Artificial Intelligence in Marketing
Artificial intelligence has become a competitive marketing tool for organizations looking to differentiate their branding and customer service. AI runs on the backend to constantly enhance front-facing consumer interactions.
AI has become especially prominent in marketing, where it can analyze customer data to create more strategic promotions. Targeting and personalization have become significant aspects of artificial intelligence marketing (AIM).
AIM isn’t some sci-fi fantasy - it’s already in use by a number of major players. Facebook uses AI for image recognition and post filtering. Google even uses it to structure their searches and internet map. Even “cookies” are a form of AIM.
Plus, AIM is becoming increasingly more accessible for small to medium-sized businesses. It’s taking over the marketing industry, and it’s going to create significant opportunities for businesses who can learn how to leverage and wield it effectively.
What is artificial intelligence marketing (AIM), and how can you utilize it in your selling strategies?
What is artificial intelligence marketing?
Artificial intelligence is a machine-learning algorithm. This means that the computer can actually “learn” information by analyzing thousands of data points at once. Machines can aggregate trends at a faster rate than humans can even gather those reports. This means faster collection, analyzation, and usage of data.
But the point is not to worship the machine. The goal of artificial intelligence is to augment human knowledge and capabilities.
Artificial intelligence marketing (AIM) takes away the more mundane aspects of marketing while improving understanding and analysis of consumers.
The most important benefits of artificial intelligence marketing is its customer insights. AI algorithms can pull together immense amounts of data at once to better understand your business’s audience, so you can create more tailored promotions.
In fact, AI algorithms can create specific, individual customer personas based on billions of pieces of data. It can track:
- Website usage
- Psychographic factors
- Purchasing patterns
- Website interactions
- Previous searches
This allows the machine to identify the most important customer personas for your business. From there, it can then start to build marketing strategies that will appeal to those consumers.
This can help you understand the types of customers you have, the products your customers want, how they want to purchase those products, where they spend the most time, how they’re most engaged, and other critical marketing objectives.
AIM can completely change the way your business does business by pulling, analyzing, and predicting data at rates previously unprecedented in marketing.
What are some of the common AIM uses and implications?
1. Customer service chatbots
Chatbots were one of the first installations of AIM, but they’re growing increasingly common and sophisticated. They’ve already infiltrated the fashion, health, and insurance worlds, and they’re poised to be part of just about every customer service interaction. These chatbots are frequently used to answer questions and gather data through one-on-one consumer conversation.
Chatbots use natural language patterns to respond to customers. They can even be programmed to speak in a specific brand voice or tone.
It uses millions of customer data points to understand what the issue may be and how to solve it. Because of its ability to quickly search its databases for the answer, AI machines may even be more knowledgeable than a customer service rep.
These chatbots minimize the need for an extensive customer service team that’s constantly on-call. Chatbots are available day or night to reliably, consistently answer consumer inquiries. This reduces the cost of customer service salaries, and it also improves the uniformity of your business-to-consumer interactions by ensuring all bots answer the same way.
Chatbots also collect and utilize the information from these interactions. This provides even more data about consumers that AI and marketers can use moving forward. It will provide location, demographic, and psychographic data that can help detect patterns and repetitive problems, so your team can actively address these concerns.
2. Image recognition
Facebook, Apple, and Google Photos can already recognize people and images through AI software. In fact, the accuracy exceeds 99%. This image recognition can have a major impact on marketing moving forward, especially as social media continues to grow more prominent.
For example, AI can use image recognition to sync online visitors with store visitors. It can trace customers’ in-store visits by scanning their face and link it with pictures from their online social profiles.
This will allow marketers to track visits and impressions, and it can also better direct marketing based on purchasing patterns. For example, AI can track products a customer was searching online; when that customer walks into the store, AI will alert an in-store representative and pop up a customer profile to deliver more personalized service. The machine can show what they were searching online so the sales rep can help direct them appropriately.
This integration of the omni-channel will drastically improve the ROI of online and offline marketing campaigns.
3. Content creation
Machines can already create content based on simple formulas like profit and loss summaries or quarterly business reports. Now, content creation is moving to the next level. AI is able to mimic natural language patterns to create articles and reports that sound as if a human wrote it. AI robots can even sound like a real person calling to make an appointment!
AI will likely be able to create content based on language and brand voice. This will remove the day-to-day tasks of creating content and responding to social media posts, which will free up time for marketers to instead focus on strategy and big-picture activities.
AI will also be able to analyze content to see what forms have the greatest interaction and engagement. It will automatically begin to generate more of that content in the ways that customers best relate to.
We already know that content is changing. Content marketing changes on a monthly basis. We predict that AI is going to be the next disruptor for content creation and marketing.
4. Website personalization
When a customer comes to your website, AI software can instantly collect thousands of data points about that user. This includes location, demographics, type of device, interaction with website, and even previous searches on your site and other sites.
This kind of data allows the AI to personalize the visitor experience to the website based on their behaviors and customer persona. It can determine the types of content they want to see, the offers that will best appeal to them, and even alter the design based on their browsing habits.
It can be as simple as Pandora suggesting songs listeners might like or Facebook showing sponsored posts based on previously viewed websites.
According to a study by Real-Time Personalization, 33% of marketers already use AI to deliver personalized web experiences. These marketers note a positive impact of this personalization in their conversion rates and customer experience polls.
This level of personalization is going to show major success for marketers moving forward. Customers want meaningful experiences with the brands they buy from. Using personal data to create an interactive experience is going to completely revamp what marketing looks like.
5. Targeted ads
Because of the intimate interaction between machine and consumer (without the consumer even realizing they’re talking to a machine), AI starts to gather immense amounts of data. This sort of collection and analysis of information allows for more targeted advertising in general.
Right now, humans run most pay-per-click ads. But AI software is learning how these are run, so they can begin to manage your paid ad campaigns for you. These algorithms will then be able to tap into their database of knowledge to create targeted advertisements based on location, demographics, interests, purchasing patterns, browsing behaviors, and more.
A lot of software is already doing this. Facebook is well known for using this kind of technology. For example, you search “red wagons” on Google, and now you’re suddenly getting sponsored ads for red wagons on Facebook. That’s because Facebook uses integrated AI technology to see the websites you’ve been to and the products you’ve looked at to deliver the most personalized ads and offers.
AI can even help you discover new advertising channels that you aren’t currently using. For example, you currently use Instagram and Twitter for your business. But AI notices that your customers frequently click away from your site and go to YouTube. Your AI software might start to recommend creating YouTube content to better relate to and address your audience.
AI gathers consumer data, analyzes its meaning, and creates relevant campaigns that best personalize and target your audience.
Ultimately, artificial intelligence streamlines marketing automation. It saves time and drives performance based on data insights. It responds to info, recommends actions, creates projects, and even builds content.
Artificial intelligence marketing isn’t tomorrow’s tech. It’s here, and it’s time to sit up and take note. If you want to get ahead of the game, it’s time to start considering innovative marketing solutions.