The studies are already in. Artificial intelligence has the capability to generate more engagement with marketing strategies. With AI in full swing, studies are proving its efficiency. A recent 2023 study showed AI enables marketers to increase sales by 52%, customer retention by 51%, and successful product launches by 41%. In the same study, 21% of sales leaders said they rely on AI-powered applications for marketing.
That’s just one study published by Forbes. There’s an almost endless list of statistics to analyze, including the fact Gartner believes 30% of outbound marketing messages will come from AI by 2025 – next year.
The adoption rate is massive, and so is the success rate. Read on to learn how AI can help improve marketing engagement.
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AI For Marketing Engagement
More data is incoming. Some 60% of marketers say AI helped them create a more consumer-centric experience. We told you – the list of statistics is endless.
AI and AI marketing automation are revolutionizing marketing engagement. It offers personalized, data-driven insights that were once almost impossible. AI analyzes vast swathes of data to understand customer preferences, behaviors, and patterns – and it can do it 1000x faster than humans, apparently.
AI’s capability to predict customer behavior and preferences enables marketers to anticipate needs and offer solutions before the customer recognizes the requirement. This proactive approach enhances customer satisfaction and brand loyalty.
AI For Marketing Campaigns
One statistic released by HootSuite revealed marketing executives improved customer engagement and satisfaction by 9% within three years of using generative AI. On the other hand, a statistic released by CMSWire revealed that in customer service, where AI is actively used, 63% of retail organizations believe it is improving customer interactions.
What does that prove?
AI adoption and success is on a company-to-company basis. Results will depend on how it’s used for marketing campaigns and the industry. But there’s no denying it’ll work.
How Will It Work?
AI-powered tools can analyze the success of past campaigns, identify winning patterns, and replicate these in future initiatives. They can also test different campaigns in real-time to learn which has the potential for the best customer engagement and return on investment.
And the use for content creation is crazy – especially with generative AI with image and video generation capabilities. AI’s real-time analytics allow for the continuous monitoring and tweaking of campaigns to improve engagement. The agility is almost essential to cater to rapidly changing consumer needs.
The Inevitable Limitations
AI, at its core, is a tool reliant on the data it’s fed. It also focuses on different parameters to ‘learn.’ It lacks the innate human intuition, the emotional intelligence that often drives the most impactful marketing strategies. AI can predict, analyze, and optimize. But AI does not feel emotion. And marketing is about human emotion and connection. Still, the premise of AI is to replicate human thinking and eventually emotion.
AI’s dependence on data also raises concerns about privacy and ethical marketing. In November 2023, a report revealed there were 470 publicly disclosed security incidents in 2023 alone, totaling 519,111,354 compromised records, making the total compromised records for the year 6 billion. Will AI add to this? It’s almost a waiting game as the technology emerges as a frontrunner for marketing and consumer data.
AI is flawed, yes, but for marketing, it’s excelling. The results speak for themselves, and according to HubSpot in a 2023 post, AI has a current market value of $1 billion and is predicted to grow not tenfold but twentyfold. And Statistica predicts higher, with an estimated market value of $305.9 billion by the end of 2024. All the money is fuelling innovative applications like marketing bringing brands closer to their consumers.
