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1、DIGITAL STRATEGY IN THE AGE OF ARTIFICIAL INTELLIGENCE HOW TO TAKE ADVANTAGE OF AI IN ADVERTISING ARTIFICIAL INTELLIGENCE: IMAGINATION AND REALITY In our imaginations, artificial intelligence often comes in blockbuster proportions: the computers takeover in “2001, A Space Odyssey,” battles for human
2、itys fate with multi-limbed robots in “The Matrix,” the meaning of love in “Her.” In reality, AI is more pervasive, if less epic. AI algorithms help IBMs Deep Blue and Watson win chess and “Jeopardy!” tournaments. Voice-activated assistants give information, entertain, and control devices and homes.
3、 Self-driving cars will go on sale to car services next year, General Motors promises.1 AI, EXPLAINED At its core, artificial intelligence processes specific inputs then delivers specific outputs. Asked the right questions and given the right instructions, its algorithms will provide solutions and s
4、uggest actions that produce desired results. The problems addressed by AI are sometimes ones that people could solve without intervention, on a smaller scale. AI could, for example, match one facial image to another, predict next weeks sales, or say whether someones credit history shows theyre likel
5、y to pay off a loan. By breaking the problem into component parts, each relevant input can be weighted and a solution derived. Recognizing a face, for example, is a combination of evaluating the curve of a jaw, the angles of a nose, the color of someones eyes, and so on, with some factors being more
6、 pertinent to the solution than others. “AI is like a spreadsheet on steroids,” says Sara Robertson, VP of Product Engineering for Xaxis, and an expert in artificial intelligence. AI usually works in concert with machine learning so that algorithms get increasingly better at increasingly complex tas
7、ks like pattern recognition and predictive analysis. Machine learning takes the results produced from a round of instructions, compares them to the predicted outcomes, evaluates, then sends information back on how to adjust and optimize. Further enhancement comes from processes such as “neural netwo
8、rks” connected computing nodes working together to increase processing Artificial intelligence (AI) has changed what we can achieve in media buying and planning, how to achieve it, and the metrics used to understand success. This paper lays out what AI is, strategies to apply it to advertising, and
9、the best methods for gaining expertise, evaluating partners, and working with them to leverage the opportunities afforded by AI to achieve the best possible business outcomes. EXECUTIVE SUMMARY: AI is a computers ability to choose and perform the right machine learning techniques at the right time,
10、successfully, regularly, and with a minimum of effort. 2 power and “deep learning,” which helps refine the understanding those neural networks can produce. AI algorithms can work supervised with people indicating which results are closer to the desired outcomes or unsupervised, where they execute an
11、d adjust on their own, usually after a period of human instruction (see right). AI today is used in nearly every industry in ways we access every day. It helps search engines find their targets; executes complex decisions for financial trading; powers programming recommendations for services like Ne
12、tflix2. It can also aid in content curation, enhance cyber security, improve warehouse inventory management, assist salespeople in generating better leads, and help fly airplanes. AI FOR ADVERTISING For advertising, AI is being used in a variety of ways to improve effectiveness. It has been used to
13、find and define audiences, refine creative messaging (see graphic page 5), generate audience personas, and develop bidding strategies that optimize for clients stated goals. “AI has many seemingly small applications that currently deliver digital marketing efficiencies for companies all over the wor
14、ld from advanced consumer targeting and insights to highly personalized ad experiences,” says Adam Grow, SVP of Display at Rakuten Marketing.3 At present, most advertisers arent taking advantage of the full capabilities of AI. Instead, they deploy it to achieve simple goals. But it can do much more
15、than elevate discrete performance metrics. When the many applications of AI are used in concert, they can add up to a significant transformation in digital advertising strategy that drives remarkably improved results. To accomplish that, new campaigns must be conceived and built around the unique op
16、portunities and strategies afforded by AI. This requires advertisers to shift their perspective; to refine and expand their idea of marketing success and approach new campaigns in cooperation with the way AI works. The most powerful and largely unfulfilled potential of AI lies in the bigger picture, in its ability to optimize towards business outcomes rather than simple metrics. One car maker, for example, sought to increase sales. To do so, it evaluated the influence of individ
