Are CMO’s prepared for AI?
Are Chief Marketing Officers prepared for AI?
Artificial Intelligence (AI) is rapidly becoming a game-changer in marketing, and CMOs need to be prepared for its integration into their marketing strategies. However, many CMOs may not yet fully understand the potential impact of AI in marketing or have the necessary knowledge and skills to effectively implement it. CMOs should also be aware of the ethical implications of AI and strive to use it in a responsible and transparent manner. Ultimately, CMOs who embrace AI and use it strategically will undoubtedly gain a significant edge over their competitors, paving the way for unprecedented growth.
The future of marketing will be AI-driven
Artificial intelligence is the science of making machines smart
The potential benefits of incorporating AI into marketing are enormous. Artificial Intelligence algorithms can analyze vast amounts of data, identify patterns, and make predictions based on that data. Machines can perform complex, predictive and repetitive tasks at a speed and accuracy level that humans simply cannot match, making AI an invaluable tool to enhance the capabilities and efficiency of marketers.
Why is AI so important for marketing?
AI is quickly emerging as an essential technology for modern marketing. AI offers marketers the ability to automate mundane tasks, target audiences more accurately, deliver extraordinary customer experiences, optimize campaigns for maximum results, and gain unprecedented machine-driven insights.
AI is set to transform the marketing landscape through efficiency, performance, personalization and prediction.
Four ways AI can help marketers improve:
- Efficiency: AI can automate multiple, time-consuming tasks like email campaigns such as images, subject line, calls to action and even which articles to include.
- Performance: AI can scale social media effectiveness by generating hundreds of data-backed posts tailored to your brand’s tone and predicted to perform the best.
- Personalization: AI can identify patterns and preferences, to create personalized and hyper-targeted email campaigns that resonates with their target audience.
- Prediction: AI can predict which PPC ad text and images will work before you launch campaigns to eliminate wasted budgets and boost ROI.
While there’s still so much more to discover, leveraging AI can be a game-changer for marketers looking to enhance their strategies, streamline processes, and drive significant business results.
Disclaimer: I am not an Artificial Intelligence Marketing, Deep Learning, or Machine Learning expert; rather, this blog provides an overview of important points that Chief Marketing Officers must consider and figure out for themselves. As with any new and revolutionary technology, there are significant complexities to consider before implementing marketing AI. Therefore, CMOs must carefully research, evaluate, and develop their own policies and strategies before making any decisions regarding AI adoption in their marketing efforts.
Pros and Cons of AI in Marketing
Artificial intelligence has been widely adopted in finance, manufacturing and healthcare, with it’s use rapidly expanding to other disciplines such as marketing. As Chief Marketing Officers (CMOs) look for new ways to gain a competitive edge, they are increasingly turning to AI-based solutions. But is AI really ready for prime time in marketing? Let’s take a look at a short list of the pros and cons of using AI in marketing.
– AI can analyze large amounts of data quickly and accurately.
– AI can personalize 1-to-1 messages for every customer and prospect.
– AI can automate repetitive tasks, freeing up time for marketers to focus on strategy.
– AI can help identify new market opportunities that may have been overlooked by human marketers.
– AI may not always understand the nuances of human behavior and emotions.
– AI could potentially make decisions that are unethical or biased.
– AI requires significant investment in technology and training.
Here are four ways that CMOs can drive success with AI:
- Reduce costs
- Scale one-to-one personalized customer experiences
- Increase sales
- Achieve higher return on investment (ROI)
AI is all about the outcomes. It is smarter technology that builds smarter businesses
Authors, Paul Roetzer and Mike Kaput, Marketing Artificial Intelligence. AI, Marketing, and the Future of Business (2022)
The Dark Side of AI in Marketing
While AI can bring immense benefits and results to marketing, CMOs must also be aware of its potential negative impacts. The dark side of AI in marketing includes issues such as bias, privacy concerns, and ethical considerations. AI algorithms can perpetuate existing biases and discrimination, leading to unfair targeting or exclusion of certain groups. There is also the risk of data breaches, misuse of personal information, and deepfake videos which can permanently damage brands, customer trust and loyalty. CMOs must carefully consider these risks and take steps to mitigate them, to ensure safe and ethical AI implementation.
Assessing and Choosing Marketing AI Vendors
The market is flooded with companies developing AI technology. However, as in the early days of MarTech tool proliferation, there is an overabundance of AI hype. Assessing AI vendors and their claims can be a daunting task. Just because a company has AI in their name does NOT make them a proven AI expert. As with any new MarTech vendor, you must follow the same evaluation process including use cases, how will the technology help advance efficiency and performance outcomes, integrate with your existing tech stack, help improve return-on-investment (ROI) as well as onboarding and training support. Now you must take it a step further and demand these answers from potential AI vendors:
- What is their organization’s point of view in AI and how could it impact your business?
- What is their position on ethics in AI? Do they have an AI ethics policy?
- How do they help customers maintain security and compliance?
- How do they use AI in their products? What data do they use?
- What makes their AI products smarter than traditional processes and products?
- How does their technology learn and improve over time to help your company be better?
If potential AI vendors cannot provide satisfactory answers to these critical questions, it may be a red flag indicating that their technology is not worth your investment of both time and money. It is vital to be diligent in your evaluation process, only choosing vendors who can meet your expectations and deliver smarter technology solutions.
What’s next: A CMO’s Checklist to Get Started with AI in Marketing
Given the explosive growth of AI in marketing, Chief Marketing Officers must embrace AI and incorporate it into their marketing strategies and operations. Here is a CMO’s short checklist for getting started with AI integration in marketing:
- Identify and prioritize marketing use cases
- Choose carefully vetted and ethical AI vendors
- Implement small pilot projects for quick wins
- Use AI pilot successes to build internal support
- Plan for internal training and education as you scale AI technology
CMOs Must Adapt and Embrace AI (or become extinct)
While Chief Marketing Officers (CMOs) may recognize the potential benefits of Artificial Intelligence in marketing, there is still a lack of understanding and preparedness of the technology. As AI swiftly increases adoption and utilization in the marketing industry, it is imperitive for CMOs to invest in the necessary resources, education and training to fully leverage its capabilities. By embracing AI, incorporating it into their marketing strategies, using it ethically and responsibly, CMOs will gain a significant competitive edge and transform business results. It’s time for CMOs to take the lead in preparing their teams and organizations for the future of marketing with AI.
The #1 Resource for Learning about AI in Marketing
I recommend exploring the leading source for AI in Marketing: Marketing AI Institute
Marketing AI Institute mission statement:
“educate modern marketers on the present and future potential of artificial intelligence, and connect them with AI-powered technologies that can drive marketing performance transform their careers.”
1. Download CMO playbook from Marketing AI Institute: AI for Chief Marketing Officers
2. Get their personalized recommendations for AI-powered vendors: A.I. Score for Marketing
3. Buy their book (digital, print and audio): Marketing Artificial Intelligence: AI, Marketing, and the Future of Business
Founder and CEO
Jessica Kelley has more than two decades of experience in marketing and finance, with a focus on B2B and B2C channels. She has worked extensively within the healthcare, consumer, commercial, and software industries in diverse environments ranging in size from a $200 billion corporation to a startup firm.
Jessica is the founder of HPZ Marketing, an interim CMO and fractional CMO company and is certified by the Women’s Business Enterprise National Council (WBENC) as a Women’s Business Enterprise and Women Owned Small Business (WOSB). They provide interim and fractional executive marketing services to help businesses achieve marketing ROI with executable strategy and a relentless focus on customer acquisition and retention. Learn more about hiring a fractional CMO for your business.