the rise of the ai-empowered marketer

The Rise of the AI-Empowered Marketer

Ariane LindblomSr. Director, Product MarketingMarketo

Gerry MurrayResearch DirectorIDC

INFINITE DEMANDDRIVERS

FINITE ATTENTION

The Demand Curve for Customer Attention

only consider brands that show they

understand and care about ‘me.’

(Wunderman)

of buying experiences are based on how

customers feel they're being understood.

(McKinsey)

Buyer Expectations haveRADICALLY SHIFTED

79% 70% 66%

of customers expect their interactions with brands to be

personalized.(Marketo)

The Engagement Economy

Pivot from One-Size-Fits-Most to

Segment of 1

Who wants to build a million journeys?

Artificial Intelligence:

Built for

Marketers

Performs on

Centralized Data

Provides Control

& Transparency

1

2

3

PREDICT

PERSONALIZE

PERFORM

34 78 28 18

ENGAGEMENT

What do you need to know to

make the vision a reality?

What is it?

Why now?

AI Apps for Marketing

Getting ready for AI

Surprise!

Action Plan

Agenda

© IDC Visit us at IDC.com and follow us on Twitter: @IDC

AI: What is it?

Deep learning: neural networks – image identification and tagging

Machine learning: optimization algorithms

Ambient computing: consumerizing AI

Conversational systems: chatbots, virtual qualification agents

Cognitive systems: strategic planning

Artificial Intelligence: TBD

Many flavors of AI


Cognitive: A multi-disciplinary world

Source: SAS Data Mining Primer course in 1998

Computational

Neuroscience

Data

Science

StatisticsPattern

Recognition

Machine

Learning

AI

Databases

Data

Mining

Knowledge

Discovery

Why now? (3 simple reasons)

An expanding

universe of data

#1 Cognitive Makes Marketers Smarter and Faster

Vanishing windows of time

Millions of customers with rising expectations


Modern marketing – a customer centric definition:

“Deliver the most value to the

best customers the fastest.”

Modern marketing mission:

“Raise customer expectations

beyond competitors’ ability.”

#1 Cognitive Makes Marketers Smarter and Faster


By 2020, 50% of companies will use cognitive computing to automate marketing and sales interactions with customers.

#2 It’s going into everything

Behavioral Interactional

Performance

Long form

Geolocation

News

Personal data

Healthcare

Location

Sports &

Entertainment

Social

Corporate

Logistics

Financial

Marketing

Sales

Procurement

Asset

mgmt.

R&D

Logistics

HR

Anti money

laundering

Retail

pricing

Patient

outcomes

Telco

churn

IT performance

mgt.

Retail

Travel

Media

Healthcare

Insurance

Investment

Commercial

leasing

Advertising

Legal

Driverless

cars

Smart home

devices

Self-flying

drones

Robotic

systems

Text analysis

Video analysis

Image analysis

Predictive analytics

NLP

APIs

ConnectorsData storesHypotheses generation

Machine learning

Speech Recognition

Dialogue Mgt.

Finance

Risk mgmt.

Weather


IDC’s Cognitive Software Ecosystem

IDC FutureScape: Worldwide Chief Marketing

Officer Advisory 2016 Predictions

http://www.idc.com/url.do?url=/getdoc.jsp?containerId=259649&term=R2VycnkgTXVycmF5&position=36&page=1&perPage=100&id=20fcf824-3498-42c1-a239-0d53464fb051

Most marketers will consume AI within

applications based on well defined use cases

• Push button web content personalization

• Push button lead scoring based on behavior and performance

• Embedded in conversational applications

• Automated content recommendation and optimization based on test case

• And more

But easy to use does not mean easy to understand and operate effectively

AI Easy Button – it’s coming to

apps you’re using right now


#3 It’s going to change consumer behavior forever – “B2Bot

Marketing”

By 2020, 40% of e-commerce

transactions will be enabled by

cognitive/AI personal shoppers

and conversational commerce.


IDC FutureScape: Worldwide Chief

Marketing Officer 2017 Predictions

http://www.idc.com/url.do?url=/getdoc.jsp?containerId=US41915816&term=R2VycnkgTXVycmF5&position=9&page=1&perPage=25&id=9a37dd85-6a27-4d7b-b21e-6bf45640700f

#3 It’s going to change consumer behavior forever

Bot Persona

Shopper bot: Tracks purchases, HH

inventory, accepts offers,

can purchase groceries <$25

Planner bot: Seeks deals on travel

Recommender bot: Seeks info and offers

on major purchases such as autos and

homes

Others: TBD

Buyer Persona

Name: Brenda

Age: 36

Roles: Marketing VP,

Market: Clothing, groceries, gas, dining,

travel

Drivers: past purchases, fitness, kids

activities, adventure travel, music festivals


Applications for AI/ML in Marketing

Top 10 AI Apps for Marketing

B2C B2B Signs you need it now

1 Chat bots Very high web traffic volumes and/or online support requests

2 Virtual sales rep/Email avatar

avatar Unable or very costly to follow up on 100% of leads

3 Real time sentiment analysis

analysis Large volumes of social traffic, powerful external influencers

4 Recommendation engines Complex buyer's journeys and content matching, delays in decision making

5 Live event monetization Need to optimize revenue and experiences onsite

6 Cognitive commerce Product discovery, personalized merchandising

7 Cognitive content Personalized real-time response generation at scale

8 Media mix optimization Large omni-channel advertising spend that is difficult to attribute to performance

9 Attribution analysis Omni-channel marketing in complex, long cycle customer acquisition models

10 Planning/budgeting Need to speed planning and budgeting process and allocate investments based on contribution to performance goals.

© IDC Visit us at IDC.com and

follow us on Twitter: @IDC

Fun with Chatbots

Virtual Sales Reps

Live Event Monetization

"Combining Ampsy's

geofencing capabilities with

their new AmpElite analytics

powered by Watson has

enabled us to identify super

fans at live shows, engage

with them in real-time or post-

show, and micro-market to

them on a level we've never

seen before."

Jesper Poulsen,

VP of Artist &

Brand Development, Epic Rights

(Licensing Group for AC/DC,

Aerosmith, KISS, and more)


© IDC Visit us at IDC.com and follow us

on Twitter: @IDC

Personalized Web Content

Three dynamic content

recommendations based on:

• User profile

• Session behavior

• Automated content analysis

Start with as few as 10 pieces

of content

AI in eCommerce


Getting Ready for

Cognitive

Marketing

The Cognitive Marketing Kitchen


Cognitive Marketing Team

Business Analyst

Project mgmt.

Business assumptions

Communications

Data Scientist

Data representation

Featurization

Model building

Marketing Technologist

Infrastructure mgmt

System integration

IT liaison

Data Driven Marketer

Business objectives

Data cultivation

Governance


1

2

3

Key StakeholdersRole Benefit

CMO Improved planning, budgeting, and visibility into marketing contribution to business performance

Marketing finance Improved attribution analysis

Marketing analysts Greater scale, scope and speed of analytics

Content marketer Auto-generated content for simple interactions via SMS and email. Greater visibility into content effectiveness by segments and buyers'

segments and buyers' journeys.

Web marketer Cognitive commerce will make real time offer management systems more effective. Chatbots and virtual agents will increase engagement at

increase engagement at lower cost.

Email marketer Cognitively enabled content recommendation systems that match customer data, buyer's journey patterns, and content assets will improve

content assets will improve email performance.

Social marketer Greater insight into sentiments, influencer dynamics. And automated interactions.

Ecommerce marketer Ability to discern real time insights on how web sessions are connected via content and behavioral patterns to help build communities and

build communities and identify value added interaction opportunities

Event marketer Real time sentiment analysis and on site monetization for large scale events.

Source: IDC, 2017

Surprise! The Cognitive Consumer is just as smart as you

The Cognitive Consumer

Microsoft Delve &

Cortana

Google Now and

Google Assistant5.0?

10.0? Apple Siri


Everyday items will become data sensors

Everything we touch, do, feel will be recorded

More immediate, more intimate data collection

Every step we take, every breath and heartbeat

Cognitive and IoT and Buyer Behavior


The Super-Intelligent Marketer’s Dilemma:

When you know everything about everyone all the

time, what could possibly go wrong?


A simple thought experiment

Weight

Posture

Fidgeting Hyperventilating

Temperature

Time

Coughing Sneezing

Rapid heart beat

Falling asleep



Weight

Posture

FidgetingBreathing and Pulse

Temperature

Time

Coughing Sneezing

Ad Blocker



Weight

Posture

FidgetingBreathing and Pulse

Temperature

Time

Coughing Sneezing

Falling asleep

Ad “Streamer”Ad content should be like a music streaming service that

learns what you like and what

you’re in the mood/market for.


© IDC 41

The big philosophical debate

(that hasn’t really started yet)

Vs.

Is consumer data just the new oil to be

exploited by business?

Is it the new currency to be spent by

consumers?

The issue is intent and its on this side.

33

You bought diapers three weeks ago,

you’re probably running low by now.

Last time you bought Huggies,

try Pampers for less.

Save

$10


Customer expectations are evolving beyond product and price to privacy

and personal value.

Data as a service is the new model for marketers to go beyond messaging

and targeting.

Well defined use case is the #1 key to success with AI

Focus on fit between use cases and data sources for AI/ML applications

Leverage knowledge resources in OpenAI, Association for Uncertainty in

Artificial Intelligence, the AI Forum, and others to learn about the impacts technologies.

Avoid "black box" tools and models that defy understanding of how they

work or reach decisions.

Don't jump into deployment if the outcomes are both uncertain and

potentially harmful.© IDC Visit us at

IDC.com and follow us on Twitter: @IDC

45

Action Plan


For More Information

LinkedIn

https://www.linkedin.com/company/idc

Twitter

https://twitter.com/@IDC

www.idc.com

Gerry Murray

[email protected]

https://www.linkedin.com/gerrymurray

https://www.linkedin.com/company/idc

https://twitter.com/@IDC

http://www.idc.com/

mailto:[email protected]

https://www.linkedin.com/gerrymurray

QUESTIONS?

Marketo.com/AITo learn more, visit:

the rise of the ai-empowered marketer

Technology