How AI is (and isn’t) changing digital marketing

• April 25, 2023
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By Nupur Abrol, Account Manager, Digital

Artificial intelligence (AI) is undoubtedly one of the biggest newsmakers of 2023 with its attention-grabbing content capabilities and visually stunning generative images.

But for marketers, it’s less about evil chatbots, AI-generated interviews and Pixar characters. The true potential of AI lies in its ability to achieve an increase in ROI and optimize marketing campaigns in real time.

At North Strategic, we leverage channels with AI capabilities to target the right audiences for our clients and achieve cost efficiency. Here’s how we do it:

AI in digital marketing is not a new phenomenon

The mainstream buzz about AI’s creative chops is relatively recent, but AI and its close cousin machine learning (ML) have served as valuable tools in digital marketing campaigns for more than a decade. Today, AI plays a crucial role in the industry and should be part of every brand’s marketing mix.

The ability of AI to analyze vast amounts of data and identify patterns has made it an essential tool for marketers, many of whom have put increasing faith in the technology to help optimize campaigns and boost revenue. In 2021, as many as 41 per cent of marketers reported an increase in revenue from AI adoption, according to the AI Marketing Benchmark Report 2023.

From audience targeting to personalized recommendations, AI is being used to create more engaging and effective digital marketing campaigns. Machine learning algorithms are used to analyze consumer behaviour and predict the likelihood of a conversion, enabling marketers to target the right audience with the right message at the right time.

Last year, North Strategic ran a programmatic campaign for one of our retail clients that layered Page Context AI (PCAI) targeting along with interest, remarketing, and custom browsing audiences. This tactic allowed us to show our ads on the most relatable content to get the most impressions, clicks and conversions.

Our client was delighted with the results: 17 million impressions, 11,000 clicks, and more than 13,000 conversions at a 9 per cent lower cost than the previous year. 

How can channels with AI capabilities enhance your strategy?

AI is changing the way marketers work. Marketing channels such as social media and programmatic advertising platforms (also known as DSPs) have increasingly integrated AI into their platforms to enhance campaign performance. Here are a few ways in which AI is being used in these channels:

• Targeted Content Personalization: AI can analyze vast amounts of user data and behaviour to identify patterns and preferences. But AI also enhances contextual advertising by efficiently identifying the most relevant web pages and articles for ads through machine learning.
• Moreover, AI-powered contextual targeting offers a promising solution for cookie-less advertising, enabling targeted advertising without privacy violations. At North Strategic, we leverage AI to identify the most likely audience to convert by identifying overlapping data points from our clients’ core audiences. This approach expands audience reach and allows us to target the right audience at the right time, providing added value to our clients.
• Ad Optimization: AI can optimize ad placement, delivery, and performance based on real-time data. For example, we leverage ad optimization tactics on social platforms and partner with programmatic advertising platforms (DSPs) that use AI algorithms to analyze ad performance, identify which ads are resonating with which audiences, and adjust ad placements and bid prices accordingly.
• Predictive Analytics: AI-powered predictive analysis can help businesses forecast trends and predict audience and budget estimates. A good example of this would be the “Estimate” metrics and “Automated ad targeting option” marketers can use while creating an ad campaign on Google and Meta platforms.

By leveraging AI-powered tools and techniques to target the right audiences, we’re able to help our clients achieve their marketing objectives more efficiently and effectively than ever before.

At North Strategic, we are committed to staying ahead of the curve and embracing the latest technologies to deliver exceptional results for our clients. Reach out to our teams to learn more about how we can help you navigate the world of AI-powered marketing and take your digital campaigns to the next level:

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