3 Ways to Use AI to Optimize Ad Spend

Digital marketers today have access to amazing AI-powered targeting capabilities. So, why are so many of them failing to connect with customers?

Context. Most digital marketers struggle to develop creative that connects with their audience. And if you invest in paid advertising – and most marketers do – this struggle has made it virtually impossible to optimize ad spend. Today, we’re going to look at a few ways you can use AI in marketing to change that.

Optimize Your Ad Spend

Optimization is everything in advertising. Budgets are always in flux and most likely tighter than ever, which means marketers need to be efficient with their spending while still reaching their audience more effectively. 

But the old way of running a campaign is no longer enough. 

Consumers have more options than ever and attention spans are dwindling. They demand value. And you only have 8 seconds to capture their interest before they move on. 

Technology – like artificial intelligence – offers an easy way to keep up with your audience. There’s not enough time anymore to let a campaign run, wait for the metrics to come in, manually analyze success and failure factors, and adjust accordingly. You need to do all of this in real-time. 

Here are three ways you can use AI to make that possible.

#1. Audience targeting

audience targeting AI

First and foremost, you need to identify who you’re talking to. Maybe you’ve already created a customer profile, which is a great start. But think about all the consumer data that exists that we, as individual people, can only scrape the surface of. 

AI can help here. 

By looking at your past audiences and ad performance, your established KPIs and performance data, AI has the power to identify new people who are likely to buy from you. Audiences you may never have even considered. With AI, you can include more parameters, such as location data and past purchasing behavior, to further target and refine your audience and message.

For example, Trapica uses AI to analyze real-time conversion events from your active ads to help you understand the audiences that convert. Or, tap into audience.ai’s database of information about different audiences and what they care about to help you build better audiences for your campaigns. Try Lightning AI to automatically create new Facebook interest groups and Google keywords. 

There are plenty of AI platforms you can choose from that will help you craft the perfect audience, ensure you’re talking to the right people and, as a result, optimize your ad spend.

#2. Ad creation

With the help of automation, you now have a highly targeted audience. This means it’s absolutely mission-critical to deliver them the best possible ad. 

Unfortunately, this is often the missing link that’s overlooked during the optimization process. Most tools look at the beginning (audience definition) and the end (performance management). But what about the development of the ad imagery itself? There’s simply no way you can completely optimize your ad spend if you’re showing the right people the wrong ad.

Assuming the back end is set up correctly, photos are the most influential factor in a successful ad. They’re what your audience sees first, so they determine if your message gets seen or ignored. 

So, once you define your audience and goals (increased website traffic, conversions, engagement, etc.), consider what kind of image-based creative you’ll need to drive that audience to action.

But like we discussed, this process is time-consuming and easily affected by bias. Maybe you like how a specific image looks with your campaign, but there could be a more optimal image that should be used instead. There’s no way to account for this without the help of AI. 

Luckily, this technology exists. AI-powered image solutions (like Shotzr) make it easy to build personalized digital ad campaigns.

Shotzr’s AI enables developers, platforms, and brands to review, rank, and assess image assets and get the data needed to drive truly optimized, high performance creative.

  • Rank image assets with Shotzr’s AdScore model to automate image selection for higher-performing ad creative
  • Source similar on-brand imagery at scale with Reverse Image Search.
  • Automatically apply location data to imagery with LocationID.

A solution like this enables you to programmatically find the right imagery for every digital campaign.

#3. Performance management

marketing performance management

So, you have an image-based ad tailored to your audience – and one free of any subjective bias from its creator. You’re in a much better position to connect with your audience.

Now, you must continue to optimize ad spend by using AI to analyze the performance of the entire campaign. 

This means going back to step #1 and refining the target audience. This also means analyzing trends and cost-saving opportunities. Thanks to AI, what would take a digital marketer hours to do can now be done in seconds.

For example, Windsor.ai measures the performance of your marketing campaigns by analyzing data from every stage and part of the funnel. WordSteam allows you to manage advertising campaigns across multiple channels from a single dashboard, featuring AI-driven reporting. Pathmatics brings visibility into not only the ad performance of your campaigns but also your competitors, so you can better position your marketing, predict your competitor’s next move, and minimize ad budget waste.

Conclusion

AI offers digital marketers better audience targeting, image selection and performance management. By leveraging it, you’ll can deliver the right message to the right people at the right time – without wasting spend on ads that don’t work.

Shotzr’s AI integrates with platforms like The Trade Desk to automatically deliver the perfect creative for your campaigns. Learn more.

SHARE THIS POST
Share on facebook
Share on twitter
Share on linkedin
Share on email
Share on facebook
Share on twitter
Share on linkedin
Share on email

Subscribe to our blog to get more resources delivered straight to your inbox!

Close Menu
About Us