Every company building B2B data-centric product for GTM teams either dies, or lives long enough to become a customer data platform (CDP). Here's why: 👇
At their core, B2B products for GTM teams do a few key things:
1. Ingest and centralize customer data from different sources.
2. Clean, enrich, transform the data to make it meaningful
3. Take action against systems of engagement or systems of record.
From a product standpoint, this translates into:
1. Product integrations that ingest and sync customer data into a central database. Typically CRM + other data sources.
2. Proprietary models or 3rd party APIs that enrich and generate insights from the data. Often includes identity resolution, ML/AI, and analytics.
3. Product integrations that help end users take action based on insights, rules, and other business logic. Often executed in the context of a workflow.
Which also describes the basic architecture of a CDP.
To qualify as a CDP, products need to support broader use cases than simply sales engagement, product analytics, marketing automation, or customer success automation – which means more source and destination integrations...
Of course, B2B companies that do well naturally expand to cover the entire customer lifecycle - to expand TAM, go after more product use cases, target more customers, and unlock more revenue.
None of this is new or surprising.
What's interesting today is that every company is also applying generative AI / LLMs in step 2. Companies are delivering new customer value from ingesting unstructured customer data that was previously ignored, because it was too messy to deal with. Things like documents, support tickets, call transcripts from places like Box, Zendesk, and Gong. They're also generating new unstructured content (notes, emails) that previously was not possible to do efficiently (at scale), to the benefit of players like Apollo.io and Outreach.
More to come on the rise of the "AI-native CDP"! As an integrations company, it's fun seeing this shift happen in real-time 😄
CEO @ Daydream: AI-powered BI for execs & ops (#1 on Product Hunt)
2wTotally agree. Q is how to create the right alignment of people, exposure, and incentives to get there. One mistake I’ve seen play out is to hire phds who are strong technically but who don’t really understand businesses work operationally and then (particularly at bigger companies) hinge data career progression on complex technical work vs impact. Great formula to get people doing unnecessary ML models and writing long, non-actionable but technically accurate reports while shunning the basic arithematic and optionionated takeaways that move things forward