs, especially if there are multiple different data sources involved.
• Real-time data updates: some users report that real-time data updates are not as fast or effective as they would like.
• Difficulty in creating audience segments: creating personalized audience segments can be a challenge in some CDPs, especially if the platform does not have advanced segmentation tools.
• Price: some users may find CDPs expensive compared to other data management solutions.
• Functionality limitations: some platforms may have limitations in terms of functionality, which can be a challenge for companies with specific data management needs.
• Difficulty integrating with other technology solutions: there may be challenges in integrating the CDP with other technology solutions, such as data analysis tools or marketing automation solutions.

The decision to switch a CDP (Customer Data Platform) can be an important strategic choice for a company, and it is important to carefully evaluate several factors before making the change. Here are some criteria to consider when evaluating a CDP switch:

• Business objectives: it is important to evaluate whether the current CDP is meeting the company’s specific needs and whether it is helping to achieve business objectives.
• Current CDP capabilities: it is important to evaluate the current CDP’s capabilities in terms of data collection, storage, unification, and activation. It is also important to evaluate whether the current CDP offers the tools and resources necessary to create personalized experiences for customers.
• Usability and user experience: the usability of the current CDP is important, as a difficult-to-use platform can negatively affect the efficiency and productivity of the team that works with it.
• Integration with other technology solutions: it is important to evaluate how the current CDP integrates with other technology solutions used by the company, such as data analysis tools, marketing automation platforms, and CRM systems.
• Price: the cost of the current CDP is an important factor to consider, especially if there are alternatives available that can offer similar functionalities at a more affordable price.
• Technical support: it is important to evaluate the quality of technical support offered by the current CDP provider, including the availability of training resources and support for the team.
• User feedback: it is important to listen to feedback from current CDP users, including what they like and dislike about the platform, to evaluate whether there are common issues that need to be addressed.

Steps to switch your CDP

Switching a CDP (Customer Data Platform) can be a complex process that requires careful planning and coordination. Here are some general steps you can follow to switch a CDP:

1. Evaluate your business needs: before switching a CDP, it is important to evaluate your business needs to ensure that the new platform can meet those needs.
2. Select a new CDP: evaluate several CDP options available on the market and select one that meets your specific needs.
3. Prepare the data: before transferring data to the new CDP, it is important to prepare it to ensure that it is clean, structured, and compatible with the new platform.
4. Transfer the data: transfer the data to the new platform. Depending on the size of the data, this can be a time-consuming and complicated process. Make sure to test the new platform before migrating all your data to ensure everything is working correctly.
5. Integration: integrate the new CDP with other technology solutions you use in your company, such as data analysis tools, marketing automation platforms, and CRM systems.
6. Training: make sure to train your team on the use of the new platform, to ensure everyone can use it effectively.
7. Monitor the transition: monitor the transition to ensure everything is working correctly and resolve any issues or bugs that may arise.
8. Deactivate the old CDP: once everything is working correctly on the new platform, you can deactivate the old CDP.

As a final recommendation, a specialized and platform-agnostic technology team should be able to help and advise in this process of evaluation, implementation, and operation optimization. The company’s IT and business teams should, however, be clear about what the main business objectives are that motivate the platform switch.

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About Zappts

Since 2014 in the market, Zappts has been carrying out the digital acceleration of major brands such as Porto, Getnet, BTG Pactual, Cateno, Ambev, Multilaser, Ultragaz, C&A and Burger King, among others. Focused on software development, especially in Front-end, UX Design, Quality Assurance and Cloud Environment Management, it operates in the planning, management and operation of corporate digital solutions development services, environment management and knowledge transfer through information technology. A reference in creating digital experiences for users, in addition to developing innovative and fast solutions, the company operates in a 100% remote model, with teams distributed across more than 18 states in Brazil.

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To learn more about how Zappts can help your company, click here, and get a free assessment with our tech consultants.

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