Marketing Insights

How AI is Impacting Digital Marketing

AI already impacts the way that shoppers and marketers interact online. The technology makes shopping more efficient for the customers, and it offers better ROI for companies that use it.

Artificial intelligence (AI) helps computers learn and think so that they accurately perform tasks. Manufacturers and developers have just cracked the surface of AI and are using it to improve industries and technologies. 

One industry that is already seeing the impacts of AI is digital marketing, as the technology is learning to customize shopping experiences using tools like:

  • Chatbots
  • Ad targeting
  • Voice search
  • Predictive marketing
  • Semantic search
  • Content creation and curation

Chatbots

If you’ve shopped online, you’ve probably come in contact with chatbots. These computer programs interact with customers through natural language processing. They engage with customers just like humans do. The technology in AI chatbots is similar to what Siri and Alexa use. 

Chatbots ask questions to respond to needs on shopping platforms. Their responses appear human so most customers cannot tell they are interacting with a computer. As the chatbots interact, they learn more about customers and their needs resulting in quicker and more accurate responses. 

Ad Targeting

Marketing works when advertisements reach the intended audience at the best time. Ad targeting uses AI to promote online advertisements to users who have the right demographics, interests, and preferences. 

Google already uses ad targeting, which is why you see advertisements that fit your recent searches and conversations. With targeted ads and AI, companies get a better return on their investment, as more ads convert to sales. 

Voice Search

As nearly half of all searches involve voice, Google has integrated AI into its algorithms to accurately understand most human language and dialects. Since so many people use voice search, digital marketing developers need to integrate SEO strategies into their technology, too. 

Through digital assistants, people place orders and search for what they need. AI helps the algorithm learn about long-tail keywords and search words. Web developers also need to use pages that answer voice queries, as most people speak differently than they type. 

Predictive Marketing

As AI learns about customers, it learns to predict the next transaction. AI technology looks through historical data using data mining and machine learning to help customers make decisions about their next purchase. 

As customers surf the internet, AI gathers information about their behaviors. AI collects details about brand preferences and buying frequency. It learns about their needs and wants, then matches them with previously analyzed data. AI then creates segments and predicts what they will buy next. 

With predictive marketing and analytics, businesses can plan their supply to meet demand. Doing so helps businesses better utilize their production facilities and human resources expenses. With predictive marketing, AI helps businesses reduce expenses and have less leftover merchandise.

Semantic Search

Semantic-searches help customers save time by learning about their searching behaviors. As users type searches into the query bar, semantic search predicts what words come next. You can see this AI in action on your Google search bar and your text messaging apps. 

To speed up typing, AI learns about search phrases by understanding the relationships between words and phrases. AI learning helps the customer and the marketer by understanding what the user needs based on their history and persona. 

As AI learns more about semantic searches, the quality of the results for the customer and the marketers improve. 

To predict semantic searches, AI uses several factors like:

  • Search histories
  • Previously collected data
  • Location
  • Seasonal trends
  • Synonyms
  • Dialects
  • Concept matching
  • Marketing audiences
  • Keywords and metadata

Content Creation and Curation

Marketers use content creation and curation to attract customers. Usually, marketers write the content themselves or they hire writers to build it for them. Now, marketers can turn to AI and Natural Language Generation to write interesting content for them. AI can write 2000 articles per second to create data-specific content like stock reports and sports stories. 

Content curation involves collecting information about a topic. Amazon uses content curation to recommend products to customers. For example, if you purchase athletic equipment, Amazon might suggest massage guns, bandages, or OTC painkillers. Content curation includes the items that customers might not realize they need, but marketers know they do. 

Conclusion

AI already impacts the way that shoppers and marketers interact online. The technology makes shopping more efficient for the customers, and it offers better ROI for companies that use it. 

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