Imagine being able to read your customers’ minds and give them exactly what they need. As an entrepreneur, that could be the ultimate game changer, but that’s impossible, right?
Welcome to the world of AI, where every algorithm is personalized.
If you’re seeking a business cheat sheet, look no further, as this article will explore the impact of AI on both the seller’s and the buyer’s market activity and teach you why you should use it to your advantage.
What is AI?
By definition, artificial intelligence means having tasks performed by robots that are controlled by computers with the capacity for logic, meaning-finding, computation, or experience-based learning.
In simpler terms, it’s a machine with human-like thinking.
AI is mostly used in chatbots, face, voice, and handwriting recognition, and search engines.
What does AI have to do with marketing?
As we all know, artificial intelligence has managed to evolve into a revolutionary technology that continues to transform nearly every aspect of our lives—especially commerce—through the precise analysis of consumer behavior and many more.
By 2030, 45% of the entire global economy is expected to be driven by AI-automated marketing. As soon as it increases its level of effectiveness over time, AI can only go up from here.
Below are the best features of AI that could turn your business around.
Improved Customer Service
Chat robots are present on most websites and applications to assist customers and answer their queries.
Starbucks, for example, has launched its very own chatbot called ‘My Starbucks Barista’, where the AI behind it lets you customize your order via voice or text. After that, all you need to do is pay online, grab your drink from the nearest branch, and be where you have to be. No waiting in line!
The conversational ordering system is so convenient that even airlines, banks, social media platforms, and shopping apps use it as well. Providing customers with conversational support from virtual agents 24/7 can immensely boost engagement and iron out online transactions.
No entrepreneur is a stranger to how profiling works. Learning how to properly run your business means learning who your customers are, what they want, and what you can offer them.
With artificial intelligence present, classifying consumers based on their age, sex, income, and location is no longer a manual job. Thanks to this high-tech segmentation process, developing profiles and interacting with the actual people behind them across channels has now become deeper and better.
Profiling connects us to one of the most remarkable ways AI has altered consumer behavior: tailored advertisements.
The algorithm examines the preferences of the user, browsing history, and past purchases. This allows the system to collect data and bring the content or items that may appeal to them, curating their timeline based entirely on their taste. It’s like a best friend memorizing your likes and dislikes.
Take Netflix as an example. It uses AI to systematize your viewing activity and present movies or shows that you are most likely to watch. It picks up your streaming patterns and habits to ensure you’re getting the most out of your subscription.
This aspect generates a great viewing experience for the customers and huge income for the company at the same time.
Speaking of generating income, AI has the most impact on urging customers to be buyers.
When you look for something on your shopping app, you will see different stores displaying the same thing but at different prices. It may bring up the one with the most sales and the one with the best price next to each other. You’re torn—but it gets you, so it will display your best option right at the top, one with both good sales and a good price.
AI is behind the price comparison. It has the ability to check prices in real time and match them to the customer’s previous purchase action. Just think about getting your company on its side on this.
Is AI Futuristic?
Not anymore. AI is now realistic.
The fact that it is already being used globally defeats the idea that it is still futuristic. It proceeds to replace the old methods of traditional marketing, which helps entrepreneurs save time by not having to do the same tasks over and over again. Throughout the years, AI has become practical.
Embracing AI in the industry means leveraging technology as a tool to meet demands and provide business stability by incorporating the right systems in place without going out of your way—AI will cover those for you.
As it advances in time, its influence on marketing expands. Without a doubt, the smartest move would be to maximize its full potential to your own advantage. The question is, would you make that move?