How Customer Data Platforms Increase Customer Loyalty

Online shoppers can be quite demanding, and many now interact with companies on their own terms. They are used to a personalized experience. Statistics show that customers are willing to spend 17 percent more if they are provided with personalized service. More than 70 percent of consumers expect companies to understand their needs. Therefore, it is important for brands to understand the desires of customers in order to be profitable and provide value. Otherwise, potential customers will go elsewhere.


It remains for companies to figure out how to watch and analyze a person's relationships with a brand in order to predict their wishes. This is where customer data platforms (CDPs) come to the rescue. They are an effective way to give customers what they came for—a high-quality personalized experience.

evinent customer data platform


What is a customer data platform?

A customer data platform is a system that combines off-line and on-line consumer data from various sources and devices. It should not be confused with CRM and DMP, since each program is responsible for different functions. We have dedicated a separate article to the topic of contrasting CDPs, CRM, and DMP, which you can read on this page.


The main thing we need to say about customer data platforms is that they simplify marketing processes. CDPs allows you to get detailed information about every user. Customer data platforms create a comprehensive, 360-degree view of the customer to grow profitability by increasing the relevance of messages.

CDP maximizes points of contact with customers for stronger interactions.

We are talking about the importance of customer data platforms for a reason. It's expected that by 2025 the market for such platforms will grow by 34 percent. They help build long-term and promising relationships with users to increase the company's profit. Competition will be high because each brand will find ways to personalize its services. Those who don't take the risk will be left back and lose touch with customers. The fight to win them back will be difficult and costly. Therefore, it's critical for companies to think about implementing customer data platforms as early as possible.


A competent customer data platform can perform the following functions:

  • Track and analyze data, such as interactions with social networks, offline purchases, and mobile app usage
  • Improve the quality of service by understanding the customer's path
  • Optimize costs and be competitive


What types of data do CDPs collect?

Customer data is the basis of a successful marketing campaign. The need for different types of data led to the appearance of CDPs. These programs organize the collection of four forms of data:

  • Identification (basic) is the basis of the client's profile. This includes email address, first and last name, contacts, geolocation, and demographic data.
  • Descriptive information about a person includes career, lifestyle, and family details.
  • Behavioral data gives an idea how a person interacts with a business. Data points are collected from different sources, such as transactions and online interactions.
  • High-quality information draws a complete picture of the customer. The owner of the company can then look at certain things from the point of view of the buyer. This data helps to think through sound marketing strategies. Qualitative data covers concepts such as customers' motivations, attitudes, and opinions.


How the customer data platform architecture program works

CDP has a peculiar architecture in addition to several key features.

  1. The first step is to collect data from business systems and channels (e.g., mobile devices, surveys, customer portfolio management).
  2. The second step is clearing the data to ensure that it is correct. CDP starts deduplication of profiles, discards fake accounts, and eliminates discrepancies.
  3. The third step is enriching the profile—that is, adding data from third-party sources. For example, this might include information about demographics, weather, personal interests, and more. This is necessary in order to have more information for advertising campaigns.
  4. The fourth step is customer segmentation based on behavior and attributes. Segments are needed to improve personalization and targeting.


Another point of customer data platform architecture can be the process of creating stages of the customer's path to visualize their interaction with the brand. This gives you the opportunity to get a deeper understanding of the channels that are suitable for audience engagement.


Top 5 opportunities provided by CDPs

By implementing customer data platforms, companies will be able to:

1. Create uniform client profiles.

A CDP becomes a hub for consumer data. If a company launches advertising on a social network, it can collect significant amounts of information about the audience all in one place. As a result, it will be possible to better understand the client's path and build a successful promotion strategy.

2. Provide a personalized experience.

A large amount of customer data allows companies to launch relevant advertising campaigns. This is important because customers want more than 70 percent personalization from retailers. If you follow this approach, you will be able to sell more and stay competitive in your sector.

3. Increase user satisfaction.

Customer data platforms are a direct way to increase customer satisfaction. The more positively people feel after interacting with a company, the more trust they'll have in it. As a result, CDPs empower companies to achieve their main goal—increase customer loyalty and improve the company's engagement.

4. Automate processes and save the company budget.

There are examples of CDPs that are equipped with artificial intelligence and automation for data activation. These platforms can use a person's purchase history to determine which products they will buy in the future. If you have this information, your company can prepare in advance and offer customers something personalized that they won't be able to resist. This is the best way to use relevant advertising instead of draining the budget on empty clicks on an advertising message.

5. Predict customer behavior.

This is also related to artificial intelligence. Thanks to machine learning, platforms can link groups of data to predict consumer behavior and make decisions about launching an advertising campaign to stay ahead of competitors.

Many people believe that they have to abandon their existing applications in order to use a customer data platform. That's not the case at all. Many CDPs can be easily integrated with applications and become the center of customer analytics.

Best CDP Scenarios

You can use a customer data platform to help your business increase profits in multiple scenarios. For example, you will be able to evaluate potential customers, connect online to offline mode, segment your audience, and optimize the conversion rate. You'll also have options to conduct A/B testing, set up retargeting, determine the best product recommendations, and improve customer lifetime value (CLV).


How do you choose the best customer data platform?

Have you decided to purchase a CDP without knowing which one would be best for your business? When choosing, consider the following questions:

  1. Does the platform support integration with the data sources you need?
  2. Does the program track anonymous and known customers?
  3. Is there a data-storage schedule on the platform? If so, then what is the deadline?
  4. Are the segment development and management tools simple?
  5. Does the platform provide access to unfiltered data?
  6. Is the platform endowed with machine learning and artificial intelligence?
  7. Does the platform developer provide support and training?


We present our Evinent customer data platform, which has many tools to improve brand interaction with customers. Our platform is easily integrated with enterprise resource planning, customer portfolio management, accounting systems, call centers, and online stores.


You can read more about the possibilities of Evinent's customer data platform on this page, as well as fill out the form for a free consultation. We will answer all your questions and provide a detailed analysis of the functions of our platform to simplify your choice.




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Evinent GmbH is a Germany-based company specializing in platform development for mobile devices and delivering B2B/B2C solutions without compromising on outstanding user experience.

At Evinent, we take pride in transparency and detailed planning throughout the entire process. Our goal is to empower our customers to increase profits, expand their businesses, and drive growth.

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