AI marketing 101 – An Overview and Beginner’s Guide to AI Marketing

AI Changing a Lot of Things Fast. As a New Tech, Artificial Intelligence Promises Great Helps but Also Unknowns We Are Just Learning. This Paper Will Give an Overview of Where AI Has Got to Now and Talk About Important Questions and Debates About Making It.

We’ll Start With a AI marketing 101 – An Overview and Beginner’s Guide to AI Marketing. After That, We’ll Think About the Social and Ethical Effects of Lots of AI Use, Like Unfairness, Privacy Worries and Jobs Going Away. Finally, We’ll See What Experts Say We Should Do to Make Sure AI Grows up Safe, Fair and Good So It Helps People as Much as Possible.

What is AI Marketing?

Artificial intelligence (AI) refers to computer systems that can perform tasks that typically require human intelligence, such as visual perception, speech recognition, and decision-making. In a marketing context, AI encompasses a range of technologies that automate, augment and assist with various marketing workflows and processes.

Some of the most common categories and techniques of AI relevant to marketing include:

• Machine learning – Computer algorithms that can automatically learn, improve and optimize models based on data without being explicitly programmed. Common techniques include supervised learning, unsupervised learning, and reinforcement learning.
• Natural language processing (NLP) – Processing and analyzing text data to understand language meanings and relationships. Enables various marketing applications, from sentiment analysis to content recommendations.
• Computer vision – Algorithms that identify, categorize and understand images, videos and other visual content. Allows for automated image tagging, facial analysis and more.

The application of AI is rapidly transforming the field of marketing. Whereas marketing was traditionally driven by gut intuition and qualitative data, AI enables a more quantified, predictive and optimized approach through techniques like machine learning and automation.

Some of the key ways AI is enhancing and automating core marketing tasks include:

• Personalization – Understanding each customer individually to deliver tailored experiences across channels and touchpoints. AI builds detailed customer profiles and behaviour models that enable hyper-personalized messaging.
• Predictive analytics – Identifying trends, making forecasts, and optimizing decisions for outcomes like campaign success, product demand, customer lifetime value (LTV), etc. Provides actionable insights.
• Content optimization – Automating and improving content performance by testing variations with different text, images, calls-to-action, etc., to increase engagement.
• Process automation – Handling high volume, repetitive tasks like email campaigns, social media postings, and lead scoring by establishing rules and workflows.

The following sections will explore real-world examples of AI marketing tools and techniques to understand how they drive business value.

Benefits of AI Marketing

Integrating artificial intelligence into marketing processes and technology stacks provides a multitude of benefits including:

Increased Customer Engagement

AI allows brands to deeply understand each customer and what content or products resonate with them, leading to more relevant and engaging experiences. Research shows [that personalized experiences can deliver 5-8 times the ROI] on marketing spend and increase sales by 10% or more.

Specific applications like website personalization, individualized emails and tailored mobile app experiences create stickier customer experiences. Chatbots also provide 24/7 customized support.

Improved Marketing ROI

Sophisticated AI analytics tools help predict the optimal marketing mix and budget allocation across channels to drive pipeline and revenue. Some examples:

• Campaign performance prediction to estimate engagement ahead of spend
• Risk models to understand overall budget exposure
• Customer lifetime value predictions to focus on high-value targets

This drives higher ROI as outcomes can be forecasted and optimized before spending money.

Marketing Task Automation

AI automates many repetitive and manual tasks, allowing human marketers to focus on high-level strategic work. This improves productivity and efficiency. Some common examples include:

• Automated lead scoring based on interests and behaviours
• Real-time social media monitoring and interaction
• Dynamic website content optimization
• A/B testing of emails and web pages

According to [Salesforce research], 61% of marketing leaders have seen increased productivity leveraging automation.

Deeper Customer Insights

Advanced machine learning algorithms help uncover granular insights from massive volumes of customer data across touchpoints. Analytics applications include:

• Micro-segmenting audiences based on attributes
• Analyzing purchasing patterns to predict future orders
• Predicting customer churn risk to improve retention
• Modelling lifetime value to focus on loyal, high-value customers

These insights better inform marketing strategies and resource allocation.

Integrating artificial intelligence and machine learning into marketing technology stacks and processes provides immense value. While natural language processing, neural networks, and generative AI may seem complex, the real-world benefits of driving growth can be clearly understood. This comprehensive guide will help marketers translate the vast possibilities of AI into practical realities to transform strategies.

Hyper-Personalized Customer Experiences

Sophisticated algorithms crunching vast amounts of behavioural data can define micro-segments and even niche audiences of one. Models like GPT-3 then generate tailored content with the optimal tone of voice, offers, and creative assets to resonate at scale—the result – is 6X higher engagement and conversion versus generic outreach. AI takes personalization to revolutionary new levels.

Predicting Optimal Marketing Mix and Budgets

Machine learning analytics platforms leverage huge datasets across channels to forecast outcomes for new campaigns. This allows intelligently allocating budgets across formats and personas for ideal impact well before spending. Continuously optimizing based on predicted success significantly improves marketing ROI.

Automating Mundane Tasks

From scoring inbound leads to posting natively across social channels, executing campaigns involves numerous repetitive steps. AI assistants handle this grunt work to free marketers to focus on high-level strategy. Streamlining workflows boosts productivity up to 70%, according to Salesforce Research.

Generating Breakthrough Creative Concepts

Marketers can use leading language models to instantly develop countless appealing headlines, ad messages, or viral ideas for the A/B test. They blend machine-generated outputs with human refinement, resulting in superior performance and high click-through while remaining on-brand.

Uncovering Granular Customer Insights

By combining first, second, and third-party data points with real-time analytics, AI empowers understanding audiences, influencers, and buying signals in unprecedented depth. This drives strategies hyper-relevant to customer needs and timing for 5X+ greater engagement.

Continuously Optimizing and Improving Models

A key advantage of artificially intelligent systems is the ability to keep pace with changes automatically. As new marketing data emerges, machine learning algorithms self-tune to extend insights and improve predictions—performance compounds over time rather than degrading.

While navigating the journey requires learning, adjusting and even rethinking marketing elements, the payoff makes it worthwhile. Harnessing AI amplifies strategies in an assortment of ways. Take the first steps by auditing your current approach, exploring leading platforms available today, and pilot-testing targeted applications to demonstrate value. AI delivers a world of possibilities – get started now to stay ahead!

AI Marketing Tools and Technologies

Various AI-based platforms and technologies now exist to address different marketing needs. Some leading categories include:

Category

Key Capabilities

Examples

Content Personalization

Dynamically changes site content based on visitor profile and behaviour

Optimizely, Boxever

Recommendation Engines

Suggest relevant products, content or actions to users

YouTube, Netflix, Salesforce Einstein

Chatbots

Natural language conversations with customers via text or voice

ManyChat, Ada

Marketing Automation

Workflows to score leads, trigger campaigns, and alert reps based on behaviours

HubSpot, Adobe, IBM Watson

Social Media Tools

Social listening, analytics, automated posting and interaction

Sprinklr, Buffer, Hootsuite

Email Platforms

Optimization of email targeting, send-times, and content using AI

MailChimp, Sailthru

These platforms integrate with existing marketing tech stacks like CRM systems, attribution tools and data warehouses to bolster capabilities. Next, we will overview some tips for those exploring AI-driven marketing.

A vast ecosystem of AI software now exists to address different marketing needs. Some leading categories include:

Content Personalization Engines

These tools automatically tailor website experiences to each visitor through:

• Behavioural targeting – Visitor history guides messaging
• Geo-targeting – Customizing for location
• Predictive segmentation – Mapping visitors to audience micro-segments
• A/B/n testing – Trying content variations to optimize performance

Example platforms: Optimizely, Boxever, Reflektion

Key capabilities:

• Dynamic layouts, images, calls-to-action per segment
• Integrations with CMS, CRM and analytics platforms
• Universal ID to track users across channels
• Performance metrics benchmarking

Conversational AI Assistants

Chatbots and voice assistants engage visitors through natural dialogue via text or voice:

• Pre-defined dialogue trees guide conversations
• NLP processing for semantic analysis
• Recommendation engines suggest relevant products
• Context tracking continues discussions across sessions

Examples: Ada, ManyChat, Bold360, Alexa

Key capabilities:

• Omnichannel deployment – web, app, voice devices
• Dialog authoring tools
• Sentiment and intent analysis
• 3rd party integrations, e.g. payments, support ticketing

Marketing Analytics Platforms

Robust platforms predict outcomes and optimize decisions through techniques like machine learning:

• Campaign performance forecasting
• Budget allocation optimization
• Customer lifetime value modelling
• Ideal customer profile definitions

Examples: Datorama, Attribution, Neustar MarketShare

Key capabilities:

• Statistical models and machine learning algorithms
• Data connectors for CRM, web, and financial sources
• Campaign tracking and tag management
• Visualization dashboards and reporting

This expanded overview highlights the expanding diversity of AI-based marketing technologies available to leverage.

Getting Started with AI Marketing

Embarking on an AI marketing program may seem daunting, but it can be broken into achievable milestones:

Identifying High-Potential AI Use Cases

The first step is to diagnose marketing pain points that AI could alleviate. Joint opportunities range from automating repetitive tasks to guiding new customer targeting strategies.

Prioritize 3-5 use cases best suited to your resources and data landscape. Quick wins build momentum.

Selecting the Right AI Tools

Myriad best-of-breed AI software now exists across marketing, so it’s crucial to align tools to use case requirements with considerations for:

• Existing tech stack – Seek tools fitting your architecture
• Available data – Factor accessible data formats and volume, e.g. CRM, web, and social datasets
• Business priorities – Marketing challenges take precedence
• Budget – Weigh license, integration and management costs

Preparing Customer Data

Machine learning models are only as effective as the data quality used to train them. Best practice steps when building datasets include:

• Data collection from all sources tied to marketing and customers. Access behaviors.
• Data cleaning to fix inconsistencies, inaccuracies, and duplicate records.
• Establish consistent schemas and formats for model input.
• Anonymizing data to protect customer privacy depending on usage.

Training Machine Learning Models

The next step is introducing cleaned datasets into the AI tools to:

• Establish baseline models – Initial benchmarks to measure against
• Iteratively improve model accuracy – Adding new data over cycles
• Automate model retraining – Refresh models continuously as new behaviours emerge

It’s an iterative process to make predictions increasingly precise.

Integrating AI Software

To maximize impact, integrate AI tools with legacy systems like CRM to:

• Technically connect data and functions across tools
• Streamline processes between stakeholders depending on the use case, e.g. analytics team, campaign managers
• Provide easy access to insights for decisions in workflows

This builds leverage across stacks.

The keys to an effective rollout are agile iteration and integration into existing technology and processes. Next, we will summarize some of the best practices noticed among sophisticated practitioners of AI marketing.

AI Marketing Strategy Best Practices

More advanced AI-powered marketing teams employ similar approaches:

Strict Data Governance

As machine learning models regularly access sensitive customer data, brands must establish proper oversight, including:

• Consent procedures to collect user information transparently
• Anonymizing datasets before modelling to protect identities
• Follow all regional data protection laws and regulations

Such diligence maintains customer trust while enabling AI usage.

Culture of Testing and Experimentation

Marketers must test the performance of different models and algorithms through structured experimentation frameworks:

• Set key business metrics to judge AI effectiveness
• Rapid prototyping of models informed by data
• A/B testing methodology to validate assumptions

This validation-focused culture de-risks AI adoption while driving better outcomes.

Cross-Team Collaboration

Marketing rarely operates in isolation. Savvy leaders foster connections between groups working with related data and workflows to augment AI including:

• IT and engineering to facilitate connected data flows
• Analytics to enrich model inputs and measurement
• Privacy to appropriately govern data usage
• Executives to communicate progress and strategy

Breaking down silos multiplies AI influence.

Ongoing Education

While AI management involves technical specialization, programs must broadly:

• Train marketing teams on capabilities to identify opportunities
• Provide AI support docs and resources for self-service
• Highlight client successes to others as inspiration

Continuous learning begets greater creativity in leveraging AI.

As artificial intelligence transforms marketing, more sophisticated teams realize a more significant impact by following several fundamental principles. This comprehensive guide aims to help marketers adopt AI strategically to maximize value. We will provide actionable frameworks addressing vital considerations from objectives to oversight and usage policies. Apply these practical steps to harness AI’s realm of possibilities.

Defining Core Business Goals for AI Adoption

Rather than unquestioningly trusting flashy AI tools, ground programs are used to solve critical growth challenges. Conduct an audit assessing:

• Marketing campaign performance – CTRs, conversion rates, attribution
• Pain points limiting effectiveness – repetitive workflows, insight gaps, content creation bottlenecks
• Data infrastructure – CRM, analytics, automation platform datasets
• Competitor adoption of leading models like GPT-3

Pinpoint 3-5 focus areas where introducing AI technology can achieve tangible ROI. Align output KPIs and executive support to priorities before investing in platforms.

Assembling Cross-Functional AI Launch Teams

Marketers can’t go it alone. To maximize traction, bring together stakeholders from across analytics, tech, legal and product teams. Jointly:

• Explore AI fundamentals – machine learning concepts for non-technical users
• Research use cases suited to available data assets – volume, variety, velocity
• Enable transparency regarding capabilities, limitations and critical dependencies
• Maintain continuous dialogue, adapting plans based on learnings

United guidance multiplies possibilities for responsibly testing applications.

Developing Rigorous AI Governance Frameworks

The hype outpacing evidence demands diligence. To ensure outputs match expectations, institute guardrails addressing:

• Objective KPIs judged independently
• System thinking before implementation – form ever follows function
• Output verification and accuracy checks before sharing
• Data minimization aligned to business necessity
• Permissible usage aligned with ethical norms

Reinforce the framework through training as models evolve. Goal-based oversight builds trust.

Experimenting Iteratively Before Scaling Commitment

Limit risk through structured trial-and-error of AI tools focused on well-defined niches:

• Audit existing workflows, then simulate enhancements
• Start with narrow datasets – expand inputs over cycles
• Constrain initial means by product area, personas and metrics
• Give restricted access to small testing teams

Quick wins demonstrate value-secure buy-in to scale capabilities eventually.

While concepts like neural networks and generative AI promise game-changing applications, pragmatism is key. Succeeding with artificial intelligence marketing strategies requires matching the right technologies to strategic business objectives, assembling cross-disciplinary teams to inform adoption, and instituting responsible oversight to ensure models deliver as intended over time. The fruits of AI’s versatile capacities can then be sustainably harvested again and again.

Future of AI in Marketing

Though already impactful, AI adoption is still in the early stages of marketing, with analyst firm IDC predicting, on average, that 15% of technology budgets will be allocated to AI through 2024.

Advancements in coming years will likely include:

Hyper-Personalization at Scale

Brands will shift from segmenting audiences to truly personalized one-to-one engagement as customer data volumes grow exponentially across channels.

• Integration of first, second and third-party data sources to build 360-degree customer profiles
• Micro-targeting of content and experiences for niches of one
• Delivering the “segment of one” experience across all touchpoints
• Ensuring relevance through context like location, weather, recent behaviours
• AI will determine the next-best action in real-time for each individual

Personalization at scale will increasingly seem “magical” to consumers.

End-to-End Marketing Process Automation

Sophisticated workflows will allow AI to guide marketers through the entire customer journey – from audience selection to campaign creation and measurement:

• Automated audience identification based on propensity models
• AI-guided creative optimization with dynamic content
• Budget allocation across tactics weighted by predictive analytics
• Autonomous ad testing and refinement toward KPIs
• Attribution modeling and optimization powered by ML
• Continuous analysis of performance data to improve campaigns

This would enable comprehensive automation of all core marketing processes through a unified platform.

Hybrid Human and Artificial Intelligence

Rather than competing, marketers will collaborate with AI through interfaces, allowing technology to handle tactical execution while strategists weigh complex decisions:

• AI will process data, make recommendations and execute based on guidelines
• Human experts will define objectives and constraints, judge edge cases
• The hybrid model maximizes strengths – automation with human oversight
• The goal is to augment marketer capabilities and capacity

We are blending the best of human creativity and judgment with the scale and speed of AI.

Continuous and Autonomous Machine Learning

Current AI requires significant data science heavy lifting for periodically retraining models. The future will see machine learning models self-improve continuously based on new behaviours and outcomes:

• Models will update dynamically rather than on fixed schedules
• They will “learn on the job” as new input data emerges
• Algorithms will self-tune topology and parameters to optimize efficacy
• Models will also identify and request further data needed to improve
• Reduces overhead while increasing flexibility and intelligence

This autonomous self-learning approach will enable a more agile application of AI across marketing.

In summary, while AI in marketing has already demonstrated immense capability, the technology is still only scratching the surface of its ultimate potential. We are on the cusp of an explosion of creativity in applying AI to better serve customers, gain insights, and drive growth. Marketing is poised to be revolutionized by artificial intelligence over the coming decade.

some external links to learn more about AI marketing examples. 

• How to Design an AI Marketing Strategy – Harvard Business Review: This article guides marketing executives through the current state of AI and presents a framework that will help them classify their existing projects and plan the effective rollout of future ones. It categorizes AI along two dimensions: intelligence level and whether it stands alone or is part of a broader platform.
• 18 Impressive Examples of AI in Marketing – Social Media Strategies Summit Blog: This blog post showcases 18 impressive AI marketing examples from various brands and industries. It covers how AI can help with lead outreach, customer segmentation, chatbots, content optimization, and more.
• AI in Marketing & Advertising: 21 Examples to Know | Built In: This article lists 21 examples of how AI is transforming marketing and advertising. It features examples from companies like Netflix, Spotify, Amazon, and more.
• AI in marketing: How to leverage this powerful new technology for … – IBM: This article explains how AI can help marketers with content generation, audience segmentation, customer service chatbots, and more. It also provides some tips and best practices for implementing AI in marketing.
• AI in Marketing: The Trends, Examples, Tips, and Tools – 10Web: This article explores the trends, examples, tips, and tools for AI in marketing. It covers how AI can help with SEO, social media, email marketing, and more. It also suggests some tools and platforms that marketers can use to leverage AI.

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