The purpose of DMP, aka Data Management Platforms, is to gather data and then converge and unify it so as to deduce a segmentation of users based on their behavior. How does this work in practice?
What is DMP?
The DMP, or Data Management Platform, is a platform for retrieving, centralising, managing and using data relating to customers and prospects.
The most advanced DMPs nowadays collect data from different contact points.
Why? Because by gathering offline and online information, your marketing segmentations can be defined with greater precision and relevance.
In this sense, a DMP is close to CRM software. The DMP will enable users to optimise marketing expenses by allocating them more efficiently and accurately.
Towards a convergence of CRM and DMP?
There are many benefits to implementing a CRM solution. In fact, the differences between DMP (Data Management Platform) and CRM (Customer Relationship Management) are gradually disappearing. They already share some common features:
- prospect- and customer-oriented processing
- the ability to manage and target digital identifiers (with a notion of token/cookie, depending on the trail of data left by the target)
- the possibility of using digital tools to exchange data.
In short, when a company is considering equipping itself with a DMP, it is important they consider the features which are already provided by the CRM solution they already have– and vice versa!
The challenges of a DMP?
Data Management Plateform is a technological concept which has been trendy for some time now, and seems to have won the support of those who have tried it.
For example, SFR, Samsung and Prisma Media report a conversion gain on purchased keywords, reduced allocation costs and improved website customisation.
However, everyone has not yet been won over by DMP solutions.
According to the Markess study, 13% of decision-makers have no idea what a Data Management Platform is and only 17% have invested in installing one.
Whatever you do, be sure to protect the data you manage. Remember the ever-watchful GDPR.
Now that you know what it means, find out how it fits into your CRM. Request a free demo now!
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