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Cadbury’s created a personalized video campaign that matches a Dairy Milk flavor with users based on data from their Facebook profile, including age, interest and location. The campaign generated a 65% click-through rate and a 33.6% conversion rate, proving that the personal touch works. Starbucks uses a gamified mobile app that draws on data like purchase history and location to get as personal as possible, allows customers to customize their drinks, and encourages further use with its rewards system – which skyrocketed their revenue to $2.56 billion: Video marketing is one of, if not the, most important marketing trend today and likely for the next 5-10 years. These numbers show the importance of incorporating video into your digital marketing strategy in 2020: 70% of consumers say that they have shared a brand’s video, 72% of businesses say that video has improved their conversion rate, 52% of consumers say that watching product videos makes them more confident in online purchase decisions, 65% of executives visit the marketer’s website and 39% call a vendor after viewing a video. Video is by far the most popular way customers want to learn about new products.
Ultimately, it is the business, marketing, and brand development strategies which drive the growth of a business, so it is important to have a sound marketing strategy and branding in place before working on the digital tactics. Otherwise, it’s likely your hard work on the digital tactics will be wasted if they are directed at the wrong audience and your value proposition isn’t strong enough. The key trend here is the way digital technologies and media offer the opportunities for digital disruption. Yet digital marketing is not always used as a disruptor. As I discuss in my Digital Marketing: Strategy, Implementation and Practice book, digital marketing is more often used for market penetration than new product or market development (these are the classic Ansoff growth strategies). To give you a benchmark, this new CMO Survey research from Duke University Fuqua Business School, Deloitte and the American Marketing Association based on the views of Chief Marketing Officers (CMOs) in large US organizations is useful. It’s interesting since it translates the theory of Ansoff into practice, showing how businesses are mainly investing, but other strategies are significant.
In 2016, Gartner predicted that 20% of all business content would be “authored by machines” by 2018. While the accuracy of this prediction hasn’t been tested yet, most people are already reading AI-written articles in one fashion or another (whether they realize it or not). AI is particularly good at creating data-heavy news briefs about business and sports, for example. These articles may not have the same panache as human-written ones (yet), but they save news organizations vast amounts of time and money to get the word out. In the future, AI will likely originate much of the content on the internet. But inbound content, which relies on personality and authenticity, is not its strong suit. AI may generate some initial reporting, but it’ll be up to a human to make the content relatable. Managing ads is a full-time job. But with so many new channels to reach customers through, not even a full-time advertising team has enough hours in the day to keep up. That’s why more and more companies are trying to let AI take it over.
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