Design the future customer relationship with a data management platform
Data is traded today as the new gold. That is why companies collect data from various sources in order to get to know their customers better. But how and where to store all this data? And how to ensure good data quality? The topic is complex: Data quality, data protection and data analysis must all be under control.
Fortunately, there are tools that provide support here: so-called data management platforms. They help you maintain an overview within the data jungle and lay the foundation for successful customer experience management. This article explains what a data management platform (DMP) is and how you can profit from a data management solution.
What is a data management platform?
A data management platform collects and manages data from various sources and forms the basis for evaluation of this data for marketing purposes. This means that a data management platform is comparable to a central database like a data warehouse. The main differences lie in the type of managed data (behavioral data about your customers, for example) and the connection to external systems from which this data originates. External data is potentially purchased and fed into the data management platform to supplement and optimize the existing database.
“A data management platform collects and manages data from various sources and forms the basis for evaluation of this data for marketing purposes.”
A data management platform thus brings all relevant data together to create complex target groups and to support marketing and sales with personalized communication with customers. Especially in the age of hyper-personalization, a data management platform can play a decisive role!
Why does your company need a data management platform?
Why is a data management platform needed if existing elements of your IT infrastructure such as your data warehouse or your new data lake can take on this function? The simple answer: the strength of the data management platform lies not in the technology itself – how the data is collected and stored – but in that to which it is linked. Especially marketing automation tools are highly dependent on an appropriate database. To be able to successfully manage customer journeys in the age of digitization and to take issues such as omni-channel and hyper-personalization into account, you need a place where the relevant customer data is housed and seamlessly connected with your marketing automation platform. A data management platform can fill this gap and provide a powerful, well-maintained database.
Big data is more than just a buzzword. The more touchpoints there are, the more data there is to consolidate. There is an increasing amount of customer data available to companies, which is increasingly distributed and which occurs in different formats. This new reality requires a new technical foundation to bring all this data under a single roof and to link it together. By tapping into external providers, you profit from a data management platform. Because only those who offer customers personalized, relevant services can survive in the market.
What are the advantages of a data management platform?
It is best to use a tool that can cover both marketing automation and data management. Both are highly interdependent: a marketing automation solution is inconceivable without a matching database technology. With well-maintained and integrated data that is used intelligently, you are able to supply your customers with personalized offers and thereby increase your turnover.
But that’s not all. Here's how you can benefit from a data management platform:
- Merging of data from different touchpoints
- Breaking up of data silos
- Compliance with data protection requirements through maintained data and clarity
- Optimal data integration from third-party providers
- Basis for automated, personalized campaigns
- Complex customer segments and differentiated target groups through the use of behavioral data
- Greater customer loyalty through targeted offers
Which data management platform is the right one?
A careful evaluation of different software solutions and providers is essential. Clearly define your requirements for a data management platform. Compare the range of functions and costs. Is it worth investing in a solution that covers several aspects at once: data management, customer journey management and marketing automation?
Our BSI Studio digitization platform, for example, is not only a marketing automation tool, but also profits from integrated data management functions. As a 4-in-1 solution, BSI Studio offers:
- Data management platform: Collects and manages all company and customer data centrally and clearly. From all touchpoints. Keyword: Data
- Customer journey builder: Marketing automation and customer journey management made easy. Keyword: Touchpoints
- Content management system: Includes a content editor, designs and a media library – for personalized customer contact. Keyword: Content
- Business process engine: Provides the automation of business processes. Here you can save money while retaining high service quality. Keyword: Processes