As your eCommerce business grows, you accumulate more and more data. The bigger your customer database grows, the more difficult it is to structure, and the more errors and sometimes inconsistencies occur. An unorganized database also makes it impossible to implement segmentations. That’s why we’re going to introduce you to CDP and the best customer data platform integration company.
What is Klaviyo’s CDP?
CDP stands for C—customer, D—database, P—platform. We will begin with the general question. What exactly is a CDP? Klaviyo gives the following definition:
“CDP is a system that collects, unifies, and stores data from multiple sources at scale and makes it available for manipulation and distribution to systems of insight (such as CRM and analytics systems) and engagement (like marketing automation and ad platforms)”.
The customer data platform is a modern solution for collecting, grouping, structuring, and analyzing customer databases. Every business of all sizes needs this tool. The CDP collects all possible data that belongs to your company and sorts it into appropriate categories.
With this data properly structured, you open up many opportunities. Not only do you get clean data, but you can also improve interactions with customers in real time, make predictions, set up segmentation, or identify possible issues.
Klaviyo Customer Data Platform
Klaviyo’s CDP is the first CDP created for businesses of completely different sizes and scales. It is a user-friendly, vertically integrated CDP, which means simplifying your technology stack as well as managing and activating your data more efficiently.
As the best automated marketing platform, Klaviyo collects data from hundreds of resources through multiple integrations. It stores your customer data in a highly structured way and provides you with accurate performance reports through reporting tools across multiple marketing paths owned by you.
Main Qualities Raising Klaviyo’s CDP Above Others
Klaviyo is one of the top marketing software with advantages over other brands. But what exactly are these advantages?
Shorter time to value, because of:
- development for companies of any size
- accessibility to marketers with minimal technical skills
- does not require too much additional set-up
Offers the best services for a reduced total cost of ownership:
- leading vertical CDP integration
- the opportunity to maintain unaggregated, lifetime data for each customer, available nowhere else
- integrated functionality of native data analysis, ingestion, syncing, and manipulation
- reduced software spending and fewer development hours
Quick access to all your early data for all time and instant data:
- detailed visibility into your brand’s data across all time, from real-time user activity to purchases from years ago
- more detailed analysis and comprehensive marketing on a significant scale
- higher CLTV and retention rates
Built on the principle of a rich, efficient data infrastructure, the Klaviyo CDP platform centralizes a large amount of diverse data, which increases your targeted marketing performance.
Benefits of CDP from Klaviyo
We have already discussed why Klaviyo is better than others and highlighted the main strengths that are unavailable elsewhere. But now we’ll discuss how Klaviyo’s customer data platform tools can benefit you. They highlight 4 main benefits:
- Increasing the value of data
One of the main benefits of CDP in general is the improvement of your data. As the data improves, it actually increases its value for businesses and becomes less useless.
- Increased data accuracy
This is a common benefit of any СDP, and Klaviyo guarantees it to you. The main strategy for this benefit from Klaviyo is to combine data from all possible resources.
- Enhanced Customer Lifetime Value (CLV)
Klaviyo helps you make your targeting more effective with better segmentation, personalized marketing, and predictive insights. These strategies increase CLV.
- Reduced cost
By combining marketing and data in Klaviyo CDP, businesses can reduce costs and the number of support resources or tools.
Klaviyo Customer Data Features
We have prepared a detailed description of the features of this software for you so that you can learn more about them. This section includes a large amount of different elements and is divided into intelligence and data management features. To ensure that you won’t miss any of the most significant ones.
Intelligence features
A funnel analysis report can help you improve the optimization of areas by visualizing the customer journey through. The report allows you to see the stages that customers have gone through and the number of customers at each stage.
RFM analysis report gives you the ability to predict customer buying behavior and create multiple segmentations based on purchasing behaviors.
Customizable CLV (CCLV) report analyzes the actual purchasing habits of your customers in each of your marketing channels and then models potential future purchases based on this data. You also get the opportunity to personalize the customer buying experience in accordance with key holidays and events of the year that are important for certain customers. Below you can see an example.
With audience performance reports you can increase the efficiency of product promotion by analyzing purchase patterns. With access to performance, you can instantly see successful and unsuccessful segments. You also get detailed information about each segment, the overall success of the channels, and the total conversions or revenue of your customers.
As a default, you get metrics that track your business performance and measure success. However, you may need your own custom metrics to better track your business’s performance. That’s why the custom metrics feature in Klaviyo allows you to customize your data for better reporting that fits your business.
Custom monitors allow you to organize information directly in front of your eyes so that you can react faster and be on the lookout for problems with your key metrics. There are three types of monitors you can customize:
- Single flow monitor
A flow to monitor key performance metrics for and receive alerts about.
- Single metric monitor
An event to monitor and receive alerts about.
- Single segment monitor
A segment to monitor and receive alerts about.
Thanks to catalog insights, you can see the analysis of your products and customer behavior related to certain products so you can develop a marketing strategy based on this information. Analyze which of your products stimulate orders and which ones need to be directed to the journey of your customers.
Data management features
You can regularly synchronize profile data with external data warehouses using the data warehouse syncing feature. This also gives you the ability to analyze important information outside of Klaviyo. Klaviyo supports connections with Amazon Redshift, Amazon S3, Google BigQuery, Microsoft Azure, and Snowflake.
Webhooks allow you to create webhook-based applications in external systems based on events that are captured in Klaviyo. They can pass information from other apps, tools, and servers using HTTP POST requests to notify your external systems.
Using the data transformation tool, you can change profile properties with ease. This will allow you to customize segmentation and personalization, making your data more useful.
Code allows you to write your own Javascript or Python code in the editor and then execute it directly in the platform. With Code, you can create custom functionality that is triggered in response to a specific event. You can also access many popular prebuilt modules to make it easier to build your own solutions.
Klaviyo Customer Data Platform Pricing
In case you are not sure which software to use for CDP, there is a Klaviyo free trial for 30 days. Try out the unique features for free in the demo version.
If you decide to become a permanent partner of Klaviyo, they have a pricing system that will suit everyone. Payment is based on the number of profiles and starts at $500 per month for 100,000 profiles. For this amount, they provide advanced data management capabilities at an affordable rate.
However, Klaviyo CDP is not included in the standard Klaviyo marketing application and a CDP subscription is required to access the corresponding functionality.
Flowium gets you started with Klaviyo
To summarize, you need CDP for better performance of your business, and you need CDP from Klaviyo even more, because it advances you not only in customizing your data but also in improving your marketing with it.
There is no need for you to figure out how to work with Klaviyo yourself, as our company is a Master Elite Partner with extensive experience in working with the Klaviyo agency overall. Our team has advanced knowledge of the software and expertise in using it to support client companies in realizing their full potential. That’s why the best offer for you is to contact us.
FAQ
What is a customer data platform?
A customer data platform (CDP) is a system that collects, combines, and stores data about all customer interactions with a particular brand or company.
Does Klaviyo have a CDP?
Certainly, Klaviyo CDP is one of the most important integrated software they have. Their CDP is also one of the best on the market, which greatly increases the efficiency of management and activation of data.
How much does Klaviyo CDP cost?
CDP in email marketing is what collects all the data about customers who interact with the brand in any way. A CDP can collect information from social media, email marketing, digital ads, landing pages, search engines, and a company’s website.
Does CDP replace CRM?
The CRM doesn’t replace the СDP because they are different systems in terms of functionality, while the CRM supports sales, the СDP provides a general view of the customer database.
