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Creating Personalised Customer Journeys with a CDP
Customer Engagement

Creating Personalised Customer Journeys with a CDP

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mediarithmics Team
September 11, 2024

Creating Personalised Customer Journeys with a CDP

Customer expectations are higher than ever, and personalisation has moved from being a competitive advantage to a fundamental requirement. Today’s consumers expect every interaction to be tailored to their preferences, and businesses that fail to meet these expectations risk losing sales and loyalty. According to Forbes, 81% of customers prefer companies that offer a personalised experience, and 70% value businesses that recognise them and understand their history.

The Foundation: Customer Data Platforms (CDPs)

Customer Data Platforms (CDPs) are the engine behind effective personalisation at scale. Unlike CRM systems, CDPs unify data from various sources — online and offline — enabling real-time updates to customer profiles, dynamic segmentation, and more relevant, timely communications.

The benefits for enterprise marketers are significant:

  • Higher marketing efficiency by triggering 1-to-1 communications, rather than broad-brush mass marketing
  • Improved customer experiences through greater empathy for each individual, enabling brands to speak to their current needs or based on previous actions
  • Better prediction of customer wants, leading to increased sales, conversion rates, and order values

Building a Single Customer View

Creating a single customer view is the foundation of true 1-to-1 marketing. Imagine having a single, coherent profile of your customer that captures every interaction they have with your brand, whether online, in-store, or through customer service.

But building this unified profile isn’t without its challenges…

  • Siloed data sources
  • Inconsistent data formats
  • Complex and long customer journeys over different devices
  • The need for real-time data synchronisation
  • Privacy regulations and consent management

CDPs address these issues by:

  • Collecting and cleansing data from various sources
  • Managing multiple identifiers (cookies, device IDs, email addresses) and helping to  create a device graph
  • Connecting offline interactions with online customer profiles
  • Ensuring compliance with privacy regulations and consent preferences

This unified view enables marketers to understand each customer's unique journey and preferences, laying the groundwork for truly personalised experiences.

Data-Driven Segmentation

With a CDP and a queryable single customer view, marketers can leverage real-time behavioural and historical transactional data to create dynamic customer segments for 1-to-1 marketing communications. You might look at factors such as:

  • Product category affinities
  • Onsite search and browsing behaviour
  • Price sensitivity
  • Product returns
  • Sociodemographic scores
  • Churn risk

Cross-Channel Personalisation

Once you’ve established a single customer view, the next step is to put that unified data into action. CDPs help marketers to unleash real-time data and dynamic segmentation to craft personalised journeys across every channel a customer interacts with.

  • Email Service Providers (ESPs) and push notification services
  • Digital advertising platforms (across social, CTV, and the open web)
  • Website/Ecommerce
  • A/B testing tools
  • In-store customer service and call centres

With these connections in place and a joined up customer profile, marketers can orchestrate highly personalised and coherent experiences across touchpoints. A cohesive approach not only enhances the customer experience but also improves marketing efficiency and effectiveness, leading to higher engagement rates and increased customer lifetime value.

For example…

  1. Instantly send a cart abandonment email based on web activity
  2. Retarget product ads based on browsing behaviour
  3. Upsell similar relevant product on social channels with a tailored offer
  4. Recommend those products in a more prominent position on your website
  5. Send a push notification to provide a delivery update
  6. Quickly pull up the customer’s profile when they call to discuss a product question
  7. Suppress acquisition campaigns after a purchase is made.

Conclusion

As customer expectations continue to evolve, so too must your approach to personalisation. CDPs offer the powerful tools you need to deliver personalised, cross-channel experiences that foster loyalty and drive growth. Now is the time to evaluate how a CDP could transform your marketing strategy and help you stay ahead in today’s competitive landscape. Consider exploring how a CDP could enhance your marketing strategy and help you stay ahead in today's competitive landscape.