Tag Archives: CDP industry

CDP Industry July 2021 Update: accelerated growth during the pandemic

MILFORD, CT, United States, 28-Jul-2021 — /EPR INTERNET NEWS/ — Customer Data Platform (CDP) vendors grew at a record pace during the first half of 2021, according to the CDP Institute’s latest Industry Update report. The semi-annual report found that a brief slowdown at the start of the Covid-19 pandemic was replaced by accelerated growth, increased funding, and strategic acquisitions as companies invested in CDPs to support pandemic-inspired transformation projects.

CDP vendors listed in previous reports added 6% more employees and 11% more venture funding during the first half of 2021, compared with 1% employment growth and 3% funding growth in the second half of 2020.

In addition, a near-record twenty new CDP vendors were added to the report. These were split about evenly between CDP start-ups and established businesses that added a CDP capability to existing products.

Industry growth is also reflected by a record eight CDP acquisitions and mergers during the period. Most buyers were customer engagement software vendors seeking a CDP to connect siloed components of multi-channel suites.

Growth was especially strong in the Asia Pacific region, whose share of industry vendors grew from 13% one year ago to 17%, share of employment grew from 10% to 14%, and share of funding grew from just 6% to 25%. Europe-based companies fell from 39% to 38% of vendors, from 32% to 28% of employment, and from 14% to 12% of funding over the same period.

The report estimates CDP Industry revenue for 2021 at $1.6 billion. This figure represents revenues for all CDP product sales worldwide, including CDP components within other systems such as marketing suites, message delivery systems, and ecommerce platforms. It does not include related services or in-house customer data system development.

SOURCE: EuropaWire

CDP Industry Update July 2019: Fifteen of the nineteen new CDP vendors are from outside the U.S.

SWARTHMORE, PA, U.S.A., 8-Aug-2019 — /EuropaWire/ — The Customer Data Platform Industry continued its rapid growth in the first half of 2019, according to the CDP Institute’s semi-annual Industry Update. The industry added nineteen vendors and raised $317 million in new capital during the period while employment was up 71% over the previous year.

Major shifts in the market included expansion in Europe, EMEA, and APAC. Fifteen of the nineteen new CDP vendors are from outside the U.S. The Institute also confirmed its projection for the CDP industry to reach the $1 billion revenue in 2019.

Other milestones the report were:

  • More Funding. Cumulative funding for the industry grew by $680 million, reflecting funding during the period plus previous funding for vendors just entering the industry.
  • Strategic acquisitions. The period saw two CDP acquisitions: data integration specialist Allsight by Informatica and B2B CDP Lattice Engines by Dun & Bradstreet. Neither buyer is primarily a marketing system vendor, illustrating the value that companies in related sectors now see in CDP functions.
  • Operational CDPs. The period also saw addition of three vendors with a primarily operational focus: two customer success systems (Gainsight and Totango) and one in healthcare (Healthgrades). These firms represent the leading edge of a new class of CDP vendors that is expected to grow rapidly.
  • Marketing Cloud entrants. Salesforce, Adobe, and Oracle all announced future CDP products that are expected to be available before the end of 2019. These attracted new attention and are expected to substantially expand CDP awareness and adoption.

Vendor Categories

The CDP Institute report groups CDP vendors into three categories based on the functions provided by their systems. Categories are:

  • Access. These systems gather customer data from source systems, link data to customer identities, and store the results in a persistent database available to external systems. This is the minimum set of functions required to meet the definition of a CDP.
  • Analytics. These systems provide data assembly plus analytical applications. The applications always include customer segmentation and sometimes extend to machine learning, predictive modeling, revenue attribution, and journey mapping. These systems often automate the distribution of segment lists to marketing automation or advanced analytics products.
  • Campaigns. These systems provide data assembly, analytics, and customer treatments. These treatments may be personalized messages, real time interactions, product or content recommendations, outbound marketing campaigns, customer journey orchestration, or other contacts. What distinguishes them from segmentation is they also specify the message to be delivered.

SOURCE: EuropaWire

RealCDP aims at reducing the confusion plaguing the Customer Data Platform industry

SAN JOSE, CA, USA, 4-Apr-2019 — /EuropaWire/ — The Customer Data Platform Institute today launched RealCDP, a program to reduce the confusion plaguing the Customer Data Platform industry.  RealCDP has two components:

  • RealCDP certification, a five point checklist of core capabilities needed to build a unified, sharable customer database.
  • CDPFinder templates and vendor information to help buyers find the right CDP for their needs

“The CDP industry faces two challenges,” said CDP Institute Founder David Raab. “First, many firms offering a CDP or CDP alternative fail to build the complete, shareable customer database that is the heart of the CDP concept.  Second, legitimate CDPs vary hugely in the additional features they provide, leaving buyers confused by the range of options.  These two programs address each challenge separately and, taken together, we hope they will make it easier for buyers to find the products they truly need – and avoid alternatives that will leave them disappointed.”

SOURCE: EuropaWire