Artificial intelligence (AI) has been a game-changing phenomenon across various industries, and digital marketing is no exception. While technology has traditionally been the backbone of digital marketing, the rise of AI and machine learning (ML) has transformed this sphere dramatically, accelerating strategic decision-making and operational effectiveness.

In the below article, Pure SEO, Auckland's leading digital agency, explores how marketers can harness the power of AI in 2023 to drive towards a smarter and more efficient digital marketing landscape. Find out how you can use AI to enhance customer relationships, predict customer behaviour, and craft impactful content.

AI: Fuelling a Smarter Marketing Strategy

Digital marketing has always been about being in the right place, at the right time, with the right offering. However, today's world is becoming increasingly dynamic. Consumer preferences are constantly shifting, novel digital platforms are emerging, and search engine algorithms and social media site policies are continuously modified. Add to this the ever-evolving landscape of data privacy regulations, and it becomes clear that the traditional 'work-hard' marketing approach is no longer sufficient. AI is now poised to be a marketer's best ally.

In this fast-based digital world, marketers can leverage AI to make sense of this landscape, decipher the myriad of data, and capitalise on unique insights for customised customer engagement. A collaborative study between BCG and Google showed that AI in marketing could improve marketing performance by 20%, with an additional 15% gain from human input.

The critical point here is not just the use of AI but the combination of AI and human expertise. Marketers now find themselves in the proverbial Formula One race car, where they must combine their skills and creativity with AI technologies to outmanoeuvre the competition.

Building Customer Trust with AI

Building trust and relationships with customers is crucial for revenue generation. Utilising AI-powered solutions like Google's Customer Match tool allows marketers to tap into first-party data and tailor their campaigns to engage customers at a scale like never before.

The AI-powered tool lets marketers leverage their first-party data to attract new customers similar to their most valuable ones, offering tailored, timely messages across various platforms. By incorporating AI into their campaigns, businesses can acquire more new customers at a lower cost per acquisition.

Uncovering Valuable Customers with AI

Attracting high-value customers is a top priority for marketers, especially under the mounting pressure to optimise profits. Predicting who the most valuable customers are and finding them becomes essential. This is where AI-powered smart bidding strategies like Maximise Conversion Value and Target ROAS can be a game-changer.
However, human expertise plays a crucial role in analysing and defining the values for high-impact conversions that steer the AI system in the right direction. Pure SEO has delivered its clients' significant improvements in return on ad spend and average booking value through such strategies.

Developing effective ads is another area where AI shines, contributing largely to a search engine marketing (SEM) campaign's ROI. Marketers can use AI-powered solutions like Performance Max to produce a wide range of scalable creative combinations, driving optimal conversions and refining creative direction.
This approach can lead brands to substantially reduce cost-per-click and cost-per-acquisition, seeing a significant return on ad spend.

The Future of Content Creation

AI's impact on content creation has been transformative, helping marketers overcome challenges like content saturation and creative blocks. AI can generate outlines based on inputs such as audience characteristics, keywords, and search intent, freeing content creators to focus on executing these ideas., Frase Blog Outline Generator, and Notion AI are just a few examples of AI tools that assist in streamlining blog post processes. Tools like these elevate content creation capabilities, producing AI-infused outlines for blog posts and articles that copywriters can refine and perfect with a final human touch.

AI-Driven Targeted Predictions

Understanding human behaviour is integral to successful marketing strategies. AI can analyse large volumes of data to identify patterns and predict customer behaviours precisely. The lack of bias in AI processing can lead to more accurate interpretations of data, enabling marketers to develop personalised strategies that feel more conversational.

Augmented Reality: The Next Big Thing

As customer expectations evolve, augmented reality (AR) is redefining content marketing. AR technology overlays computer-generated images, videos, or information onto the real world via smartphones or smart glasses, enhancing a person's perception and interaction with their surroundings.

In terms of marketing, augmented reality creates immersive brand experiences. Businesses can use AR to allow customers to try products before purchasing, such as visualising furniture in their homes or trying on virtual makeup. Marketers can also leverage AR for location-based marketing, providing users with relevant information, offers, or promotions. Additionally, AR can be employed in gamified marketing campaigns, engaging users through entertaining experiences that promote brand awareness and customer engagement. AR influences customer behaviour, engagement, and sales, increasing their confidence in products and encouraging them to engage more with brands.

In conclusion, the rise of AI in digital marketing has revolutionised how marketers strategise, execute, and optimise their campaigns. As we continue through 2023, the power of AI in digital marketing will only grow, blurring the lines between technology, creativity, data, and decision-making. The ultimate success of a strategy will come down to how well marketers blend their expertise and ingenuity with AI technologies.