Composability has arrived, says MessageGears

Composability is not just a passing trend; it has firmly established itself in the world of enterprise technology and marketing. According to a recent report by MessageGears, based on a survey of 300 professionals in the U.S. and U.K., the shift towards composable solutions is here to stay.

MessageGears, a composable data activation and engagement platform, is leading the charge in this new era of CDPs (Customer Data Platforms). While the concept of composability may be new to some, the report highlights the growing pressure on traditional packaged CDPs.

Defining our terms

Let’s clarify some terminology. A traditional CDP is a standalone platform that stores customer data and helps with data activation across various channels. On the other hand, a composable CDP activates data stored in a data warehouse or data lake, often through reverse ETL processes. The goal of a composable CDP is to avoid creating a separate copy of customer data.

When it comes to the term “composable,” there are different interpretations in the martech space. It can refer to pulling data from data warehouses or building martech stacks from best-of-breed solutions.

Dig deeper: What the composability revolution means for CDPs

Key takeaways from the report

Some of the main findings from the report include:

• 56% of organizations prefer a composable CDP over a packaged one.
• 70% of enterprise brands have invested in a cloud data warehouse.
• 90% of brands use more than one CDP.
• Leading capabilities sought in a CDP include predictive analytics/AI, data security, and deep analytics.

These statistics underscore the changing landscape of the CDP market, with traditional CDPs facing challenges in meeting the evolving needs of organizations. Major players in the industry are adapting to offer composable solutions alongside their existing offerings.

Our insights

Based on the report and industry observations, here are some key insights:

• Composability is a significant trend, particularly for large B2B enterprises with diverse customer data.
• Smaller organizations may not yet benefit from composable CDPs, which are more suited for complex data environments.
• Traditional CDPs are facing competition from customer engagement platforms focusing on real-time, personalized activation.

MessageGears, for example, is positioning itself as an end-to-end solution that combines the features of a CDP and a customer engagement platform.

For more information, you can access the full MessageGears report here.

Dig deeper: What the composability revolution means for the martech stack

Frequently Asked Questions

1. What is composability in the context of CDPs?

Composability in CDPs refers to the ability to activate data stored in a data warehouse or data lake without creating a separate copy of customer data.

2. Why are organizations shifting towards composable CDPs?

Organizations are opting for composable CDPs due to their flexibility, scalability, and ability to integrate with existing data infrastructure.

3. What are the key differences between traditional and composable CDPs?

Traditional CDPs store customer data on their servers, while composable CDPs activate data from external sources like data warehouses.

4. How are CDP vendors adapting to the rise of composability?

CDP vendors are expanding their offerings to include composable solutions alongside their traditional packaged CDPs to meet the changing needs of customers.

5. Is composability suitable for all types of organizations?

Composability is more aligned with larger enterprises with complex data needs, while smaller organizations may not yet require the capabilities of a composable CDP.