Artificial intelligence will likely get rid of many inefficiencies in the digital advertising industry. AI would improve the industry as a whole and change the landscape of the entire web by making ads smarter. While AI is already being used in marketing and advertising, its use is quickly becoming more widespread.
Improvements in user behavior data is likely to make ads more engaging and specifically targeted. Digital ads already have very detailed reporting of engagement statistics. These statistics will only become more detailed and useful with AI. It will allow the content to become more responsive to user inputs, making user experiences more valuable.
As user interactions become more complex, ad fraud will be less of a threat to the integrity of advertisers and publishers. If users engaging with an ad, sponsored content, etc. spend more time clicking and interacting, it will be more apparent when fraudulent traffic tries to mimic user activity. AI can also help to identify if an ad is being loaded on an unapproved website. Publishers, like AdBistro, would then blacklist that site to remove the ads.
Adapting To Consumer Behavior
While there are endless solutions for businesses to reach their customers, many are still using outdated or ineffective channels.
John Kenny, the Chief Strategy Officer of FCB Chicago says too many brands still see email as the default medium for engaging with customers. Kenny says the main limitation for reaching customers is how many times he can engage with them, not how much information he has about them. Tools like AI and chat bots will make this much easier. While current technology allows for specific targeting, content creation is still too expensive. As a result, consumers are bombarded with mediocre messaging.
Kenny said in an interview on Forbes.com:
“AI is really important in being able to action the engagement possibilities that big data is revealing. Right now, I know so much about my customers, their needs, their point in the customer journey, but I’m limited by how much I can engage them. The price of content customization is too high, so you end up in a situation where consumers are over-targeted but under-engaged, being stalked by the same generic messaging again and again, creating customer frustration, the exact opposite of what we want. We need to match our targeting ability with our content creation abilities.
One of the big opportunities offered by AI is customization of content, of micro-copy, at scale. AI allows us to mass produce messaging that’s most appropriate for each individual customer. Prior to AI that would have been prohibitively expensive and unbelievably tedious to do.”
This technology could improve advertising through channels like Facebook Messenger. Earlier this year Facebook Messenger hit 1.2 billion monthly users. This is clearly a channel that has a massive potential for reaching customers, but it still widely untapped.
AI Improves Campaign Analysis
In an interview with eMarketer, Ryan Steelberg, President at Veritone One said, “AI can deliver real-time performance analytics and enable users to create scalable campaigns more quickly.” The adoption of artificial intelligence in web ads would also provide transparency where there hasn’t been before. Spending on fraudulent ads has grown to over $12 billion in 2016. Much of the ad fraud is due to programmatic ads – for which the ad buying is done entirely autonomously. Providing more transparency would remove many sources of ad fraud.
AdBistro is looking to AI to provide better outcomes for both advertisers and end-users. For advertisers, creating more engaging content and delivering it most effectively will be easier with less resources. Customers will also get a better experience and will be served more interactive and valuable content.