Do You Need a CDP or a DXP? It Depends - CMSwire | The Marteq Alert |
CDP Definition
From the CDP Institute: “Packaged software that creates a persistent, unified customer database that is accessible to other systems." CDPs typically have four common characteristics: integrating audience data from multiple sources, managing customer identities, supporting real-time customer segmentation, and provisioning customer data to other systems.

DXP Definition
From Gartner — “An integrated set of core technologies that support the composition, management, delivery and optimization of contextualized digital experiences.” Some definitions include an architecture component for the construction of the digital infrastructure as well: “DXPs provide an architecture for companies to digitize business operations, deliver connected customer experiences and gather actionable customer insight.” Many DXPs list content management, personalization and journey optimization, omnichannel marketing, managing net promoter scores (NPS), facilitating customer self-service, and developing and managing a landscape of digital applications as expected functionality. 

While there are differences between these applications, there are also many overlapping capabilities, particularly when you consider the “beyond capabilities” offered by some of the major vendors in both categories. Some analysts say that CDPs are or will be absorbed into the DXP world to provide the data needed to deliver great digital experiences, but this is far too simplistic. Some also label the CDP as analytical in nature and the DXP as operational. Again, too simplistic.