Due to its ability to derive meaning from unstructured data sets, AI seems tailor-made for the present digital marketing efforts.
FREMONT, CA: Artificial intelligence (AI) is already helping the industries across domains. AI is enhancing all the areas that require decision making, predictive analysis, and automation. Marketing, whether it’s traditional or digital, also extracts useful insights from the technology. Owing to its ability to access massive customer data and behavior patterns, AI enables marketers to offer enhanced customer experience. Apart from customer experience, AI will also allow marketers to optimize and plan their time and budget.
Potential of AI in Digital Marketing
Digital marketers are constantly experimenting with various tools and technologies for a better business outcome. While some of the marketers have already deployed AI ideas and found them to be effective in increasing productivity, others are yet to give it a try. The ability of AI to derive meaning from the vast repositories of unstructured customer data makes it an asset for budget planning, campaign management, and ROI analysis.
According to a report, brands that are leveraging AI for their budget planning and marketing strategy expect a 39 percent rise in revenue and a 37 percent decrease in costs on an average by the end of 2020.
AI-Powered Recommendation Engines
The potential of AI to leverage massive consumer data sets and connecting dots to unveil the hidden patterns from them also makes it a great tool that can assist the marketers in understanding consumer behavior. AI is analogous to a tool that filters the raw consumer data with millions of predefined conditions. AI tools know the way customers react to a particular ad copy, situation, videos, or any other touchpoint. Based on such insights, marketers can arrive at more informed decisions.
Thus, AI answers the most critical questions for marketers, including how to gain an audience? How to interact with them based on their preferences and requirements? What is the best time to connect? What are the signs that demand a follow-up? AI-driven marketing tools can quickly answer such questions.
Another reason why AI doesn’t have a match in marketing is that it utilizes the potential data in an effective manner. Thus the digital marketers who are constantly pushed to achieve better numbers can get some respite. As per a study by Forrester and Albert, around 74 percent of the marketers are relying on a manual approach with partial assistance from AI, while 26 percent of marketers are leveraging autonomous AI.
Roles of AI in Digital Marketing Solutions
Customer Data Management
It involves ethically collecting, storing, and managing customer data in a database to improve a company’s overall processes, services, and products. As mentioned above, marketers are constantly trying to understand their customers better, to meet, and even exceed their expectations. However, it would be a daunting task without an AI- power database.
Apart from extracting insights out of the complex, unstructured data sets, AI can aid in data mining, statistics, and modeling to make predictions over future outcomes. Though the concept of predictive analysis is not new, incorporation of AI allows it to process more information by connecting apparently disparate data sources.
Automation is essential in marketing as it is in any other industry. AI is aiding immensely to the cause through customized and personalized consumer content. In an era, where personalization is becoming more of a standard, AI-driven personalized content can enable the marketers to fulfill individual customer requirements.
Content marketing is a crucial segment of marketing that portrays the brands and their offerings in multiple ways, such as video, images, blogs, and others. The process can be complicated and often time-consuming. With AI, marketers can automatically generate content for simple stories like sports reports and stock updates. It can also assist in deploying chatbots for customer feedbacks and for sharing promotional content.
Unleashing the immense potential of AI, companies are working towards gaining a competitive edge and offering a better customer experience.