78% of Execs Depend On AI To Enhance Content Generation: Report

Digital marketing is continuously evolving as companies turn to technological innovations, such as artificial intelligence (AI) and machine learning (ML), to enhance their capabilities. AI tools use data to understand how to best communicate with customers and provide tailored and automated messages. Businesses are using AI for operational purposes. Simultaneously, they are also using it to create content, improve personalization, and facilitate better use of first-party data.

Persado, in association with Coresight Research, studied a few companies and executives to understand the evolving nature of AI in digital marketing. The following are a few insights from the survey.

See more: How CleverTap Improves Customer Engagement With AI in Marketing

NLP Is a Commonly Used AI Technology in Content Generation

Today, digital marketing professionals are using AI tools to not only manage and distribute content but also generate creative content, from generating topic ideas to creating actual textual or visual content. Natural language processing (NLP) is the AI technology seeing huge applications in generating content. The study found that using NLP to create content was one of the top three significant ways of using AI in digital marketing, with 41.2% of respondents using it.

Top 5 ways in which companies experiment with AI in digital marketing

Source: Persado and Coresight Research studyOpens a new window

A few common applications of NLP in content generation include natural language generation (NLG), speech-to-text conversion and vice versa, text processing, and chatbots. The technology is also being used in business intelligence dashboards, personalized emails, data reports, and more.

The study also showed that 72.2% of professionals currently use or plan to use AI to create content this year. Further, about 78.3% of respondents hold AI accountable for creative development and execution. This means that marketers can track the impact of words that AI is generating. By implementing a data-driven process, they can also quantify their return on marketing spend on AI.

More Than Half of Respondents Use AI To Offer Personalized Experiences

Personalization is a critical component of customer engagement today, and marketers are focusing on their initiatives to improve personalization. However, personalization involves several challenges. One common challenge is effectively collecting and managing massive amounts of customer data at disposal. However, AI can automate several tasks and accelerate pattern recognition, which helps marketers provide the right offer to the right person on the right channel at the right time.

According to the study, about 74.5% of respondents agree or strongly agree that AI helps companies manage challenges related to delivering personalized experiences to customers. Further, about 53.9% currently use AI and ML to offer personalized customer experiences.

Companies across industries are experimenting with AI technologies to generate personalized content for customers. According to a Boston Consulting Group studyOpens a new window in 2021, AI-generated content could generate incremental revenue of up to $800 billion worldwide in the next ten years.

Most Companies Are Using First-party Data for Marketing

While AI can improve the overall customer experience, one of the keys to realizing the benefits is effectively using first-party data. For a long time, marketers have depended on third-party data. However, as we already know, data privacy laws are becoming stricter, and we are staring at the eventual demise of third-party cookies. Hence, marketers are forced to rethink their data collection strategies. According to several industry experts, the best way forward is to rely on first-party data. First-party data provides better information about the customers, making it possible to understand them better and deliver more relevant and accurate messaging. This leads to better customer satisfaction.

According to the study, about 78.2% of respondents believe effectively managing and analyzing first-party data is â€œextremely importantâ€ or â€œvery importantâ€ to use advanced technologies, including AI. This makes the effective use of first-party data a critical factor when leveraging digital marketing technologies.

Interestingly enough, several companies have already started using first-party data in marketing. The survey found that 86.1% of respondents already use first-party data for marketing. According to the study, the following are the benefits of using first-party data as cited by the respondents.

Benefits of using first-party data

Source: Persado and Coresight Research studyOpens a new window

See more: 5 Steps To Integrate AI Into the Fabric of Enterprise Marketing Automation

Professionals Believe AI Is Important for Enhanced Customer Experience

The trends mentioned above of using AI for content generation, improving personalization, and effectively using first-party data ultimately drive enhanced customer experience. About 50.9% of respondents agreed that advanced technologies, such as AI in digital marketing, were â€œextremely importantâ€ for improving customer experience. The top three ways companies use AI to improve customer experience include email personalization, AI-powered chatbots, and product recommendations. About 64% of respondents currently use AI chatbots to offer a personalized experience to customers.

Our Take

More businesses increasingly realize the benefits of AI in creating content and delivering seamless customer experiences. While AI will not replace humans in generating creative and engaging content, marketers will have to hold AI accountable for the content it generates. They should track and quantify the impact of the content it generates. As we advance, we expect digital marketers to develop innovative ways and use AI technologies to harness first-party data to improve customer experience. Ultimately, we expect digital marketers to work more closely with AI technologies within a very short period to achieve their business goals.

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