How AI is influencing programmatic creative and execution

Ashray Malhotra, Co Founder and CEO, Rephrase.ai, shares his thoughts on the scope of artificial intelligence in areas such as creativity, targeting and data analysis in programmatic

e4m by Ashray Malhotra
Published: Mar 6, 2023 9:10 AM  | 3 min read
tech talk
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Until recently, the advertising and marketing creative process required extensive human efforts. Often, it still does. Even with our modern tools, advertisers and marketers sweep through heaps of unstructured data trying to make sense of it all. Which buyers’ persona to prioritize, which cities to target, which social media channel to depend on, and which product feature to highlight.  

Don’t get me wrong, we are great at being creative. Smart, stimulating ideas with the proper creative execution quickly snowball into campaigns that don’t just win money but hearts. But in the sea of behavioral and demographic data that we have access to now, we simply cannot afford to interpret it manually.  

So because technology like artificial intelligence has now wedged its foot in the end-to-end creative execution process, there’s a lot to look forward to in the land of programmatic creative and execution.  

  • Optimizing creatives: AI-powered tools can analyze data in real-time and decide which creative to use in an ad campaign. For example, an AI-powered tool can analyze past campaigns and check which creative had the highest conversion rate. So if something is off, it’ll flag it right away or even make adjustments to the creative and deliver more effective campaigns. The goal is that it will always optimize creative execution for the best possible performance.  
  • Targeting the right audience: You can analyze data such as the user’s online behavior, determine which audiences are most likely to respond to an ad, and then target those audiences. You no longer have to spend massive budgets on a target group that, in the end, doesn’t respond to what you’re selling.  
  • Analyzing performance: Currently, significant time goes into determining which ads performed well and which didn’t. One person crawls through a tremendous amount of data and parameters, which in turn takes hours or even days. AI, on the other hand, can make this decision within minutes and then help advertisers optimize their campaigns for better results.  

But I also know that AI is a game-changer in the world of programmatic advertising. Why? Because it’s no longer dependent on past data to make decisions. Instead, it’s anticipating predictive consumer actions. I’ll give you an example. With an AI tool, a marketer or advertiser can estimate the probability of prospective consumers interacting with a YouTube ad they plan to run. They can then use this probability to determine how much to bid for that opportunity. Imagine the costs you could save in pointless targeting. 

At the end of the day, a lot of what drives consumers is who they are as people. Like it or not, their problems and needs invariably have personal and emotional facets to them. So imagine the capability to predict your consumer’s sentiment, know the chances of them buying, and tailor your ad spending accordingly. It’s a whole new world!

Published On: Mar 6, 2023 9:10 AM