Dekker explains how AI fundamentally changed marketing over 10 years ago with these 3 key applications.
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I know an AI expert who--for the last 10 years--has basically been doing nothing but using AI for customer acquisition for a major telecom provider. 8 years ago I was using AI techniques & tools like Microsoft Azure to make marketing predictions and to segment customers.
What's different is that 10 years ago we were more likely to use the word "machine learning." So AI is really just rebranding an old idea.
Three examples of old AI applications in marketing:
1. Cluster analysis for segmentation
2. RFM (recency, frequency, monetary value) to predict which customers will be most likely to respond to a marketing campaign
3. AI to make predictions of what products customers will likely buy next--"next product to buy" predictions.
Marketers have been using AI for a very long time, but it most useful in large companies that had large datasets and big budgets. Now cheap or free tools like Chat GPT have made AI accessible to companies of all sizes.
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