Arke

Background Image
July 29, 2024

The Composability Crossroads

Brands are asking – Legacy DXPs or Building for the Future

Customer experience (CX) is the battleground of modern business. In this ever-evolving landscape, companies are constantly seeking ways to differentiate themselves and deliver experiences that resonate deeply with their customers. This is where composable architecture emerges as a game-changer, offering a path to unparalleled CX agility and innovation. But there’s a fork in the road – a decision point for businesses to embrace composability or remain confined by the limitations of legacy Digital Experience Platforms (DXPs).

The Power of Composable Architecture

Composable architecture breaks down monolithic DXPs into modular microservices. These independent, best-of-breed components can be assembled and reassembled like building blocks, allowing businesses to create unique and dynamic customer journeys. Here’s why this matters:

  • Unmatched Agility: A recent McKinsey & Company report states that 70% of businesses believe customer experience is critical to their differentiation strategy. Composability allows companies to adapt to ever-shifting customer needs and market trends at lightning speed. They can integrate new technologies, features, and functionalities seamlessly without overhauling their entire system.
  • Hyper-Personalization: Customers today crave experiences tailored to their individual preferences. Salesforce statistics show that 76% of customers expect companies to understand their needs and expectations. Composable architecture empowers businesses to craft personalized experiences by orchestrating microservices to deliver content, recommendations, and interactions relevant to each customer’s unique journey.
  • Innovation on Demand: The business world thrives on innovation. But monolithic DXPs often stifle creativity due to their rigid structures. Composable architecture fosters a culture of experimentation. Businesses can test new ideas by plugging in innovative microservices without disrupting existing functionalities. As Gartner predicts, “By 2025, organizations that adopt a composable approach will be 80% more likely to exceed business objectives than those that do not.”

The Constraints of Legacy DXPs

While legacy DXPs offer a broad spectrum of functionality, they often present limitations that hinder the pursuit of customer experience excellence. Vendor lock-in restricts businesses to a specific vendor’s ecosystem, limiting their ability to select best-of-breed technologies. Additionally, these platforms often provide limited customization options, preventing businesses from tailoring experiences to their unique needs. Integrating new functionalities with legacy DXPs can be a complex and time-consuming process (this translate into expensive), impeding innovation and agility.

The Choice at the Crossroads

Companies that see the value of composable architecture are poised to unlock a new era of customer experience. They can build platforms that are:

  • Future-proof: Composable architecture allows businesses to adapt and evolve alongside the ever-changing customer landscape.
  • Open and Flexible: Companies are free to choose the best-of-breed microservices that fit their specific needs and integrate them seamlessly.
  • Infinitely Scalable: Composable architecture can grow and adapt as a business expands, reaching new customer segments and markets.

The Takeaway

The composability revolution is upon us. Businesses at the crossroads must carefully consider the limitations of legacy DXPs against the boundless potential of composable architecture. By embracing composability, companies can unlock a future of unparalleled customer experience, innovation, and agility. Brands that prioritize creating unique customer experiences must build for the future. Those who fail to adapt will be left behind.

Understand the impacts of the digital experiences you provide.

We can help you use customer data to help you understand your customer journeys and measure their impacts in real time. Reach out for a chat.

 

By Michael Stewart | July 29, 2024

About the author:

Michael Stewart is the Director of Partner Marketing/Alliances at Arke. He's a Savannah College of Art and Design graduate with more than 30 years of omni-channel marketing and ad creative experience.