The most common association of AI is generating text due to the vast popularity of ChatGPT, BARD and other chat tools, but it’s just the tip of the iceberg. AI can be used for analyzing massive amounts of data, including images and video, to identify patterns and trends invisible to the human eye.
One area in e-commerce marketing where AI has entered in a resounding manner is Banner promotions. Gone are the days of static banners, AI can personalize them based on platform specific audience and customer browsing behavior while automating the experimentation within.
Lately, Banner promotions have become the front runner for marketers with eye-catching visuals displayed on the e-commerce platforms to advertise specific products, deals, or new arrivals. They act as digital shelf talkers, grabbing customer attention and influencing purchasing decisions and AI is here to disrupt the banner promotions in true sense.
In this blog, let’s explore how AI is transforming banner promotions and enhancing tracking methods to optimise marketing strategies.
How brand owners can leverage AI for banner promotions:
AI helps gain significant intelligence and formulate relevant marketing strategies by:
1. Market & Category Understanding through Banners
Share of Assortment (SoA): Tracking category’s top promoted SKUs in banners helps understand the category trends
Trends and Themes: AI can analyse vast amounts of data to identify emerging trends and popular themes across banners on the platform.
Competitors Area of Focus: By monitoring competitor promotions, decode your competitors strategy with AI & stay ahead of the curve
2. Audience Understanding:
Engagement Patterns: AI can track how users interact with banners, pinpointing what elements capture attention and drive clicks. This data helps optimise future banner designs for maximum impact.
Human Face/Celebrity Factor: AI can analyse facial recognition data to understand how users respond to celebrities in banners. This helps brands select the most effective personalities for their target audience.
3. Tracking Banners Visibility (SoV)
Gauge how your banners rank as compared to competitors and take improved data-driven marketing decisions about banner placement and ad spends
4. Formulate Discounting and Pricing Strategies:
Determining the optimal discount type can be challenging and offering the right type of discount is even more challenging, but AI simplifies this process by analysing current promotions type i.e. fixed amount or a percentage-based discount being run on banners (ex- upto 50% off, Flat 125 off, Buy 1 Get 1). This ensures that businesses offer attractive deals while maximising profitability.
5. Crack the right messaging with content analysis:
AI can analyse vast amounts of product information and customer reviews using Large Language Models (LLMs) to identify key benefits, type of promotions, key features and perform sentiment analysis to identify drivers of satisfaction among shoppers.
By leveraging this data, banners messaging can be improved to integrate the right benefits & offerings, delivering a tailored message to different customer segments.
6. Promoting New Product Launches:
Utilise AI to identify buying trends and predict upcoming customer interest. This empowers you to create targeted banners promoting new product launches, generating excitement and offering exclusive pre-order deals to drive traffic and boost sales.
Embrace the Future of E-commerce Banners
AI-powered banner promotions offer businesses a powerful tool to enhance customer engagement, drive sales, and optimise marketing ROI. By leveraging AI technology for personalised promotions and advanced tracking, businesses can stay ahead of the competition and deliver compelling experiences that resonate with their target audience. As the e-commerce landscape continues to evolve, embracing AI is essential for staying competitive and maximising the impact of digital marketing efforts.
