Crafting Memorable CX: Data-driven Strategies in a Privacy-first World

Build on a foundation of trust

Brands can no longer rely on third-party cookies to track and target consumers. Instead, they need to prioritize first-party data.

“The use of data can enhance their ability to deliver a brand promise,” says Tom Hannigan Jr., HCLSoftware Marketing Automation Practice Leader for enterprises.

With tightening privacy laws, capturing and deploying actionable customer data across various touch points has become a significant challenge. The General Data Privacy Regulation and the California Consumer Privacy Act, among other regulations, require brands to obtain user consent before collecting their data. These regulations also limit how much data companies can collect. Additionally, consumers are more privacy-conscious than ever and won’t hesitate to use ad blockers or opt out of data tracking.

Hannigan emphasizes that a robust Customer Data Platform can help brands overcome these challenges. For a CDP to be effective, it has to be built on a foundation of trust and have a long history of serving data-intensive, highly regulated industries like banking and telecommunications. HCLSoftware’s platform reflects this ethos. Hannigan also asserts that the DNA of where software comes from is super important.

“Our products were born serving a customer base that was largely people who were using data long before anybody else,” he says. “Inherent in that was a respect for privacy because they started with first-party data.”

Along with these privacy-by-design principles, an optimal CDP should offer extensible capabilities that allow brands to easily add new features to stay on top of evolving privacy regulations. With this technology, brands can develop more data-driven, privacy-focused customer experiences.

Hyper-personalize customer targeting

For experiences to be memorable, they also should be highly personalized. From Hannigan’s perspective, they must offer utility to customers, provide a reason for them to engage with the brand, and surprise and delight them.

To deliver this value, companies need to gather granular data and transform it into actionable insights that facilitate a 360-degree view of each customer. Artificial intelligence can help them gather customer data from various sources and transform unstructured data, such as customer reviews and social media comments, into valuable business intelligence.

“The first order of business is you need to automate. Otherwise, you can never personalize,” Hannigan explains.

Also Read: Hyper-targeting: The Secret Weapon for Laser-Focused Marketing

AI is also useful for spotting relationships between disparate data sets, which can help brands uncover trends and patterns that lead to more memorable customer experiences.

Some automakers have mastered this by creating apps that allow drivers to start their car remotely and locate their vehicle anywhere (utility), receive reminders about their next oil change with an option to schedule it within the app (engagement) and earn points toward rewards (surprise and delight).

Any brand can create memorable experiences like this. They just need to get their data house to do it.

Break down silos for consistent customer experiences

While silos persist in many companies, Hannigan points out that data can act as a unifying force—because, without integrated data, brands can’t deliver a seamless experience across channels. He reflected on this challenge by explaining how a marketing leader at a bank might see the situation.

“I want to ensure the same offers I’m presenting to a customer in email are also in the branch. That requires integration across delivery channels,” he says. “So, we tend to use data and the delivery-channel conversation as a way to bridge those silos because there’s no other way to do it.”

This is another area where a CDP is valuable. The platform offers AI-driven capabilities that automate and integrate data to help brands create a more unified ecosystem. By taking a holistic view, brands are better positioned to activate their data and deliver high-impact, personalized customer interactions.

Maximize return on investment (ROI)

Companies often have to make tough decisions about where to invest. Advanced data management, supported by a CDP, can give them access to relevant insights that inform resource allocation decisions.

According to Hannigan, brands can use the platform to develop what HCLSoftware calls a “marketing portfolio view.” Like how an everyday investor reviews their stock portfolio and tries to maximize returns, chief marketing officers can use a CDP to better understand campaign performance and which channels deliver the highest return on investment. HCLSoftware’s CDP gives leaders a rolled-up, end-to-end view of their organization’s marketing activity to support better decision-making.

“We present marketers with a portfolio view that says, ‘Here are the places that if you invest more, you’ll be able to grow your business.’ Because we’re seeing that in their campaigns, ” says Hannigan. “We map all that out so that decisions aren’t just made on a campaign-by-campaign basis; they’re made on a portfolio basis on how to drive results.”

Also Read: The Future of Retail is AI: Personalized, Efficient, and Customer-Centric

Make a lasting impression

For companies to drive better outcomes, they need to understand their customers better and encourage them to feel connected to their brands.

A CDP can connect customer data and empower brand teams to create memorable experiences, such as personalized sale offers or vehicle service reminders.

By maximizing their data, companies can fulfill their brand promise and create useful, engaging, surprising, and delightful experiences. When brands can deliver these experiences, Hannigan says, “That, to me, is as good as it gets.”