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How Artificial Intelligence Works and Its Impact on Marketing

Rekha Kumari
Rekha Kumari Dec 01, 2021

Explore how technology and marketing go hand in hand

Many companies are investing heavily in new technology. Why? Because they sell more. 

Artificial Intelligence (AI) will have an impact on the marketing area of businesses as it will help increase efficiency of strategies, segment audiences and manage advertising campaigns. Both AI and machine learning will be the most significant data initiatives in the coming years.

In this blog we analyze the impact of AI in marketing. Subsequently, due to its scope and due to the expectations it arouses, we highlight some predictions and the impact of AI on the marketing industry.

Introduction to AI

AI allows machines to imitate and even improve some "cognitive" functions that humans use to "perceive," "reason," "learn," and "solve problems."

One of the best definitions is from Professor John McCarthy, who together with Marvin Minsky, created the MIT Artificial Intelligence Laboratory, which in 1956 spoke of the term "artificial intelligence" to describe a world in which machines could "solve the types of problems that were reserved for human beings."

Simply put, AI is the technology that makes machines learn by themselves just like how humans do it. This technology and its functions will allow a much broader knowledge of companies personas, activities or expectations of consumers. AI can help businesses know their audience, segmenting it as much as possible to implement highly personalized advertising campaigns.

A Salesforce survey indicates that two-thirds of modern consumers are open to using AI to help boost customer engagement. This represents the highest anticipated growth of any technology that marketers are considering, even more than the internet. 

Technology Driving AI - Business Focus Area

Check out the best approach to follow for successful marketing automation implementation here.

Impact of AI on marketing

The digital marketing techniques explored in recent years have gained an important ally: Artificial Intelligence.

We list the main influences of AI in the routine of digital marketing.

Anticipated Benefits form Using AI in Marketing

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5 reasons how AI will benefit digital marketing

1. Creation and generation of content

Within digital marketing, inbound marketing works with relevant content to attract your company's personas. But that you may already be aware of. What you may not be aware of is that AI helps professionals to create even richer and more relevant content.

In short, there are mechanisms developed to analyze data, create ideas for approach and strategy, as well as suggest keywords. These platforms use resources to identify user patterns and map their choices, tracing their access and consumption profiles, which makes life much easier for companies.
 

AI is not replacing people in digital marketing

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2. Smarter recommendations

Perhaps this is the most present element in people's routine since AI was roped in to help. The suggestion and recommendation system adopted by search engines does the job of filtering the information available on the network and showing results that are of interest to the user. How? With the help of machine learning. 

Based on the available browsing data, the machine draws the user's profile and relates the searched words to subjects he/she has previously shown interest in. This happens in a Google search, or a movie recommendation on Netflix, and even a product suggestion in an online store!

3. AI in email marketing

The most valuable AI impact in 2021 will be improving the ability of marketers to deliver true personalisation across digital channels such as email, according to a recent study of executives from leading retail brands and marketing agencies. 

Traditionally, digital marketing has used customer lists based on a credible source, such as CRM, to segment audiences and prevent the loss of an entire subscriber base at once. But upon receipt, these lists become static and cannot capture changes in behavior in real-time.

Going forward AI is going to eradicate the need for these types of lists. Instead, marketers will observe the data, make decisions based on it, and only then take action. It is imperative that all data will be updated in real-time and show the interaction of customers with mailings. 

This setting will improve personalization in email marketing (and other digital channels) by making customer data available to all marketing staff. It will also increase execution speed by automating previously performed manual tasks (such as making lists) and giving marketers a faster understanding of the data.

4. AI in leads qualification

Engaging with customers and knowing the exact time to make an offer is what separates a sale from a forfeit. Therefore, it is important to identify those who are already more willing to do business. AI can assist you there.

Knowing that one of the practices involving digital marketing is to educate your customer and follow their steps during the purchase journey, it is possible to predict the next action. And the system that allows this mapping to be done is built on the very foundation of AI. 

Based on the access information collected, the software identifies which users are more likely to make a purchase. With this information, your company’s sales area can work on strategies aimed at effectively transforming interest into sales. Therefore, using AI to qualify your lead base increases your company's chance of closing new business.

Benefits AI is expected to deliver to marketing and sales

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5. Chatbots

Service bots have already become popular and are used by most companies that have an open channel with customers over the internet. With real-time service, these programs help users to solve doubts and solve simple problems without the help of a professional, freeing the human from the role and allowing him to focus on more complex issues.

Using machine learning, the system is able to perfectly simulate real contact. In addition, it allows customization of the service to treat users by their names.

All of this results in higher levels of consumer satisfaction, which reflects on the company's image and benefits the business! 

What are you waiting for?

AI is not to take work away from our marketers or advertisers, but to unleash our potential 100%. It is here to stay, and is the new face of productivity, efficiency and profitability. We must be able to adapt and join this new technology that represents a new digital era.

To know the best marketing automation tool for your business connect with us.

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