Rapid advancements in the fields of virtual reality and artificial intelligence could dramatically change the nature of marketing campaigns over the next decade. Just as social media has become integral to people‘s lives, VR and AI could soon be just as commonplace. Where consumers go, marketers must follow, but when is the right time to jump on board? Take a peek at how other companies are already using VR and AI marketing to see if this new trend is worth exploring.
Virtual Reality Marketing
Virtual reality has opened up several new marketing avenues. Companies can sponsor VR content in the same way that they traditionally sponsor TV shows by displaying a logo before or during a simulation. VR also allows for 360-degree video ads, and technologies like Oculus Rift permit users to engage with VR environments with the help of manual inputs.
Forbes has covered some of the ways businesses use VR for marketing. For example, Samsung utilizes VR demonstrations to showcase new products while Mercedes allows customers to take virtual test drives. In an attempt to reach new readers, The New York Times has developed VR experiences that “transport” viewers to Pluto and the One World Trade Center.
Virtual reality is now expanding beyond visual and auditory experiences; newer projects also incorporate aromas and motion controls. Immersive VR experiences can elicit stronger emotions than traditional videos, which makes them more memorable marketing tools.
Artificially Intelligent Marketing
From a marketing perspective, AI stands poised to transform the practice of predictive analytics. What differentiates artificial intelligence from a simple algorithm is that AI programs can learn and build upon knowledge gained from running multiple algorithms simultaneously. Computers are far more efficient than humans at analyzing data, so they can quickly identify consumer patterns and tweak marketing strategies accordingly.
AI can also improve customer service. Some department stores are already deploying robotic sales assistants with touchscreen interfaces to help people shop. AI is not limited to shopping only, automobile company like Ford is trying to integrate their SYNC (integrated in-vehicle communications and entertainment system) with Amazon Alexa in their latest models, thereby enabling riders to do things like add items to shopping lists, and even control Alexa-enabled home devices. AI could eventually replace all customer service reps. Nonetheless, there will always have to be at least one human behind the machines if something goes awry, so IT workers are safe for now.
New Challenges in the Age of AI and VR
In a recent report on the state of VR and AI marketing, analysts at CMS Wire discuss the challenges that companies face when recruiting talent in an evolving industry. Marketing in the 21st century is often a joint effort between mathematicians, engineers, artists, psychologists and other professionals who bring different strengths and weaknesses to the table. Strong leaders are also needed to assemble and guide these diverse teams. Therefore, agile development and iterative learning cycles will likely be essential to developing new VR and AI solutions.
The Drawbacks of AI Marketing
In many cases, people prefer human interactions over talking to computers; however, in fields where automation is already normalized, such as banking and fast food service, AI may be more readily accepted. Theoretically, AI could eventually outperform human salespeople and make them obsolete. In the realm of analytics, AI is already outperforming humans, so businesses should start adopting AI for marketing purposes as soon as possible.
The Drawbacks of VR Marketing
As of late 2017, many consumers still perceive VR as a gimmick even though the technology has evolved immensely. Developing for VR is also very expensive. Professional studios must hire game developers and film specialists to create VR content. Since most consumers don’t carry around VR headsets yet, businesses that wish to showcase the technology must supply their own at stores or trade shows. Applications such as Facebook 360 and YouTube 360 can be used in conjunction with special goggles like Google Cardboard to allow users to experience VR; however, at this point, getting users to engage with VR content requires its own marketing campaign.
While the medium is slowly becoming more mainstream, it may take a few years for VR marketing to take off really. Hopefully, the cost of development will come down as well, which will allow new innovators into the market. Until that time comes, businesses might want to wait on delving into VR and AI unless they have a clear vision of how it can benefit their brand.
Who Controls the Present, Controls the Future
That said, those who take the lead will be defining the future. When social media and mobile devices came onto the scene just a little over a decade ago, no one knew which user metrics they should follow, and new revenue streams were uncertain. Businesses, developers and marketing companies were all shooting in the dark. Today, social media marketing is a multi-million-dollar industry in itself, and the people who figured out how to take advantage of social platforms are very rich. The rise of virtual reality and artificial intelligence could likewise birth an entirely new marketing industry with big payoffs for disruptors. Those who work in marketing should start preparing for that day now. Meanwhile, businesses big and small should keep an eye on their competitors to determine when investing in VR and AI marketing makes sense financially.
