Studies estimate that 40% of all media spend is wasted. Considering that eCommerce businesses will spend $58.6 billion in 2020 on digital advertising globally, that is a pretty big chunk of money these businesses are losing. The main reason for this wasted ad budget is due primarily to data:
- Their data is fragmented across multiple platforms ( About 47% of marketers claim that their information is siloed and difficult to access)
- They have the data, but they don’t know how to leverage it correctly to extract the insights they need to allocate their budget correctly to improve customer targeting, use more effective channels, maximize advertising mediums, and optimize offering types
This is a major shame, and you know why? Because a lack of data isn’t the problem. The solution is staring right at you and it’s all about harnessing the power of your data with the right platform. A little lost? No problem. Here are just a few types of data that could be highly useful for any eCommerce business:
If you have access to a few of these data types, you can utilize artificial intelligence (AI) to make it work for your business in wonderful ways. Knowing what works ahead of time will enable you to allocate your budget in all the right places, saving you lots of money, time, and resources. For example, with AI, eCommerce stores are better able to predict:
- Which marketing campaigns will bring in the best results according to segments
- Which channels will work best for which campaigns according to segments
- Which offerings, messaging, and promotions will bring in the highest conversion rates according to segments
AI is all about leveraging your historical data to identify patterns and detect future trends so that you can know what to expect and be ready for it. Those are called predictions and they are derived from predictive analytics. To take it one step further, you can also get AI-driven recommendations (derived from prescriptive analytics) which build off of predictions by telling you not just what you should expect, but what you should actually do to maximize your outcomes and results.
Whatify is a revolutionary platform that provides eCommerce professionals with predictions of their future KPIs and AI-driven recommendations that suggest what you need to do to reach and exceed those KPIs. For example, with Whatify you can know ahead of time which campaigns will bring you the best results according to specific segments or discover which messages to send to which shoppers at which times to get optimal conversion rates. If you have the opportunity to know what’s going to happen in terms of your business, FIND OUT! Being able to come prepared to any situation will give you a massive competitive advantage in this inundated market.
AI also helps you broaden your reach and identify new potential shoppers, widening your audience base (much more than if you just relied on traditional targeting methods). Reaching the right audience with the right campaign and not wasting time on irrelevant leads or money on useless channels is the first step to go in terms of reducing wasted ad spend or, in positive terms, optimizing your ad spend.
AI can also help you predict your shoppers future preferences, which can inform you when they are ready to make an additional purchase and identify upselling and cross-selling opportunities.
It can also help you focus your retargeting efforts on the visitors/shoppers who are most likely to convert at any specific moment and predict which offer, product bundle, recommendation, or messaging will work best.
Artificial intelligence is the future of eCommerce business. Especially in today’s world where most of us are at home, doing a majority of our shopping online. What I mean is that there is a sudden influx of demand, customer expectations, and data available and eCommerce businesses must be able to leverage this data in order to utilize it to its fullest. AI platforms like Whatify enable eCommerce professionals to reach their future KPIs and exceed them, while lowering costs and saving money at the same time.