The global customer data platform (CDP) market size surpassed $4.8 billion in 2022 and is anticipated to reach $19.7 billion by 2027. The accelerated growth rate may be attributed to the simple fact that an enterprise CDP delivers on the promise of a personalized customer experience (CX) that drives loyalty, lifetime value and revenue. Gartner estimates that a personalized CX drives 66 percent of customer loyalty, more than price and brand combined, and that 80 percent of customers prefer to buy from brands that offer a personalized experience.
This article will examine some of the use cases that Redpoint clients have leveraged using the Redpoint CDP to develop a single customer view, power personalized experiences and ultimately reducing cost and driving revenue.
Whether using Redpoint as a fully integrated CDP, or for its capabilities around journey orchestration and real-time interactions, customers are finding value and proving ROI through improved data quality, segmentation and/or activation.
Data Management for the Win
Xanterra Travel Collection’s mission is to improve the guest experience for its more than 20 million annual guests. The travel brand owns and operates 34 worldwide hotels, numerous cruise ships and golf courses, and manages eight million acres of land on which it offers hiking, walking or cycling tours through iconic destinations and national parks.
A superlative guest experience for Xanterra customers includes receiving highly targeted, relevant communications precisely in cadence with an individual guest journey across one or several of Xanterra brands.
Relevance stems from Xanterra using Redpoint’s data management capabilities to build a comprehensive unified customer profile for each customer, a real-time, single customer view that it uses to profitably differentiate one customer from another. With a real-time, accurate understanding of an individual customer Xanterra identifies key segments and personas to significantly reduce the number of touches, achieving triple-digit performance improvements in revenue per email. Targeted email campaigns with relevant offers and unique imagery, content and subject lines now generate about 73 cents per email vs. an average of 8 cents for previous campaigns.
Xanterra also attributed Redpoint with seamlessly combining data from more than 100 sources to deliver significant savings in time and resources because the company was able to keep its existing systems intact. Reservation platforms and various data entry processes across multiple systems all stayed the same, with the Redpoint CDP completing data quality processes and identity resolution at the point of data ingestion to provide the 360-degree view of the customer.
Also in the travel realm, AAA uses Redpoint to automate 90 percent of its data processes. This is a key revenue driver because 47 federated AAA clubs across the country pay for the national club’s data services. With Redpoint simplifying data alignment, the regional clubs gain actionable insights from each other’s data even with each club having unique processes and business rules. With the same number of FTE resources since before deploying Redpoint, AAA has gone from managing millions of rows of data to billions of rows, attributed to Redpoint’s data management capability, specifically the ease of managing the complexity of 2,500+ customer attributes.
Identity Resolution and De-Duplications
Switching to media & entertainment, the Contributor Development Partnership uses the Redpoint CDP to increase donor files and net revenue for a coalition of public TV and radio outlets, including WGBH.
The CDP’s advanced identity resolution capabilities provided WGBH with a 10 percent increase in matched records, eliminating thousands of expensive duplicate accounts and contact records. Cate Twohill, the Contributor Development Partnership Director of Strategic Solutions, said that not having to manage the duplicate accounts that Redpoint identified “nearly paid for” the cost of Redpoint.
Beyond the immediate cost savings, the partnership uses the Redpoint CDP for granular segmentation and omnichannel orchestration, increasing revenue through personalized B2C marketing campaigns that are optimized by channel. With Redpoint Journey Orchestration, the Contributor Development Partnership optimizes customer journeys across direct mail and digital channels and is able to measure campaign effectiveness with a single point of operational control.
Omnichannel Orchestration
In the healthcare space, a healthcare marketing engagement company that strives to transform healthcare through better outcomes and experiences with a consumer-first approach, achieved a 60 percent reduction in onboarding costs and time to onboard, and a 25 percent reduction in marketing operations costs with Redpoint.
Healthcare insurers and providers across the country have used Redpoint to run multi-channel marketing campaigns, supporting renewal and onboarding efforts even across multiple different business models.
Campaigns for a diverse partner community are managed through a single orchestration layer across the entire customer lifecycle: acquisition, onboarding, member engagement and retention/renewal. This provides payers with full visibility into the customer lifecycle of members, translating to highly coordinated and relevant omnichannel engagements, more effective onboarding and better retention.
Turning to finance, a Fortune 100 global financial services firm achieved a 96 percent improvement in speed to marketing campaigns with Redpoint, as well as a reduction in customer data queries from hours to minutes for advanced analysis.
Prior to implementing Redpoint, separate databases for international and specialty customers prevented the company from having a unified customer view, especially with a latency issue that made timely data extraction from a 5-terabyte database difficult. With a limited data model, the company lacked the necessary speed and efficiency to deliver new segmented campaigns, offers and multichannel customer journeys.
With the Redpoint CDP, the company streamlined access to its customer data, making it possible to provide contextually relevant experiences at the pace of its customers. The company now has a single point of operational control over customer data across the enterprise, and builds personalized customer journeys at scale.
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