How technology support is changing the world of marketing and communication: what is a Data Management Platform? Let’s find out together …
Today there is a lot of talk about data collection , profiling and segmentation , and the reasons are so obvious that we will not make it the subject of this article. It is our intention, however, to enter into the folds of some of the most in vogue new technologies of this time, as, indeed, the so-called Data Management Platform, or simply DMP . In another article of this blog – you will remember – we had mentioned the differences with Customer Data Platform systems . We will resume some distinctions for didactic purposes and to facilitate the understanding of the same topic.
DMP: a good definition
From the Gartner blog we find a definition based on the functionalities of the DMP :
“. . . provides the necessary, but somewhat unnoticed, function of collecting, translating, classifying, indexing and archiving data. It’s the “hydraulic” part of online data-based marketing. “
If, on the one hand, it plays the role of a) data import (of customers), on another payment allows us to b) identify an audience (through segmentation) and c) return a delivery of the same data (to plan our campaigns, for example). As schematized again by Gartner, the process works more or less like this:
From the scheme to the functionalities
But if the definition (and the schema) of Gartner have not yet clarified the ideas on what is a Data Management Platform we try to deepen still sifting through its features. A DMP transforms millions of data collected from different sources and organizes them to obtain relevant information thanks to an algorithm-based process.
Its operating channel is, so to speak, double:
- It starts with the installation of the code in the pages of a website as a source of information;
- and the collect, process them, and then transfer them to servers dedicated to advertisements.
In essence, the DMP allow us to “dialogue” with huge databases that match our data with those in the system. The goal is to find new users-clients on third-party properties. Our data (first part) thus come into contact with external data (called third party).
Research and projections
The latest research by large analysis companies like ExchangeWire Research is Weborama entitled State of the European Data Management Platform: media usage already mature, but the evolution is not complete he estimated that, by this year, 92% of European media agencies, advertisers and publishers will implement a DMP. Naturally, cloud-based software-as-a-service models have contributed greatly to the dissemination of these technologies. But the data obtained by those who made a pioneering use of it were more than decisive in tracing this path, between present and future. The research reveals, in fact, that over 75% of those who already use DMP have managed to correct their campaigns and direct them to a more precise target.
DMP vs Customer Data Platform
Many of you have already advanced the hypothesis of the deep similarity between one CDP it’s a DMP ( Data Management Platform ). On the one hand, the answer is yes, the two technologies (three if we add also a parogon with a CRM ) are similar because it is always about data collection and management . But what is the distinction that allows us to distinguish them? The easiest way is to focus our attention on the type of data “processed” by the two (or three) platforms .
- their main focus concerns marketing actions;
- they use both first and second-hand data;
- their actions focus on conversion and customer loyalty;
- the unification of data (which may come from third parties) is a surplus but also a distinctive feature (as we saw above);
- collect all user data in a single place accessible from multiple sources and aimed at multiple communication channels;
The CDP inertness all their potential in creating a single customer vision but above all, make it possible to acquire all the knowledge necessary to do so. We reproduce below the scheme of econsulancy.com
the scheme proposed by econsultancy.com
The advantage of working with a Customer Data Platform – compared to DMP and CRM is visible in terms of, in particular, the unification of customer data and the so – called real-time capability (the ability of a device or system to respond instantly to a command or input). And that’s not all.
White Rabbit is a CDP that needs no configuration and no additional external cost. This is not a “layer” or “bus” of data to add to your current web ecosystem, or your set of digital platforms (sites, social, mail etc.) but it’s a Integrated Customer Data Platform . In other words, with our suite you will get the customer data view automatically, without any addition of costs or configuration.
What questions does a CDP answer as White Rabbit?
Moreover, as we have already anticipated, despite being a market-centric system, a Customer Data Platform can import all types of data sources and give free access to other systems. Here, for example, a series of questions to which a CDP such as White Rabbit can answer:
- What is the product that your customer bought before the customer?
- Which segments / target-group do you belong to?
- is it likely that this customer is close to abandoning you?
- for what has shown a certain interest lately?
- what are your buying intentions?
- what is the current (and future) value of this customer?
- in which contexts do you prefer to interact?
- what are your preferences and what is your customer journey?
As you may have noticed, the CDPs they have all the potential to create a single customer vision . It is a technology that can easily implement segments , user journeys , messages , communication channels and the best moments to contact your customers and potential customers.
Are you looking for answers to questions like these? Find out more!