The end of standalone CDPs?

MarTech is a vast and growing industry with thousands of players, and some level of consolidation is always in the air. Now, a recent string of mergers and acquisitions has everyone’s antennae up. Uniphore acquired ActionIQ, Contentstack acquired Lytics, and Rokt revealed their merger with mParticle – all deals announced within weeks of each other, all centering around the acquisition of a customer data platform. 

So, is the era of standalone CDPs coming to a close?

In short, yes, it is. 

The driving force behind these acquisitions is data

Despite these companies having different areas of focus – from e-commerce to digital experience management – they’re all linked by a common need: bridging the data gap. 

Uniphore said their CDP acquisition would help break down the “largest barriers of AI adoption – data access, accuracy, flexibility, and data sovereignty." Contentstack referenced how Lytics would help with first-party data activation and personalization in its CMS. Rokt is doubling-down on real-time data orchestration to bolster e-commerce advertising experiences.  

Data is the differentiator here. This is what delivers deeper personalization, drives AI development, and increases loyalty and lifetime values. However, David Raab, CEO and co-founder of The CDP Institute, picked up on another important pattern: merging with a CDP helps these buyers define themselves as platforms rather than point solutions. This is a crucial positioning to stay relevant, because if there’s one thing we know about tech stacks it’s that they’re constantly changing. Businesses are regularly switching out solutions for reasons like cost, integration capabilities, or to gain specialized features. 

Success hinges on open platforms

MarTech apps usually last only 3–5 years in a tech stack. This is why integrations and open APIs are a high priority: businesses need the ability to easily connect and replace new apps as needed, and ensure data continuity throughout – and a CDP is essential in making that possible.

The consolidation we’re seeing among CDPs comes down to owning the underlying data infrastructure. New channels and applications will emerge, AI will continue to advance, but the need for unified, real-time data remains constant. This is what businesses are betting their survival on, and it’s clear they see CDPs as the way to do so. 

There remains one other question. What does all this mean for businesses looking to build  seamless customer experiences? I believe that what these recent acquisitions have really done is just create new point solutions, tying the CDP to a specific application or channel, whether it’s e-commerce, advertising, or personalization in a CMS. By definition, it's limiting. 

Instead, a customer data platform should be part of an open platform, integrating communications channels, data sources, and AI capabilities with the flexibility to add on custom solutions. This is how you create seamless, unified customer experiences at every touchpoint, whether it’s the point of sale, email, or customer support.