BrightBid were lucky enough to present at the brilliant Econsultancy Live on the 27th April 2023 on the topic of “Helping Davids Beat Goliaths: How AI in marketing is helping challenger brands beat the established competition”. It was a really cracking event – a must attend for lots of marketing teams and we’re really looking forward to the next one in November.
AI increases productivity by 40% and quality of output by 20%
Our new AI fact from the day was from Stefan Tornquist from an MIT study indicating that the use of AI increases productivity by 40% and quality of output by 20%. In our experience this feels about right.
We spoke about the launch of GPT3 on the 20th June 2020 and it’s powerful effect on launching the first wave of AI startups including BrightBid in September that year and then it’s integration into ChatGPT (as GPT 3.5) in November 2022 which further popularised the use of AI in wider culture.
We spoke about GPT 4 launch in March 2023 with it’s rumoured increase in parameters which is ushering in a further wave of innovation.
GPT4 now has multi-modal functionalities
This include conversational search and sentiment analysis; users will be able to get even more accurate results with minimal effort, through text, voice, and image searches. Incorporated into applications like Duolingo to give a better learning experience, GPT4 is expected to also revive voice-activated searches, enabling users to interact in any language and deliver even more relatable search results. With the integration of video results for queries, GPT-4 is also poised to challenge key players in the video-sharing app market, including TikTok, who have enjoyed significant dominance with the Gen Z demographic.
Is it biggest marketing budget wins still?
We then discussed John Philips Jones Share of Voice/ Share of Market model in marketing which states that businesses spending more in advertising than their market share vs competitors are more likely to grow, whilst those spending less are likely to shrink.
This model states that the biggest budget usually wins in the world of marketing and this is true in Paid Search with leaders bidding for the top positions in Google more likely to grow a disproportionate share of search and website traffic and reap the rewards in terms of revenue growth.
This model is being challenged due to the fragmentation of media by audience but the School of Marketing still conclude that it holds true as a general marketing principle.
Social media platforms have hungry algorithms and are getting hungrier
We then discussed how hungry algorithms were on some of the social media platforms especially TiKTok where creative wearout can sometimes happen in under a week. Even using an established channel like blogs to rank in SEO requires a new blog post daily at over 1,500 words for larger websites.
‘Can the new tools in marketing help challenger brands stand out without having the largest marketing spend in the category?’
We discussed the latest AI tools in marketing and how to use them to drive greater velocity for smaller marketing teams. We showcased a BrightBid ad using Synthesia.io: the UK text to video start up featured in the Forbes AI 50 which can help marketing teams significantly scale the output of their video content which can be a huge drain on resources on many a B2B and digital marketing team and help them overcome the TikTok creative wearout conundrum.
Standing out vs the 800 pound gorillas of the travel industry in paid search
We discussed how AI in paid search was helping our customer Nobis Hospitality Group challenge the PPC giants of the travel industry: Booking.com and Expedia, by mining more nuanced local data insights for their Blique hotel in the centre of Stockholm and conducting thousands of A/B tests to find the right combination of search terms to drive high value customers. Read about the case here.
We noted the pace of change in AI in marketing with thousands of new AI tools launching every month in 2023 listed on theresanaiforthat.com. According to McKinsey marketing and sales with be one of the first functions to be heavily impacted with AI helping businesses fuel further growth.
Challenger brands are less risk averse and can take advantage of generative AI earlier than larger customers
We concluded that many larger firms and corporate enterprises were unwilling to take the risks associating with some of the copyright issues using AI in marketing especially since the Getty images law suit vs Stable Diffusion.
Luckily these copyright issues do not apply for using AI in performance marketing and BrightBid offers a turnkey solution for harnessing the power of AI to drive better PPC results by:
- Enabling customers to easily manage complex search accounts across multiple markets in many languages from one central point as can be seen with our customer Mape Plastics.
- Focusing on driving bid optimisations in the search auctions to focus marketing spend on high value customers as can be seen with OPR Finance to drive higher Return on Ad Spend.
- And reducing costs it takes to manage search as can be seen by our customer TacoBar.