CDPs Are on the Rise
The CDP market is growing fast, according to a January 2019 report from the Customer Data Platform Institute. In 2018, industry revenue was up by more than 50%, reaching $740 million. The Institute says that revenues are likely to top $1 billion in 2019.
CDP Investments Are a Priority for Retailers and Direct-to-Consumer (DTC) Brands
CDPs are top of mind for ecommerce marketers, as reported in “How Leading Retailers and Direct-to-Consumer Brands Are Investing in Digital.” According to this report, in 2019, the top innovation investment priority for all ecommerce marketers is in CDPs. 70% of DTC brands and 63% of traditional retailers say they have increased investments in CDPs in 2019.
What Kind of Data Is in a CDP?
The type of data an organization collects in its CDP varies depending on the industry and the organization’s needs. Some typical types of data include
- Personal and demographic data: Name, gender, age, employment information, income level, marital status, number of children, and whether the customer owns a home or rents
- Behavioral data: Web data (browsing history, clicks, pages visited), interactions at physical stores, and social media data
- Psychographic data: Details about lifestyle, aspirations, personality traits, preferences, and hobbies
- Transactional data: Purchases and returns, abandoned cart rates, email response rates, subscription renewal rates, and customer service interactions
- Mobile and device data: Device IDs, location, in-car systems, smart speakers, and other sensor data
- Other contextual information such as survey data on how the customer heard about the company and satisfaction ratings on products and services