SWARTHMORE, PA, U.S.A., 9-Mar-2020 — /EPR INTERNET NEWS/ — Europe’s base of home-grown Customer Data Platform vendors grew rapidly in 2019, according to the CDP Industry in Europe 2020 report from the Customer Data Platform Institute. The number of vendors grew by 73% and employment grew by 80% during the year. Estimated revenue for Europe-based firms reached €260 million.

The high growth came despite a near-total lack of outside funding for new CDP ventures. Only one Europe-based CDP announcing funding during 2019, for €10 million, compared with €450 million for eleven non-European vendors. One result is that European industry growth came primarily from established firms adding a CDP product, rather than new CDP start-ups. Another is that most European vendors are substantially smaller than their external counterparts and are more likely to serve a single national market.

The European industry remains highly fragmented, no single vendor exceeding 10% market share and the top five vendors combined accounting for one-third of total employment. A dozen European countries have at least one native CDP although the United Kingdom, France, and The Netherlands are home to half of all European CDP vendors and 60% of employment.

The report also lists non-European vendors with a presence in the European market. The CDP Institute estimates these firms earned €100 million in Europe in 2019 and will reach €135 in 2020. It expects that 2020 revenue for Europe-based CDP vendors will reach at least €350 million. Revenue may grow even more quickly as global software firms including Salesforce, Adobe, Oracle, Microsoft, and SAP start selling their own CDP products in Europe.

The new study also includes market-by-market analyses from local vendors. Their consensus is that buyers now have a clearer understanding of the value provided by CDPs. But vendors say that buyers are still cautious, with longer purchase cycles in Europe than other markets and relatively few completed implementations. They expect that sales to accelerate in 2020 as CDPs become increasingly familiar and global software vendors further educate the market.

A free copy of the complete CDP Industry in Europe 2020 report is available here. The CDP Institute’s latest global CDP Industry Update is available here.

SOURCE: EuropaWire

SWARTHMORE, PA, U.S.A., 11-Feb-2020 — /EuropaWire/ — Established Customer Data Platform vendors prepared for industry consolidation even as new firms entered industry during the second half of 2019, according to the CDP Institute’s semi-annual Industry Update. The industry added fourteen vendors and $236 million in new capital during the period while employment was up 64% over the previous year.

The CDP Institute estimates industry revenue for the 2019 at $1 billion and expects at least $1.3 billion in 2020. Growth will be driven by expansion outside the U.S. and entry of enterprise marketing vendors. Adobe, Microsoft, and Oracle all released RealCDP^TM-compliant products during the period and Salesforce is expected to release one in mid-2020. RealCDP is the CDP Institute’s standard for capabilities required to provide expected CDP functions.

The dominant theme of the period was change. The period saw three acquisitions of CDP vendors by larger firms, four acquisitions of other firms by CDP vendors, seven major funding events, and the exits of nine firms through asset sales or repositioning. The trend continued in early 2020 with Salesforce’s February 3 acquisition of CDP Evergage. These developments show vendors positioning themselves to succeed in a crowded marketplace where no company has yet established a dominant position. The transactions were notably concentrated in the second tier of CDP vendors: eleven of the fourteen non-exit events involved firms ranking between 13^th and 30^th in the 101-company industry.

Vendor Categories

The CDP Institute assigns CDP vendors to four categories based on the functions provided by their systems. Categories are:

• These systems gather customer data from source systems, link data to customer identities, and store the results in a persistent database available to external systems. This is the minimum set of functions required to meet the definition of a CDP.
• Analytics. These systems provide data assembly plus analytical applications. The applications always include customer segmentation and sometimes extend to machine learning, predictive modeling, revenue attribution, and journey mapping. These systems often automate the distribution of segment lists to marketing automation or advanced analytics products.
• Campaigns. These systems provide data assembly, analytics, and customer treatments. These treatments may be personalized messages, real time interactions, product or content recommendations, outbound marketing campaigns, customer journey orchestration, or other contacts.  What distinguishes them from segmentation is they also specify the message to be delivered.
• These systems provide data assembly, analytics, customer treatments, and message delivery. Delivery is typically through email, Web site, CRM, or several of these. Products in this category often started as delivery systems and added CDP functions later.

A free copy of the complete report is available at https://lp.cdpinstitute.venntive.com/DL2129-CDPI-Industry-Update-January-2020