What is AI and how will it change the future of marketing?
According to many experts Artificial Intelligence or AI is the future of marketing. It will help businesses of all sizes focus their advertising campaigns and customer service. It is also largely expected to improve returns on investment and optimise marketing spends across the board.
AI has been hitting the news a lot in recent times because it’s suddenly become a lot more accessible. Whether you’re a new startup or an existing corporation with a strong track record, you can now get AI solutions that really benefit your business and are designed to help you grow.
While there’s probably been far too much hype associated with the latest innovations, it’s safe to say that AI is going to be with us for some time to come. And its effect will be trans-formative and potentially disruptive.
What is AI?
Marketing has always been data driven. In the past, this has involved simple demographics such as gender, age and location. Back in the old, old days it was simply contact details on a sheet of paper. Now, we have access to large amounts of additional data and it’s helping to create more innovative and intuitive approaches. AI in marketing includes being able to analyse all this data and use it to produce automated responses so that consumers get what appears to be a personalised service.
Popular examples of AI
- Take a look at a service like Netflix. Once you’ve been using it for a while, it will start making recommendations, on what to watch. It does this by combining your own behaviour with large amounts of data from other users, all of which helps classify you intelligently enough to make relevant suggestions.
- Then there are retail sites like Amazon which use dynamic price optimisation to help keep their products competitive for users. That’s why you’ll often see the prices of certain items in store change within a couple of days.
- Deep learning is an integral part of Artificial Intelligence. Any system needs to be able to make informed and qualified decisions and this is improving practically every day. It means your business is better able to predict buying behaviour and what will appeal to particular customers and therefore improve sales and engagement.
Machine learning is almost everywhere in the digital world today and most of the time we don’t even notice it. Marketers can use it for sales forecasting, while sites can include image and voice recognition. Then there are the range of chat-bots and messengers that make customers think they are talking to a real person. It’s highly likely that at some point during each day you will come across something using AI.
The Future of AI
While a few people think that we’ve reached the nadir of AI enthusiasm, most experts believe there is a lot more to uncover and much greater benefits to come in the next decade or so. Already shops and places like hotels are incorporating ibeacons in their businesses which can intelligently engage with customers when they are in close proximity. Connectivity between different devices is also becoming the norm rather than the exception.
The big change, however, is going to be the democratisation of AI. We’ll all be able to access it and at a competitive cost, whether you’re a small or medium size business or a massive corporation. AI will not only be able to streamline marketing processes it will also define the decision making for campaigns. With certain processes automated through AI, resources for more important marketing tasks can be allocated where they are most needed. This, in turn, will improve ROI dramatically for many businesses.