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How Are Brands Using AI in Digital Marketing?

The incredible advantages, and the limits, of using AI in digital marketing—what you need to know.

As technology continues to relentlessly advance and become ingrained in our everyday lives, more and more brands are looking for opportunities for applying AI in digital marketing. AI, or artificial intelligence, refers to the use of machines to perform tasks that would typically require human intelligence. In the world of digital marketing, brands are using AI in many ways to improve customer experiences, increase sales, and enhance overall marketing strategies.

A main advantage is that AI enables brands to tailor their marketing communications at an individual level, for example by taking into account purchasing behaviour and the decisions of customers to increase customer satisfaction and of course conversions. Another key benefit is that AI can assist marketers by automating repetitive tasks and freeing up time to focus on other aspects including campaign management, performance optimisation, and even more room for creative processes.

There’s no sign of the global AI sector slowing down soon, with estimates putting its net sales somewhere around the $433bn mark in the three years since 2020—and it’s set to keep growing. AI in digital marketing is predicted to grow in line with the overall market too as software brands together with agencies find new and innovative ways to gain a competitive advantage with the nascent technology.

So what are the latest trends and who are the brands using AI in digital marketing? What can you apply to your own marketing strategy? And, of course, what are the current limitations you need to know about?

Read on to learn all this and more and start using AI in your digital marketing campaigns today!

Table of contents

      • AI in digital marketing: how is it being used right now?

      • How can AI help in digital marketing?

      • AI in sales

      • AI in advertising

      • AI in content marketing

      • AI in SEO

      • What are the disadvantages of AI in digital marketing?

      • Where is AI in digital marketing going next?

AI in digital marketing: how is it being used right now?

AI-powered digital marketing software utilises enormous amounts of data to predict consumer behaviour and purchasing patterns. This, in turn, provides marketers with the ammunition they crave to craft highly targeted campaigns designed to increase sales. This isn’t a new phenomenon though; in fact, marketers have been doing this for quite some time. A classic throwback to 2017 shows how IKEA made headlines when they introduced AR technology that let customers visualise products in their homes before making their purchase decision.

What has changed since 2017 is how nuanced and refined AI-assisted targeting has become. AI can now assist advertisers in selecting ads most likely to drive conversions (more on this below). The result? By analysing volumes of data, AI can uncover trends or patterns which would otherwise go undetected by humans, and this in turn reduces ad spend in campaigns and improves conversions. What’s not to like about that?

Of course, the other big area AI is taking off in right now is assisting brands and marketers by automating tasks including creating content, monitoring customer responses, and sending emails. While email automation has been around for a while, machine learning is now enabling brands to determine when to send emails based on subscribers’ activity history. Brands and agencies are continually designing campaigns with new and increasingly automated processes to drive sales and deliver even more value, so watch this space as it continues to unfold.

How can AI help in digital marketing?

AI is being used in a variety of ways to enhance digital marketing strategies. One of the most significant benefits of using AI in digital marketing is its ability to analyse large amounts of data quickly and accurately. This data analysis allows brands to better understand their customers and target them more effectively. AI can also be used to optimise the user experience on a brand’s website or app, personalising content and recommendations for individual users.

Perhaps more fundamentally, AI offers more than automation of work processes and data analyses. Indeed, artificial intelligence imitates human behaviour by using Natural Language Processing (NLP) and Machine Learning (ML) to make decisions and function in a human-like way. AI in digital marketing needs data (a lot of data) to behave in human-like ways. In turn, regulatory compliance has become a focal point in collecting data ethically recently. For example, the Italian Government banned ChatGPT due to breaching GDPR through unlawful data processing.

Read more: Big Tech Enters The Generative AI Arms Race

How Are Brands Using AI in Digital Marketing? Smartphone digital comic art - Linguakey Blog

AI in sales

AI is having a significant impact on sales, particularly in e-commerce. Modern customers expect personalised service, and AI can help brands meet this expectation by analysing customer data and predicting intent. This information can then be used to enhance marketing campaigns through improved content, timing and placement strategies. AI also can identify churn risks (the rate consumers stop interacting with a brand) and take preventative steps to minimise its occurrence. Iconic motorcycle brand Harley-Davidson used AI to optimise its online ads and they credit 40% of their sales to the success of the campaign and Albert, the AI behind it.

Everyone’s familiar with AI-powered chatbots and how they’re being used to engage with customers in real-time by answering their questions and providing recommendations. These chatbots can also personalise the customer’s experience by recommending products based on their past purchases and browsing history. AI is also being used to analyse customer behaviour and predict which products they are most likely to buy, allowing brands to make more targeted product recommendations.

AI in advertising

AI is revolutionising digital advertising by allowing brands to target their ads more effectively. AI-powered algorithms can analyse customer data to determine which ads are most likely to resonate with each user, increasing the chances of conversion. AI is also being used to optimise ad spend, automatically adjusting bids and targeting to achieve the best results for each campaign.

Plus, AI can assist advertisers by helping identify which ads are likely to bring in sales, saving both time and money by eliminating ineffective ad campaigns. Furthermore, it can enhance customer experience through personalised services. For instance, Nike effectively used AI in their digital marketing to enhance product personalisation.

Coca-Cola is another great example of AI in digital marketing where they used software algorithms to generate logos, texts, and narratives in ads.

AI in content marketing

AI is used in content marketing to analyse customer data and create more personalised content. On a personal level, AI-powered tools can analyse customer behaviour to determine which types of content are most likely to be consumed by each individual user, and this is allowing brands to create more targeted content strategies.

Content marketers are using AI to do a lot of the heavy lifting when creating content too. For instance, AI can help generate blog articles, social media posts, infographics, and videos. However, in our opinion, AI should be utilised alongside strong editorial skills to ensure accurate and compelling results (fear not, the copywriter is not dead).

Essentially, AI can accelerate content generation and this, in turn, can free up content marketers to create more targeted and compelling digital content. Try out AI-based content tools like Jasper, Writesonic, and ChatGPT to see if AI is suitable for your content requirements. Once you’ve identified the areas where you can benefit from it, you can use AI to create various types of content, including blog posts, social media content, video scripts, and ad copy. However, remember that while you can get ahead using tools like ChatGPT for marketing writing, editing the content generated by AI is a vital step to make sure it meets your high marketing standards and will help you achieve your desired outcome.

Read more: Does “Content Is King” Hold Its Own Against ChatGPT?

AI in SEO

Marketers have become pretty dependent on the use of AI to adapt to search engines’ algorithms thanks to accessible tools such as Ahrefs, Moz, and SEMRush. Gone are the Wild West days of optimising sites for search engines and hoping for the best; today, the use of artificial intelligence in SEO is allowing brands to optimise their content for search engines more effectively.

Read more: What Does Google Think of Generative AI Anyway?

AI-powered tools can analyse search engine data to determine which keywords and phrases are most likely to drive traffic to a brand’s website. These tools can also analyse a brand’s website and suggest changes to improve its SEO ranking, such as optimising page titles and meta descriptions. The result of these AI-driven tactics is to improve the ranking of your web pages and to allow for more adaptive strategies and better content development for your business.

How Are Brands Using AI in Digital Marketing? Smartphone digital comic art - Linguakey Blog

What are the disadvantages of AI in digital marketing?

While AI in digital marketing has many incredible benefits, there are limitations and the risk of overreliance on certain features. One concern is that AI may be used too heavily in some areas, leading to a loss of personalisation and a decline in customer engagement leading to increased churn. Additionally, AI-powered tools may not always make the best decisions, leading to suboptimal results. Finally, there is concern that AI may lead to job losses in the marketing industry as certain tasks become automated—and this concern is shared across many industries and sectors.

There is pushback against AI from the consumer side as well. Consumers have become wary about the way brands use their data, so failing to follow privacy standards with your AI marketing tools could result in serious penalties or even damage to your reputation. Communicating openly with consumers about how your business uses AI and protects their data is an excellent way to foster trust while maintaining strong brand equity. Of course, certain agencies are combining AI tools and human expertise to deliver greater value.

Where is AI in digital marketing going next?

Looking ahead, AI is almost certainly set to play an increasingly important role in digital marketing. AI will likely become even more sophisticated, enabling brands to deliver even more personalised customer experiences. AI technology will assist marketers in better understanding their customers, providing more appropriate recommendations, and improving customer service. It also looks set to automate repetitive tasks to give more time for strategic initiatives.

However, it is essential to strike a balance between using AI and maintaining a human touch to ensure your customers are engaged and feel valued. As for AI in content marketing, we see its use in generating certain content types and automating parts of the content generation process, but it’s far from a single solution for every brand’s unique content needs. As AI technology continues to evolve, we’re excited to see how brands leverage it in new and original ways to improve their marketing strategies and grow their businesses.

If you are looking for opportunities to use AI to optimise your content marketing, we’re here to help. Get in touch with us today to learn how we can improve your next content campaign with the help of AI and watch your ROI grow!

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