{"id":65173,"date":"2025-03-21T01:00:00","date_gmt":"2025-03-21T05:00:00","guid":{"rendered":"https:\/\/digital.hec.ca\/?p=65173"},"modified":"2025-04-05T14:49:59","modified_gmt":"2025-04-05T18:49:59","slug":"ai-role-in-digital-marketing","status":"publish","type":"post","link":"https:\/\/digital.hec.ca\/en\/blog\/ai-role-in-digital-marketing\/","title":{"rendered":"The role of AI and Machine Learning in Digital Marketing"},"content":{"rendered":"<p>Now at days we are living in a fast-paced digital landscape, which concerns to businesses as they need to be constantly seeking innovative ways to connect with their audience, streamline operations and gain a competitive edge. Artificial intelligence (AI) has revolutionised many sectors, such as digital marketing, being a tool that companies use to refine their marketing tactics and secure a competitive advantage in the digital area.<\/p>\n<p>In this article, we will explore case studies of how companies have successfully integrated AI-powered tools to enhance customer experiences and streamline marketing efforts.<\/p>\n<figure><img decoding=\"async\" style=\"width: 744px;height: auto\" src=\"https:\/\/digital.hec.ca\/wp-content\/uploads\/2025\/03\/AI-1-1024x558.jpg\" alt=\"The word AI and other icons emerging from a hand\" \/><\/figure>\n<h2><strong>Netflix: AI to personalised recommendations<\/strong><\/h2>\n<p>Netflix uses AI to <strong>collect large amounts of data <\/strong>and analyses it to target the audience by recommending shows, movies and artwork. Netflix\u2019s algorithm looks for patterns in the types of shows and movies a user watches and then makes <strong>recommendations based on similar content<\/strong>.<\/p>\n<p>For example, a user who frequently watches crime dramas, Netflix\u2019s AI would likely recommend similar shows or movies like <em>Breaking Bad<\/em> or <em>The Blacklist. <\/em>Nevertheless, the same user also watches comedy the algorithm might introduce a comedy recommendation that combines elements of crime, like <em>Brooklyn Nine-Nine<\/em>.<\/p>\n<figure><img decoding=\"async\" style=\"width: 534px;height: auto\" src=\"https:\/\/digital.hec.ca\/wp-content\/uploads\/2025\/03\/NETFLIX.jpg\" alt=\"Background with a TV screening Netflix and Not Sure What to Watch\" \/><\/figure>\n<h2><strong>FARFETCH: AI to enhance its brand voice<\/strong><\/h2>\n<p>FARFETCH attempts to tailor its communication with millions of users, as they use a tool called \u201cPhrasee\u201d that generates on-brand content with enterprise grade controls and <strong>content optimisation at scale<\/strong>. \u00a0The AI systems analyse browsing behavior, purchase history, and preferences to <strong>offer tailored product recommendations<\/strong>.<\/p>\n<p>This personalisation aligns with FARFETCH\u2019S brand voice, which emphasises luxury, exclusivity, and a customer-centric approach.<\/p>\n<figure><img decoding=\"async\" style=\"width: 549px;height: auto\" src=\"https:\/\/digital.hec.ca\/wp-content\/uploads\/2025\/03\/FarFetch-1024x516.png\" alt=\"Four phones showing FARFETCH app with sections of brands, personalised shopping, style inspiration and expert edits\" \/><\/figure>\n<h2><strong>Mastercard: AI intelligence to tackle competitive threats<\/strong><\/h2>\n<p>Mastercard Payment Gateway Services (MPGS) faced constant challenges during global pandemic, where they had to required intelligence to tackle its competitive threats. They used \u201cCrayon\u201d which is an AI-powered platform that MGPS adopted <strong>to get the viewpoint of its competitors<\/strong> and <strong>predict threats<\/strong> coming their way.<\/p>\n<p>With this tool and combined with AI it can track competitor\u2019s activities across digital channels, such as product updates, pricing changes, marketing campaigns, and customer reviews, helping Mastercard filter through large amounts of data to detect relevant patterns shifts in competitor\u2019s strategies.<\/p>\n<figure><img decoding=\"async\" style=\"width: 537px;height: auto\" src=\"https:\/\/digital.hec.ca\/wp-content\/uploads\/2025\/03\/mastercard.jpg\" alt=\"A person holding on the left hand a card and on the right hand a phone screening mastercard\" \/><\/figure>\n<h2><strong>Nutella: AI to create packaging<\/strong><\/h2>\n<p>Nutella used AI with the help of a branding agency called <em>Ogilvy<\/em> Italia to create over 7 million <strong>uniquely designed jars<\/strong> and patterns of different design labels to stand out in terms of packaging and make its products more desirable and brand more speakable.<\/p>\n<p>By this approach, it reinforced Nutella\u2019s connection to creativity and personalisation, which resonated with consumers with a campaign named of \u201cNutella Unica\u201d.<\/p>\n<figure><img decoding=\"async\" style=\"width: 530px;height: auto\" src=\"https:\/\/digital.hec.ca\/wp-content\/uploads\/2025\/03\/nutella-1024x576.webp\" alt=\"Background with four colourful jars of Nutella\" \/><\/figure>\n<h2><strong>Volkswagen: AI to forecast buying decisions<\/strong><\/h2>\n<p>Volkswagen uses AI to forecast buying decisions by leveraging machine learning models and a<strong>dvanced data analytics<\/strong> to predict consumer behavior, preferences, and market trends.<\/p>\n<p>With this, marketers at Volkswagen decided to use AI so they could <strong>invest less in campaigns and upsurge their sales<\/strong>, cutting the hidden costs from the media agency they used to work with by better forecasting buying decisions and by this, Volkswagen dealership increased by 20%.<\/p>\n<figure><img decoding=\"async\" style=\"width: 528px;height: auto\" src=\"https:\/\/digital.hec.ca\/wp-content\/uploads\/2025\/03\/VOLKSWAGEN-1024x576.webp\" alt=\"Background of a Volkswagen car in a city near a river\" \/><\/figure>\n<h2><strong>Conclusion<\/strong><\/h2>\n<p>AI and Machine Learning are powerful tools that have become essential in digital marketing, offering companies, such as Netflix, Mastercard and Volkswagen, to innovate in different ways offering a more personalised experience for customers, enhance brand presence and gain competitive advantages. As AI continuous developing, its role in digital marketing will keep growing, giving brands a tool to create more impactful data-driven campaigns in this ever-changing digital landscape.<\/p>\n<h2>References<\/h2>\n<p>Kaur, F. P. (2025, 8 January). <em>10 Creative AI in Marketing Examples and Use Cases<\/em>. Mailmodo. https:\/\/www.mailmodo.com\/guides\/ai-in-marketing-examples\/<\/p>\n<p>Olumide, S. (2024, 17 July). <em>The Role of AI in Digital Market<\/em>. https:\/\/www.kdnuggets.com\/the-role-of-ai-in-digital-marketing<\/p>\n<p>Bansal, D. (2024, 28 June).\u00a0<em>Council Post: The role of AI in Digital Marketing: What you need to know<\/em>. Forbes.\u00a0https:\/\/www.forbes.com\/councils\/forbesbusinesscouncil\/2024\/06\/28\/the-role-of-ai-in-digital-marketing-what-you-need-to-know\/<\/p>\n<p>Sa. (2023, 7 October). <em>Case Study: How Netflix Uses AI to Personalize Content Recommendations and Improve Digital Marketing<\/em>.\u00a0Medium.\u00a0https:\/\/medium.com\/@shizk\/case-study-how-netflix-uses-ai-to-personalize-content-recommendations-and-improve-digital-b253d08352fd<\/p>\n<p>The Drum. (2017, 1 June).\u00a0<em>Nutella: advert-top-1 by Ogilvy Italy<\/em>.\u00a0https:\/\/www.thedrum.com\/creative-works\/project\/ogilvy-italy-nutella-nutella-unica<\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Now at days we are living in a fast-paced digital landscape, which concerns to businesses as they need to be constantly seeking innovative ways to connect with their audience, streamline operations and gain a competitive edge. Artificial intelligence (AI) has revolutionised many sectors, such as digital marketing, being a tool that companies use to refine [&hellip;]<\/p>\n","protected":false},"author":1836,"featured_media":65307,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[650,651,52],"tags":[],"class_list":["post-65173","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-marketing-strategy","category-marketing-technology","category-web-analytics"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>How is AI Shaping the Future of Digital Marketing<\/title>\n<meta name=\"description\" content=\"Now at days we are living in a fast-paced digital landscape, which concerns to businesses as they need to be constantly seeking innovative ways to connect\" \/>\n<meta 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