In the past 5 years, technology has revolutionized how marketers interact with their customers. Now, you’ve got access to advanced software and customer data for more relevant, targeted and engaging marketing. And Artificial Intelligence is the biggest factor affecting all areas of digital marketing. About 50% of digitally mature organizations, with advanced digital practices, already have a defined AI strategy, and 85% of business executives agree that the incorporation of AI allows their company to sustain a competitive advantage.

With effective data analysis and the ability to adapt to input, AI is taking over and/or augmenting the human role of identifying marketing trends. Brands and marketers are leveraging AI in digital marketing to deliver improved customer experiences, save time and resources through automated digital marketing services. AI helps to drive relevant traffic, acquire new customers, increase sales, and retain your existing customers.

In this post, we will focus on the applications of AI in Digital Marketing and how it helps Marketers take decisions with confidence.

Applications of Artificial Intelligence in Digital Marketing

Personalization

The future of AI in digital marketing in B2C is undoubtedly around personalization and hyper-personalization. With the help of artificial intelligence, machines can track user behavior and infer their preferences. The inferences can be used to market similar products users will most likely be interested in. This process will help segment your audience base and drive sales with customized content.

To understand what Personalization means, you can simply look at your Spotify feed and see how your recommendations are driven by your own choices and taste in music. To know more about how Spotify personalized content, take a look here.

Chatbots

Chatbots are the biggest example of the use of AI technology. They act as a virtual assistant for consumers whether you ask Alexa to play your favorite song or Siri to set an alarm. Chatbots are making the process of automating responses to potential buyers’ frequently asked questions even easier by providing them with a way to search for the product or service they’re looking for.

And they can engage in human-like conversations that improve customer experience. These bots use natural learning processing and machine learning to find the correct response.

After an automated response, brands can choose to transfer users to a live chat with a customer service representative to streamline the interaction. What’s more is that over 55% of people agree that the best feature of chatbots is their ability to provide 24-hour service, seven days a week.

Most digital marketers see chatbots as a way to provide personalized customer service at scale – which is tangentially related to marketing, but not directly a marketing function. However, chatbots can also help guide users through a customer journey to a sale.

Digital Advertising

Digital advertising is an area which has seen successful AI adoption. It’s used across platforms like Facebook, Google and Instagram in order to provide the best possible experience. These platforms analyze user’s 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.

To make any marketing campaign successful, the prerequisite is to reach out to the right audience. With AI digital marketing, it becomes easy for businesses to target people. AI collects user data, analyzes it, and predicts future behavior. With this information, brands can target ads according to the user’s preferences.

Email Marketing

Email marketing remains one of the most effective forms of marketing out there. 61% percent of consumers enjoy receiving weekly promotional emails. Which may explain why email marketing has higher conversion rates than social media and search combined.

Personalization at scale is every marketer’s dream – and AI makes it possible. AI can use data to create personalized emails to every one of your subscribers, based on their previous interactions with the brand. It can customize based on what content they’ve consumed, what’s on their wish list, what pages they have spent the most time on, and more. For example, if one user always visits links to product pages in your email, but another skips those links and goes straight for content, the AI can send different messaging with the most relevant links for each user.

Machine learning can analyze millions of data about the consumer to then determine the best times and days of the week to contact the user, the recommended frequency, the content that catches their attention the most, and which email subjects and titles generate more clicks.

A/B tests take time and can have a certain margin of error. So, in this sense, AI becomes your best friend in personalizing email content for each subscriber.

Enhanced Shopping Experience

AI digital marketing holds the potential to change the way we shop. Many brands are already experimenting with different versions of AI to enhance the shopping experience.

Instead of browsing images of products, people can actually “try” products before you buy them with the help of augmented reality (AR/VR).

Buy only after checking how it looks on your desk!

A good user experience is what keeps an audience browsing a site and the more time they spend on it, the higher the probability of conversion. With the help of Intelligent algorithms it is possible to personalize an experience on a website. By analyzing thousands of data on a single user, AI can display the content that is more appropriate to each user.

And the list goes on…

What next?

Artificial intelligence is an incredible technology that can do wonders for your brand. Using AI digital marketing strategies will help brands deliver improved customer experience and market your brand more effectively.

AI in digital marketing is going to become more prominent from now on. Exploring how to use this technology for your brand not only has great benefits to your bottom line, but will also prepare your business for the next evolution of technology.

Artificial intelligence is helping marketers become more productive by accomplishing tasks more efficiently. By choosing AI-powered solutions to their business problems, marketers are also saving money.

In the later posts, you will see more about the Technical aspects of some of these applications and how it can help businesses and brands grow in the competitive market.

If you liked this post, do check out our other blogs on AI and Machine learning here.