CDI vs CDP: What’s the Difference?

Customer Data Platforms (CDPs) and Customer Data Infrastructure (CDI) represent two distinct approaches to managing customer data, with significant implications for organizations aiming to leverage data-driven strategies. Packaged CDPs offer an all-in-one solution that integrates data storage, processing, and analysis, primarily benefiting marketing and growth functions by facilitating customer engagement and optimizing ad costs. In contrast, CDI is a flexible, modular system that operates within an organization's data warehouse or lakehouse, providing greater control, data quality, and integration with advanced platforms like Snowflake or Databricks. As businesses increasingly seek to harness AI and BI-ready data, the rise of CDI reflects a shift towards more adaptable, future-proof architectures that accommodate complex workflows and stakeholder needs beyond marketing, such as Product and Customer Support. Organizations must carefully assess their data infrastructure, privacy requirements, and long-term costs to determine the best approach, with CDI often favored by larger enterprises with sophisticated data strategies.