8 benefits you might not know customer data platforms (CDPs) provide

August 10, 2022 | 5 minute read
Michael McNichols
Senior Content Manager
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Find out what a customer data platform (CDP) is, and why you can’t personalize and optimize your marketing campaigns without one.

  • Get a brief definition of a CDP
  • Learn its general benefits
  • Hear some specifics of just how it can a positive impact on your marketing when dealing with the end of third-party cookies, Apple Mail Protection Privacy, customer loyalty, testing, and more

What is a customer data platform (CDP), and what does it do?

It takes in data from multiple online, offline, first, and third-party sources to build complete customer profiles for you to improve your:

In short, you use a CDP to better manage, organize, and put your data to use. Higher-quality data boosts the quality of your marketing, which results in:

  • More customer insights and conversions
  • Stronger customer retention and loyalty
  • Higher ROI

Forrester found that CDP users felt they managed customer data better than non-CDP users by 21%.

Research from Ascend2 and Oracle found that more than a third of marketers they surveyed considered adapting to circumstances as they arise a top challenge. 82% said they wanted to update their martech to improve performance.

Find out about today's top marketing technology trends, and how your peers see CDPs, AI, customer loyalty programs, and other solutions as the key to delivering personalized experiences at speed.

Make better use of data with a CDP

How can you possibly adapt to shifts in customer behaviors world events and improve performance without cleaner, better data and knowing the best ways to use it?

8 benefits of CDPs you may not know

In fact, the more reliable and accurate data a CDP offers can help in more areas and with more challenges than you may have thought.

1. Survive the end of third-party cookies

Google is looking to phase out its use of third-party cookies by late 2023. Without third-party data to rely on, marketers and advertisers are looking to first-party data, data they collect directly from customers who consent to its use.

CDPs make great use of first-party data that can you help personalize and optimize your marketing and advertising campaigns.

2. Apple Mail Protection Privacy (MPP)

MPP means that Apple users can opt not to let businesses know if they opened an email or not.

Not all hope is lost, though. Even without email open rates being as reliable as they once were, other metrics can provide more meaningful insights into customers.

Using a CDP, you can identify a customer. With identity resolution, you can determine if a customer you sent an email:

  • Clicked through on a link in that email
  • Visited your website after receiving the email
  • Registered for an event, downloaded a whitepaper, made an online purchase, or took another action

3. Retargeting and remarketing

People often get these two terms confused. There’s also  some overlap. For the sake of this post, however:

  • Retargeting concerns advertising. When someone has interacted with your brand in the past, you target them with a web ad based on that interaction.
  • Remarketing concerns email marketing (mostly email, though SMS and push marketing are also possibilities). Instead of a web ad, you email, text, or send them a push message.

In both cases, you’re re-engaging customers and prospects. Using a CDP, you can finetune your messaging and offer to increase your chances of success.

Get the details on how to create a 360-degree view of customers for your advertising using a CDP with this infographic.

4. Upselling, cross-selling, and keeping customer loyalty members engaged

Loyalty programs offer an excellent opportunity to keep interacting with customers and gathering more data on their preferences, needs, and interests.

  • How do they earn their points?
  • What channels do they frequent?
  • What rewards interest them the most?
  • What purchases have they made and when?

This type of insight tells you how to keep them engaged and active with your loyalty program. It also gives you an idea of what upselling and cross-selling opportunities customers might find intriguing.

Plug this info into your CDP and link it with the rest of your valuable data. See what it tells about these loyalty members and other customers, including how to make them loyal and keep doing business with you.

Learn how Oracle Red Bull Marketing created a customer loyalty program with Oracle CrowdTwist Loyalty and Engagement, Responsys Campaign Management, and Unity CDP to engage and bring racing fans closer to the action and secure their loyalty.

5. Social media marketing

With the insights provided by a CDP, you can create social media posts that get more likes, shares, comments, and clicks. You can also tie your social marketing better into your campaigns.

6. Easier, more efficient A/B and multivariate testing

Testing is important. In an ideal world, you’d do as much as possible to get the pulse of your audience.

However, testing takes time and money.

It’d help if you could just get right down to testing and not have to sift through all the data and previous campaign results, though, wouldn’t it?

That’s what a CDP does. It organizes and stores that data, so when it’s testing time, you can get right to it.

See how National Express, the UK transport brand, increased website engagement by 22% with Oracle Maxymiser Testing and Optimization.

7. Cross-channel and omnichannel marketing

How do you find the right mix of channels? How do you map out a multichannel customer journey?

Then how do you bring them together into the right omnichannel experience?

Past purchases, customer behavior, knowing who your customer is, that data all adds up.

And a CDP will inform just you go about designing cross-channel and omnichannel experiences that engage and convert for them.

8. Hyper-personalization and micro-segmentation

Hyper-personalization means going beyond just including a customer’s need in your email. You can dig deeper and create marketing that speaks more directly to them than that.

Micro-segmentation helps. It involves going beyond your typical segmentation (behavioral, geographic, demographic, and psychographic) for a deeper dive into what makes your customers tick and segment them.

But it takes strong, usable data, but that’s what a CDP’s for.


Make the best use of CDPs with tips to:

Also, find out why IDC named Oracle Unity a Leader among CDPs for data and marketing ops users



Michael McNichols

Senior Content Manager

Michael McNichols is a Senior Content Manager for Oracle Digital Marketing. He has over ten years of experience in professional writing and has been widely published.

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