Marketing 8 min read

Artificial Intelligence Marketing: Why you Should use AI in Marketing



More companies are investing in artificial intelligence marketing, and that’s not surprising. It enables marketers to understand the sales cycle better and adjust their strategies accordingly.

Main Artificial Intelligence Marketing Takeaways:

  • Artificial intelligence marketing is a marketing approach that leverages AI to improve the experience of customers.
  • AI in marketing involves automating processes such as data collection, analysis, and reporting.
  • Use cases for AI in marketing include streamlined marketing effort, improved ROI, and greater customer satisfaction.
  • Artificial intelligence can improve aspects of marketing campaigns, such as measurement and reporting.
  • The Washington Post used an AI writer called Heliograf to write more than 850 stories about the Rio Olympics and the U.S. presidential election.
  • Advertisers that work with large-scale PPC campaigns can use machine-learning algorithms to create smarter ads.
  • Marketers use chatbots to provide a more personalized customer experience.

According to a recent PwC study, 72 percent of business executives view AI as a “business advantage.”

In this post, we’ll explore what artificial intelligence marketing means and its benefits. Then, we’ll discuss the ways in which AI can boost your marketing effort.

What is Artificial Intelligence Marketing?

Artificial intelligence marketing is an approach that leverages tools, such as big data and machine learning, to improve the customer journey. It involves using AI applications to automate marketing processes such as data collection, analysis, and reporting. As a result, brands can boost their campaign’s performance and ROI with lesser effort. What’s more, your marketing team will be able to perform more tasks within a shorter period.

Besides, insights from artificial intelligence products provide more effective customer touchpoints. That way, you can deliver personalized experiences, whether in ads, customer service, or email marketing.

Consider other advantages of AI in marketing below.

Benefits of Using AI in Marketing

AI in marketing photo shows an unpaired red Nike sneaker.

Several use cases for artificial intelligence in marketing exist today. Some of these include streamlined marketing efforts, improved ROI, and greater customer satisfaction. AI can also improve aspects of marketing campaigns, such as measurement and reporting.

In 2017, Nike introduced a new system, called the “Nike Makers’ experience,” to design their sneakers in-store.

It begins with the customer putting on a blank Nike Presto X sneaker and choosing their graphics and colors. Then, the system displays the design on the blank shoe using a combination of augmented reality and projection.

Not only was the feature engaging, but it also drove sales. More importantly, it allowed Nike to collect data about customer preferences. The sneaker brand could then use the said data to design future products using machine-learning algorithm.

Other benefits of using AI in marketing are outlined below.

Personalized Content Delivery

Artificial intelligence allows marketers to take data analysis and audience targeting to a new level. Rather than analyze audiences in the typical demographics level, AI enables marketers to understand their customers individually.

In other words, it’s possible to identify potential buyers and deliver content that’s relevant to them. This is useful in e-commerce, where 80 percent of customers are likely to purchase from brands that provide personalized experiences.

Better Campaign Measurement and Reporting

Analyzing the massive amount of data that modern-day marketing campaigns produce can be a daunting task.

A study suggests that 96 percent of senior marketers spend roughly five hours and 36 minutes per week to improve their data analysis processes. However, they fail at this task.

That’s where artificial intelligence applications come in.

Marketers can use AI-enabled dashboards to gain insight into campaign elements that drive better performance. That way, they can replicate the patterns or adjust specific factors to increase the chances of success.

Improved ROI

According to Accenture, AI will boost profitability by 38 percent and generate $14 trillion of additional revenue by 2035.

Thanks to AI advancements, current marketing technologies now provide data insight for marketers to act on in real-time. The platforms also enable intelligent decisions on to allocate funds.

Along with the ability to analyze high-performing ad placement, AI marketing technology now offers intelligent budget allocation. That way, brands can save more money and enjoy improved return-on-investment.

Streamlined Marketing Efforts

Finally, artificial intelligence can handle some time-consuming tasks, allowing marketers to focus on the most critical thing — strategy.

According to a PWC study, 72 percent of business leaders say AI can enable humans to concentrate on more meaningful work.

Furthermore, many rely on artificial intelligence to handle various repetitive tasks. These include paperwork, scheduling, and time sheets, to name a few.

How is Artificial Intelligence Used in Marketing?

A macbook near an headphone and a book with the title Marketing and Pricing
Campaign Creators /

Artificial intelligence plays a significant role in several marketing products and services. From AI-powered content creation to intelligent searches, marketers use AI to enhance every step of the customer journey.

AI-Powered Content Creation

In 2016, The Washington Posts experimented with automated storytelling to cover the Rio Olympics and the U.S. presidential elections. At the time, the AI writer Heliograf wrote more than 850 stories for both events.

Thanks to the tech, reporters could focus on other things. These include adding analysis, color from the scene, and real insight to stories.

But it’s not just Heliograf. Today, several marketing tools depend on natural language processing (NLP) to create or optimize content for the web.

For instance, the content writing editor INK uses NLP to help users produce high-quality pieces of content that are relevant to their target audience. For the uninitiated, NLP is a branch of AI that allows computers to understand, interpret, and manipulate human language.

Smarter Ads

Advertisers that work with large-scale PPC campaigns can use machine-learning algorithms to create smarter ads. Besides optimizing ad layouts, marketers also use AI for targeting, copywriting, and bids.

For example, the AI marketing platform called Albert provides an autonomous media buying service. Thanks to this approach, minimal human input is required to make decisions. Instead, AI analyzes, manages, and optimizes the paid ad campaigns.

Chatbots for Customer Service

AI-powered chatbots are common today. In fact, 45 percent of end users say they prefer chatbots as the primary mode of communication for customer service inquiries.

That’s because intelligent chatbots offer impressive customer support irrespective of the industry. Whether it’s fashion, health, or insurance, chatbots are effective for one simple reason — data.

Bots have access to millions of customer-specific data points and location-specific requests. As a result, they can spot repetitive issues and predict the cause of specific problems for an extensive range of customers.

Not only are chatbots more knowledgeable than humans, but they can also offer a more personalized customer experience.

Intelligent Searches

Search engines use artificial intelligence in their ranking algorithms and to prevent search result manipulations.

In a recent study, researchers at the University of Washington analyzed the world’s fourth-largest search engine, Yandex. And the study revealed that Yandex has some advanced NLP and machine learning applications.

What’s more, the search engine uses previous searches to optimize future queries. According to Yandex, such personalized search result has increased click-through rate by 10 percent.

Predictive Analysis

More brands are using predictive analysis to enhance the customer journey.

According to Aberdeen, companies that use predictive analytics managed to increase their organic revenue by 21 percent annually. Meanwhile, brands that don’t use predictive analytics only averaged 12 percent.

The process is simple. Upon collecting specific data from customers, marketers can analyze such information to predict their individual needs.

Starbucks is one brand that uses such marketing technology.

The coffeehouse chain collects and analyzes customer data through its mobile app and loyalty card. Then, it uses predictive analytics to serve customers with personalized marketing messages.

You could then get recommendations when approaching a local store. The message could also contain other offers designed to increase the customer’s average order value.

Image Recognition

Machines have become increasingly better at recognizing images, reaching 99 percent accuracy. Expectedly, high-end retail stores in the United States and Europe are taking advantage of this development.

According to a report, 59 percent of U.K. fashion retailers deploy facial recognition software in their stores. That way, the store can send welcome messages and real-time discounts to individual shoppers.

Besides, the data from in-store facial recognition allows marketers to track offline ROI on online campaigns.

How Artificial Intelligence Will Change the Future of Marketing

The significance of artificial intelligence marketing is undeniable. That’s why 61 percent of marketers say that AI is an essential aspect of their data strategy.

Many marketers already use AI to analyze consumer behavior and predict their future needs. Similarly, brands now use algorithms to recommend personalized content and serve customized ads.

However, artificial intelligence can influence marketing strategies and customer service options in the future.

For example, AI agents can use advanced voice analysis to infer an unmentioned issue from a customer’s tone. That way, it can provide real-time feedback to guide a human salesperson’s approach.

Retailers can also use artificial intelligence to identify customers’ preferences and ship an item without a formal order. However, customers will have the option to return goods that they don’t need.

Read More: 8 Examples of Artificial Intelligence in our Everyday Lives

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