What is a Digital Experience Platform (DXP)? How do You Choose One?

It is said that more than 50% of customers like to interact with their favorite brand through a digital channel. This justifies the whooping market value of the digital experience platform (DXP) market!

Oh wait! First give it a guess! What do you think is the number?

As per a study, the DXP market value is expected to spike to a US$ 30,413.4 million by 2030! In 2022 it was valued at USD 11.17 billion. That’s a 13.7% compound annual growth rate! (I mean, I just had to share the numbers)

But, for these numbers to speak to you, you need to understand, what exactly a DXP is. Not just that, but it’s importance, benefits, use cases and what not! And that’s exactly what we’ll do today.

Off we go!

What is a Digital Experience Platform?

A DXP is a set of tools that manage and maintain the overall experience a user has while on any digital platform. But before that, you need to understand what digital experience is!

DX refers to any (I stress again, any) interaction a user has with an organization via a digital channel. This includes every experience they have, right from the moment they land on your website to the instant their reason for visit is accomplished.

A Digital Experience Platform acts as a central hub where you can manage, maintain and optimize these experiences. Still confused? Let me break it down further to you.

Here’s An Example

Say a customer comes across your product from an Instagram campaign you recently initiated. They click on the link, land on your page, scrolls through it and decide to make a purchase. But the screen bellow is empty! They can’t find a “buy” button, scrolls left, right, top and bottom continuously, and finds it hidden at a corner. Well, everyone has a limit to their patience. So they feel frustrated and leave the page immediately!

Now, that was a crucial customer that you just lost there. Why? Because your website was not optimized for the end user. And, this might not be the plight of one single customer!

With a digital experience platform, you can track the customer’s pain points (from the moment of awareness), understand their frustrations, see where you shine and find out your weaknesses so you can fix them immediately.

So, What is the Purpose of a Digital Experience Platform?

Why don’t I walk you through how having the backup of DXP can help in the above example. I’ll share my experience operating a Digital Experience Platform on a daily basis. This way you can easily get a picture of what you need to do.

When you see multiple visitors leaving without making any purchase, you know it is time to look into the heart of the matter. A DXP, such as SurveySparrow, helps you connect with your audience and bring out the issue from the core.

This process starts with an initial walk through of the situation. Once that’s done, it’s time to reach out! The conversational survey is the most effective way. They have the ability to fetch 40% more responses!

Here’s a free template you can try out.

Once you send them via the channel of your choice, it is time to collect data and visualize it on the executive dashboard. This collected data can be analyzed with advanced tools such as sentiment analysis and AI-powered text analytics tool, to decode customer sentiments and emotions. the platform even shows your key drivers and weaknesses so that you can take instant action!

Don’t you stop! Get straight into strategizing and implement your action plans.

Take the above example for a second. By sending a feedback survey, you can get to know the opinions of your users. And, after thorough analysis you understood that more than 90% felt that your purchase button placement was strategically wrong. This is a crucial pain point that you need to solve immediately. At the same time, 50% felt that the design is visually pleasing! That’s a pro right there. Work upon it to retain your customers!

It is not about a single touchpoint, but the entire experience.

Benefits of Using a Digital Experience Platform

Now that you know the purpose, let’s find out what value it holds for you.

• Touchpoint Optimization: By tracking customer journey, you can instantly optimize each point of contact. This will improve the quality of user relationship. Also, you can focus on other channels with the time you save here!
• AI Automation: It takes half of the routine tasks away from you and does it efficiently with the power of AI! DXPs come with advanced analytics tools such as text, sentiment and predictive analytics to decode underlying issues.
• Personalization: A DXP helps you segment your audience based on their demographics, interest, preferences and requirements. That’s like getting a free pass into your target customers’ minds! With this data you can customize and personalize your products and services and create a customer-centric culture.
• Build More Connections: Easily integrate with third-party tools and apps from the vast library of integrations they offer. With them, you can get a panoramic view of your market position.

How to Choose a Digital Experience Platform

There are a few criteria a DXP must follow. Keep a check on your requirements first and then see if these components are available on the platform you choose.

First, see if the platform offers…

Advanced Analytics Tools

The best part about having a DXP at hand is that it simplifies the analysis of a huge chunk of data, in no time! This can be tools for data collection, manipulation, mining, sentiment or text analysis analysis, and visualization.

Integrations

You should choose a platform that offers a wide variety of integrations, and not one that is limited to a single category. They must have CMS, Analytics, Marketing, Ecommerce, and Payment integrations.

Security

It must be as secure as Fort Knox! GDPR, HIPAA, CCPA compliance is a must. They also need to be SOC 2 Type II compliant as per American Institute of Certified Public Accountants and follow ISO/IEC 27001 for information security.

Budget Friendly

The tool you choose must stay within the budget allocated for your needs. Anything beyond that must only be chosen if you believe they have the ability to skyrocket your sales!

Now it’s time to…

Wrap Up!

Consider all these points and choose a digital experience platform that offers rich features but doesn’t break your pocket! Also, your customers would love to have a friendly chat with you rather than a mechanical yes or no questionnaire to fill.

As I mentioned before, with SurveySparrow you can do it all! You get advanced tools, top notch security and integrations. And, it’s free! You can try the platform with a 14-day free trail and switch to the forever free plan, anytime!

Now, say you need a more advanced package, the starter plan will cost you just $19/month! 

Why don’t you give it a try?

FAQ

1. What is the difference between DXP and DAM?

DXP is the maintenance and management of the overall experience a user has while interacting with you via a digital platform. DAM, or digital assets management is the process of maintaining and storing all the digital assets, including images, and videos.

2. So, what’s the key difference between DXP and CMS?

CMS, as the name suggests is a content management system. It deals with the entire content set of a website or application. A DXP on the other hand, provides you with a set of tools to manage the experience of a user while interacting with a brand on an online channel.

3. What are the core capabilities of a DXP? 

Personalization, automation, multichannel support are few of the core capabilities of a DXP.