How can AI help in digital advertising?

The technology that has caused a stir since it was first developed, artificial intelligence (AI), is a miracle. All this anticipation and intrigues surrounding the technology have paid off. Gradually, it is being taken up by various industries to accelerate their growth, including digital advertising.

It can be adapted and implemented for different purposes depending on the task at hand. The first time it was used in advertising was when Lexus ran an ad created by AI in 2018.

Lexus took the help of IBM Watson to analyze certain data dating back 15 years, and the results showed that AI is indeed the future of advertising. However, we are ahead of us. Read on to learn exactly how AI can help in digital advertising.

What is ai

To better understand its role in advertising, we must first understand AI. Artificial intelligence refers to the branch of computer science that creates intelligent machines that have the ability to think for themselves. Therefore the name.

Now this branch is widespread and its main motive is to replicate human intelligence in machines. So natural intelligence is what humans and animals show, and when it is created in machines to replicate natural intelligence, it is known as artificial intelligence.

How has AI been helpful in advertising?

When it comes to ads, AI is helpful not just during creation, but throughout the process. From targeting audiences to buying ads to everything in between, the entire world of advertising is slowly changing.

For now, here are a few ways that AI can be helpful in advertising:

Optimize ad spend

AI is proving to be extremely helpful in determining how much advertisers should spend on a given campaign. Since the various channels are constantly monitored to keep track of their progress, AI systems can figure out how much to spend to optimize performance.

These systems can take into account many factors that humans cannot effectively track, and this makes all the difference. Not only do they monitor their progress, but also that of their competitors.

In addition, AI systems are much more “situation-conscious” and can take into account the constantly changing market patterns. Therefore, given the inconsistent behavior of the markets, it is better to have systems on board that can adapt quickly and make smart decisions.

Make recommendations

Using predictive analysis, which works using machine learning, a subset of AI, Netflix provides quality recommendations for users to improve their viewing experience.

Similarly, American sportswear company Under Armor combines IBM's Watson to combine data collected through its Record app and third-party sources to offer its users a more personalized workout.

Search engine algorithms

Google has always been very careful to offer its users only the best, which is why they use the RankBrain AI system. This system helps the search engine to better understand the user's query.

Using machine learning, the search engine algorithm can teach itself how to interpret queries in a way that measures the intent of the user behind the search, rather than depending on a given program.

Email Marketing Responses

Email marketing is one of the most effective channels of online marketing, and AI has only improved its game. The secret to a great email marketing campaign, of course, lies in the quality of the emails sent.

Good email leads to more clicks, improve open rates, and increase responses. Many companies are now using AI-powered systems that can write catchy headlines, as well as customer-based email marketing language that ultimately leads to more clicks and therefore more sales.

The AI ​​mechanism learns from the customer's response metrics and uses this data to optimize the language used in the email according to the customer's wishes, so that they are forced to open the email.

Programmatic advertising

When it comes to ads, there are many factors to consider before an ad is shown. The right ad needs to be shown to the right people at the right time. There are several “rights” here that could go wrong.

This has been a big problem for several companies, including Google Ads. With the help of AI technologies such as programmatic advertising, the problem with selling ad inventory has been solved.

Using programmatic advertising, Google has automated the entire process from buying to selling ad inventory, combining AI and real-time bidding inventory across mobile, ad, video and social channels.

The technology evaluates the behavior of the visitors and also enables a real-time optimization of the advertising campaigns, so that the conversion chances are increased.

How does AI help with ad creation?

Advertisers are increasingly turning to AI to write advertisements. Several social media outlets, as well as online advertising platforms, use tools that can be used to create more ideal messages. Notable platforms like Facebook and Instagram use AI-enabled tools to create ads and create variations.

In addition to the large platforms, smaller companies and startups are also turning to AI to generate optimized and targeted ads. In fact, many are working on advertising systems that are fully automated.

Conclusion

AI is slowly and steadily expanding its impact on the advertising world. Every step of the advertising process is refined and optimized thanks to advanced technology. This will only result in more effective and appropriate ads in the future that suit customer preferences.

For more information on such content, please visit the Digital Ready blog section. Also, check out the different digital marketing courses we offer and take your first step to become a digital marketer.

Comments are closed.