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Today’s hospitality industry is witnessing a renaissance. Digitalization and automation have made the market wide open. Legacy brands do not have the same leverage anymore, as it has become the game of who understands the customers better, faster, communicates, and converts them. 

The hospitality industry is becoming increasingly competitive, and providing guests with a personalized and memorable experience is more important than ever. A Customer Data Platform (CDP) can help businesses in this industry do exactly that. It collates the data from different channels and locations into a single place. You get a customer intelligence dashboard, providing everything you need to know about your customers to give them the most customized accommodation product. 

Why a CDP, and how it’s different from CRM?  

Simply put, a CDP is a centralized system that helps businesses collect, integrate, and manage customer data from various sources. It allows a complete understanding of their customers and enables personalized experiences. In comparison, CRM is traditionally a customer-facing application focusing on customer data to facilitate marketing initiatives. It does not effectively identify the best potential customers and gauge them on parameters like “long-term value.”   

Moreover, CDP primarily engages with your company’s first-party data by bringing together data coming from the website, POS, CRM, surveys, and customer feedback. It’s an essential capability, given how restricted the third-party data is. You get very little from Google, Apple, and Facebook. So, this data becomes a dependable source of truth, which uncovers purchase habits and helps you build a long-term view of guest value. 

Five reasons why hospitality players should consider embracing a Customer data platform


1. Improved Personalization: With a CDP, hospitality businesses can quickly gather and analyze customer data to create personalized experiences. As an industry expert, Blake Morgan writes- 

“Today’s customer wants a personalized experience. They don’t want to be just a number. They want to be known, to be understood, and to be treated like an individual.”  

A CDP can help businesses do just that by offering personalized recommendations, tailored marketing communications, and even customizing the physical layout of a hotel room based on a customer’s preferences. This research by Epsilon further establishes how personalized communications make a difference, personalized emails have an open rate of 29% higher than non-personalized emails. 

2. Enhanced Customer Segmentation: A CDP allows businesses to segment their customers based on various characteristics such as location, demographics, and past behaviors. It enables more targeted marketing efforts, increasing the likelihood of a guest returning to the hotel or resort. According to a study by the CDP Institute, companies that use CDPs have a 91% higher customer retention rate than those that do not. 

3. Increased Customer Loyalty: By using a CDP to gather and analyze customer data, hospitality businesses can better understand what their guests want and tailor their offerings accordingly. It can increase customer loyalty as guests feel the business truly cares about their needs and preferences.  

As Jezz Bezos famously said- 

“We see our customers as invited guests to a party, and we are the hosts. It’s our job every day to make every important aspect of the customer experience a little bit better.”  

Loyalty brings other benefits like Loyal customers spending more than new ones. A Markin Blog study notes loyal customers spend 67% more than new customers. 

4. Better Marketing Efforts: A CDP can help hospitality businesses identify opportunities for upselling and cross-selling to their guests. For example, if a guest is interested in a particular activity, the business can suggest related products or services that they could find interesting. It can help drive additional revenue for the business. A study by the CDP Institute found that companies that use CDPs see a 49% increase in average order value

5. Streamlined Operations: A CDP can help hospitality businesses streamline their operations by centralizing customer data and automating data integration and segmentation tasks. It can save time and resources, allowing the business to focus on providing the best possible experience for their guests. A study by Forrester found that companies that use CDPs experience an average ROI of $8.2 for every $1 invested. 


A Customer Data Platform can be a valuable tool for hospitality businesses looking to improve the customer experience, increase loyalty, and streamline operations. By embracing a CDP, hospitality players can gain a more comprehensive picture of what their target prospects want and align their efforts to gain more traction and achieve a competitive advantage in the market. 

About Vervotech:

Vervotech is a leading Hotel Mapping and Room Mapping API that leverages the power of AI and ML to quickly and accurately identify each property listing through the verification of multiple parameters. With One of the industry’s best coverage of 98% and an accuracy of 99.999%, Vervotech is quickly becoming the mapping software of choice for all leading global companies operating in the travel and hospitality industry. To learn more about Vervotech and the ways it can enhance your business in the long run contact us:

Disclaimer: The author is solely responsible for the content and Vervotech does not exert any control or influence over the author's opinions or statements.

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