Impact of Artificial Intelligence on Paid Advertising

Perhaps no advancement over the past decade has had more of an impact on paid advertising, especially with Google AdWords and Facebook PPC than Artificial Intelligence (AI). This form of advancement in terms of technology has allowed for the compression of information so that becomes more easily accessible to marketers in helping them target the right audience.

What is AI in Paid Advertising?

AI is the advancement of research technology that brings together many different factors based on the internet habits of the user. In other words, it is the gathering of information on the personal habits of the potential customer so that paid advertising can be better directed at the right audience. There are ethical implications of AI as many feel that it crosses the line in gathering personal information. However, there is no doubt that it has helped improve the targeting of paid advertising efforts.

AI does more that break down the demographics, it takes every search you make and every page you visit and turns that into information about your personal habits on the internet. By not only addressing your actions, it also considers your vulnerabilities which means that paid advertising in places like Google AdWords and Facebook PPC becomes more potent in its effects.

Over the past few years, AI has had a major impact on the collection, interpretation, and distribution of the information provided to marketers so they can purchase advertising in the right places. While AI has undergone some fits and starts, it now is becoming more refined in its advancements.

How Google AdWords and Facebook PPC Have Been Affected by AI

The primary impact of AI on paid advertising has been information about the potential customer. Over the past few years, the effect of the paid advertising has grown considerably because the AI has been able to better target potential leads and customers to a far greater degree than before. This is not to say that paid advertising has replaced organic SEO in terms of marketing strategy, but there is no doubt that it has offered a positive impact which makes Google AdWords and Facebook PPC more effective in reaching the desired customer base.

This is not to say that AI has had a perfect run. After all, it’s only as good as the data that it collects. AI cannot tell the difference in many cases between biased and unbiased information. This means that it can be fooled by inherent biases that are sifted out by humans who process the data themselves. However, this is an issue that is becoming less of a problem as advances in AI have made it easier to spot biases in the information.

The future of AI in paid advertising is limited only by the ethical considerations of those who use it. This is because some of the data is personal in nature and much of it may or may not apply to the buying habits of the user. For marketers, the continuing advancement of AI technology means that they can enjoy greater depth and reliability in the information that is gathered and presented to help them make the best-informed decision.

 

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26 comments

  • Richard Foss

    Thank you for sharing this article, Maria. Key phrases are important parts of paid search campaigns in Google Adwords, Facebook ads, Bing Ads or other Pay Per Click platform.

  • Loren Malloy

    Sponsored guest posts have the authentic stamp of approval from some trusted website or blogger, and this personal endorsement of ads goes a long way.

  • Roslyn Hawkins

    Great article on the impact of AI on advertisement

  • Charles Morton

    Paid advertising if done right will give great results.

  • Corinne. Barron

    Paid ads can be quite expensive for smaller businesses and startups to incorporate because there are extensive campaigns involved.

    • Maria

      Yes, they are expensive, but you have to spend money to make money. Back in 2013 i advised an ecommerce small business company in Berlin to run ads on Google Adwords, Facebook ppc and include SEO. I created a strategic plan and now that clothing company is a multi billion Euro business in Europe. I told them to invest in Nordic countries and gave them a clear business plan, their brand outranked other Nordic businesses in clothing and shoes industry. So yes, my friend, if you use ads with a clear strategy you can become a multi million dollar business as well.

  • Rafael Gunn

    Paid ads don’t perform well on blogs, not many people click at them.

    • Maria

      It all depends on your ad placement strategy. Let me know if you need my help, thanks:-)

  • Nora Johnson

    I have a PPC ad management project and would like to discuss with you. Is it ok to email you?

  • Nancy Knapp

    WOW! I love your tech articles; they are very informative and educational.

  • Frank Mosier

    What I love about your blogs is that they don’t have annoying pop-ups. Thanks for sharing this article.

  • Herman Smith

    I read the other day one of your articles about facebook chatbots. They are getting really annoying, it’s way much better to interact with human than a bot.

  • James Parrino

    Pay per click is very complicated.

  • Alvin Cherry

    I think PR has become a more effective marketing method than advertising.

    • Maria

      All forms of marketing are good for business. PR, Google Adwords, facebook PPC, youtube video advertising and content marketing are great for business. Some companies limit themselves in only buying leads or spamming via email but these are the ones who go bankrupt after a few years.

  • Leonard Giles

    PPC is expensive and they stop appearing when you stop paying. And when your ads get discontinued then the traffic and the sales that come with it will stop as well.

    • Maria

      Yes, this is very true. But if you use the right ad strategy, you won’t lose money. Many companies are running their ads 24/7 and making a handsome amount of income and profit. I mean think about it, if every startup would have thought like advertisement is wrong, then they wouldn’t be able to become successful in their business,would they? You’ve got to start from someone, you know.

  • Brent Evans

    Artificial intelligence is getting implemented in many tools and I am sure it helps marketing agencies to increase sales and profit.

  • Norma C.

    If you have a big advertising budget, then running a google adwords campaign or Facebook would not be a problem. But if you are cash-strapped, then you will find it hard to sustain a PPC campaign.