3 examples of AI in marketing

July 27, 2022 | 4 minute read
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Brands need to be on their toes. They only have a small window of opportunity to capture new customers and retain existing ones. One hiccup or mishap, and a customer will (likely) switch to a competitive brand. This puts a lot of pressure on marketers to differentiate their brand from countless others.

Fortunately, technology is here to help. Now increasingly mainstream, artificial intelligence (AI) in marketing allows marketers to predict and analyze consumers’ next moves in the marketplace. This technology improves the customer journey, leading to more conversions.

AI marketing can assist marketers in countless ways, such as: 

  • Enhancing the overall customer experience and customer satisfaction
  • Enabling dynamic, competitive product pricing, including sales and promotion tactics
  • Analyzing social media influencer messaging and effectiveness with prior brand partnerships
  • Tailoring a brand’s marketing messaging (i.e., email and content marketing) and crafting marketing strategies

See how AI in marketing helps your campaigns

Learn more about how AI helps marketers increase customer engagement.

To see what AI marketing can do for a brand, consider these three examples: 

1. Starbucks can predict your next order 

With over 34,000 stores worldwide, Starbucks is a global empire. Customers know what to expect when they order from a Starbucks no matter where they are. A venti vanilla latte with sugar-free syrup should taste the same in Bangalore as it does in Boston.

Now Starbucks can predict when an individual is going to make their next order through its app and use of AI technology. The coffee company’s app records purchases, retrieving information that includes store location, time, and specific order. With this precise data, Starbucks’s marketing team can serve more personalized, tailored messages to customers who are likely to purchase. This messaging includes order recommendations as well as special offers or promotions.

2. Sephora is curating your cosmetics choices

Many would probably agree that finding a new makeup or skin care product can be an overwhelming experience. After all, there are more than 114,000 cosmetics stores in the US, each of which offers hundreds or even thousands of products. When confronted with such abundance, how can a beauty-minded consumer hope to choose among them?

Sephora saw this problem and was an early adopter of chatbot technology in 2017. With chatbots, Sephora could reach and reply to more customers at once, providing them with specific recommendations. With this information, the company sends out personalized emails and messaging to interested, engaged customers.

Say a customer is looking for a new foundation and asks a chatbot for advice. If they have yet to purchase a product after receiving the bot’s recommendations, they’ll receive a follow-up email shortly thereafter. This type of marketing messaging is beneficial for converting consumer intentions into purchases. Furthermore, Sephora’s loyalty program allows the company to see the types of products individuals are buying and to recommend others accordingly.

Find out how to build your own customer loyalty program that customers will love with these five steps.

3. Whole Foods is registering your preferences by letting you bypass the register 

Since Amazon bought Whole Foods in 2017, grocery shopping has never been the same. First came free home delivery (a thing of the past, sadly). Then, Amazon built 24 stores across the country that take convenience to the next level.

Thanks to a system of cameras and sensors, Whole Foods shoppers can now enter the store, fill their shopping bags, and leave without having to go to a register. Using “Just Walk Out” technology, every shopper’s order is accounted for and charged seamlessly through the use of AI technology.

With the data collected, the brand’s marketers can tailor messaging based on when an individual shops and what they add to their basket. High-tech software analyzes shoppers’ activity to find patterns and likely behaviors.

For instance, if someone were to buy pasta, marinara sauce, and Parmesan on one visit, a Whole Foods newsletter the following week could provide them with coupons for another Italian-inspired meal. 

Takeaways for AI in marketing

AI in marketing is a proven successful strategy: 86% of companies that have incorporated AI created better customer experiences. By adopting the technology, you can do the same. Add AI to your marketing toolbox, and see how far it can take you and your business.


 

Learn more about the benefits of AI in marketing.

 

John Rampton

John Rampton is an entrepreneur, investor, online marketing guru, and startup enthusiast. He is founder of the online invoicing company Due. John is best known as an entrepreneur and connector. He was recently named #3 on the Top 50 Online Influencers in the World by Entrepreneur Magazine and a blogging expert by Forbes.


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