Undoubtedly, the world is experiencing a new wave of technological advancement, with evidence, which happening in the Artificial Intelligence space. From industries including healthcare and manufacturing to marketing and finance, artificial intelligence is an essential tool for improving services.
Technology has greatly influenced the marketing space. But, how? AI in marketing applies artificial intelligence technology to marketing tasks such as customer segmentation, lead scoring, and marketing campaign automation.
In the marketing space, there are quite many ways that AI can be used. For example, it can improve customer service by tracking customer preferences and behaviour. Then, AI uses that data to create personalized customer experiences. This way, it enhances customer experiences and can also improve marketing campaigns.
How AI Is Changing the Way Marketers Collect and Analyze Data
There are many applications of AI in marketing, but some of the most popular areas are:
Automated Customer Segmentation
AI automatically groups customers into predefined segments based on their behaviour and purchase history. While this helps to improve the accuracy of customer targeting, it also makes marketing campaigns more effective.
Also, artificial intelligence is helpful for companies that seek to understand their customers better. By doing so, they can create detailed customer profiles. In turn, the information gathered can be used to target marketing campaigns and messages to specific groups of customers.
AI can be used to score leads based on their likelihood of converting into customers. Notably, leads are an effective means by which customer generation can skyrocket. So, utilizing artificial intelligence allows marketing companies to prioritize leads and channel their efforts to the most promising prospects.
Marketing Campaign Automation
AI is equally used to automate the execution of marketing campaigns based on predefined rules. Automated marketing involves using software to automate the marketing process, including email marketing, lead nurturing, and targeted ads.
By integrating these with AI, marketing campaigns are improved in delivery and efficiency. Overall, AI improves the accuracy and efficiency of marketing tasks, resulting in a more effective and cost-efficient marketing strategy.
Also, automating these processes helps companies understand customers’ behavior and preferences from an entirely different angle. As such, it impacts how targeted content is delivered and how many customers are influenced.
Chatbots are computer programs that can mimic human conversation and are often used to provide customer service or support. Via AI, chatbots can be powered, allowing them to understand and utilize natural language. This way, they can respond in more meaningful and helpful ways to benefit customers.
Succinctly, predictive analytics uses artificial intelligence to make predictions about future events. In marketing, this is an excellent way to identify customer needs and preferences and anticipate customer behaviour.
What Should Be Considered Before Using Artificial Intelligence in Marketing Companies?
While AI can be used in various marketing tasks, its use should be intentional. Using AI is not the way for marketing companies in every task. Before employing AI for marketing tasks, companies should consider three factors:
- The complexity of the task
- Amount of available data
- Need for human interaction
AI will be a probable option in certain cases. For example, if the task can be easily automated, or there’s several data to be analyzed. Also, it will be a good option if human interaction is unnecessary. If the task is complex or has limited data available, then there may be better options than AI.
Core Leaders in the AI Market
Dating back to December 2021, Tencent – the popular Chinese internet-based platform – held the largest portfolio of AI patent families worldwide. At the time, the company owned about 9,614.
It was followed by Baidu, which owned more than 9,500, and IBM and Microsoft at 7,343 and 5,821, respectively. Similarly, top leaders in the AI space include Amazon, Meta (owned by Facebook), C3.ai, Salesforce, and Alphabet’s subsidiary, DeepMind.
AI Market: Road to 2024
It is believed that the global AI market will witness remarkable expansion in the coming years. With the steady adoption of AI technology, analysts have made some predictions about AI in the manufacturing industry. Artificial Intelligence will hit a $15.5 billion market value with a CAGR of 35.3% in 2024.
Furthermore, Asia Pacific and North America will experience the highest increase in the AI market value in 2024. Notably, it is predicted that the AI market in Asia-Pacific will reach $44.4 billion. However, that of North America’s will reach $42.3 billion in 2024.
AI can help to optimize campaigns by identifying which ads are most effective and which channels generate the most leads. Also, it helps create predictive analytics, which can help businesses understand their customers better and predict their needs.
Additionally, AI is a valuable tool for marketers. It can help companies to improve their customer service, optimize their campaigns, and provide better customer service.