Today in the era of digitalization, it became much easier to analyze and understand audience behavior. By tracking certain metrics you can get a lot of insights about your audience.
However, in order to stand out the competition without spending a lot of money, companies need to optimize their campaign performance. Nowadays, a lot depends on the ability of companies to define the best strategy by optimizing processes and start investing in what really brings more profit.
This is where AI comes to play. The integration of AI can easily help companies to optimize their marketing process and achieve better campaign performance.
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Poor campaign performance: what are the reasons?
To define the reasons why campaign performance can fall short of expectations, it is important to define the main challenges marketers are facing today.
1. A massive volume of data from various marketing channels
Nowadays, on average digital marketers are using over 15 marketing channels for managing the business (e.g. Google Analytics, Instagram, LinkedIn, Facebook, Mailchimp, etc.). While managing such a large number of marketing platforms can be difficult, expensive, and time-consuming.
Having massive volumes of data from various marketing channels makes it hard to compare and, therefore, to analyze different marketing campaign performances.
2. Inefficient budget allocation and low ROAS
Unfortunately, we don’t have unlimited resources, and marketing budgets are limited. Therefore, missing optimization often causes inefficient allocation and low Return on Ad Spend (ROAS).
Budget allocation plays a significant role, however, in most cases due to the various number of channels it can be hard for the company to define which marketing campaign is worth investing in.
Nobody wants to spend money on something that is not effective. However, it is often very challenging to define which channel could contribute the most to the Return on Investment (ROI).
3. The complexity of AI technologies
Leveraging automation can be very hard and tricky for marketers. Therefore, to be able to integrate AI technologies companies usually either need to hire a specialist for implementation and tuning of neural networks or start using a special AI-tool for providing a high-quality analysis.
Without a doubt, the integration of AI technologies will help to increase the effectiveness of marketing campaigns and the ROAS you get.
Industry trends: Why are more and more companies becoming AI-driven now?
Today AI can be considered as one of the key drivers of innovation in digital marketing. Indeed, AI takes optimization to the next level. Therefore, more and more companies are adopting it in their businesses.
Already more than 60% of marketing specialists are employing artificial intelligence for getting more valuable insights about their customers and automating various marketing processes.
Adoption of AI technology brings a lot of advantages and helps companies not only to outstand competitors but also significantly cut marketing spend by optimizing processes.
With the instant growth of consumer-generated data, AI technologies are becoming more and more popular among marketers. AI is considered as a powerful tool that can help companies to enhance their marketing campaign performance.
Impact of AI integration on marketing campaign performance
The integration of artificial intelligence can easily help a company to optimize their marketing campaigns.
1. Data standardization
As we discussed earlier, today we use over 15 various channels for managing our business. As a result, we have vast data sets that have different granularity and is often difficult to compare in terms of content.
AI technologies will help you to standardize your data, which will make it easier to compare and analyze. In other words, it will allow you to get a holistic overview of the data you have.
2. Possibility of Multi-channel campaign analysis and comparison
Moreover, AI technologies can help to analyze and estimate the effectiveness of each marketing campaign across multiple channels. As a result, it becomes easier to detect which marketing campaigns are worth investing in.
3. Overall improvement of Marketing campaign performance
Artificial intelligence can improve the overall effectiveness of marketing campaigns. Implementation of a data-driven strategy for marketing campaigns leads to an increase in the number of impressions and conversions by 30-60%.
With the help of Predictive Analytics, you increase your chances of marketing campaign success.
4. Increase in ROAS
Last but not least, AI technologies can solve the problem of inefficient budget allocation. Based on an analysis of the potential combinations of budget allocations artificial intelligence can suggest an optimal strategy for your future investments. Due to the efficient budget allocation with AI overall marketing ROAS can be improved by 30%.
By optimizing these processes you increase your chances of successful marketing campaign performance, and, therefore, you increase your ROAS.
That is why investing in statistical models and making data-driven decisions about your marketing strategy can help you increase your ROAS.