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.”
4 Replies to “Artificial Intelligence and Customer Personalization”
The us of Artificial Intelligent is a great boost for marketers, it can learn from the buying behavior of consumer and recommend to buy or help get in more businesses. Since the AI can handle huge amount of data and personalized it to the recommendation to the consumer so it save a lot of time in collecting data. Collecting data feed to the AI is essential because if not in can have bias response on certain people, basically feed better inputs to get the best result from AI.
Amazon,Google, Baidu, and other tech giants have launched artificial intelligence platforms with increasingly skilled digital assistants. I have read a report that says analysts estimate that Amazon has sold some 25 million Echo smart speakers, which people use to engage with its AI assistant, Alexa, and that number is expected to more than double by 2020. I believe that AI assistant will colonize our future house and when we really get used to use them, they can somehow make a purchase decision for us by ‘learning’ our preferences on a daily basis and only provide information that best fits our inclination. Companies that do not provide personalized services will be penalized by algorithm conducted by AI assistants.
Customers expect personalization/customized products/services. AI can enable marketers to satisfy customers’ needs more precisely. For example, Marketing automation can increase the engagement and efficiency, integrate customer data and management consumer spendings, so that decision makers can have more time to focus on strategies and decision making. According to McKinsey’s report, “30% of early adopters of AI in their core business said they achieved revenue growth and gained higher market share, or Improved products/services with AI. Evidence supports that artificial intelligence can directly increase profits and ROI”. The infographic shows that 79% of executives believe in AI technology. The support from the top management is extremely important for firms to utilize AI. But the problem is how can marketers, especially those work for small start-up companies, find the right AI tools they need?
Wirth reading article, I do believe the AI-assisted customer service can improve customer experience, loyalty, and brand reputation. Due to digital transformation, most organizations are using AI technology to provide a better service to their customers. Below links can bring more insight into the topic https://www.navedas.com/dont-diss-best-uses-of-ai-customer-service/ and https://sloanreview.mit.edu/article/the-future-of-customer-service-is-ai-human-collaboration/.