How AI is transforming the future of digital marketing

As AI continues to advance, so will the ability to use it to improve digital marketing strategies and provide valuable customer insights for companies

With the ability to collect data, analyze it, apply it and then learn from it, AI is transforming digital strategies. As it continues to advance, so will the ability to use it to improve digital marketing strategies and provide valuable customer insights for companies.

It is indicated that artificial intelligence is indispensable in future digital products, especially in the digital marketing field. From the movie "The Matrix" to the Google AI, from the humorous and smart Siri to Tesla's self-driving car, there are more and more enterprises that are implementing AI in digital marketing for their businesses. Artificial intelligence is changing the future of digital marketing.

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What is AI?

According to Wikipedia, the term "artificial intelligence" is used to describe machines and computers that mimic "cognitive" functions that humans associate with other human minds, such as learning and problem-solving.

It is an area of computer science that attempts to understand the essence of intelligence and produce a new intelligent machine that thinks, responds and performs tasks based on the data that is being fed into it, just like humans do. Some of the activities associated with AI are highly technical and specialized, such as robotics, speech recognition, image recognition, natural language processing, problem-solving, etc.

Thanks to detailed algorithms, AI systems are now becoming more and more mature, with systems becoming more efficient at a much faster rate than ever before. The application field of AI has been expanding, helping to make big strides in research and development areas around the world.

It is conceivable that the technological products brought by artificial intelligence in the future will be the "container" of human wisdom. AI is not human intelligence, but it can think like a human and may exceed human intelligence.

The relationship between AI and digital marketing

During previous years, marketers were hesitant to apply artificial intelligence to their marketing strategies. But now, many successful brands have adopted it and use it within their marketing, with brands like Amazon and Spotify using AI systems successfully.

For example, Amazon uses AI to show only relevant products to shoppers, based on previous searches, purchases and views. This can increase the likelihood that a shopper makes an initial purchase or becomes a repeat customer, with the personalized experience being highly sought after.

AI as part of digital marketing is now a reality, offering a range of benefits and options. Let’s see how exactly we can use artificial intelligence in our digital marketing.

How AI is transforming digital marketing?

With the ability to collect data, analyze it, apply it and then react to it, AI is revolutionizing digital marketing. As the amount of information on potential consumers grows, AI will become more important due to its ability to make data-based decisions quickly and accurately. Here are some ways AI is changing digital marketing:

1.Recognize and analyze

Customer relationship management (CRM) refers to a business strategy that establishes a customer-centric approach to business by maximizing the collection of customer information and filtering valid information.

When CRM, AI technology and big data technology are combined, they can maximize the collection of user information from different platforms, gain accurate insights for target customers and identify users’ needs so that companies can determine the most appropriate marketing strategy.

The key is that any behavioral information will become the source of AI analysis. For example, the kinds of products someone buys, which pages they browse, which tools they use often, etc.

With all of this collected data, marketers can easily analyze a potential customer's needs and adapt the AI used in order to boost sales. You are better able to visualize the customer journey and provide the right kind of solution, making the shopping experience easier and helping the customer reach the checkout with recommendations that better reflect them and their habits.

2. When AI combines with AR/VR

When AI technology meets the new visual technologies such as AR and VR, it brings a new consumption experience.

For example, Coca-Cola decided to combine AI and Augmented reality (AR) by overlaying computer graphics over a user's real-world view using glasses or a headset within a number of its bottling plants. This allows technicians to receive information about the equipment being serviced and enables them to support from technicians who are able to see their view, making it easier for technicians in remote locations to perform repairs and diagnose issues.

This method can also provide consumers with interesting ways of interacting with and learning about a brand, allowing them to form a connection. Combining AI with AR/VR not only refreshes the user's consumption experience but also builds a strong brand identity that can help create a greater sense of loyalty from a brand's customer base.

AI digital marketing in business

1. Application of AI chatbots

The development of AI semantic recognition, language processing and voice conversion technology has meant that AI customer service is easier to use and delivers a better experience. Compared with manual customer service, AI chatbots have many advantages.

First of all, AI chatbots enable businesses to go beyond the traditional "one-to-one" form of customer service. Instead, chatbots can deliver a "one-to-many", providing support to a number of customers at the same time and in different time zones.

Secondly, AI chatbots don't need to rest, so they can answer customer queries around the clock and in real time. Not only does this mean they are highly efficient, but they can also provide support outside of office hours, improving customer experience.

In addition to these benefits, customers can choose the language used by AI customer service according to their needs, allowing a brand to deliver localized customer service.

Many brands have started to communicate with their customers through messenger applications like WhatsApp, Facebook Messenger, and Slack, all of which can benefit from AI chatbots in order to streamline the process.

2. Email marketing

AI helps brands to personalize email marketing campaigns based on user behaviors, meaning marketers can send out emails that are triggered by certain actions. This enables them to deliver relevant emails to customers' inboxes, with subject lines, product recommendations and messaging all being chosen based on a customer's behaviour.

As well as better personalized content, AI also helps marketers optimize their email campaigns, allowing them to maximize their results. Marketers can use tools like Phrasee to dynamically analyze and optimize campaigns quickly, rather than having to A/B test different messages and designs, which can take a number of weeks.

Ultimately, AI can help email marketers reach the right customers at the right time, ensuring that messaging is relevant, engaging and more likely to convert. It can also allow you to better analyze what types of messaging, subject lines, design and images get the best results.

3. AI digital advertising

There is no doubt that digital advertising is one of the most successful areas to have adopted artificial intelligence. It used across platforms like Facebook, Google and Instagram in order to provide the best possible experience. These platforms analyze users' information, including gender, age, interests, demographics, and other aspects to show them the most relevant advertisements, improving the performance of digital ads.

According to eMarketer, digital ad spend worldwide was estimated to be $273.29 billion in 2018 and this is expected to increase further. With AI technology, marketers can spot microtrends and even predict trends. They can then make strategic decisions about where they allocate their budgets and who they target. As a result, brands can reduce digital advertising waste and ensure that their spend delivers the best possible results.

4. Marketing content

Thanks to AI, you can discover what content is most effective, according to the behaviour of targeted customers, allowing you to utilize content marketing that gets results. Marketers can get a better understanding of what types of content work best for their target audience, allowing them to share or create the right form of content.

For example, 40% of millennials trusting video content the most, meaning it is the second most effective form of content marketing next to blogs. This means that a brand targeting this audience will be better able to create relevant content using insights gathered from AI.

Rather than creating expensive videos and other forms of content, AI-powered tools can help you create them. For example, tools like FlexClip video maker allow you to create and download high-quality videos without the need for a designer or technical skills. This means that if the audience data shows that you need to utilize videos, you're able to do so quickly and easily.

AI is can be used to curate content, as well as create it. For example, YouTube’s recommendation system provides suggestions for videos that users might be interested in based on their previous behaviour. Using a similar tool will allow you to suggest products, blogs, videos or other forms of content that a website visitor may have an interest in based on how they interact with your site.

Conclusion

AI is now more accessible for businesses, making it a valuable tool for digital marketers. It is irrefutable that AI largely influences the choices of your customers, helping to provide relevant recommendations and timely customer service. Looking at the ways that you can make use of it will better enable you to grow your brand and meet the expectations of your customers.