Page 10 - IMDR JOURNAL 22-23

IMDR’s Journal of Management Development and Research 2022-23

hands, or high-five. After watching more than 600 hours of YouTube movies, the system was
able to correctly predict the action 43% of the time.

Another well-known example of how deep learning can predict human behaviour is self- driving
cars. Researchers at Cornell University and Stanford University developed the "Brains4Cars"
system, which monitors the surrounding traffic as well as the driver's body language using
cameras, sensors, and wearable technology. The device sounds an alert when the driver appears
to be heading in the direction of a collision. About 3.5 seconds in advance, the algorithm of the
system can forecast the driver's behaviour.

For marketers, being able to predict a customer's needs with accuracy is like finding gold. Yet by
relying less on preconceptions and hunches and more on statistical insights, marketers can
predict client behaviour more precisely with the help of trained AI – and even far into the future.

As an example, Netflix prioritizes personalization using AI, and the recommendation engine
greatly affects the amount of content that its users watch. The business thinks its algorithms
allow it to prevent losing $1 billion in sales annually due to customer attrition. Also, Amazon— a
company well-known for its merchandise suggestion engine—uses AI to expedite delivery by
determining the precise location to place goods in order to get them as close to customers as
feasible.

Benefits of using Artificial Intelligence in Marketing:

Artificial intelligence marketing (AI Marketing) combines consumer data and AI principles like
machine learning to anticipate your customers' next move and improve the customer journey.
Innovations in artificial intelligence provide firms with greater tools to achieve this. AI may
completely change how businesses find, nurture, and convert prospects. It may also help
businesses develop more successful marketing strategies.

As per the data by Salesforce, the number of marketers reporting using AI increased by 186%
YoY showing the immense growth of AI use cases in marketing. AI can notably carry the below
benefits to marketers:

1) Personalized and specific messages

Using predictive analysis, businesses can discover customer preferences and produce
suggestions based on that information. This is used by both Netflix and Amazon to recommend TV
shows and products, respectively. A set of data points that enable you to point users towards a
specific product or service is extremely useful for marketers. Make it easy for users to find a
solution.

2) Cost savings
Presence of chatbots and other AI tools would allow many of customer interactions to proceed
without any human interference. It is projected that 85%+ conversations would happen via AI.

3) Simplifies marketing initiatives

Deep learning and artificial intelligence enable computers to recognize user behaviour and

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