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PATECCO Top Tips How To Effectively Manage Customer Data

Customer data management is a hot topic these days. As the online commerce is growing along with the number of channels and devices, the need of solutions for managing and protecting the customer data increases every day.

Managing IAM for customers is different than managing it for employees. Customer IAM (CIAM) requires an ability to scale to far greater numbers of individuals. There is also a need for increased usability, convenience, security, privacy and support. As well as ordinary customer identity information, such as name, email address, payment types and shipping addresses, most businesses require a range of other information from customers. Starting from communication channel preferences to product selections and privacy choices.

Talking about CIAM, we see that the technology is different, solutions are different and the overall approach, too. Some experts claim that the customer journey is the most important element of customer data management, others make it priority to host a secure data network. There are different practices and opinions, that's why PATECCO team made a complication of its top tips how to effectively manage the customer data:

Tip #1: Focus on centralization

The most impactful action you can take with your data management strategy is to focus on centralization, especially with the fast and fragmented nature of cross-channel customer data. This enhances the visibility of your customers’ actions and preferences and allows you to identify your Most Valuable Customers. This approach allows marketers to become more strategic, gain greater understanding and have greater engagements in order to deliver relevant communication with them.

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Tip # 2: Ensure automated auditing

Customers’ data should be strongly protected. That’s why your company must ensure complete visibility into your IT infrastructure, audit malicious activity and unauthorized changes to strengthen security and protect against insider misuse. Automated auditing provides sustainability of the process guarantying that no malicious change goes unnoticed to ensure the security of sensitive data.

Tip # 3: Build a data governance strategy and ensure proper storage of customer data

Too many organizations do not put in the proper safeguards to prevent data corruption and as a result, limit their ability to effectively communicate and engage their customers. Your customers’ trust is valuable, and if you can’t protect their information, they won’t trust you. So make sure that you are doing your best about their data security and inform your customers that you are strictly protecting their information.

Tip # 4: Identify, justify and segregate

It’s important to identify the type of information you want to store, so justify why you need it and then segregate them into buckets based on gender, age, geo-location, etc. The information can be on your customers or even potential customers that includes name, address, or any personal details, even the ones taken electronically from e-commerce transactions etc.

Tip # 5: Decide on your critical data.

Some companies collect so much irrelevant data. Their team collect different kind of information, so they lose the track of exactly what is important. If you don’t know what your critical data is, think about how you identify your customers. What criteria do you use to do that?

Think about the customer journey - during the first contact with your customer, do you really need to collect their address? Or do you really need the first name, last name, email, phone and the product they are interested in? Our advice is to set up data integrity dashboards or reports that allow you to monitor data completeness by staff member.

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Tip # 6: Use CRM system

Customer data needs to be routinely captured and maintained, so the companies will be able to know and understand how to help customers easily buy. Data management is more effective by using CRM system for better interaction with the customers. Staff needs to understand and buy in to the results that can be driven by analysing and acting on comprehensive data.

 Author: Dr. Ina Nikolova