Using AI to Personalize Your Marketing and Retain More Customers
- Explore how AI has propelled intent-based marketing to new heights, making it more accessible, sophisticated, and effective than ever before
- Gain insights into the latest advancements and learn how to leverage AI’s capabilities to unlock unparalleled marketing success
- Discover how AI is revolutionizing the way businesses connect with their target audience
Customers these days expect personalization, and thanks to AI, personalization is becoming easier and more advanced than ever before. Check out our primer on personalizing your marketing with AI.
Artificial intelligence (AI) technology is not something companies should fear – quite the opposite. AI-driven marketing is something companies should embrace. AI can make your marketing efforts more efficient and easier.
It may surprise you to learn that 69% of consumers are open to using AI to improve their experience, according to a report created by Salesforce.
Intent-based marketing is built on the premise of personalization: Targeting the right consumer, with the right message at the right time. It starts by putting user experience first. To do that, you need to analyze your data to understand your users, not by segments alone, but down to the individual level.
Interest Media specializes in precisely targeting audiences who are in the decision stage of the sales funnel, helping companies reach those who are “ready to buy.”
In this article, we’ll first look at why personalization is crucial, and how personalization benefits your marketing, and then we’ll identify ways in which artificial intelligence (AI) can make your marketing more powerful than ever before.
Prerequisite: Consumers Expect Personalization
“63 percent of customers expect personalization as a standard of service.” – RedPoint global survey conducted by Harris Poll
According to the above survey of consumers in the US, UK, and Canada, consumers believe they are recognized as an individual when sent personalized, special offers.
In a separate study by Salesforce, 56% of customers said they expect all offers to be personalized.
Companies that don’t personalize their content risk losing customers. In fact, in a report by Twilio, 45% of consumers said they would be less likely to purchase from brands that offer non-personalized experiences, and 27% stated they would stop using a brand altogether that did not offer a personalized experience.
A massive 80% of customers are more likely to conduct business with a brand that provides them with a personalized experience, according to a report from Epsilon.
In a recent poll from Accenture found that 91% of consumers said they were more likely to purchase from a brand that understands them and provides them with relevant offers and recommendations.
These studies and others prove that personalization is now a prerequisite by which consumers decide whom they will do business with. It’s also how a company positions itself as authentic.
Benefits of Personalized Marketing
Personalized marketing provides three key benefits, according to Coresight Research, which refers to these benefits as “the 3Cs.”
Customer motivation: Personalization drives higher customer motivation through messaging that is tailored to the preferences of each individual.
Customer loyalty: Personalization shows that a company understands an individual customer better than competitors, which in turn, builds sustainable, long-term relationships.
Channel optimization: Personalized messaging provides a more effective marketing message because it is designed specifically for the channel it is being received through (Web, email, chat, social media, push message, etc.).
Now that you understand what customers expect and how personalization can benefit your marketing, let’s delve into how AI can help accomplish that task.
- Interest Media: Why is Authenticity Important in Marketing?
- Twilio: The State of Personalization 2021 Report
- Interest Media: Harnessing the Power of AI to Redefine SEO
- Coresight Research: Motivating Customer Action and Driving Business Growth
- Interest Media: AI Technology: Should We Fear it or Embrace It?
What can AI offer for Personalizing your Marketing
Artificial intelligence (AI) in marketing offers a wealth of advantages to your business with its ability to tailor your marketing efforts to specific individual customers or target audiences.
Let’s look at some of the ways AI can help with personalizing your marketing.
AI can analyze your individual subscribers by considering their customer data to look at several factors such as their purchase history, email engagement, demographics, and more. Then, AI can create personalized messaging strategies and email campaigns targeted to that specific individual.
By considering an individual’s data, as well as a customer’s preferences and interaction history, AI can deliver targeted messages based on these factors that are tailored to meet a customer’s interests and needs.
Personalized product recommendations
AI can analyze customer data and their purchase history and provide personalized product recommendations through both email and on a company website. This can offer several advantages such as introducing customers to what products and accessories they may need next, as well as introducing them to new products they may be interested in.
Personalized AI-powered chatbots
AI-based chatbots have become advanced enough to carry on a complete conversation with a customer at a level that makes them appear human. Not only can they provide personal responses to customer queries, but do so with a targeted approach. For return customers, AI can access their data to understand each individual customer’s wants, needs, and preferences.
Not only does this benefit the consumer, but the company as well, by removing the need to have an army of customer support representatives.
Personalized pricing via AI
Personalized pricing, also often referred to as dynamic pricing, is where pricing can be determined by AI through several factors. Personalized pricing can be based on a customer profile, availability, or demand in real-time.
Personalized ad content
Companies using intent-based marketing are using actionable data with powerful engines – such as those provided by Interest Media – to target those customers who are in the decision stage of the sales funnel. Companies are wisely leveraging their advertising budgets by using intent-based marketing to target consumers who are ready to buy.
However, companies can also affordably employ AI to target consumers in the earlier stages of the sales funnel to provide them with a relevant, targeted customer experience.
AI ads: More human than human
Surprisingly, AI can also help humans put more “humanity” into some of their advertising. In testing, some AI-written headlines performed better than those written by humans.
For example, Chase Bank used the New York-based marketing company Persado which employs AI in its workflow.
“Machine learning is the path to more humanity in marketing,” – Kristin Lemkau, CMO of JPMorgan Chase
In a test, a human written ad read: “Access cash from the equity in your home.”
Persado’s AI written version – which performed better – read: “It’s true – you can unlock cash from the equity in your home.”
Use AI to improve your product detail pages
AI can analyze purchase histories to provide your product detail pages with “frequently bought together” items to suggest complementary accessories and products a customer may need with a particular purchase.
Using AI to improve your content
Marketers are now using tools such as Surfer SEO and others to analyze their content to identify opportunities to optimize and improve targeting. AI can take your SEO to a new level by helping you identify which keywords to include in your articles, as well as at what density.
AI can identify the ideal structure for your article, as well as the length of your subheads and how many images you should include.
Deliver the Right Message at the Right Time
Personalization is no longer an option – it’s a prerequisite to companies promoting themselves through digital marketing. The bottom line is that businesses that harness the abilities of AI-powered personalization will lead the pack when it comes to attracting, satisfying, and retaining customers.
AI is developing at a rapid pace. In this article, we’ve only scratched the surface by listing a few of the many abilities and solutions AI can bring to your marketing toolbox. The good news for companies is that AI will continue to offer easier and more robust ways to help them personalize the way they market their products to individual consumers.
It’s also important to remember that when using AI to personalize your marketing efforts, it should always be done in a manner that is both transparent and respectful of your customers and their privacy.
Interested in Learning More?
Check out our Free White Paper on The Unbeatable Nature of Intent-Based Advertising or reach out to one of our brand promotion specialists! We pride ourselves on being able to bring advertising partners the exact consumers they’ve been looking for.