Six Pitfalls of AI-Marketing and How Marketers Can Overcome Them

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Integrating AI in marketing software helps businesses study the marketing budget, create content, tailor customer journeys and gain customer loyalty digitally, leading to better decisions and enhanced revenues.

Although AI is gaining popularity, it still has a few limitations. Some limitations are due to ethical concerns, while some are due to inadequate financial resources or lack of expertise. Below are some challenges that AI marketing faces.

Challenges of AI Marketing

The most common challenges in AI marketing revolve around business alignment and data. AI adoption varies from business to business. Here are a few familiar AI challenges digital marketers face.

  • Integration Challenges

Integrating new technology within businesses is challenging and requires skills and adequate knowledge. It is crucial to station interfaces and other elements to address all the business needs. These steps may require intricate coding, data feeding into the system, labelling, storage, and managing data infrastructure requirements. Additionally, model training and testing are vital to check the effectiveness of the AI and develop a feedback loop for process enhancements and data sampling to minimize the stored data leading to faster running models.

However, the challenge here is to validate whether or not these are working correctly. Businesses must work with the vendor to ensure they know the process and the vendor’s technical expertise. The vendor must guide marketers beyond AI model building. AI implementation with the right strategy will minimize the risk of failure. Businesses must educate the employees to utilize it efficiently to avoid hindrances, allowing them to understand and interpret the results they procure upon successful AI implementation.

  • Budget Reins

AI provides high returns on investments (ROI); however, businesses need more adequate investments for AI implementation into the system. While AI-powered platforms come with robust hardware and complex software, the deployment and maintenance of such components are expensive. These budget challenges halt the opportunities for businesses to utilize and embrace AI technology to the fullest.

Companies can overcome this challenge by investing in developing an in-house solution with the help of AI vendors. Vendors enable businesses to implement AI technology inexpensively and rapidly.

  • Talent Shortfall

AI marketing is complex and requires expertise to address the technical know-how. Therefore, businesses must find the right talent to handle and execute intricate algorithms and computational power, which is quite challenging. Before implementing AI, it is crucial to look at the employees’ daily activities and ensure there are ways to outsource the required personnel or consultants. At the same time, another way to make AI work is via partnerships. It is possible with third-party providers that collect, maintain, and analyze the data and offer the needed AI training programs to interested employees.

  • Privacy and Regulations

Artificial intelligence is growing incredibly, and the rules and regulations surrounding AI will change and tighten over the coming days. The data collection and utilization have affected the businesses that gather insights from European Union-based customers and drive their AI systems. The EU implemented GDPR in 2018, and it has scrutinized data collection and data usage rules for companies. Therefore, marketers must carefully gather and use customer data and understand the boundaries to ensure the integrity of prospective and current customers.

At the same time, regulations restrict businesses from keeping the data offsite, which gives them no longer access to utilize cloud-based AI marketing services. Companies must follow the GDPR rules to avoid potential risks, damages, and fines to ensure no infringements of customer rights.

  • Ethical Concerns

The ethical concern is a significant challenge encompassing privacy intrusions and illegitimate data collection. AI-led marketing is crucial in generating growth. Hence, marketers must ensure that the collected data is transparent. Moreover, the use of AI should benefit the customers while the processes related to marketing are well within human rights. Companies must hold themselves accountable and explain AI-driven practices clearly.

  • Changing Marketing Landscape and Poor Data Quality

AI is a new marketing tool and can hinder traditional marketing operations. Marketers must evaluate how AI can build new jobs and replace older jobs. Additionally, top-notch data is crucial for AI. Hence, any AI system that provides poor results will bring insufficient and poor-quality data. Businesses are collecting substantial data volumes with evolving Big Data.

However, the data is inadequate and relevant enough to drive a profitable AI marketing strategy. Challenges in data like these restrict businesses from capitalizing on Big Data. Therefore, companies must ensure that the data is clean and quality and does not negatively impact the success of AI-powered marketing campaigns.

Also Read: How Marketers Can Generate Maximum Value from Their Tech Stack

Strategies to Overcome AI-marketing Challenges

AI marketing is imperfect but has undeniable benefits. It has relevant, accurate, and consistent data that helps businesses maximize their audience reach, generate leads and boost engagement that increases conversions.

  • Enhance Data Collection and Maintain Transparency

The first solution to overcome the pitfall is to ensure that the data collection, use, and management can be improved when utilizing AI in marketing. Implementation of GDPR can help address the trust issues evolving with the use of AI. This way, customer information is protected when used for AI marketing.

Furthermore, disclosing additional information about why the data is collected is essential. At the same time, enhancing cybersecurity procedures will not elevate the general anxiety around AI since it can even address ethical and privacy concerns.

  • Outsourcing

Another way to overcome AI marketing challenges is by outsourcing the talent. Businesses must hire freelancers to help them rope in good talent without the requirement to fund extensive training. This also opens new avenues for individuals wanting to switch careers toward AI.

Given that AI marketing brings advantages, having transparent, relevant, consistent, and complete data will help businesses generate leads and conversions. The programs derived from AI will provide much-needed insights for marketing operations to grow. Interestingly, it enhances marketing measures, establishes real-time customer life cycles and relationships, and accelerates campaign ROIs.

Implementing AI in marketing is challenging. However, it depends on how businesses successfully enforce it. At the same time, customers are always the epitome of marketing success or failure. Hence, customer data must be prioritized and protected.

Apoorva Kasam
Apoorva Kasamhttps://talkmartech.com/
Apoorva Kasam is a Global News Correspondent with OnDot Media. She has done her master's in Bioinformatics and has 18 months of experience in clinical and preclinical data management. She is a content-writing enthusiast, and this is her first stint writing articles on business technology. She specializes in marketing technology. Her ideal and digestible writing style displays the current trends, efficiencies, challenges, and relevant mitigation strategies businesses can look forward to. She is looking forward to exploring more technology insights in-depth.

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