Artificial intelligence marketing (AI marketing) is a form of marketing that uses artificial intelligence concepts and models such as machine learning, natural language processing, and computer vision to achieve marketing goals. The main difference between AI marketing and traditional forms of marketing reside in the reasoning, which is performed through a computer algorithm rather than a human. Each form of marketing has a different technique to the core of the marketing theory. Traditional marketing directly focuses on the needs of consumers; meanwhile some believe the shift AI may cause will lead marketing agencies to manage consumer needs instead. AI is used in various digital marketing spaces, such as content marketing, email marketing, online advertisement (in combination with machine learning), social media marketing, affiliate marketing, and beyond. == Historical development == AI in marketing has a long history, which goes all the way back to the 1980s. At this time, AI research was focusing on expert systems and robotics. Despite the initial research and the studies that were carried out, AI adoption remained limited. Research on it came to a stop for a while, until research was revived two decades later with the advancement in technology, the rise of big data, and a significant increase in computational power. Eventually, AI became very popular in the marketing world, and caught the eyes of many researchers as well as professionals. A large‐scale bibliometric study covering 1,580 peer‑reviewed papers published between 1982 and 2020 confirms that scholarly output on AI in marketing has surged since 2017, with Expert Systems with Applications emerging as the most prolific outlet. Prior to the application of artificial Intelligence in marketing, there was something called "collaborative filtering". This was used as early as 1998 by Amazon, and one of the first ways companies predicted consumer behavior, which enabled millions of recommendations to different customers. Personalized recommender systems are now widely used, for example to suggest music on Spotify, or TV shows on Netflix. A big milestone in AI marketing happened in 2014, when programmatic ad buying gained much greater popularity. Marketing consists of numerous manual tasks such as researching target markets, insertion orders, and managing high budgets as well as prices. In order to cut costs, and remove the need for these tedious tasks, many companies started to automate the marketing process with AI. In 2015, Google introduced RankBrain, a machine learning component of its search algorithm designed to interpret the intent behind user queries. RankBrain was followed by further AI-based search updates, including BERT in 2019, which improved the understanding of conversational queries, and the Multitask Unified Model (MUM) in 2021, which is multimodal and processes information across 75 languages. These advances shifted search engine optimization practice away from keyword matching toward content that satisfies user intent. Artificial intelligence is increasingly used in marketing to personalize user experiences and automate decision-making. For example, Netflix uses AI algorithms to recommend content based on viewing history, while Sephora employs chatbots to assist customers with product selection and availability. Programmatic advertising platforms like Google Ads leverage machine learning to optimize bidding strategies and target audiences more effectively. These applications demonstrate how AI enhances efficiency, engagement, and conversion rates across digital channels. === Artificial neural networks === An artificial neural network is a form of computer program modeled on the brain and nervous system of humans. Neural networks are composed of a series of interconnected processing neurons that function in unison to achieve certain outcomes. Using “human-like trial and error learning methods neural networks detect patterns existing within a data set ignoring data that is not significant while emphasizing the data which is most influential”. From a marketing perspective, neural networks are a form of software tool used to assist in decision making. Neural networks are effective in gathering and extracting information from large data sources and have the ability to identify cause and effect within tha data. These neural nets through the process of learning, identify relationships and connections between databases. Once knowledge has been accumulated, neural networks can be relied on to provide generalizations and can apply past knowledge and learning to a variety of situations. Neural networks help fulfill the role of marketing companies through effectively aiding in market segmentation and measurement of performance while reducing costs and improving accuracy. Due to their learning ability, flexibility, adaption, and knowledge discovery, neural networks offer many advantages over traditional models. Neural networks can be used to assist in pattern classification, forecasting and marketing analysis. == Tools and uses == Classification of customers can be facilitated through the neural network approach allowing companies to make informed marketing decisions. An example of this was employed by Spiegel Inc., a firm dealing in direct-mail operations that used neural networks to improve efficiencies. Using software developed by NeuralWare Inc., Spiegel identified the demographics of customers who had made a single purchase and those customers who had made repeat purchases. Neural networks where then able to identify the key patterns and consequently identify the customers that were most likely to repeat purchase. Understanding this information allowed Spiegel to streamline marketing efforts, and reduced costs. Sales forecasting “is the process of estimating future events with the goal of providing benchmarks for monitoring actual performance and reducing uncertainty". Artificial intelligence techniques have emerged to facilitate the process of forecasting through increasing accuracy in the areas of demand for products, distribution, employee turnover, performance measurement, and inventory control. An example of forecasting using neural networks is the Airline Marketing Assistant/Tactician; an application developed by BehabHeuristics which allows for the forecasting of passenger demand and consequent seat allocation through neural networks. This system has been used by National air Canada and USAir. Neural networks provide a useful alternative to traditional statistical models due to their reliability, time-saving characteristics and ability to recognize patterns from incomplete or noisy data. Examples of marketing analysis systems includes the Target Marketing System developed by Churchull Systems for Veratex Corporation. This support system scans a market database to identify dormant customers allowing management to make decisions regarding which key customers to target. When performing marketing analysis, neural networks can assist in the gathering and processing of information ranging from consumer demographics and credit history to the purchase patterns of consumers. Predictive analytics is a form of analytics involving the use of historical data and artificial intelligence algorithms to predict future trends and outcomes. It serves as a tool for anticipating and understanding user behavior based on patterns found in data. Predictive analytics uses artificial intelligence machine learning algorithms to recognize and predict patterns within data. Machine learning algorithms analyze the data, recognize patterns, and make predictions through continuous learning and adaptation. Predictive analytics is widely used across businesses and industries as a way to identify opportunities, avoid risks, and anticipate customer needs based on information derived from the analysis of user data. By analyzing historical customer data, artificial intelligence algorithms can deliver relevant and targeted marketing content. Recent systematic reviews show that generative large‑language models such as GPT‑3 and GPT‑4 are now routinely embedded in predictive‑analytics pipelines to mine unstructured market data and anticipate customer intent with greater precision. Personalization engines use artificial intelligence and machine learning to provide content or advertisements that are relevant to the user. User data is gathered, which then gets processed with machine learning, and patterns and trends among the users are identified. Users with shared characteristics or behaviors are then segmented into groups, and the personalization engine adjusts content and advertisements to match each segment's preferences. By processing a large amount of data, personalization engines are able to match users to advertisements and recommendations that align with their interests or preferences. Field evidence from consumer‑goods and electronics firms indicates that AI‑driven personalization can raise
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