As marketing managers seek to harness the power of AI, it’s crucial to understand the distinction between two prominent types: predictive AI and generative AI.
Before diving into the AI landscape’s deep end, let’s strip it back a moment. You’ve probably heard the terms Predicative AI and Generative AI, and while they may sound complex, both AI approaches hold immense potential for enabling the marketer to be more efficient and enhancing their marketing strategies.
Let’s delve into the key differences and benefits of each type to demystify the subject and explore how marketing managers can effectively leverage them.
What is Predictive AI?
Predictive AI is a well-established form of AI that utilises historical data and machine learning to make accurate predictions about future outcomes. This offers marketers a powerful tool to optimise their campaigns. Here are the key benefits of predictive AI:
Predictive AI analyses customer data, such as purchase history, browsing behaviours or campaign engagement to generate more advanced insights which can help the marketer make better decisions.
For example, if you could know which customers have a higher likelihood of becoming a VIP customer you can send them more personalised communications and nurture them to become a VIP faster.
By analysing vast amounts of data, predictive AI algorithms can identify patterns, trends, and correlations to forecast customer behaviour and predict future outcomes with a high level of accuracy.
And the ability of machine learning means that the more data it can analyse, the more accurate it becomes over time. So as your customer database grows and you drive even more engagement from your customers, the more tailored the algorithms will become.
With predictive AI enabling marketers to understand even more about their customers’ behaviours this be used to create personalised marketing campaigns by understanding individual customer preferences, enabling tailored messaging and product recommendations.
Enhanced customer experience
By tailoring marketing efforts based on predictive insights, you are more likely to send marketing messages to your customers that they will like to engage with, therefore these more personalised experiences will all help in improving customer satisfaction, meaning they will engage more with your brand and ultimately help increasing CLTV.
What is Generative AI?
Generative AI is an emerging technology that takes a more creative approach, enabling machines to generate new content, images, and even human-like text.
While it may seem complex, generative AI provides tremendous potential for marketing managers in the creation of personalised and engaging campaigns. Here are the key points to highlight:
Content creation and curation
Generative AI can automatically generate compelling and relevant content, including articles, social media posts, and product descriptions, saving time and effort for marketers.
Design and imagery
With generative AI, marketers can create visually appealing graphics, logos, and images that align with their brand identity, streamlining the design process.
Generative AI can assist marketing managers in crafting personalised messages and responses for customer interactions, enhancing customer engagement and satisfaction.
A/B testing optimisation
By utilising generative AI, marketing managers can automate the process of generating and testing multiple versions of marketing materials, such as ad copy or subject lines, to identify what kind of messaging your audience engages with best.
What does generative and predictive AI hold for the future of marketing?
Generative AI is shaking up the marketing industry by helping marketers be more productive and be better at their craft.
Creative marketers is what will give generative AI the competitive edge but it does still require the human element to ensure you are adding a personal touch and its aligning to your brand to help stay distinctive from the rest.
By understanding the differences between predictive AI and generative AI, marketing managers can unlock a world of opportunities to simplify their operations, enhance marketing strategies, and achieve better results.
Whether leveraging predictive AI for data-driven decision-making or harnessing generative AI for creative content generation, overall AI is there to help us and not replace us and there is still time to learn and immerse yourself in the new technology.
*Note: In this article, the first photo is stock and the second is a screenshot. Generative AI (DALL-E) was used to create the third image. Did you spot it?
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