How AI in Marketing Boosts Revenue While Slashing Costs
Organizations that use artificial intelligence can attest that it has a very real impact on marketing efforts… in some cases, a difference worth hundreds of millions of dollars.
MIT Technology Review reported that UPS’s EDGE program is primed to save the organization $200-$300 million per year. The EDGE program is comprised of dozens of projects that pull immense amounts of data from across UPS’s myriad operations. This data is analyzed by AI to surface insights on everything from how trucks are loaded to when vehicles should be washed.
Not every organization will see this level of improvement, and certainly not right away. But there’s no denying that AI is transforming the marketing field, giving marketers the means to work more efficiently and make more bottom-line improvements than ever before.
In fact, a McKinsey study showed that AI’s most prominent impact could be in the marketing and sales industries. And considering AI is predicted to spur global impact as much as the steam engine did, this is a trend marketers will want to get ahead of.
“#ArtificialIntelligence is predicted to spur as much impact as the steam engine — #marketers should get ahead now,” says @MikeKaput CLICK TO TWEET
That means marketers must leverage AI for massive business improvements by understanding how the technology will help cut costs while increasing revenue.
With AI, You Can Work More Efficiently
Working with AI, you can achieve cost reduction by working more efficiently. Luckily, this is what AI is best at: completing repetitive, time-intensive activities with higher efficiency than humans.
For example, content managers can use AI to autotag hundreds of images in a database while digital advertisers can apply machine learning to manage digital media ad spend. AI can also be used to A/B test thousands of copy and creative variations in seconds, as well as construct creative and email subject lines that perform better than humans.
E-commerce marketers can leverage AI to send live email content to each customer with contextual information based on time-of-open.
When marketers are freed up from these repetitive tasks, they have more time to devote to creating a highly personalized, enjoyable experience — and selling more, as a result.
AI Helps You Sell More
Companies increase revenue through more personalized and targeted marketing to existing and new customers.
Today’s consumers prefer brands that tailor content, recommendations, and services to them. Netflix reported that it saved $1 billion in lost revenue by personalizing predictions with AI, improving the subscriber experience and discouraging unsubscribing.
And AI can help organize and act on the massive amounts of data needed for audience targeting and recommendations.
Marketers who focus on increasing revenue with AI will be ahead of the curve. Many organizations, especially those just starting out with AI, opt for cost-saving use cases. They’re usually the best choice for gaining early wins and earning executive support.
“Marketers opting for cost-saving use cases with #AI gain early wins & earn exec support,” says @MikeKaput CLICK TO TWEET
However, an MIT Sloan Management Review and BCG report stated, “Pioneers prioritize revenue-generating applications over cost-saving ones.”
And becoming an AI pioneer is the best way to create a potentially insurmountable competitive advantage.
Ready to Develop Your AI Competitive Advantage?
Every marketer can become an AI pioneer — they just have to get started.
The best way to get started is to begin with your goals. You need to map artificial intelligence to tangible marketing and business goals from day one. My team and I are working to educate marketers interested in learning more at our annual Marketing AI Conference:
It’s not about just using AI for AI’s sake.
It’s about how AI’s unique advantages across specific use cases can help you boost revenue and slash costs.
Let your goals guide your research into AI solutions, and you’ll be well on your way to discovering the right tools for your needs. ◾
➤ Check out and sign up to attend MAICON this July in Cleveland to learn much more!
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