At present, it is becoming less and less challenging to identify and target specific audience segments more effectively, optimize performance of social media ads and to create personalized content due to the emergence of Predictive Analytics. Predictive analytics, driven by Machine Learning (ML), allows digital marketers to predict future trends and user behavior, make smarter decisions and improve ad performance.
What is Predictive Analytics?
Predictive Analytics uses current or historical data and predicts plausible future trends, events and patterns. Such models have been in use for quite some time now, such as predicting the sales of tickets for a movie, understanding future staffing needs of a hospital or even forecasting a business’s financials at the end of an upcoming quarter. However, today this practice has evolved from simple manual predictive analysis to complex ML systems that are faster, way more effective and can be implemented on a much larger scale.
ML, a type of AI, uses algorithms to enhance prediction accuracy by analyzing data and making informed judgments. ML algorithms analyze datasets to find patterns and characteristics among users. In the context of social media marketing, this helps marketers to segment their audience accurately and effectively. It can also be used to customize ad content based on individual user preferences. Through analyzing data, it can predict which ads are likely to give the highest ROI.
According to the Crowdfire website, 57% of businesses that used machine learning to improve customer experience notice a 100% boost in customer loyalty, over 100% rise in brand awareness, 70% improvement in fraud detection and 28% increase in acquiring new customers. Therefore, using ML and AI, offers great benefits to a business in leading to higher growth, increasing loyalty and enhancing market position.
Every business wants to be a part of the AI movement, especially implementing in all business systems at the earliest, but do not do so as they have no idea where to begin. We can help you with that! Learn more and consult us today!
