A MarTech Revolution: How AI is Reconfiguring the Personalisation Landscape

Artificial intelligence (AI) has without question revolutionised how brands personalise user experiences across various channels, including content creation, customer service, and ad targeting.

Through the power of AI, companies now have the capacity to analyse vast amounts of data — delivering tailored experiences that enhance customer satisfaction and drive business growth.

Retailers are increasingly focusing on personalised shopping experiences, utilising technology to deliver customised services similar to e-commerce algorithms. This includes employing body scanners for precise measurements and tools for customised promotions based on individual preferences.

As consumers willingly provide personal information — including voice, image and text — businesses are flexing their digitally enabled capacities through curated shopping experiences. Younger cohorts of consumer are particularly receptive to the idea of exchanging personal data in-return for bespoke end-to-end shopping experiences.  

The upsides of AI-powered personalisation have been felt by first time and returning customers alike, with 78% being more inclined to return where businesses appear to know them better. Among the many notable examples globally, is HP Tronic, a leader in the consumer electronics and household appliances market in the Czech Republic and Slovakia, that has seen an 136% increase in conversion of new customers through AI-enabled personalisation. 

A New Age in Customer Service

AI-driven chatbots have essentially transformed customer service as we know it — resolving queries and even effecting purchases in real-time. Chatbots are everywhere, mimmicking human interactions, references multiple data-points per customer, and recalling past purchases with precision.

The Thinking Traveller, a top-rated UK-based villa rental company, uses AI-powered chatbots as part of its digital strategy, resulting in a 33% increase in online bookings.

BellaDonna - luxury villa available for bookings via The Thinking Traveller.

Additionally, AI integration in digital assistants such as Alexa, Siri, and Google Assistant has transformed the way in which customers interact with businesses.

Users can ask queries to which the digital assistants respond, providing a personalized experience and increasing customer satisfaction. They also enhance customer engagement as voice-integrated platforms are able to drive conversations and proactively suggest suitable services using natural language processing and machine learning models.  

Ad Targeting and Marketing Strategies

Generic mass marketing campaigns are now largely a thing of the past in big markets, where AI is facilitating highly personalised and targeted ads.  

Yum Brands, the parent company of Taco Bell, Pizza Hut, and KFC, has reported that AI-driven marketing campaigns are boosting purchases and reducing customer turnover.

Joe Park, Yum’s chief digital and technology officer, explains that AI allows for highly customised email marketing based on various factors such as time and day, tailoring offers to individual consumer behaviours. Initial results from these campaigns show significant increases in consumer engagement and purchases compared to traditional methods.  

Perion CEO Tal Jacobson discusses the evolution of ad-tech, particularly the increasing role of AI, and offers insights at the 2024 Cannes Lions. Perion offers omni-channel ad solutions using advanced AI to effectively target and engage consumers.

Jacobson emphasises that AI has significantly driven business growth by optimising ad placements and targeting strategies. Notable advancements include the development of AI-based real-time bidding and the introduction of WAVE, a generative AI-driven audio ads engine. Together, these advancements in AI have simplified the complex omni-channel landscape, enabling more efficient and personalised ad experiences.  

The integration of AI into personalisation strategies has completely reconfigured how brands interact with consumers today. By delivering tailored content and seamless end-to-end services, while optimising ad targeting, AI enables brands and organisations to create more meaningful and effective customer and stakeholder experiences.

As AI technology continues to evolve, its role in personalisation is expected to expand, offering even more sophisticated tools for brands to connect with their audiences.