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How to Use Artificial Intelligence in Advertising

23 July 2022
The use of AI in advertising

Did you know, you can actively start using artificial intelligence in your advertising efforts and as part of your strategy right now, even if you’re completely clueless as to how AI works? AI does make even the tech-savvy of us wince without knowing completely what it is, but it’s clear that it’s crucial since this is the direction the AI and advertising world is heading.
With this in mind, today we’re going to explore precisely what advertising-based AI and what it can achieve, as well as how you can start implementing the wonders of advertising and AI into your own business.

A Lightning-Fast Guide to What Artificial Intelligence in Advertising Is

We’re not going to go into the complexities of AI and how it works, but we are going to briefly describe it, so we’re all on the same page. In short, artificial intelligence is the ‘science of making machines smart’ as quoted by Demis Hassabis, the CEO of DeepMind.
It’s basically a machine that can get better at carrying out a task, whether that’s speaking, writing, creating art, finding patterns, diagnosing illnesses and the such, all without being programmed to be better. The machine learns how to be better itself.

“A really simple example comes in the form of the Amazon Alexa software. The software hasn’t been coded to recognise your voice when adding laundry powder to your list, but the machine detects your voice and predicts what you want it to do. The more you use it, the better it gets,” explains Alice Bennett, a tech writer at Uktopwriters and Best Assignment Writing Services.

AI Advertising Examples

So, we have machines that are able to get better at whatever task they’re coded to do, but how can this be used in a real-life advertiser setting? Well, there are plenty of AI in advertising examples out there to consider.

Working with Ad Platforms

As a marketer and advertiser, you’re not going to be a stranger to ad platforms, and you’ll know the struggles you can have when trying to make the most of your preferred ad platforms opportunities. However, nearly all online ad platforms will use AI now to organise how the ad system works, so, as an advertiser, you need to understand the field you’re playing in.

Let’s take the AI-based advertising Facebook Ads platform as an example.

Facebook advertising artificial intelligence works on two main principles; the frequency in which an ad is displayed and the relevancy score of an ad, or how relevant a viewer (impression) is going to find and relate to the ad.

Using these two data points, Facebook can automatically show the right ads to the right people to get the best results and will also automatically calculate how much you’re going to be charged for an ad, as well as organising where your ads are displayed.

The use of facebook for advertising

Source: Unsplash

Other data inputs are then used, such as customer ratings on each ad. If a lot of people are clicking the ‘I don’t want to see this ad’, then your relevancy rating will drop, and your ads will be shown less frequently.
Bear in mind that this is a very basic example and the entire process is a lot more complicated, but as an advertiser, you can take this information to create highly targeted ads that relate to a highly defined audience that will resonate with your content. This means a better performance rating and ultimately, a greater ROI.

To understand this more, especially if you’re new to the field of AI advertising, it may be worth investing in an artificial intelligence consulting service to help educate you and to guide you through the process.

Automatic and Optimised Budget and Ad Targeting

One of the biggest banes in most advertiser’s daily work is trying to set and manage a realistic budget. You could literally spend millions on advertising and not get any return, or you could spend $1,000 and see a massive ROI. It’s all about managing the risk and your overall investment.

However, there’s a huge risk of human error when this process occurs, and one wrong decision could end up being very expensive. To counter this, AI powered services are being introduced to automatically manage budgets and optimising the targets that are being set.

A girl calculates a budget

Source: Unsplash

For example, RedBalloon, a travel company, used the artificial intelligence data science machines known as Albert to manage their budget and targeting process, and the results from their content advertising efforts were incredibly impressive.

“Albert carried out its mission by finding and discovering ways to completely optimise the company’s spending and targeting, and dramatically increased the company’s ROI. The service was even capable of locating new audiences to advertise too that the company wasn’t even aware of, giving them an absolutely massive advantage over their competition,” shares Nick Harper, an AI blogger at Eliteassignmenthelp and Bestbritishessays.

Creating Ads and Managing Them

The final future aspect of how AI is used in advertising we haven’t yet spoken about is the actual process of creating advertising content, and the impact of artificial intelligence in digital advertising in this sense is undeniable. Many advertising platforms, like Albert, Facebook, Adobe and IBM namely, have an AI system that can help you create effective ad content that will have a solid impact, and helps advertisers save time during their creation process.

A man analyzes the effectiveness of the advertising campaign

Source: Unsplash

However, this is still fairly basic service and is nowhere near the power of something like computer vision models that are available, but it’s getting there. More commercially minded applications are taking things a step further and can actually create ad copy for you from scratch. The content is designed based on copy used in the past to see what is effective and what isn’t.

Of course, as with all AI tools, the more content the services create, the more effective the content will be. The system will just keep getting better and better. When this AI digital advertising technology is implemented and integrated with data sources such as Facebook, Bing, and Google, these solutions are sure to be the powerhouses of the advertising world.

Implementing AI into Your Advertising Practices

There’s no denying that we’re at the forefront of what AI is capable of, and the more this technology is developed, the more effective it will be. However, while the future has endless possibilities, getting started with AI now in your own advertising efforts and strategy can clearly pay off big time.

Beatrix Potter is a tech writer at Academized. She writes about Artificial Intelligence in Advertising and loves helping businesses understand what opportunities the modern world holds for them.

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