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How AI is Revolutionising Marketing

Artificial Intelligence (AI) has produced a buzz attracting the attention of several companies, general public and some of the best brains out there. What makes it particularly attractive is its infinitely wide potential usage. Not only has it created whole new industries on its own, but it has actually further elevated existing ones. A field which is learning to take full advantage of AI is digital marketing.

Before we delve deep into the numerous advantages of using Artificial Intelligence in the world of digital marketing, we must first ask what exactly is AI? Artificial intelligence is the process of allowing machines to learn from experience, to adjusts its system accordingly, and perform human-like tasks. It’s like giving a machine a brain and telling it to perform certain a task. The machine will use it’s knowledge, reasoning, problem solving ability which it has learned to complete the task at hand.


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Artificial Intelligence is quickly revolutionizing the field of digital marketing, trying to make sure the right product is shown to the right person to make a possible sale. Ever noticed those little Amazon/eBay banners on different websites showing you variations of a product you just searched up? That’s AI at work trying to get you to buy something. 

Most major e-commerce websites now actively use AI to either advertise to the consumer more effectively and efficiently or use it to replace human interactions altogether. Take for example the “If you watched this, you may like” section on Netflix. Netflix uses AI to calculate what users might be interested in based on their current watch history and possibly other users’ media consumption tendencies. If they guess accurately, they’ve successfully managed to get you to spend more time on their platform


Content Creation

An extremely powerful feature which is becoming more and more popular in the marketing industry is AI-powered content creation. AI tools use machine learning to help marketers discover quality content ideas that perform well and validate those content ideas in the most efficient way possible. Looking at your competition and relevance, AI can help find what topics are the most effective for your marketing strategy. Agencies have also used AI to show what topics are driving the most engagement and hence allows companies to focus on areas which truly will make a difference. 


Chatbots

Similarly, in order to replace human interaction, a lot of companies have decided to use chatbots and automated voices for simple queries. This lessens the demand for call centers and saves money for a company. Dell’s website is a good place to examine this, as simple queries such as “What kind of laptop fits my budget and needs?” used to be fulfilled by a person but now an AI driven chatbot answers these queries and tries to show you the best suited products. 

Digital advertising is a major area where companies use AI and make money. Google alone made $133 billion in advertising revenue in 2019. Companies use customers’ search histories and track their interests via “third-party cookies” and recommend products and services based on them. Take for example you spend a lot of time browsing the web searching for pasta recipes, then Amazon is going to be more likely to recommend products such as pasta sauces and pots. However, the “cookie” system has been under fire for tracking web users too closely, and so Google is looking to replace this with a new system called FLOC, which would group people based on similar interests without tracking them specifically. 


Customer Predictions

Lastly, AI is highly useful in predicting customer behavior and marketing products based on potential future needs. Amazon were the pioneers to giving personalized product recommendations. After making an online purchase, Amazon use an algorithm called “item-based collaborative filtering” to make a homepage unique to the customer based on their interests and previous purchasing history. This powerful algorithm is what attracts customers to keep coming back to Amazon to purchase their products. 

Overall, AI is playing and will continue to play a massive role in digital marketing as it reduces costs, advertises based on personal interests and data and makes it more likely for a customer to purchase products. Companies and agencies that have integrated AI into their systems have already seen many advantages, while other companies who haven’t taken it into consideration are lagging behind.


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