Discover Everything You Need to Know About AI Marketing
As we all know, digital marketing is a constantly evolving field with new strategies and approaches being adopted each day. One of those emerging strategies is AI marketing.
AI marketing, or artificial intelligence marketing, utilizes intelligence programs and new technologies to make marketing easier.
In this article, we’ll discuss what AI marketing is and give you some examples of what it looks like.
We’ll also help you understand how it works, what tools you can use, what challenges AI faces as it becomes adopted by more and more companies, and what the future of AI marketing holds.
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What is AI Marketing?
Artificial intelligence marketing, often shortened to AI marketing, is a marketing technique that uses artificial intelligence systems to make automated decisions based on collected data and advanced data analysis.
The technology behind artificial intelligence allows users to improve their communication and marketing strategies toward customers with the help of digital tools and personalization.
AI marketing also helps digital marketers do their jobs easily and with more accuracy.
It allows them to focus on tasks that require more human input by taking over certain automation and analyses that can be difficult for humans to accomplish manually.
It helps teams work faster and provide better results for clients.
Examples of AI Marketing
AI marketing works in various different ways.
Here are a few examples of what AI marketing looks like and how it functions.
These different examples can help you understand how AI applications in your business can improve your digital marketing program.
Machine learning is the core of AI marketing. Using advanced computer algorithms and digital processing systems, AI tools can analyze incredible amounts of information and provide context to that data.
These tools can also give you guidance on what marketing decisions to make while helping organize and maximize your campaigns to get better returns on investments.
Big Data Analytics
As a marketer, you understand the importance of data in digital marketing.
However, beyond the daily stats and useful information you collect for reporting, there is a large amount of big data collected during every interaction with a customer online.
This data helps us understand our customers’ behaviors and actions, but with so much information being collected, most of it goes unnoticed and unused in a modern marketing setting.
AI marketing helps businesses look through that big data in seconds to provide answers to even the most complicated questions about data analysis.
AI Marketing Ecosystems
Artificial intelligence can be used simply, such as a chatbot application on your website.
However, it can also be used to create a massive digital ecosystem and a central platform that controls all areas of your digital marketing program.
An AI-driven platform will help you gain more marketing insights, make better decisions, and drive better results for your business.
And as AI marketing continues to evolve, the capabilities of these platforms only increase.
Does AI Marketing Actually Work?
The short answer? Yes. AI marketing provides incredible results that were previously unattainable in more classic digital marketing strategies.
AI helps you understand your customers to an extent that manual marketing and analytics can’t reach.
This allows marketers to focus their attention on tasks that require human intervention such as high-level strategy.
Is AI Marketing Legal?
Some people might question the legitimacy of AI marketing, especially when it comes to things like big data and security.
AI marketing is completely legal, provided that the data you collect is collected legally.
That means making sure that you provide opt-out options in your marketing communications, follow all data privacy regulations, and secure the information you collect from hackers or other malicious parties.
If you can do these things, there is no reason why you can’t explore AI marketing.
AI Marketing Tools to Use
As AI marketing continues to develop and become more advanced, there are more tools being unlocked and opened up to marketing teams.
Here are a few of the more common tools you might find in AI marketing platforms and how they can help your business grow.
Data Analysis: One of the best benefits that AI provides is the ability to quickly go through large data sets and analyze it into useful and actionable information for marketing teams. Trying to go through large amounts of data manually makes it hard to come to quick decisions.
Media Buying: AI can help marketing companies learn the best platforms, times, and placements for advertising, helping you get the most out of your advertising budget and improving your targeting strategies.
Content Generation: AI can create a wide array of content both small and large. That includes things like blogs, articles, web copy, captions on videos, email subject lines, and social media posts.
Personalization: AI can help you personalize messages to audiences and ensure that every one of your leads and customers feels appreciated. The personal touch makes a big difference when it comes to marketing success.
Natural Language Processing: AI uses natural language processes, or NLP, to create conversations similar to human language. This can be used for tools like chatbots and customer service responses to take over repetitive tasks.
Decision-Making: AI can use its data analysis capabilities to come to conclusions and decisions that are helpful to marketing companies. This can save time and help you learn the best ways to grow your business.
Which Companies Use AI Marketing?
Let’s take a look at some major brands that currently use AI marketing to improve their strategies and help increase the growth of their business.
Here are a few examples:
Amazon uses AI technology to personalize the shopping experience for the massive customer base that uses the platform.
The advanced algorithms used by Amazon AI marketing look at the behavior and purchases of each individual customer and recommend new products or related items based on historical data and customer behavior.
The sports brand Nike has used AI in marketing to help improve its product offering and make customers have better experiences when shopping for the brand.
Nike uses AI to help customers design custom sports equipment like shoes and collects data from those customers to make personalized recommendations for future equipment needs.
The automotive industry has embraced AI for years, most recently in self-driving car technology.
BMW is a leader in this space that uses AI marketing to help engineer better processes and improve customer support in self-driving cars.
In the future, that could lead to things like personalized interior settings for each driver and better car systems.
The beverage giant Starbucks has used AI marketing to improve its customer rewards program and create more personalized customer experiences.
By adding AI marketing tools to the mobile app, Starbucks is able to send customized messages to customers when they are near a store and encourages them to increase their spending with drink recommendations.
The Future of AI in Marketing
AI marketing becomes more and more integrated into digital marketing each year.
In fact, some businesses already use it without realizing it in tools like chatbots or data analysis platforms. AI is continuing to evolve and grow, so investing in AI marketing now allows you to establish practices and understand the platforms as you integrate them into more areas of your business.
The future looks bright for AI marketing, so don’t be afraid to embrace it!
What are the Biggest Challenges to AI Marketing Success?
No marketing strategy is without its challenges, and AI marketing is no different.
There are some common issues that pop up with AI marketing that you should be aware of before you implement any type of strategy.
Here are a few of those challenges:
Privacy & Security
Customers want to ensure that their data is protected and secure.
At the same time, more and more government institutions are strengthening laws surrounding big data to protect customers.
As you adopt new AI tools, it is incredibly important to ensure that you are taking the privacy and security of your customers’ information seriously.
There are serious penalties and damages that can occur if you don’t take proper precautions and use AI wisely.
Training and Set-Up
AI tools aren’t out-of-the-box platforms. In order for them to learn, they need to be set up correctly and learn how to accomplish your marketing goals.
This takes time and training, just as it would with a new human employee.
AI tools need to parse through goals, customer profiles, audience behaviors, historical trends, and much more in order to be successful.
Getting buy-in from higher ups is a difficult part of any marketer’s job.
Sometimes it can be hard to explain the benefits of AI marketing and convince your executives that it is worth the investment.
Try to focus on the ROI possibilities with AI marketing and how it can improve the customer experience and, therefore, the brand loyalty of your audiences.
Keeping Up with Changes
Like with most technologies, there are always new changes to AI marketing.
AI can feel like a disruption to normal business practices.
It also represents a change in the workplace, with traditional analysis roles being replaced with machine learning.
That means that marketers might need to adapt their skill sets to other areas.
Implementation & Deployment
It’s important to remember that AI is a relatively new tool that can be used in digital marketing.
That means that new AI platforms and systems don’t have clear guidelines for implementation and deployment.
It also means it might take time for your teams to understand how to use the platform and how to use it in a business setting.
In order to be successful, digital marketing needs to adapt and evolve over time to remain relevant and bring customers the best experiences.
AI helps you understand your customers better and provide better marketing to your core demographics.
Once you understand that AI marketing is here to stay, you can explore the different ways it can improve your marketing strategies.
If you are interested in learning more about the future of AI and other emerging digital marketing tools, then check out our jam session with Scott Brinker, the VP of Platform Ecosystem at HubSpot.
This webinar discusses how you can improve marketing strategies through technology, and provides businesses with ideas on how to create digital ecosystems. Click on the link above to watch the session today!