Impact of Artificial Intelligence on Digital Marketing
What is Artificial Intelligence?
Artificial intelligence is the creation of intelligent machines that are capable of think and react like humans. John McCarthy coined the term “Artificial Intelligence” and McCarthy was one of the founders of the discipline of artificial intelligence. Artificial Intelligence can perform tasks more accurately.
Artificial Intelligence has been treated as the next industrial revolution, people believe that artificial intelligence can provide a solution to most of the problems, and challenges exist right now in the world. Also, AI can solve the problems which might occur in the future. Artificial intelligence has the potential of creating new industries, technologies, and environments altogether.
Research firm Gartner says that "Artificial Intelligence will Create 2.3 Million Jobs in 2020 While Eliminating 1.8 Million". Read more at Artificial Intelligence Will Create More Jobs Than It Eliminates.
You will find more infographics at Statista
84% of marketers believe using AI enhances marketing functions in real-time.
Let us now understand the types of artificial intelligence.
3 Types of artificial intelligence
- Artificial Narrow Intelligence (ANI) - ANI is the weak AI stage because that is developed for a particular task.
- Artificial General Intelligence (AGI) - AGI is also known as strong AI or human-level AI. A machine can perform any intellectual task like a human.
- Artificial super intelligence (ASI) - It's been said that ASI is smarter than humans.
In this article, we are exploring the impact of Artificial Intelligence on digital marketing. Artificial Intelligence has impacted Digital marketing in many ways, here are some effects that Digital Marketing is going to face in the coming years.
-
Chatbots
-
Semantic search
-
Content Creation and curation
-
Ad targeting
-
Predictive marketing
-
Voice search
-
Target right audience
-
A/B testing
-
Lead scoring
-
Web development
1. Chatbots
The chatbots are computer programs that use AI and Natural language processing developed for interacting with online customers and they also complete orders for them. Chatbots can be integrated into websites and also social media pages. Chatbots boost engagement, they can help customers 24/7 and they can handle several customers simultaneously.
Importantly, Chatbots can respond immediately to customer's queries through chat interaction or via voice. Many online businesses already implement chatbots to provide better customer support. According to Gartner, in 2021, 85% of customer interactions were handled without a human. The beauty is that In many cases the customers do not realize that they actually interact with the machine.
Apple and Google developed their personal assistants known as Siri and Google assistant.
2. Semantic search
Semantic search helps users significantly to find answers for their search much faster. Semantic search is a data searching technique that understands the user’s intent and contextual meaning of a search query rather than keywords. AI can do this by understanding the meaning of search phrases. It involves finding the relationship between words and phrases in the search query. Machine learning technique helps search engines to understand what information user might need based on their search history and user persona. With the help of machine learning, the search quality will increase constantly.
It considers some factors like,
- User's search history
- Previously stored data
- Current location
- Spelling variations
- Seasonal trends
- Local information
- Synonyms
- Concept matching
- Time of search
The Evolution of semantic search
- Knowledge graph – May 2012
- Hummingbird algorithm - September 2013
- Rank brain –October 2015
- BERT - October 2019
Tips to optimize your site for semantic search
- Use Schema markup - It helps to index your content faster and it also helps search engines to understand a lot about your copy.
- Keywords - long-form7 keywords provide a more precise target. Use more related keywords within your content.
- LSI keywords (Latent Semantic Indexing) - Make sure to use LSI keywords in your Meta Description.
- Consider your audience - understand the demographics and psychographics of your target audience. Find out what your audience wants.
AI is the study and design of intelligent agents where an intelligent agent is a system that perceives its environment and takes actions that maximize its chances of success.
3. Content Creation and curation
Artificial Intelligence plays an essential role in the content marketing field.
Marketers can create content automatically with the help of AI-powered Natural Language Generation technology. NLG (natural language generation) platform transforms your data into readable, interesting narratives. Artificial Intelligence can write data-specific content such as sports stories, stock updates, and financial reports. AI is capable of producing 2000 articles per second. Content creation with Artificial Intelligence will be more effective as well.
Content creation AI called Wordsmith produced 1.5 billion pieces of content in 2016. Wordsmith creates financial reports for the associated press.
Content curation is the process of gathering, organizing information relevant to a particular topic. Content curation is a form of Artificial Intelligence. The best example of content curation is e-commerce websites like Amazon. They recommend similar products based on what you have previously looked at or purchased.
According to Mckinsey, 35% of Amazon’s (e-commerce site) revenue is generated by its recommendation engine.
4. Ad targeting
Ads are essential for brand promotion and AI can generate and promote online Ads. It can generate or improve Ads content based on the user’s interests, preferences, likes, and dislikes.
Offering personalized ads is always a topmost priority for digital marketers, Am I right? Google Ad platforms already use artificial intelligence and machine learning to target the audience. AI can deliver ads to users based on their search history, previous purchase, demographics, interests, etc, and finally, AI can display the right ads to the right audience at right time. This will give a better ROI to advertisers.
According to eMarketer, 84% of digital display Ads in the US will be programmatic.
5. Predictive marketing
Predictive marketing is forecasting marketing success and AI can help marketers to predict future business accurately. Predictive analytics use data mining, machine learning, and artificial intelligence to analyze historical data to predict future trends.
When the user browses the internet every time AI collects the information related to the user’s online behavior and analyzes that data. This data reveals a lot of information like buying frequency and brand preferences of the user. Artificial Intelligence has the ability to understand the needs and preferences of the consumer with the data it has already analyzed. By segmenting the audience, AI helps companies to understand what their customers want. It helps to predict the purchasing behavior of your target customer.
Predictive analytics helps companies to manage their production plan, and it is based on demand and supply prediction.
According to narrative science, 44% of executives believe that AI’s most important benefit is decision making.
6. Voice search
50% of all searches were voice-based in 2020, however, according to a recent study, In 2022, 71% of consumers prefer to conduct queries by voice instead of typing. Google algorithms now can understand the human language with 95% accuracy.
Voice search is an easier and quicker way to search for information. Isn't it? Voice search will change future SEO strategies so it is necessary for marketers to optimize their content with voice-friendly long-tail keywords. Optimize your site for local search and that is very important because the users say words like “near me” in voice search. Create web pages that provide direct answers to the questions because Voice search always looking for WH questions.
7. Target the right audience
Targeting the right audience at the right time with the right product is very important in online business. Google analytics powered by Artificial intelligence can segment the audience depends on location, demographics like age, gender, education, income, profession, etc, and psychographics like interest, preferences, attitudes, etc. It helps to decide which target audience is best for your product or service.
Artificial intelligence analyzes millions of data line item on a single user profile, that will help digital marketers to market the products to the various customer segments effectively.
AI also helps to create personalized email marketing campaigns. It can turn your general email, feels more personal and that can boost customer engagement. Do you know? According to Econsultancy, 74% of marketers said targeted personalization in emails increases customer engagement.
8. A/B testing
A/B testing also known as split testing or bucket testing. According to Techopedia, A/B testing is an online marketing tactic that comparing two versions of web pages to identify, which one is preferred by consumers. In another word which version of your web page generates more conversions or leads.
Artificial intelligence-based tools, test a bunch of hypothesis at a time and improve results much quicker and more efficiently than humans. Also, AI is used to increase the effectiveness of the Conversion rate.
Sentient Ascend platform allows you to test thousands of hypotheses simultaneously. It helps to find the top-performing variations faster.
9. Lead scoring
Lead scoring is a methodology for ranking leads based on customer behavior relating to their interest in product or service and their current place in their buying cycle. It helps to identify who is likely to engage or buy. No one wants to lose time with unqualified leads and it helps to focus on qualified leads. Companies can score leads by using terms like hot, warm, and cold
- Hot – A Hot lead is someone ready to buy.
- Warm – A warm lead is someone interested in your product or service.
- Cold - a person who does not show interest in your product or service.
Artificial intelligence can automatically prioritize real hot leads and it helps to improve sales productivity and proactively.
10. Web development
AI helps to design websites easier, faster, and with a few clicks. An application like Grid, use artificial intelligence named Molly to design a website within minutes based on pieces of information provided by users like images, page layout, text, calls-to-action, etc.
Conclusion
The speed, that Artificial intelligence is being implemented across industries will surely trigger the revolution that the way businesses had been done so far. Artificial intelligence drives the opportunities of achieving things with a higher degree of accuracy and faster. AI helps the financial and banking industries greatly in terms of managing data, retrieving information, the large volume of computation, and cost-effectiveness. With the help of Artificial intelligence, marketers can make data-driven decisions for better campaign results. In addition, they can leverage the prediction efficiency of AI to easily identify their potential customers, purchasing behavior to achieve higher sales and customer satisfaction.
” Everything we love about civilization is a product of intelligence, so amplifying our human intelligence with artificial intelligence has the potential of helping civilization flourish like never before – as long as we manage to keep the technology beneficial. - Max Tegmark, President of the Future of Life Institute

Rajanarthagi
Content writer and Marketer
An enthusiastic SEO expert, passion for digital marketing with two years of expertise in writing Digital Marketing and SEO content. She is a Master of Business Administration graduate from a reputed university in south India. Her passion for SEO and online marketing helps her to stay up to date with the trends and strategies. Follow her on social media sites, to stay up to date with SEO, and Digital Marketing, Updates. To contact Raji, visit the contact page.