Tiou Clarke | Beyond automation: The unseen impact of AI on marketing

ARTIFICIAL INTELLIGENCE (AI) and its suite of technologies are transforming how businesses interact with customers. AI has empowered companies to enhance decision-making, streamline operations, boost productivity, optimise inventory management, and foster innovation and the creation of innovative ideas. Beyond the business realm, AI is revolutionising the way teachers present information in classrooms, how customer service centres manage inquiries, and even how managers monitor employee productivity. Through its generative and adaptive capabilities, AI has disrupted traditional methods, setting a new standard for efficiency and innovation.

AI IN MARKETING

AI in marketing leverages advanced technologies to automate tasks, analyse customer data, and personalise marketing efforts. It enables marketers to harness the power of AI tools to understand and predict customer behaviour, identify trends, and tailor product offerings to individual customers. According to the Boston Consulting Group (BCG) in an article titled AI at Scale, integrating AI into marketing strategies can significantly enhance data analysis and insights, predictive modelling, content creation, and personalised targeting. This integration allows companies to scale their marketing efforts more effectively and achieve higher targets.

IMPACT OF AI TECHNOLOGIES ON MARKETING EFFORTS

The advent of technology 30 years ago, marked by the introduction of word processing and spreadsheet software, promised reduced human labour and increased automation. This evolution has seen pitch decks expand from six slides to 50, capturing more data and necessitating more time and effort dedicated to data analysis. Before the integration of AI, marketing was one of the most challenging aspects of business. Understanding consumers through data analysis was a daunting task. Without proper training, marketers struggled to derive insights that could positively impact their brands.

AI has revolutionised this landscape by automating complex data analysis, enabling more accurate consumer insights and more efficient marketing strategies. This shift not only reduces the workload on marketers but also enhances the effectiveness of marketing campaigns, leading to better outcomes for businesses and more personalised experiences for consumers.

MARKETING AND THE AGE OF AI

In the age of AI, marketing is undergoing a significant transformation. Traditionally, marketing has been a creative endeavour, relying heavily on the right-brain capabilities of marketers to tap into the emotional needs of consumers. Marketers excelled at crafting the perfect product and messaging to convert customers at the optimal moment and location. However, the advent of digital marketing has expanded the skill set required in the field, incorporating more specialised skills such as digital marketing technologies.

Research conducted by the BCG in collaboration with Harvard University has demonstrated a 40 per cent improvement in the right-brain performance of marketers. This enhancement is a testament to the evolving landscape of marketing, where technology is augmenting creativity. As we look to the future, it is intriguing to consider the potential advancements and improvements in marketing performance that could emerge in the next few years.

MARKETERS AND THEIR NEW FREE TIME

Regarding the impact of AI on marketing professionals’ work-life balance, it is unlikely that companies will reduce their marketing teams. Instead, the introduction of AI is expected to revolutionise productivity within the marketing sector. Marketers will redirect their newfound time towards what they excel at: generating innovative content and ideas. This shift will enable the creation of marketing materials that are highly personalised to the consumer’s age, interests, and needs, leading to more effective and targeted marketing strategies.

Thus, the age of AI in marketing is not about replacing the human element but enhancing it. Marketers will have the opportunity to leverage AI for data analysis, predictive modelling, and personalised content creation, allowing them to focus on the creative and strategic aspects of their roles. This evolution promises a more personalised and efficient marketing landscape, benefiting both companies and consumers.

THE CHALLENGE OF CONTENT OVERLOAD

Companies leveraging the generative capabilities of AI to empower marketers in creating added content may inadvertently contribute to content overload for consumers. This phenomenon occurs when consumers are inundated with repetitive content, leading to a scenario where all the marketing material chasing the consumer starts to sound the same. This saturation risks diminishing customer interest in the products or services offered by companies. The redundancy of seeing identical content across various platforms, including social media and other online spaces that utilise consumer data for targeting, exemplifies content overload.

THE RISKS OF GENERATIVE AI TO COMPANIES

Generative AI, trained on existing datasets, tends to limit the diversity of its outputs. This homogenisation of marketing content is counterproductive, as AI generates content and ideas only within the scope of its training, rather than fostering new or innovative concepts. This reliance on AI for creativity is problematic, as technologies like ChatGPT, Gemini, and similar platforms are inherently right-brained, focusing on generating content based on existing information. According to a study by Harvard and BCG, an over-reliance on generative AI can lead to a 40 per cent reduction in the diversity of ideas, resulting in a repetitive cycle of content that stifles true innovation.

ADDRESSING CONTENT OVERLOAD IN AI-DRIVEN MARKETING

The challenge of content overload: Investments in the generative capabilities of AI, while offering marketers unprecedented freedom to create updated content, can lead to content overload for consumers. This phenomenon occurs when consumers are bombarded with repetitive content, risking disinterest in the products or services offered. The saturation of identical content across all digital touchpoints, including social media, can lead to consumer fatigue and disengagement.

The risks of generative AI for companies: Generative AI, trained on existing data, tends to limit the diversity of its output, leading to a homogenization of marketing content. This ‘grand equalisation’ of marketing efforts is counterproductive, as AI-generated content often lacks the novelty and innovation of human-created ideas. Over-reliance on generative AI technologies like ChatGPT and Gemini can result in a significant drop in the diversity of ideas, stifling true innovation and creativity in marketing strategies.

Enhancing the marketing team with left-brain skills: To counteract the limitations of right-brain-focused AI, companies should cultivate left-brain capabilities within their marketing teams. This involves evaluating and reorganising the team to include individuals skilled in building, using, and applying predictive AI tools. Integrating data scientists and engineers to develop tools for performance analysis and outcome prediction can empower marketers to make informed decisions about product strategies and consumer engagement.

Forming strategic partnerships for data and content: Collaborating with data and content providers can offer companies access to current and predictive insights outside their immediate ecosystem. These partnerships can enrich the company’s understanding of market trends and future developments, positioning the brand more effectively for long-term success.

Empowering true innovators with AI tools: Identifying and nurturing the creative talents within the marketing team is crucial. These individuals should be encouraged to use AI as a tool to enhance their original ideas, not replace them. By leveraging AI to refine and develop their concepts, marketers can maintain the unique identity and competitive edge of their brand, ensuring that human creativity remains at the heart of marketing innovation.

Dr Tiou Clarke is a lecturer and researcher in the School of Business Administration at the University of Technology, Jamaica. Send feedback to columns@gleanerjm.com