While a customer data platform (CDP) is great at making sense of the first-party data an organization feeds it, it can’t access identities outside of your network. To do that—and to nurture those identities into customers—it’s imperative to turn anonymous traffic into known, identified visitors.
What does a CDP do?
Forrester defines a customer data platform as, “a platform that centralizes customer data from multiple sources and makes it available to systems of insight and engagement.”
A CDP stores a complete view of your customer—everything they’ve ever bought (in-store and online), every page they’ve ever been to on your website, every customer service engagement, etc.
It holds an enormous repository of first-party data, which allows analytics teams to control all customer data in one central location. There are more advanced versions of CDPs that also send emails out of the platform and have orchestration and analytics capabilities, including predictive modeling.
What are the benefits of a CDP?
- Privacy compliance: CDPs are in compliance with privacy laws such as the California Consumer Privacy Act (CCPA) and the General Data Protection Regulation (GDPR). When an individual requests you remove their data, you are required to do so. Having one central location to store all of your data makes it easy to get rid of (and prove that you’ve done so).
- Personalization: CDPs allow you to personalize your messages and content offers by linking first-party data to the communication, and deploying that message to a number of channels.
- Customer loyalty: CDPs help drive loyalty and retention by retargeting existing customers and nurturing them down the funnel through tailored messages that speak to their interests and past behaviors. This can be a huge tool in upselling and cross-selling.
What are the limitations of a CDP?
- CDPs can only identify website visitors that have a registered profile or are logged in. Wunderkind, on the other hand, can identify and track anonymous website visitors and send triggered emails and texts to those newly identified customers.
- Don’t forget: Cookie deprecation is coming in 2024, and it will make CDPs’ identity resolution incredibly difficult. Without a registered email address or phone number for an individual, the only other way the CDP can recognize an anonymous visitor is through a third-party cookie.
- If a customer changes their phone number or email address, the CDP might build two or more profiles around that individual, dirtying the data.
- It takes a CDP awhile to build segmented audiences for personalized follow-ups, tracking on-site behavior, retargeting existing customers, and building advocacy. Wunderkind can collect this data and drive revenue from day one, immediately increasing the scale of your triggered email and text programs.
Why should you use Wunderkind and a CDP? Are both necessary?
- Wunderkind is well-positioned to work with CDPs to solve the addressability issues that will come in a soon-to-be cookieless world.
- The scale of Wunderkind’s identity graph brings immense value. Through our identity network, brands can identify website traffic at scale, regardless of authentication events.
- Using both will help you acquire and retain more customers, offering a scalable source of revenue that simultaneously improves the user experience.
The Wunderkind identity network observes 890 million devices each month and Wunderkind clients process over a billion requests every day, so this is a massive advantage when it comes to scaling your email campaigns with data intelligence.
Improve segmentation, personalization, and targeting with Wunderkind today. Learn more.