Many companies, especially their marketing department, have considered artificial intelligence a viable solution to improve and enhance their customers’ user experience. By using AI in marketing, marketers can completely understand their target audience. Understanding the customer will improve the process’s design and increase the audience’s conversion rate to the customer. in this article on smart strategy blog, we will deep dive into AI marketing, applications of AI in marketing, AI in marketing examples, and advantages of using AI in marketing. keep us!


What is the meaning of AI marketing?

AI marketing means using customer information to improve marketing activities and customer relations decisions. This is done by data collection, accurate analysis, identifying behavioral and economic trends, and providing valuable reports for designing and managing marketing campaigns.

Artificial intelligence is usually used in activities that require high speed and accuracy. For example, discovering customers’ tastes based on the mass of information, displaying products tailored to their tastes, and sending personalized messages to customers are some of the applications of AI in marketing.

AI marketing allows us to achieve marketing goals realistically. Customers are generating millions of data every minute, and obtaining, processing, and turning it into parameters in marketing can be a way to achieve business goals.


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history of Artificial intelligence

In 1950, Alan Turing asked a question:


Can Machines Think?


That was the beginning of artificial intelligence.

In 1956, John McCarthy proposed the term Artificial Intelligence for the first time academically, and he is referred to as the father of Artificial Intelligence.

From that year until today, this advanced science has been unique, and today, due to the existence of Big Data, implementing this solution is possible. Research has shown that we create 2.5 quintillion (10 to the power of 18) data daily, which is multiplying due to the Internet of Things.

Subsets of artificial intelligence include the following:


  • Autonomous systems
  • Machine Learning
  • Deep Learning
  • Artificial Neural Networks
  • pattern recognition
  • Natural Language Processing


history of ai

AI in marketing examples

How to use AI in marketing is different for every business. Of course, this matter is directly related to business readiness and adaptability. But the point is the requirement to use it for success in the coming years. however, there are some examples of AI applications in marketing activities.

Sales forecasting with AI marketing

You can use artificial intelligence tools to predict what customers will buy next and what the sales will be. This will help you determine what product to promote and to whom to promote it to increase sales.

This business intelligence method enables you to avoid producing products that will not have demand by balancing your inventory.


Dynamic pricing

One of AI’s exciting capabilities is determining the product’s price. It is a pricing strategy where the product’s price is determined based on supply and demand.

You have probably seen this case in large online stores where the price of a product changes regardless of market fluctuations. This is the dynamic pricing feature. An app or website bot can use your cookies, history, searches, and other activities to set prices. While this may seem unfair to the customer, when demand for a product decreases, the customer can benefit from dynamic pricing.


Content production with AI marketing

Artificial intelligence-based tools can help you produce efficient, optimal, and attractive content. But, of course, the core of content indeed comes from human creativity. Still, you can use AI tools to maximize the efficiency of your content team by automating specific tasks like content SEO analysis or social media content management.


Using AI in PPC advertising

Artificial intelligence is also widely used in PPC advertising. Specifically, some of the top AI applications in PPC include:


  • Smart investment
  • Instant targeting
  • Responsive advertising
  • performance analysis
  • Dynamic advertising
  • Cost optimization
  • Account management


ai in marketing examples


Using artificial intelligence, you can monitor ad platforms in a more profound way that may not be accessible to your team members and competitors.


speech recognition

AI tools can understand your speech or convert it into the text to execute a command. Speech recognition is even used in applications such as Google Maps, Shazam, and many other intelligent systems. But why should marketers use speech recognition for their campaigns?

According to research, by the end of 2022, smart speakers will be in more than 55% of homes. In addition, product and service delivery through search and voice commands is expected to grow to $40 billion by 2022. As a marketer, you should jump in now and take advantage of existing APIs.


Automatic image detection

Big brands like Google, Facebook, Pinterest, and Amazon use artificial intelligence to identify people and objects in images and videos with an accuracy of 99.75%. From a marketing perspective, image recognition can improve online content and store visits.

Many stores analyze customer profiles to provide them with a better online shopping experience. For example, a cosmetics website can improve customer experience by analyzing customer post tone and making appropriate recommendations. Others combine this technology with managed notifications to deliver offers, discounts, and personalized messages to customers individually. As a result, the interaction between stores and customers keeps them excited for longer.


Advantages of using AI in marketing

There are many examples of the use of AI in marketing. Each of these applications brings different benefits, such as

  • reducing risk
  • Increasing the speed of service,
  • Greater customer satisfaction,
  • Increasing revenue, etc.


This advantage may be measurable and quantitative, such as increased sales, or immeasurable and qualitative, such as improved user satisfaction.

Here are some examples of essential advantages of using AI in marketing activities:


advantages of ai in marketing

Increase the rate of return on investment (ROI)

If artificial intelligence is appropriately used, marketers can transform their marketing plan by extracting customers’ most valuable and essential desires.

AI platforms can measure ROI and quickly decide how best to allocate budget across media channels. Artificial intelligence can find the most effective advertising method by analyzing information and providing ways to get the most value from campaigns.


Better customer relations and personalization of behaviors

Artificial intelligence can help you deliver personalized messages at the right points in the customer lifecycle. AI can also help marketers target at-risk customers with information to re-engage the brand.


Advanced measurement of marketing data

Many organizations need help to aggregate data from their digital campaigns and pinpoint the cause of success with a particular campaign. Companies that use artificial intelligence have a more comprehensive view of what is being done and can find the most productive and appropriate channels and allocate budgets according to the efficiency of each track.


Faster decision making

AI can analyze critical data faster than its human counterparts and use machine learning to draw conclusions based on campaigns and customer activity quickly. This gives team members time to focus on designing the right strategy and increasing creativity. Using artificial intelligence, marketers no longer have to wait until the end of the job to make decisions and can use real-time analytics to make better media choices.


Conclusion On AI in marketing

You learned about AI marketing definitions and applications in this article on smart strategy. Applications of AI in marketing are vast and evolving, but if you know its importance, you should quickly start your use.

smart strategy as a leading digital marketing agency providing data analytics services in Canada. To have more information about our data analytics services and have a consultation with our data analytics strategist please contact us.

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