Once customer segments are created, the next step is to use the segments for customer activation.

Data activation is the process of using data to inform business decisions and activities. You put data into action by making it accessible on business applications. One example is having real-time e-commerce data accessible in email marketing software (to send personalized messages based on customers’ latest purchases).

While activation in a Customer Data Platform (CDP) used to refer to the process of leveraging customer data and insights to activate targeted marketing campaigns or initiatives, it now extends beyond marketing use cases. It is used to deliver personalized and relevant experiences to specific customer segments.

Activation means using the segmented data and making it available for business tools such as:

  • Customer service chats
  • Analytics software
  • SMS marketing tools
  • Advertising platforms
  • Accounting SaaS

To transfer the data you gather to the downstream tools, you have the option to utilize reverse ETL tools or develop custom integrations tailored to your specific requirements. Most CDP tools make it very easy to connect with downstream applications, offering connectors similar to those used for bringing data into the CDP from connecting data sources. These connectors help to connect with different downstream applications, such as advertising platforms, CRM platforms, BI tools, and other third-party applications. There are applications like Mulesoft, which can help in integrating your CDP with the downstream applications.

Once you start using the segmented data in your downstream applications, you can create personalized experiences for your customers.

Segmented data is used for various purposes, as follows:

  • Personalized marketing
  • Retargeting and look-alike modeling
  • Social media advertising
  • Personalized app experience
  • Personalized recommendations
  • Product analytics and usage metrics tracking, among other use cases

Let us take a look at one particular use case using segmented data from a Customer Data Platform (CDP) to enhance the personalization and user experience of a mobile app (android or iOS). By leveraging the insights and information gathered through your CDP, you can tailor the app experience to meet the specific needs and preferences of individual users by:

  • Personalized Content: Use the segmented data from your CDP to deliver personalized content within the mobile app. For example, customize product recommendations, offers, or promotions based on each user’s preferences and past behavior. Show relevant content or messages that resonate with each user segment.
  • Dynamic App Experience: Customize the app’s interface, layout, or features based on the specific needs of each user segment. For instance, show different menu options, display personalized greetings, or highlight relevant sections of the app based on the user’s segment.
  • Push Notifications: Craft personalized messages that align with each user segment’s preferences and behaviors. Send notifications about relevant updates, new features, promotions, or personalized recommendations to increase user engagement. Companies like Zomato and Swiggy do it at scale with millions of users.
  • User Journey Optimization: Analyze user behavior and interactions within the app using the data from your CDP. Identify common user paths, pain points, or areas of improvement for each segment. Optimize the app’s user journey based on these insights, making it more intuitive and personalized for each segment.

After successfully activating the customer data for one or two business use cases, it’s celebration time for your team – your first MVP is successful! Now, the goal is to monitor the performance of the activation and accordingly make changes. Document the learnings from this exercise and repeat it for other use cases. Hopefully, with each build, your team will get better at implementing the CDP for different use cases.