The benefits and drawbacks of using AI in digital marketing

Mar 1, 2023 by
The benefits and drawbacks of using AI in digital marketing

Artificial Intelligence (AI) is transforming the digital marketing landscape at a rapid pace, with many even worrying that it could essentially render human marketers irrelevant in the coming years.

For now, at least, it appears to be very much on our side though, with marketers leveraging AI algorithms to analyse vast amounts of data and gain valuable insights about their target audience. This allows them to create more personalised experiences and further optimise their marketing campaigns.

However, there are also drawbacks to consider, such as ethical concerns and potential biases in AI algorithms. Here, we’ll be exploring the good and the bad sides of using AI in digital marketing.

The benefits of using AI in digital marketing

Improved targeting and personalisation – With AI algorithms, marketers can analyse vast amounts of data to understand customer preferences, behaviours, and purchasing habits. This information can then be used to create more personalised and heavily catered experiences like customised product recommendations and targeted ads.

Increased efficiency and savings – AI can automate many of the repetitive and time-consuming tasks involved in digital marketing. This not only increases efficiency but also reduces costs by eliminating the need for manual labour. As a result, marketers can focus their efforts on more strategic tasks such as creating more compelling content.

Enhanced customer experience – Better customer service can be achieved by automating responses to common queries and complaints. Chatbots powered by AI can provide 24/7 support to customers, improving their experience and increasing satisfaction. AI algorithms can also analyse customer feedback to identify pain points and improve products and services accordingly in a more reactive manner.

Improved predictive analytics – AI algorithms can analyse large amounts of data and provide insights that humans may not be able to detect. For example, predictive analytics can identify patterns and trends in customer behaviour that can be used to optimise campaigns and improve ROI.

Drawbacks of using AI in digital marketing

Ethical concerns – Given the limitations of the technology, AI will often make decisions based on biassed data or assumptions, leading to unfair treatment of certain groups. For example, an AI algorithm might exclude certain demographics from ad targeting based on factors such as age or gender. Marketers must be aware of the ethical implications of using AI in their marketing campaigns and ensure that their algorithms are designed to be fair and unbiased.

Lack of Control – Any AI is only as good as the data it’s being fed. If the data is incomplete or inaccurate, the algorithms may produce poor results. This lack of control can be problematic, especially in cases where the algorithm is making important decisions, such as which ads to display to a particular audience.

Overreliance on AI – While AI can be a powerful tool for marketers, it is important not to rely on it too heavily. AI algorithms should be used in conjunction with human insights and creativity to ensure that marketing campaigns are well-rounded and effective. Relying too heavily on AI can lead to complacency and bland, homogenised work.

Privacy concerns – The data AI uses to function can include sensitive information such as personal details and browsing histories, raising obvious flags when it comes to privacy concerns. Marketers must ensure that they are transparent about how they collect and use customer data and that they follow data protection laws such as GDPR. The coming phasing out of first-party cookies is a positive move in this regard.

Digital transformation

AI is transforming the way that marketers approach digital marketing whether we like it or not. There are always going to be drawbacks to consider when discussing any major leap forward but by being aware of the challenges and taking steps to address them, marketers can harness the power of AI to create more effective and impactful digital marketing activities.