AI (artificial intelligence), BUSINESS, TECHNOLOGY

With Applied AI and First-Party Data, The Future is Yours to Define

Since AOL sent compact discs to almost every house in America – and even before that, when so many of us were surfing “rooms” and forums within CompuServe – businesses have been presented with myriad opportunities to engage audiences with digital tools and media.

Along with three decades of “digital tools and media,” the world has collectively produced oceans (“lakes” and “clouds,” we call them) full of data. Today, this fuel powers generative artificial intelligence and a cadre of personal AI assistants that were soon launched by Apple, Google, Microsoft, and others. The race to artificial general intelligence (“AGI”) is only accelerating as we turn our attention away from traditional search and use our voice to ask for math-generated answers.

Why continue investing 20-40% of your budget in third parties when you can capitalize on first-party data and applied AI to grow your business?

Of course, you can “fish where the fish are,” and you should tell a story and advertise in your audience’s line of sight. Focusing so much of your marketing and CX efforts on existing customers may be the surest way to grow your audience and revenue.

The truth is that most existing businesses are sitting on intelligence that is waiting to be ignited and put to work. With the proper master data management (MDM) and/or customer data platform (CDP) and applied/trainable AI configured to your operations, you will be empowered with new opportunities to responsibly leverage your first-party data, including and certainly not limited to:

Enhanced Trust and Brand Loyalty: When you consistently deliver superior products, services, and support, customers develop a strong sense of trust. This confidence, strengthened by AI-enabled personalization and relevance, will nurture lasting loyalty and reduce the likelihood of customers switching to competitors who are more convenient or have different pricing than you
Deeper Emotional Engagement: AI and machine learning enable a deeper understanding of customer behavior and preferences, which is likely to foster a stronger emotional bond with your brand. Customers feel valued and appreciated beyond mere transactions, leading to a powerful emotional connection that not only retains them but also turns them into active brand advocates.
Lower Operational Costs: Satisfied customers require less support, and AI-driven solutions lead to more efficient operations, streamlined processes (shorter calls, less time waiting, and immediacy in moments of need/recovery), and fewer errors, thus reducing the cost of doing business.
Invisible Experiences: If you think purchase intent and predictive analytics are the rage today, hold my beer. With immediate customer insights and your finger on the pulse of operational performance, all employees involved in orchestrating the customer experience may know what customers want before they act. The early alerts and direction that AI delivers will enable you to pre-empt and provide customers with what they expect and want before they search, call, chat, or visit your website or retail operation.
Regulatory Compliance: With your data disparately managed, you have an increased risk of hacking, security breaches, and certain privacy violations waiting to happen. Employees who don’t download and install new operating systems and fail to change their passwords regularly are figuratively “leaving the door open” for bad events to happen to good people. Whether it is the Federal Trade Commission or one of the thirteen US state data privacy laws in force by July 2024, MDMs and CDPs can be your best friend to shield you from unearned threats and ensure compliance with regulatory oversight.
Increased Repeat Business: In the era of ubiquitous digital connection, customer satisfaction powered by personalized AI insight can significantly boost the likelihood of repeat business. Customers with a positive experience are more inclined to use multiple products, contributing to your brand’s growth and long-term success.
Amplified Positive Word-of-Mouth: Ratings, reviews, and testimonials are not limited to five stars In today’s socially connected world and growing use of messaging apps, customers quickly share their brand experiences with friends, family, and neighbors. Exceptional service, informed by AI, leads to positive endorsements, while negative experiences can spread equally fast.
Strengthened Defense Against Competitors: Positive AI-enhanced interactions make customers less inclined to consider competitors. Loyal customers, nurtured and respected with AI relevance and meaningful experiences, resist competitors’ marketing. In a crowded marketplace, a positive ongoing relationship keeps you top of mind with customers, and them from considering alternatives to your brand.
Valuable Customer Feedback: Are you still hosting survey days after a transaction or using third-party ratings and reviews? Loyal and consistent customers can be your best source of feedback. AI helps in effectively gathering and analyzing objective and subjective feedback, guiding product improvements and innovations that resonate with customer needs. All of this information and customer-created content must also be stored in records managed by your CDP.
Protection in a World of Data Deprecation: From ad blockers to data privacy, cookies crumbling, and applications no longer guaranteed to track customers, you need to leverage all you can from the data you capture today. CDPs and MDMs help you make sense of current customer and operational insights, model lookalike audiences, and gel with demand-side platforms (DSPs) and knowledge graphs to ensure accuracy in customer engagement and steadfast business performance.

Turn it up to 11!

11. AI and Future Readiness: No one knows how the future will unfold, but the data you responsibly manage today is your ticket to what’s next in business, media, customer experience, and employee happiness.