By Eleanor Hecks
Machine learning marketing is making many things possible that were impossible before. Business owners now see how tapping into the power of artificial intelligence (AI) helps create a more personalized user experience. Rather than waiting for analysts to crunch numbers, pushing a button brings up reports so statistically accurate that promotions become more targeted than ever.
How can brands use machine learning (ML) to improve targeting and create a more personalized experience? Here are the top ways to tap into the power of ML and AI and use them to your benefit.
1. Study the Competition
AI might not immediately come to mind when considering ways to study the competition. However, tapping into the power of the World Wide Web and global databases can help you see what marketing strategies are already out there.
ChatGPT pulls on information stored in databases. You can prompt it to brainstorm common marketing strategies for your industry and get a quick rundown of what’s been done in recent years. AI chatbots can find data from various public cloud storage systems and spit out results that might surprise you with their complexity and thoroughness. The key is in learning the proper prompts to use to get the results you desire.
While taking an idea verbatim from AI isn’t a good idea, you can certainly use it as a starting point and tweak the ideas into something fresh and exciting. Most people see the benefits of using machines for brainstorming sessions and information gathering. However, the power of the human brain and its creativity must be part of any unique promotional tool.
2. Segment Your Audience
Source: https://www.marketingcharts.com/customer-centric/analytics-automated-and-martech-229834
One survey of marketing professionals showed the majority are confident in implementing ML and AI to improve their promotional efforts. Around 49% of respondents felt AI was particularly useful to segment audiences.
Machines can sift through internal data and buyer behavior patterns in seconds, saving time and more accurately predicting which group customers should be in. Segmenting your audience helps you develop highly targeted offers that users are more likely to respond favorably to.
Only you can decide how many groups you wish to segment your audience into. However, you should have at least a few buyer personas to gear messaging and offers to each demographic of your audience.
3. Improve Communication
Marketing campaigns are much more effective when teams stay on the same page. AI helps professionals by sending reminders about important project deadlines and even responding to customers via chatbots.
Remain competitive in your industry by tapping into AI tools that track actions and results. A computer can make a split decision to end an advertisement that isn’t achieving desired results and shift the focus to another audience or swap out an underperforming ad for a secondary one with a better return on investment (ROI).
4. Predict Buying Behavior
Machine learning marketing lets you predict future buying behavior based on past browsing or purchase history. You’ve probably noticed when you log on to Netflix or other streaming services that they suggest shows you might like based on what you’ve previously viewed. Amazon recommends products after tracking recent searches or buys.
Such personalized recommendations have higher conversion rates than more generalized ones. Utilize ML to offer specials on things you want to clear out that segments of your audience are more likely to buy. You can also run analytics to determine which new products to carry that will give you a good ROI.
5. Adjust Campaigns
Source: https://www.marketingcharts.com/customer-centric/analytics-automated-and-martech-229442
Marketers are making better connections with people on social media by utilizing AI to predict what audiences respond to. Approximately 34% of social media marketers pointed to a better understanding of audience behavior using AI analytics. They also could use ML to listen to social media chatter and tap into current trending topics.
AI tools can also schedule posts, curate content and respond to messages. A bot can interact with a customer making an inquiry from a social media platform. It can give them instant access to a digital agent that can answer many of their basic questions about a product, pricing and the ordering process.
6. Interact With Customers
Small-business owners have long struggled to keep up with larger companies in customer service. However, AI capabilities are leveling the playing field. Even solopreneurs can utilize an AI-driven chatbot to engage customers and answer basic questions. Program the bot to troubleshoot, collect information and pass more advanced problems on to a live agent. Removing some of the repetitive tasks saves money and creates a seamless experience for consumers.
Source: https://www.marketingcharts.com/customer-centric/customer-experience-228255
Marketing leaders are becoming more confident in a positive customer experience (CX) as technologies change and small brands adopt AI and ML into their wheelhouse. Around 42% feel the digitized client journey has altered their CX strategy.
7. Manage Inventory
In the past, many marketing managers complained about running a promotion for a special sale or price and inventory would run out before people could take advantage of the offer. Such miscommunication between the warehouse, sales and marketing leaves customers with a poor impression.
AI allows people to see inventory levels at a glance and will send out a notification if something’s been flagged for a special and stock runs low. You can even set the machine to reorder popular items based on past seasonal sales.
8. Test and Analyze Campaigns
Imagine running numerous reports in a fraction of the time it takes a human to analyze one data set. Computers can sift through massive amounts of information and spit out reports in visual format to help marketing professionals better understand what makes a successful campaign and which versions of ads to use.
Automate A/B testing through platforms like Facebook and Instagram by tapping into their built-in analytics and AI tools. One image might result in more click-throughs than another. Test every factor, from wording to fonts to photos, until you hit on the perfect mix.
Remember that Facebook’s algorithms need time to gather enough data to create accurate results. Leave an ad in place for at least a week or two before cutting or changing it. Test one variable fully before moving on to another to be certain what impacts results.
Machine Learning Marketing Offers Big Payoffs
Think of machine learning marketing as a way to keep up with the big fish in a little pond. Rather than sticking to the bottom, you’ll rise to the top if you focus on the things you can control and utilize new tools and technologies as they come along.
Tap into the power of AI for your next marketing campaign and see if the ROI is better than without it.
About the Author: Eleanor Hecks is editor-in-chief at Designerly Magazine. She was the creative director at a digital marketing agency before becoming a full-time freelance designer. Eleanor lives in Philadelphia with her husband and pup, Bear.