A Complete Guide to AI Marketing Strategy
Last updated on September 7th, 2023
Artificial intelligence has revolutionized the entire business landscape, especially the marketing domain. Marketing is one of the top recipients of the benefits of AI because artificial intelligence helps marketers in understanding their customers, offering them the right products, and providing enticing details to potential buyers.
In fact, a case study by McKinsey revealed that marketing is one of the top domains where AI can offer maximum value and benefits to businesses. Many CEOs and Chief Marketing Officers of companies are integrating AI in their everyday marketing efforts with each passing day as the American Association of Marketers has revealed that the usage of AI in marketing activities has increased by more than 27% in the last few years.
Before getting involved in the subject of how you can use AI technology in your marketing endeavors, you need to know what AI marketing actually is and what different types of AI marketing solutions are in practice in the industry.
What is AI marketing?
In simplest words, AI marketing is the process in which intelligent technology solutions like AI are used to make automated decisions and choices that are driven by data analysis, data collection, and studying various trends in the audience and economy-related parameters. AI makes the decision-making process faster which is why it is generally used in digital marketing efforts.
Why Are AI Marketing Strategies Becoming Important for Businesses, and How Artificial Intelligence AI is changing the marketing landscape?
The usage of AI in marketing practices has been increasing with each passing day. Right now, corporations are using artificial intelligence-based solutions for handling narrow and broad tasks alike. For example, not only are activities like digital ad placement being facilitated through AI but also critical tasks like enhancement of business predictions and customer service are being done through this innovative technology.
Customized ads for the potential buyers
At every stage of the consumer’s journey, AI is being incorporated by firms in different ways. When a user is looking into what products to buy, AI helps the companies in targeting the consumers with customized ads. This assists the companies in converting more potential consumers into customers.
Businesses can upsell and cross-sell effectively
AI can also provide data to companies based on the browsing history of a user. This activity helps them in targeting the users with the products that they will most likely buy.
AI bots are also pivotal in understanding the needs of the consumers, increasing the users’ engagement with a brand, and persuading them into buying the desired products or services of a business.
AI has become a crucial part of digital marketing practices where it helps sellers in upselling and cross-selling their products. It also reduces the rate of customers abandoning online shopping carts.
Efficient customer support
AI-based digital communication systems also help brands and businesses provide customer support to users 24 hours a day and 7 days a week.
Sometimes, the efficiency of using AI in customer support processes is even better than humans as the engagement rate of such smart technology-based systems is higher than normal customer support representatives.
AI also supports humans in their customer support jobs by suggesting them the best suitable responses for different customers by sensing tones and personality traits of customers through their replies and sent texts.
Types of AI-based Marketing Solutions
Artificial intelligence connects marketers with their consumers in an actionable manner.
There are different AI-based marketing solutions that are used by digital marketers mostly. Here are some feasible generative ai service for modern marketers to ace in their digital marketing campaigns.
Machine Learning or ML
In the machine learning process, AI-based technologies are used to analyze data and information for improving the digital marketing campaigns of sellers. Devices and machines that involve ML collect new data, analyze it, compare it with historical records, and help digital marketers in making more informed decisions based on past experiences.
With the emergence of digital media, the influx of big data has been seen. Big data simply refers to the data sets that are so large and complex that typical data analysis and processing application softwares can not deal with them. The emergence of big data has provided an opportunity for digital marketers to dive into an ocean of data collected through different channels and use it to their advantage.
AI helps in refining these big data sets and extruding the most suitable and useful information from these huge and crude data sets. The extracted information helps marketers in deciding the next marketing campaigns and understanding their customers in a more efficient manner.
Specialized AI Tools and Platforms
Data management is also necessary after collecting huge chunks of raw data. That is where AI comes in and helps marketers in managing these widely dispersed sets of data through a central system.
Multiple AI platforms and tools have been developed that help marketers in understanding the behaviors of their customers and designing their future digital marketing campaigns. For example, a framework called “Bayesian Learning and Forgetting” helps digital marketers in understanding the responses of customers to specific marketing campaigns and make more informed future decisions.
How to Create and Use AI Marketing Strategies?
According to experts, proper planning is always helpful while moving ahead with AI-based solutions in your marketing endeavors. This process also helps in reducing possible errors, maximizing the efficiency of the marketing teams, and achieving the best ROI in a given timeframe.
In order to best use the AI tools, the following steps are needed to be followed by marketers to get the most out of Artificial Intelligence.
1. Establish Clear Goals
You should know that for any marketing campaign, let alone AI-based digital marketing campaigns, you need to have a thorough plan and strategy to achieve your goals in an actionable manner. We recommend these goals to be SMART Goals.
You can start with the areas that may need improvement in your campaigns or operations e.g. segmentation process. After that, developing unambiguous KPIs that make your AI-based campaigns more transparent, is important for establishing good goals with a focus on the best user experience in the end.
2. Set Data Privacy Limits
Your users need to trust in your brand or business and also have confidence in the way you do your everyday tasks and activities. For that purpose, you need to set some standards for data personalization. These set privacy standards must be incorporated into AI-based platforms so that they also mimic your business’s concerns and values regarding the expectations and trust that your consumers have put into your business.
3. Collect Data to be Analyzed Further
After setting privacy limits in your AI tools and frameworks, the next task is the collection of useful data that will act as input for AI tools and platforms. This collected data is necessary for AI tools to properly analyze consumer preferences, market trends, and other parameters that may impact your future marketing campaigns.
A data scientist may help at this stage by allowing the companies to collect, filter, and analyze the only useful data needed for achieving the business goals. The sources of data can vary depending on the targeted customer market and potentially achievable goals. The marketer can make this process easier by presenting the process to all relevant teams like IT, operation, and sales teams, etc.
Using a slide presentation on this occasion is a great idea to present a digital marketing strategy powered by AI, as these slides contain both textual and visual information for conveying the desired message to listeners effectively. If you are using PowerPoint or Google Slides for making your next attention-grabbing presentation on AI or digital marketing, our website offers a collection of free AI templates for PowerPoint that you can grab for free download. These AI PPT templates are pre-made, and high quality presentation templates totally free of cost. These slide templates are professionally designed by some top designers in the industry just for saving your precious time and energy that may get spent in developing these slides from scratch otherwise.
4. Hire Data Science and AI Talent
If you are facing difficulties in handling vast amounts of data at your exposure, you need to get some help from the experts in this domain to make your activities more smooth and more rewarding. By getting help from third-party organizations that specialize in AI and data science, you can not only optimize the performance of your AI tools but also increase the productivity of your marketing efforts.
5. Try Maintaining Data Quality
Try to make your input data error-free as much as possible. This is very important owing to the fact that AI tools and marketing campaigns are driven by this data. By compromising on the quality of the input data, you may jeopardize the whole effectiveness of your marketing efforts. Data management must be done in order to maintain and cleanse raw data.
6. Create, and Implement an Actionable AI Marketing Strategy
One of the most important tips for digital markets is to integrate their existing marketing strategies with AI marketing tools. These AI marketing tools make processes like data analysis and avoiding errors in future campaigns easier to handle and execute.
By doing so, marketers can not only leverage innovative and latest marketing strategies for their profit but also set a benchmark for campaigns to come in the future.
Benefits of Using Artificial Intelligence Marketing Strategies
The ever-increasing number of AI-based tools being introduced into the market offers a variety of benefits to companies and organizations. AI helps in reducing risk, increasing speed, improving customer satisfaction, and more in your marketing efforts. Some of the prominent benefits are given below.
Experience an Increased ROI
AI-based tools help marketers to focus only on the most suitable parameters and data sets in their campaigns. They help them in making fast and informed decisions to target potential customers and convert them into customers. This process significantly boosts the revenue of the companies as compared to traditional marketing efforts.
Achieve More Consumer Satisfaction
AI-based systems are able to send customized responses to users 24/7. This enhances their customer experience and satisfaction level during their consumer journeys. This means better NPS, CSAT, scores, and lower customer churn. Innovative technology also assists companies in retaining old and new customers effectively.
Improve the Decision-Making Process
In AI marketing strategies, companies leverage algorithms and machine learning-based frameworks to reach conclusions fastly and make more informed business decisions and a better Decision-Making process. This enables marketers to not wait for the completion of campaigns to make useful decisions. Future predictions are also facilitated by AI-based tools as they help brands and businesses in comparing the present results with past statistics. Hence through real-time analytics & compelling dashboard presentations, better choices can be made all thanks to AI-based marketing tools and platforms.
AI marketing is the process of using consumer data and AI tools and platforms simultaneously to improve customer journeys and increase the revenue of businesses.
AI has revolutionized the arena of marketing in the business landscape by introducing features like customized digital ads, AI bots, and enhanced data analysis and management. Companies are now able to increase their ROI significantly in their marketing endeavors through these artificial intelligence-based frameworks and technologies.
Customer satisfaction and experiences are also enhanced when AI bots remain in constant touch with consumers throughout their customer journeys. Not only the customers, but businesses also get maximum advantages out of AI-based marketing efforts like better decision-making, efficient data management, risk reduction, and more integrated approaches toward future marketing campaigns.