Peter Drucker once said, “The best way to predict future is to create it”, Artificial Intelligence is all about creating the future.
Customers are moving outside the promoting channels by changing the manner in which they research, and purchase items and marketers are evolving with this changing trend. Physical retail organizations are directing their concentration toward AI to fundamentally improve client experience and sales. Around 50% of Retailers who employ AI, generally use it to drive sales and anticipate demand, while around 40% of them use AI to understand consumer behavior, while currently the least use of AI is to assess existing competition, with only 4% of the retailers employing AI for the said purpose.
It has been generally known that personalization is the way to go for the marketers as a devise to increase sales. Personalization AI can automate decisions about which content or offers are presented to a customer based on individual behaviors, profiles and context. AI has the advantage that it can adapt in real-time to personalize the experience around each customer. Marketers can also integrate AI systems in their existing marketing automation programs thus not disrupting their workflow.
One of the best things about technology like AI is that it is not confined to big businesses. Today, even smaller businesses or start-ups can make use of this technology by applying publicly available algorithms or off the shelf machine learning services to generate useful insights and create prediction models based on their customer’s behaviors, and all this at a fraction of the cost.
AI for marketing contains systems that change behaviors without being explicitly programmed based on data collected, usage analysis and other observations for marketing use cases. This insight, intuition and scale fueled by AI will help marketers deliver relevant experiences to prospects and customers with increasing effectiveness and efficiency.
Start-ups, large conglomerates and even medium-sized enterprises have started the use of AI in their marketing as well as in customer personalization which has helped them to scale or sell more, for example, a Department Store chain in New York, uses AI to serve personalized editorial content to shoppers as they move throughout the store via their app. A French Luxury Perfume and Cosmetics House have embraced AI-driven personalization to serve every customer as an individual. The brand is investing in personalization AI to deliver unforgettable, tailored experiences that connect shoppers to the most relevant content and products. Each experience is driven by the combination of digital signals, this company’s own beauty expertise and information shoppers share directly with the brand.
Another example would be of an Online Streaming Service Provider, through AI and machine learning, they devised personalized recommendations to their 100 million subscriber base, because they learned that their subscribers will give up on their search if it takes more than 90 seconds to find a movie or a program that they want to watch, through personalized recommendations this company has estimated that it has avoided canceling of subscriptions that would have reduced its revenue by about $1 billion annually.
For marketers, gone are the days when to find a new customer they would have sat in a room, maybe with some data analysts and coffee, and define some baseline criteria for what a valuable or ideal customer looked like. AI now helps marketers to find the best customers without having to resort to painstaking manual effort and analysis and the best part is, all of this can happen in real time.
AI in marketing has helped marketers the ability to predict customer choices.
Richrelevance – AI-Infused marketing across the customer lifecycle.
SmartInsights – Technology for innovation in marketing.
Salesforce – AI for marketers.
Forbes – Extreme personalization is the new personalization.