Targeting is one of the major challenges faced by marketers. While spending your advertising dollars, the last thing you can do is guessing. If your business is not limited by budgets, then you might be able to afford to keep the guesswork on. But if you are representing small and medium businesses, you need to find your next customers as quickly and cheaply as possible.
Data is coming in from different sources and every organization collects and defines these data in different ways. Artificial Intelligence has disrupted the traditional ways of segmenting and targeting. It is all because today the ad industry is driven by data.
There are 3 kinds of data used for audience segmentation:
2.Turning data into a targeting goldmine using Artificial Intelligence
AI-enabled tools use algorithms to bring life to data and make the data actionable. Every day, they process terabytes of data and makes predictions to help marketers target better.
- AI automatically builds your target audiences using a variety of data sources along with predictions about your ideal buyer’s characteristics and behavior in the digital space.
- AI enables Audience expansion by generating “Look-alike audiences” based on the first party and second-party data it collects.
- With AI-based targeting, marketers can have full control of the quality of the audience it provides. As they mostly use first-party and second-party data, they know the data source is reliable and information is good.
- Once new data pours, these tools refresh and update the data on a daily basis, guaranteeing audience freshness.
3. How AI builds the audience:
AI-based targeting can remove the guesswork out of audience targeting. With access to the right tools, marketers can supercharge their ability to reach to the right audience efficiently, and personalize their marketing efforts.