AI in Marketing: Examples and Use Cases

In 2024, marketing and AI are inextricably linked. The biggest companies in the world started using AI-based tools several years ago, which allowed them to gain and maintain their current leadership positions. According to Content at Scale, 80% of American businesses already use AI, and another 15% will join them this year. 

Technology does not stand still, so AI has gradually evolved from an expensive and mysterious software for the elite to an accessible solution. Today, even small businesses and startups with limited budgets can use it. Let us give you more details about the ways artificial intelligence is used in marketing, its advantages, and what to expect from AI in the near future.

How to Use AI in Marketing

Although artificial intelligence is far from omnipotent and has limitations, it is hard to find an industry where it does not bring real benefits. We are going to discuss the most popular scenarios of AI applications in marketing automation.

1. Communication with customers

Today, almost all big companies use chatbots, regardless of their area of activity, product type, or communication policy. A modern chatbot is not just a window with ready-made questions and template answers. It is a program capable of simulating the speech of a living person. It learns from a specific database, independently searching for information using certain keywords and forming simple, understandable sentences.

The primary function of chatbots is to reduce the workload on the technical support service, which has had little or no serious automation tools until now. Artificial intelligence can answer simple questions about the availability of goods and their characteristics, delivery terms and payment methods, warranty returns, and complaints. 

Another scenario for using a chatbot is to connect while waiting for a response from a specialist. If users communicate with the program, they are more likely to stay online and continue cooperation with the company. Tidio statistics show that 62% of respondents would rather use a chatbot than wait for an operator. Therefore, artificial intelligence is a powerful tool for customer retention and loyalty building. 

Examples of services: Claude 2, ChatSpot, Personal AI. 

2. Personalization

The use of AI in marketing is the most widespread and effective. Artificial intelligence is able to analyze tens of thousands of variables within seconds and seek non-obvious connections. Therefore, it can create a complete portrait of a customer with only information about their behavior on the website. This already makes it possible to predict their next actions and determine which marketing tools will be most effective. 

While a user is exploring the site's main page, artificial intelligence will manage to rebuild product cards for him. For example, if the site visitor was previously interested in furniture in a minimalist loft, artificial intelligence will show them relevant recommendations and special offers to increase the likelihood of a purchase.

AI can also build narrow audience segments, that is, groups of people with similar characteristics, behaviors, and interests. This allows you to personalize your campaigns on different communication channels as much as possible and choose the right triggers and messages that resonate with a specific segment.

With Claspo, you can take your personalized omnichannel strategy to the next level. Display your widgets to the specific audience segments that came to your site from a particular campaign, traffic source, ad, or even the keyword that triggered it! Thanks to such detailed targeting, pop-ups will correctly fit into the customer's journey on the website, improve their experience, and bring the desired conversions.

The best part is that creating and setting up widgets takes 5 - 10 minutes in Claspo, even without technical skills. What's more, Claspo easily integrates with many AI-based marketing automation platforms, ensuring fast data transfer and a consistent customer experience across different touchpoints.

Examples of services: Klevu, Dynamic Yield, Klaviyo.

3. Content generation

This is another popular area of AI use. Everyone knows about ChatGPT, DALL-E, and Midjourney - neural networks that can create texts, images, and believable photo imitations. ChatGPT currently has over 180 million users and is used by 92% of Fortune 500 companies. SORA, a public model for generating short videos, will soon join them. It's too early to refuse the services of photographers, artists, designers, and videographers altogether, but artificial intelligence allows businesses to save money on their services right now. 

Even today, thanks to the affordable subscription prices of the relevant services, you can fill your website with high-quality, optimized texts, create graphic elements, and attract visitors' attention with vivid product demonstrations at minimal cost. If you don't limit yourself to basic versions of apps but immediately use their APIs, the website will be rebuilt for each user, adapting to their needs and expectations.

Has the future already arrived? Not quite yet. As we have repeatedly said, neural networks have their limitations. Their results require careful review, editing, and corrections. However, reducing working time by 30-60% is possible using artificial intelligence.

Examples of services: Notion AI, Jasper AI, Nightcafe Studio. 

4. Decision-making

AI can play a key role in marketing strategy by performing some managerial functions. It is able to choose the best time to launch marketing campaigns, determine the ideal discount rate, or target the most promising segment of the target audience. All these can be achieved by using predictive analytics. Top AI models can predict market events and consumer behavior with an accuracy of 90-95%.

All these AI insights can be used to optimize your website's pop-up strategy. Identified when the demand for a particular product is forecast? Use the Claspo widget to showcase its benefits and your special offer. Launched marketing campaigns for different segments? Show a personalized widget with the optimal discount size based on which campaign the prospect has seen/received before. Isn't it great?

The use of AI gives businesses a serious competitive advantage. Thanks to new technologies, decisions can be made based on data rather than intuition, guesses, and unconfirmed hypotheses. This minimizes failure probabilities, optimizes costs, and increases the profitability of marketing campaigns. 

For example, AI can find the best product discount for each target audience segment. This will allow you to attract the maximum number of new customers with no extra costs. After analyzing the market, it will determine the supply and demand ratio in these groups, compare them with the price elasticity, and consider consumer awareness of a particular product. This will allow the company to attract the maximum number of new customers without unnecessary costs - the discount will be large enough to create hype and sufficient to maintain positive financial results.

Examples of services: Tableau, Polymer, Microsoft Power BI. 

4 Best Examples of Using AI for Marketing

Here are 4 AI in marketing examples that prove the benefits of new technologies for business.

1. Netflix

Most people already know that the personalized selection of movies and TV shows for each viewer has brought the company more than a billion dollars in profit. Therefore, we will not dwell on this point but consider more subtle methods of applying AI for marketing. 

Those who have used Netflix from different accounts may have noticed one interesting detail. The service shows users various advertising posters, video fragments for previewing, and content descriptions. For example, after watching The Queen's Gambit, the poster for Sharpshooters will show Anya Taylor-Joy as the main star instead of Cillian Murphy.

And that's not all. If a user usually watches comedies, trailers for action movies and dramas will show the funniest moments. For fans of melodramas, previews will focus on the relationship between the main characters. This is designed to draw attention to new releases and time-tested hits, increasing the viewing time and reducing the probability of subscription cancellation.

2. Whole Foods

This is another of the more interesting AI marketing solutions. When the retailer launched 24 Just Walk Out self-service stores, many experts called this idea a failure. Indeed, they did not bring the company great financial success. Most of them are barely profitable or even below it. But the network may well ignore such losses. 

The reason is the results of research conducted in these stores. Since they don't have the usual cash registers and sales staff, these premises are literally stuffed with various sensors. All product packages are specially labeled with radio frequency beacons. And this "local cyberpunk" makes tracking the smallest nuances of customer behavior possible.

The company uses the research results in its regular-format stores. It optimizes the layout of goods, the arrangement of racks, and even the width of the aisles in the cash area. Data on the demand for certain products allows it to improve its approach to supply, reducing the loss of products with short shelf lives.

3. Nutella

The famous chocolate-nut paste manufacturer's example proves that the use of AI in digital marketing is far from the limit of new technologies. By collaborating with the marketing agency Ogilvy Italia, the company created unique packaging for its product using artificial intelligence. 

The neural network analyzed several thousand images. Among them were Italian landscapes, works of famous artists, contemporary street art, and clothes from fashion collections. The AI activity resulted in 7 million unique stickers for Nutella cans.

The decision turned out to be very successful. The manufacturer ran a low-cost advertising campaign using inexpensive tools such as billboards in major cities, word-of-mouth marketing techniques, and banner ads. All 7 million cans were sold within a week, with buyers reselling some for 10-25 times more.

4. JP Morgan Chase

One of the largest banks in the United States decided to entrust artificial intelligence with the sacred task of commercial offers. The company's management was dissatisfied with the low click-through rate of emails, push notifications, and ads in personal accounts on the website, so they entrusted Persado AI with generating calls to action as part of an experiment. 

The result exceeded all expectations. Artificial intelligence increased the click-through rate by 450%, and in some messages, it reached a record 24% for the industry.

Using AI to create marketing texts is a great idea. However, the main rule is to test different options to optimize your strategy and get the best results. And here, Claspo comes to the rescue. Whether you come up with calls-to-action yourself or with the help of AI, A/B test widgets with different CTA buttons, track the performance of each option in our analytics, and determine which one motivates your audience to click.

Our versatile A/B testing template will simplify your life. It will guide you through the entire process, from preparation to analyzing the experiment results. And yes, it is suitable for validating any hypothesis, not just those related to widgets. So, by downloading it now, you get an indispensable assistant for testing any of your ideas in the future.

Why You Should Use AI in Marketing: 4 Benefits

When it comes to AI, most people imagine something mechanical, unnatural, and inhuman, like robots from old movies. In fact, this is typical for previous-generation programs that could not adapt to the external environment and make decisions on their own. Modern AI in marketing is totally different—lively, creative, and excellent. If used correctly, it can bring lots of benefits.

1. Maximum personalization

Imagine that you have no resource limits. So, you hire hundreds of thousands of specialists to create several million versions of your website - one for each potential user. These professionals do more than just web development. They carefully study the behavior, needs, and desires of future customers. 

It may be hard to believe, but this is exactly how artificial intelligence works. Moreover, it does this in real time, instantly rebuilding web pages at the time they are loading. And a subscription to it is much cheaper than paying the salary of a top specialist in their field. By the way, Forbes predicts that 21% of US GDP growth by 2030 will result from AI-enabled business efficiency improvements.

2. Full automation

Every businessman dreams of fully automating his business to make profits with almost no effort. Of course, it would be amazing to watch your bank account replenish somewhere in Bali or Hawaii while planning your next trip. However, things always require personal attention, such as making important decisions under challenging circumstances. 

The AI used in marketing today cannot replace humans by 100%, especially the talents of high-ranked business executives. However, it can significantly reduce the workload of specialists by taking over communication with customers, market analysis, calculation of optimum prices, and creation of personalized offers. 

You can also use AI for marketing campaigns. A great example is Nike, which used artificial intelligence in its system of direct sales of sports shoes. It combined predictive analytics, virtual shoes fitting in a mobile app, intelligent chatbots, and other AI-based solutions. The result was an increase in sales from $2.9 billion to $12.4 billion!

3. Never-ending creativity

The human brain has a tendency to build behavioral patterns - millions of years of evolution have made it that way. Over time, most marketers start to repeat themselves, using the same tools, ideas, and solutions in similar circumstances. However, the world does not stand still, and typical methods may not bring expected results. 

AI in digital marketing can become the perfect assistant in desperate situations. In a matter of seconds, it will generate dozens of marketing campaign options that take into account the company's previous experience and successful actions of competitors, analyze tens of thousands of variables that characterize the current market situation, and make the required adjustments. 

An example is Cyber Inc., which started generating training videos using the Synthesia AI neural network. Replacing a real teacher with an avatar reduced time and expenditures by 2 times while increasing the number of views. 

4. In-depth analytics

Why did a visitor stay on a product page but not make a purchase? Maybe they didn't like the price. Maybe the delivery and payment terms were too unclear. Or perhaps they shifted attention from the computer for a few minutes and immediately closed the browser tab. 

AI has the answer. It can distinguish subtle nuances of user behavior and draw conclusions, predicting their next actions. What's more, the model learns from this data, increasing its accuracy with each subsequent prediction. 

By adding a user to a specific group, artificial intelligence will show the probability of a targeted action, leaving the page, or receiving a lead. Enough information will even determine social, demographic, and psychological characteristics, which will help create an optimal company communications policy.

Future of Marketing with AI

The above examples show that new technologies are already being applied on a large scale, are highly efficient, and generate billions of dollars in profits. Of course, they also have their drawbacks and restrictions. Addressing them will be one of the key AI marketing trends for the next 5-10 years. The authors will also work on improving the user interface. So soon, AI-based tools will be as indispensable as Microsoft Excel. 

However, experts also highlight the following areas of generative AI for marketing:

1. Augmented reality. Imagine walking between the rows of shelves in that innovative supermarket, and your smartphone or other device shows you the ingredients for cooking a culinary masterpiece. At the same time, it displays other important information such as allergens, expiration dates, etc. Augmented reality will take advertising to a whole new level, especially when it comes to personalizing your messages. 
2. Subscription orders. Running low on fresh vegetables, drinking water, or toilet paper? Don't worry. When you use the last item, a courier or delivery robot will be waiting at your doorstep. Smart home devices will analyze consumption patterns and place orders on time. Such a shopping system will increase customer retention and reduce the cost of reducing churn. 
3. Personal assistants. Another way how AI will change marketing is through the expansion of voice search. Smart speakers and smartphones can already be used to order products with simple phrases. In the future, these devices will learn to recognize the mood of their owners and analyze their behavioral patterns. This will make it possible to select products based on the same requests more accurately. Are you tired? When you request food, artificial intelligence will select a set of snacks to accompany TV viewing. Feeling romantic - sushi. You're excited about the prospect of socializing with friends - pizza.

Stay Ahead with Claspo

Artificial intelligence and Claspo can work in tandem for your results:

• Use AI to generate influential texts and images and then display them in a pop-up window to convert site visitors into leads and buyers,
• Analyze and test AI-generated texts and images for your pop-ups and choose the best solutions for your business,
• Let AI segment your audience for the most accurate targeting and use Claspo widgets to continue the personalized experience of your audience after landing on your site.
• Predict consumer demand and behavior with AI and showcase the right offers at the right time through Claspo widgets.

Implementing artificial intelligence in your marketing strategy may require time and money. In contrast, you can evaluate Claspo's superpowers now—and it's absolutely free!