New Era in Digital Marketing: AI Based-Solutions
Artificial intelligence (AI) deals with building machines that can understand the fundamentals of learning and generate responses from the data that is being fed into it just like humans do. Today, AI is reshaping data-driven marketing strategies, converting digital marketing into a more elaborate and crucial field of operation.
Digital Advertising via AI
AI has been successfully adopted by digital advertising. Across platforms like Facebook, Google and Instagram; AI, is in the center of user information analysis, including, age, gender, and demographics to show their users the most relevant advertisements. According to eMarketer, the total budget spared for AI solutions in digital marketing activities increased by 110% in 2018. This sharp increase in the use of AI for digital marketing suggests that marketing experts rely on AI in building brand awareness and loyalty of their potential customers. For it is evident that highly technical and specialized activities associated with AI reduce digital advertising costs, allowing companies to allocate their budgets on campaigns for who they target.
Understanding and Prediction of User Behavior
AI solutions are effective for the analysis of customer behavior and the extraction of useful data from it. Highly specialized customer profiles can be created based on this detailed information. This enables users to reach relevant content easily and quickly. Also, AI-based digital marketing tools interpret collected customer behavior data to spot micro trends and estimate the upcoming ones.
Personalized Product Recommendations
The wide database constructed via tracking down customer buying habits, preferences and behavior will help marketers to make well-placed recommendations of products or services to the customers. AI digital marketing and data analysis tools are far quicker and more accurate than any human capability. They are already used by well-known platforms. AI-powered recommendation engines of e-commerce company Amazon deliver highly personalized suggestions. Their algorithms consider their customers’ purchasing history, liked items and popular items among the other users.
AI Provides Real-Time Support for Customers
Real-time chatbots are one of the best examples of the use of AI technology. Direct and effective communication with the customer is key to close the sale. A potential customer who can get quick and useful answers right before the decision-making moment will be more likely to buy the subject product or service. AI chatbots offer more effective and far-reaching communication with clients than conventional methods. Real-time chatbots enable companies to breach the communication barriers and solve their customers’ problems immediately. American coffeehouse chain Starbucks begins to use a Barista bot in Facebook Messenger allowing the customer to give not only simple orders also various complex orders such as non-fat, extra hot, no whip latte.
AR/VR Applications of Artificial Intelligence
Combined solutions of AI with visual technologies namely augmented reality (AR) and virtual reality (VR) promises a brand new digital marketing modal. This combined technology only enhances the quality of the user’s consumption experience but also builds a solid brand identity that can help create a greater sense of loyalty from a brand’s customer base. AR is useful for linking your digital marketing campaign to the customers’ physical experience through inventive ways.
Will AI-powered Marketing overtake Digital Marketers?
Basic traditional digital marketing services will largely be taken over by the AI-based automation tools. In data analysis and processing AI-powered algorithms are far better than digital marketers but that doesn’t necessarily mean these tools will entirely overtake their positions. As the exponential growth in digital marketing continues new marketer roles will emerge creating more granular-level jobs for digital marketers. Also, digital marketers will continue to play a key role in the development of new customer-centric digital marketing strategies, pushing them ahead with fresh ideas.
It is apparent that AI technology is about to change the digital marketing world which will benefit both customers and companies. Considering that 73% of consumers are open to working with businesses that use AI, the AI-based solutions will continue to flourish and become wide-spread in many other areas.