To stand out in a crowded marketplace, marketers need to use every possible advantage. For today’s post. we examine two emerging marketing approaches. In conjunction with how they work together. Artificial intelligence and customer personalization.
Before reading below, look at these posts related to AI:
Combining Artificial Intelligence and Customer Personalization
First, we offer a refresher on the concepts of AI and personalization.
Artificial intelligence, or AI, is the use of computer science programming to imitate human thought and action by analyzing data and surroundings, solving or anticipating problems and learning or self-teaching to adapt to a variety of tasks.
In summing up the promise of customization, McKinsey states that:
Personalization may not fully here yet (at least not at scale). But it’s not far off. Advances in technology, data, and analytics will soon allow marketers to create more personal and ‘human’ experiences. Across moments, channels, and buying stages. Physical spaces will be reconceived. In addition, customer journeys will be supported far beyond a brand’s front door.
While we find these opportunities exciting, most marketers feel under-equipped. A recent McKinsey survey of senior marketing leaders is illuminating. It finds that only 15 percent of CMOs believe their company is on the right track with personalization. But there’s a big incentive to figure it out. Today’s personalization leaders drive 5 to 15 percent increases in revenue. As well as 10 to 30 percent increases in marketing-spend efficiency. How? By predominantly deploying product recommendations and triggered communications within singular channels.
Now, we tie together AI and customization. As Marketo notes:
“Today’s consumers expect more from the brands with which they choose to interact. Thus, the mission for the modern marketer is critical. And it involves personalizing each experience. How do they do it without sacrificing countless hours? Through Artificial Intelligence (AI).”
“Following, this infographic shows that: (1) AI advances and accelerates marketers’ ability to transform from one-size-fits-most marketing. (2) To delivering value through deeply personalized communication at an individual level.”