Before covid-19 pandemic of 2020, the relevance of digital marketing was growing at a steady rate. However, post-pandemic, digitisation has taken over everything from marketing to operations.
To enhance the prospects of digital marketing, Artificial Intelligence (AI) is acting as a catalyst.
As per the research of MarketsandMarkets, by the end of 2023, the integration of AI in social media marketing will be worth 2.2 billion.
Content marketing, being an integral part of digital marketing, utilises AI for processing unstructured consumer data for better reader engagement. Thus, AI is no longer a future technology. It is being used frequently within current business operations as well.
It has already disrupted the digital marketing world through the integration of automated processes as illustrated below.
The future of digital marketing will be shaped by AI.
Let us read through the status of digital marketing in 2023 along with the impact of AI on its future and beyond.
Evolution of AI in Digital Marketing
Just a few years, no one in this business world must have thought that AI would be revolutionising the marketing world.
According to the research of Salesforce, as illustrated below, only 29% of marketers were using AI in their operations in 2018. However, the statistics increased to 84% by 2020.
As per the research report by Drift Insider, customers have become impatient and are not willing to waste their time directing through different websites.
Thus, AI is being widely used for improving customer experience with features like personalisation and quick responses through chatbots.
This is also known as conversational marketing. With the help of this AI capability, companies have been able to receive authentic buyer insights.
As illustrated below, around 46.3% of businesses have learned that having access to buyers’ insights is an essential feature. Moreover, with the help of conversational marketing, around 50.7% of businesses have been able to quickly respond to the queries of their customers.
AI has been assisting companies in generating accurate customer data from the market. Thus, the 4.0 technology is beneficial in segmenting the valuable market data for making the data available centrally, across all locations.
Smart content, smart audiences and customised communication across social media platforms are some of AI-centric features.
Let us assess the status of digital marketing in 2023.
Digital Marketing in 2023
Artificial Intelligence has been streamlining the digital marketing processes by assessing customer buying behaviour.
Digital marketing is evolving extensively, owing to the rapid integration of AI. Thus, further in 2023, the scenario of digital marketing will shift from technical-based marketing to signal-based marketing.
This implies that marketers are on the path of assessing customer needs and converting the results into personalised services.
Initially, incorporation of AI in digital marketing was utilised for a behaviour assessment.
However, owing to the shift towards signal-based marketing, AI is beneficial in specifically understanding customer’s wants.
The relevance of AI will keep on expanding in the coming future. Thus, let us study the impact of AI on the future of Digital Marketing.
Impact of AI on Future of Digital Marketing
Are you receiving personalised recommendations on certain e-commerce applications? Yes, personalised recommendation is the current and future trend in digital marketplace.
With further assistance of AI, impact of AI on the future of Digital Marketing is as follows:
- Optimisation of Digital Marketing Campaigns:
In the presence of AI technology, digital marketers will have the option of analysing data from current campaigns.
Based on the insights, AI can provide suggestions for improving any campaign in the future as illustrated below.
Thus, campaign analysis will help address organisational needs to a large extent.
- Improved Customer Engagement:
AI chatbots have become very popular which assists in attaining better customer engagement. With the help of its analytics, AI will assist in specifically targeting customers based on their needs and requirements.
Within the scope of digital marketing, this particular characteristic will help send messages in a more personalised form like Chat GPT in the following images.
The primary goal of a digital marketing campaign is to generate and nurture leads. Thus, based on the user intent, the Chatbots measure the experience of the customers, thereby generating future leads.
Thus, with the help of chatbots, future digital marketing strategies will be customer-centric to a large extent.
- Automation of Mundane Tasks:
Artificial intelligence is already responsible for automating the digital marketing world. With the further integration of AI into digital marketing, automation tools will be extensively used for optimising the tasks of the marketing departments.
The major digital marketing tools that will be extensively used are (We can make an infographic here)
- Social Media Marketing: Sprout Social, Loomly, Audiense, etc.
- Email Marketing: HubSpot, SendGrid, Iemlist etc.
- SEO: Ahrefs, Clearscope, SEMrush, etc.
- Conversion optimisation: Unbounce, Optimizely, Hotjar etc.
- Graphic Creation: Creatopy, Visme, Venngage, etc.
- Lead Enrichment: Clearbit, Datanyze, etc.
With the help of automation, the future of digital marketing is going to be robust and free of any human errors. Rather than wasting time on mundane activities, marketers will have the space to be more creative.
- Contextual Advertising:
Breach of data has been a point of concern for a very long time. Thus, with the continuous pressure from government, companies are focussing on using the browser history of their customers.
Contextual advertising implies communicating with customers directly through social media channels.
Marketers are looking forward to displaying relatable ads on blogs rather than popping up randomly in front of any individual. For instance, if the reader is going through a blog on coffee, the marketer is displaying a relatable ad as displayed in the image below.
Rather than building third-party relationships, marketers will be building first-party relationships.
Thus, for contextual advertising, AI will be beneficial in directly collecting data from customers.
- Increased ROI From Digital Marketing Campaigns:
Marketers will have the advantage of leveraging data from digital campaigns if AI is implemented properly.
Based on the generated data, marketers will have the option to act on the data sets on a real-time basis. Faster decisions will be another face of digital marketing in 2023 and beyond.
With the help of faster decisions, marketers will be able to consistently improve the campaign effectiveness along by continuous customer engagement.
- Personalised Email Campaigns with AI:
With the help of AI analytics, personalised email campaigns will be one of the most evident benefits of digital marketing in the future. AI can help you create more effective email campaigns that are tailored to each individual subscriber. By leveraging machine learning and NLP, you can create targeted messaging that speaks directly to their interests and needs, resulting in higher engagement rates and better ROI for your email marketing efforts.
Irrespective of the size of your business, you will need digital marketing for attaining a competitive edge. Post-pandemic of 2020; companies have blindly adopted digital marketing for improving customer engagement.
Moreover, AI will shape the future of digital marketing. Thus, without the integration of AI, your company might not have the opportunity to execute a successful digital marketing campaign.
AI market will be worth $190.6 billion by 2025 which implies increased usage of technology by varied industries.
AI is going to change the face of digital marketing, owing to its benefits regarding improved customer experience.
What are you waiting for? Looking for a profitable future in digital marketing? Start investing in Artificial Intelligence for improved results.