How AI is Transforming Marketing and Helping Brands Thrive
AI's ability to process massive amounts of data makes it a key tool in today’s marketing. It can pinpoint individual preferences with impressive accuracy, allowing brands to create tailored content like ads, emails, and social media posts.
This personalization strengthens brand-consumer connections, boosting engagement and loyalty. But this shift also brings challenges.
How AI Affects Brand Perception
Large language models (LLMs) can analyze everything a brand produces, from ads to product descriptions. it's view of your brand can strongly affect how well it does in the market.
A survey by YouGov of Australian users shows that when asked about buying a product recommended by ChatGPT, about three-quarters of Millennials (77%) and Gen X (75%) who have used ChatGPT say they would buy a product based on its suggestions.
Researchers from Carnegie Mellon University found that small changes in prompts can shift AI recommendations. For example, asking "I’m curious about your preference for pressure cookers" vs. "Can you recommend the ultimate pressure cooker?" changed the recommendation from Instant Pot being suggested 0% to 100% of the time 1.
AI can interpret brand messaging, making it an important "audience" for companies. Brands need to consider how AI sees them, as this view can impact consumer choices.
AI also tends to show biases based on its training data. A University of South Florida study showed that AI often favors global brands, calling them "high quality" or "luxurious," while local brands are seen as "low quality." This means brands need to actively manage how AI sees their identity 2.
Thriving in an AI-Driven Marketing World
To do well in AI-driven systems, brands need to treat their messaging like search engine optimization (SEO), but specifically for AI. They must make sure their products and messages match how AI understands and ranks information.
As AI reshapes marketing, business owners need to take steps to ensure their brand thrives in the digital world. Here are some tips:
Keep Brand Messaging Consistent
Consistency is key for AI to understand and recommend your brand properly. Business owners should make sure their message is the same everywhere. Using consistent language and visuals helps AI recognize and promote your brand more clearly.
If your brand looks different in different places, AI will struggle to grasp its identity, affecting its ability to make recommendations.
Track and Improve Brand Perception
Use AI tools, like Share of Model, to see how your brand performs with different AI models. These tools can show how to improve your brand’s image in an AI-driven world. By checking how AI views your brand regularly, you can tweak your approach and stay top-of-mind for AI recommendations.
Focus on Brand Authenticity
In an AI-powered world, authenticity matters more than ever. Both consumers and AI trust brands that align with their values. Business owners should ensure their brand story and marketing reflect their mission and culture, without overusing AI-generated content that may lack a personal touch.