What Does Customer Data Management Mean?
Customer Data Management (CDM) is a solution mechanism in which an organization’s customer data is collected, managed and analyzed. CDM is geared toward resolving customer requirements and issues while enhancing customer retention and satisfaction, allowing an organization to convert customer data into Customer Intelligence (CI).
Techopedia Explains Customer Data Management
With CDM, one or more software applications are integrated to facilitate access to reliable and efficient customer data. Attracting and retaining customers requires a clear understanding of customer requirements. CDM streamlines customer relationship management (CRM), marketing and customer feedback management (CFM).
CDM must be tightly integrated across the departments of an organization, including IT, sales and HR. CDM processes include:
- Categorization: Customer data is classified and subclassified.
- Correction: Collected data is verified for accuracy and consistency. When necessary, contact details are updated, and duplicate records are removed.
- Enrichment: Incomplete data is collected and completed.
- Collection: Customer data and insight activity is collected via a customer feedback system or sources, like sales, customer support, surveys, reports, newsletters and other customer interactions.
- Organization: Customer data is organized and shared throughout an organization.