What is Gen AI in Marketing? 

According to a report by MIT Technology Review, by 2025, 20% of marketers plan to use Gen AI in marketing to create better customer retention strategies, campaigns and advertisements. Generative AI is transforming consumer marketing as we know it. For individual companies, marketing campaigns that once took months to design, now can generate insights and target customers in days, if not hours. Generative AI enables personalization at scale, a feat previously unattainable. Companies that hesitate to adopt this technology risk falling behind. 

Generative AI empowers marketers to effortlessly create relevant, timely, and trustworthy customer experiences. It simplifies the process of discovering segmentation insights, crafting customer journeys, generating content, and automating conversations. This technology allows marketers to launch revenue-boosting campaigns in minutes instead of days, saving hours of manual labor and enhancing team productivity, efficiency, and speed. 

In this blog, we’ll explore generative AI in marketing, its many use cases, benefits, factors which marketers need to keep in mind before implementing Gen AI in marketing and some best practices which ad agencies and marketing teams can use to effectively create personalized campaigns. 

Use Case of Gen AI in Marketing 

The following points displays the most common use cases of Gen AI in marketing: 

Content Creation 

Gen AI can produce large volumes of texts which improves the quantity of the content for marketing teams and ad agencies. From simple text prompts, it can write content for blogs, emails, and social media posts and also produce relevant graphic contents, including pictures and videos from text input.  

Additionally, a marketing agency creates content from charts and graphs (created for data representation) based on datasets. Generative AI enables marketers to share content in different languages and subtitles, easily translating marketing campaigns in multiple languages.  

Content Personalization 

Marketing today is all about personalization, and businesses can use Gen AI to customize consumer marketing. With AI, marketers create tailored marketing campaigns, helping them to engage with customers effectively. These services are personalized to suit their personas, demands, and past purchases.  

It also assists in creating multiple variations of the campaigns, helping businesses and ad agencies to conduct A/B testing seamlessly. This makes the marketing strategies more effective. Additionally, both small- and large-scale businesses use AI to create individual customer paths, positively affecting customer experience and increasing conversions. 

Content Ideation 

According to a survey conducted by Gartner, by 2025, 30% of outbound marketing messages will be generated synthetically from large organizations. Generative AI serves as a tool to help marketers and ad agencies create smart advertising for brands and products. With AI tools a greater number of marketers are getting ideas to create campaigns, targeting a broader audience and strengthening the foothold of their businesses in the market.  

Tailors Customer Journeys with Smart Marketing 

Marketers create tailored customer journeys with Gen AI. After analyzing vast amounts of customer data, segmentation strategies are generated which allows businesses to analyze a pattern in customer demands. Accordingly, chatbots are customized which can mimic a customer service personnel and provide faster and accurate answers to customer queries. 

OLAF– a Gen AI Chatbot solution developed by Kasmo   not only helps financial services to get accurate solutions from a multitude of pre-fed documents, but also helps customers get solutions in near real-time in 106 languages, including 12 Indian languages, optimizing customer engagement. 

Analyzes Historical Data 

Generative AI enables marketing teams to handle large amounts of unstructured and structured data for business intelligence. It also facilitates market segmentation and campaign analysis through historical data.  

Predictive analytics is very useful in all industries. This analysis helps predict customers’ behavior which facilitates the production of products and allows businesses to create better ways of advertising.  

Demand and Lead Generation 

For effective lead generation, marketers turn to AI tools that assist in the automatic execution of campaigns, better communication among multiple channels, and segmenting leads. Generative AI optimizes advertising strategies by providing real-time data to businesses.  

Channel Optimization 

Gen AI assists marketers pick the most favorable marketing channels by providing advanced analytics of the platform that is most favored by customers.  This helps marketers focus on creating campaigns and advertisements tailored to the platform. 

Contextual Targeting 

Brands can target consumers on platforms or channels they are most active in. It also helps marketers avoid violating any privacy regulations. With Gen AI in advertising, businesses can create ads based on the website’s content rather than on customer data.  

An ad positioned accurately resonates better with targeted audiences, increasing both the click-through and conversion rates. Gen AI can swiftly examine competitors’ websites and URLs, segmenting content accordingly. It also facilitates marketers to establish context triggers for significant volumes of content based on characteristics such as sentiment and inclusivity, for more effective placement. 

Benefits of Gen AI in Marketing 

Enhanced Personalization 

Powered by Generative AI, marketers gain the ability to produce personalized content and experiences that suit individual consumers. By employing Customer Data Platforms (CDPs), marketers acquire the means to provide tailored communications all through the customer life cycle, focusing on preferences, behaviors, and previous interactions.  

Increased Efficiency 

With Generative AI, marketing teams can effectively save both time and resources. It automates manual tasks, such as segmenting customers. This increases the productivity of teams as they can now focus on formulating strategic initiatives, rather than concentrating on time-consuming manual processes.  

Real-Time Adaptability 

Marketing professionals can adjust campaigns in real-time, as Gen AI allows them to respond to consumer responses and in the form of metrics. This feature allows companies to stay ahead of their competitors, act fast to changing trends, and seize new opportunities. 

Improved Customer Experience 

With Gen AI businesses can share important customer details without violating major privacy regulations. This helps them in creating engaging content through several communication channels, improving customer experience. Using tailored email marketing and interactive AI chatbots, marketers can successfully build customer loyalty. 

Data-Driven Insights 

Generative AI in marketing provides important insights into customer preferences, actions, and market patterns through advanced analytics and predictive modeling. By analyzing enormous amount of data in near real-time, marketers can gain a better understanding of their target market, uncover growth chances, and make strategic choices that lead to business success.  

Better Marketing Strategy 

Generative AI streamlines the process of competitive market research, analyzes website visitors, consumer behaviors, and can predict advertising campaign results, allowing marketers to customize user journeys and campaign implementations. This helps businesses discover new target markets and increases conversion rates and ROI. 

Factors Businesses Need to Remember Before Implementing Gen AI in Marketing 

Accountability 

Gen AI have become more autonomous and generating content at a faster pace. However, businesses and customers are demanding transparency regarding the content. The demand for relevant sources for content to prevent ethical dilemmas has increased. Marketing teams need to consider this factor to prevent any customer dissatisfaction.  

Security 

Gen AI systems are always at risk of data breaches and unauthorized access. A powerful data security is essential to preserve both data and system integrity. 

Accuracy 

Sometimes Gen AI algorithms produce inaccurate results which can create a challenge while tailoring a customer journey. Marketers need to routinely test and test models to reduce errors and make their outcomes more accurate. 

Data Quality 

Generative AI needs high-quality data inputs. To obtain reliable results, it is critical businesses preserve the quality of data. Data quality management processes are important to make sure the data is accurate. 

How Snowflake Helps Marketers to Implement Gen AI in Marketing? 

For a marketing endeavor (where AI plays an integral role) to become successful requires an effective digital framework. The Snowflake AI Data Cloud is designed to support the use of Gen AI in marketing. With its efficient and secure cloud data warehouse, marketers have the ability to consolidate their fragmented data, provide excellent customer experiences, and achieve better returns on their marketing and advertising investments. 

Best Practices for Businesses Implementing Gen AI in Marketing