ChatGPT and The Future of Digital Marketing

The State of AI

In today’s blog, we’ll be diving into the state of marketing in 2023, specifically covering the impact of AI. Marketing has been rocked to it’s foundation this year; with the full release of ChatGPT, Bard, MidJourney, DALL-E, and other various AIs…

It’s funny how experts predicted the top trend for the longest time was influencer marketing. It’s like no one saw this revolution coming. To be fair it all happened so fast.

But while AI has provided efficiency, assistances, and creativity at times, AI still has it’s downfalls. One of the biggest points of concern is that a majority of people, including engineers and scientists, don’t know how text-generative AI works. We know generally how it was trained but how does it actually work? Just as our brain often makes decisions that we can't fully explain, it's also unclear how ChatGPT, functioning on a neural network, formulates its word weights.

Kyle Hill, renowned Science Educator released a video covering this very topic .

In summary, ChatGPT scans the words you enter in, and decides what the next most likely word would be in the sequence. It doesn’t learn, it doesn’t know, it guesses. Fortunately, most of the time the guesses provide the results sought after. It is vital to remember that it doesn’t understand law, or morals; so in the case of anything important, it’s best not to use it.

Our team has seen issue asking it to assist with jokes or provide certain information, generating some pretty hilarious or awkward fails. For instance, in our last blog post, ChatGPT vs Bard, ChatGPT kept insisting that Bard was developed by Open AI… When in fact it’s the opposite. Bard was developed by Google while ChatGPT was developed by Open AI.

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The State of Digital Marketing 2023

All of this isn’t to say that AI isn’t extremely helpful in our everyday marketing lives. While technology and AI continue to revolutionize the marketing landscape, it's also crucial for marketers to remember the fundamentals: engaging storytelling (through video), personal connection (through personalization), and societal impact (through sustainability and social responsibility). These three areas will be key to connecting with audiences on a deeper level and achieving lasting marketing success in 2023 and beyond.

• Live Streaming and Video Content: Dominating the digital landscape, video content, including live streaming and short-form videos, is expected to account for over 80% of all internet traffic in 2023. This dynamic medium offers real-time engagement and compelling storytelling across platforms like YouTube, Facebook, Instagram, LinkedIn, and TikTok. • Personalization and Customer Experience: As we progress into 2023, personalized marketing strategies and tailored customer experiences across all touchpoints are crucial. Brands are now expected to offer more than products or services; they need to deliver unique, personalized experiences that drive higher conversion rates. • Sustainability and Social Impact: With a rising consumer focus on environmental and social issues, brands are integrating sustainable practices and social responsibility into their marketing. This conscious marketing extends beyond selling products, showcasing a brand's commitment to making a positive global impact.

Current State of Marketing

Digital marketing is constantly evolving, and the trends that will shape the landscape in 2023 are already beginning to take shape. The global digital marketing spend is expected to reach $696 billion in 2024. Here are a few of the most important trends to watch:

SEO

The importance of SEO is only going to grow in 2023. As Google's algorithms continue to evolve, businesses will need to stay ahead of the curve by providing valuable content, improving user experience, and integrating AI to predict search trends better.

One way to stay ahead of the curve is to provide valuable content that is relevant to your target audience. This content should be well-written and informative, and it should be optimized for search engines. You can also improve your user experience by making sure your website is easy to navigate and load quickly.

Another way to stay ahead of the curve is to integrate AI into your SEO strategy. AI can help you predict search trends, identify keywords that are relevant to your business, and create personalized content for your target audience.

Social media marketing

Social media platforms are still the most important way for businesses to connect with their audiences. However, the landscape is constantly changing, and businesses need to be aware of new platforms like TikTok and Clubhouse. AI and AR are taking social media experiences to new heights. On platforms like TikTok and Snapchat, AI drives personalized content delivery, while AR features allow for interactive, immersive content creation. This fusion of technology and creativity is redefining audience engagement and shaping the future of social media marketing.

Content marketing

Content marketing is still king. High-quality, relevant content is a key driver of website traffic and a critical ingredient in building brand trust. In 2023, it will be more important than ever to deliver personalized content that speaks directly to the audience's needs and challenges.

One way to deliver personalized content is to use data to segment your audience. This means grouping your audience into different categories based on their interests, demographics, and behavior. Once you have segmented your audience, you can create content that is specifically tailored to each group.

Video marketing

Video content is still on the rise. According to a Cisco study, it's projected that 82% of all internet traffic will be video by 2023. This means that businesses need to make sure they are creating engaging video content that will capture the attention of their audience.

One way to create engaging video content is to focus on storytelling. Stories are a powerful way to connect with people on an emotional level. When you tell a story, you are inviting your audience to share your journey and connect with your brand on a deeper level.

Digital advertising

Digital advertising is becoming more targeted than ever. Brands are leveraging data to create personalized ad experiences, improving conversion rates. The rise of programmatic advertising, which uses AI to automate ad buying, enables businesses to target more specific audiences.

However, the increasing concerns about data privacy have prompted marketers to explore more privacy-friendly approaches to digital advertising. One way to do this is to use contextual targeting, which means delivering ads based on the content that a user is viewing.

By staying ahead of the curve and adapting to these trends, businesses can ensure that they are reaching their target audiences and achieving their marketing goals.

AI’s Impact on Marketing

Artificial intelligence (AI) is rapidly transforming the marketing landscape. AI is being used to automate tasks, create personalized content, and test campaigns. This is leading to more efficient and effective marketing, with better results for businesses.

One of the most visible applications of AI in marketing is the use of chatbots. Chatbots are AI-powered virtual assistants that can answer customer questions, resolve issues, and even make sales. And are available 24/7 and can handle multiple inquiries simultaneously, making them a valuable tool for businesses that want to provide excellent customer service.

AI is also used in marketing for predictive analytics. Predictive analytics uses AI to analyze vast amounts of data to identify patterns, trends, and customer behaviors. This information can be used to create more targeted marketing campaigns and personalized customer experiences. For example, Netflix uses predictive analytics to recommend shows and movies to users based on their viewing history.

Finally, AI is also being used to personalize marketing content. AI can analyze individual customer data to deliver personalized content, product recommendations, and marketing messages. This helps businesses to connect with customers on a more personal level and drive higher engagement and sales. For example, Amazon uses AI to recommend products to customers based on their past purchases and browsing history.

Our Marketing Coordinator, Alyssa DeMay stated: Movie companies have started utilizing AI to help find new stories for movies or help predictions what future moviegoers’ interests are! AI has had a very helpful impact! AI is an incredible tool for Marketing, as it can assist in things like captions for posts, brainstorming new ideas, generating images for content, even raising the quality of pictures and videos for posting! I believe AI will always help more than it would hinder. AI plays such a big role involving algorithms so you can better find your audience, and better help new customers find you! It greatly assists in reach, showing your content to people who consume media similar to your business! And as listed above, it can help a lot with planning, polishing and posting content that you have!

The Limitations of AI in Marketing & Balancing Human Touch

One of the biggest factors in marketing is personalization. With the ever-growing presence of AI in marketing, there is a diminishing human touch. There’s a lack of emotion. AI chat bots don’t understand human emotions nor moral quandaries.

Another issue, that has been addressed, but is still present is the warning both Bard and ChatGPT display at the bottom of their text entry line. “X AI may produce inaccurate or offensive information about people, places, or facts.” While AI can assist with content writing, scripting, storytelling, and even image generation, the presence of a human is more important than ever. It can't question ethical implications or consider the societal impact of a particular campaign. These limitations mean that AI can sometimes miss the mark when it comes to brand voice or crafting messages that resonate on a deeper, emotional level.

In my own personal experience, it has produced inaccurate or false information. I’ve never run into it creating something inappropriate or insensitive however, that doesn’t mean that it doesn’t happen.

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In 2019, an AI-generated ad for a car company was criticized for being sexist and offensive. The ad, which was created by an algorithm that analyzed millions of data points, used gendered language and stereotypes to target women. In 2020, an AI-powered chatbot for a customer service company was shut down after it was found to be generating racist and offensive content. The chatbot had been trained on a dataset of customer interactions, but it had not been properly filtered for bias.

These examples highlight the importance of human input in the marketing process. While AI can be a valuable tool for generating ideas and insights, it is ultimately up to us to decide what is appropriate and effective.

The Future of Marketing

The use of AI in marketing is still in its early stages, but it is clear that AI has the potential to revolutionize the way businesses market their products and services. As AI technology continues to develop, we can expect to see even more innovative applications of AI in marketing in the years to come.

In 2023 and beyond, the most successful marketing strategies will likely be those that blend AI's efficiency and data-crunching abilities with the unique creative insights that only humans can provide. By working together, AI and humans can create marketing campaigns that are both effective and ethical.

Alyssa predicts, The top trends to be advertising using social channels, short-form video, AI generation, AR in games and on social platforms, emotional human based content. The biggest trend coming this way though is data-led content. Content that is higher quality, longer run time, directed towards a much more specific audience. I foresee there being a rise in voice-based marketing. People prefer voice search over its counter parts, so expect to see a rise in this! VR is continuing to become more and more popular, not just for gaming, but for work and meditation as well! And expect to see more advertising via social channels!

Nexrage is working on the cutting edge of technology, working with AI, AR, VR, etc. Our mission statement is to improve and increase efficiency and productivity with the assistance of technology. Whether that be for the medical industry, cannabis, marketing, or healthcare. Reach out to our team to learn how we can future-proof your marketing strategies or discuss how we can bring a human touch to your AI-powered business strategies.