In recent years, both the value and the cost of consumers has been steadily increasing for businesses. The factors contributing to this increased cost are both expenses accrued when attracting new clients and expenses associated with the changes that accompany this growth. Brands are forced to go the extra mile, taking potential customers by the hand to lead them to the check-out counter, all the while fending off competitors, striving to exceed customer expectations, displaying the best prices and, most importantly, driving in messages of loyalty, high values, environmental sustainability, and social awareness. Meanwhile, the buyer often acts on a whim, seeking the satisfaction of their changing needs and desires in whatever way happens to appear most convenient at a given moment. It is true that the buyer is sometimes ready to compromise regarding convenience and go out of their way— if such a detour happens to appear economical. Customers might patiently weather out inconveniences for a lower price but, even so, their patience has strict limits and, after such an experience, the customer will likely find another seller next time.

This is why having an understanding of consumers and of the appropriate context, timing, and format for successful communication with them is essential for effective marketing. Often a customer data platform (CDP) provides the starting point for obtaining this information.

CDPs are the platforms used by contemporary businesses to develop a personalized understanding of their customers. The profiles created as a result are referred to as single customer views. CDPs also integrate primary customer data with third-party databases. In all, this allows brands to manage consumer data in real time, personalizing communication with each customer across all channels and formats.

CDPs are essential tools for:

• collecting consumer insights on a single platform
• personalizing communication across channels (both web and mobile)
• designing customer journeys
• segmenting users into target audiences
• forming predictive insights and implementing deep analytics
• data enrichment from disparate source.

According to Forrester Research, only 11% of companies create individualized consumer profiles using complete data sets. The CLTV (customer lifetime value) of those that do averages 2.5 times higher than those that do not.

Marketing experts agree that creating personalized consumer profiles is a priority in their line of work. Understanding customers' personalized habits and preferences vastly improves the outcome of content marketing and guides the development of new products and services.

Considerations when initializing CDP integration:

1. Specify goals and objectives (what types of data and insights are needed and why)
2. Determine how a CDP will help to reach these objectives
3. Determine how the CDP will fit into your company's existing tech stack and how it will interface with existing data infrastructure
4. Set key requirements for the CDP based on specific business goals
5. Formulate essential KPIs and create a roadmap for step-by-step integration.