30 second summary:
- Creative data analysis has removed the guesswork in marketing communications, giving marketers the ability not only to analyze past campaigns but also to predict the success of future campaigns before spending any money and testing them on platforms like Facebook.
- Research shows that marketers are sitting on a goldmine of data, but still cannot fully reap its benefits, although it is widely recognized that they can increase ROI.
- Competition in the digital space is increasing, driving up the price of digital advertising and putting pressure on creatives to work at a higher level. Statistical evidence shows that creatives can influence customers’ purchase decisions to avoid the noise of the increasingly saturated digital market.
- Marketers have access to tools that can greatly empower the creative in their campaigns through the use of AI and creative intelligence data. Marketers need to understand that AI doesn’t take away the human touch from their creatives, but works to improve them by unlocking a valuable framework that can be used as a guide to their creative performance.
The digital revolution has changed the very fundamentals of marketing, causing companies to radically rethink their marketing strategies, replacing guesswork with exact science. The American businessman John Wanamaker was famously quoted as saying: “Half the money I spend on advertising is wasted. The problem is, I don’t know which half. “
That quote was true decades after Wanamaker’s death in 1922, but in recent years digitization has given marketers the keys to unlock the science behind their communications, including the creative aspect of their campaigns.
Where performance-based creative insights used to be based on gut instinct and guesswork – or complicated A / B testing – ever-changing consumer behavior trends and a saturated digital marketplace require advertisers now more than ever to have access to data that can help them through the lead the creative process to better understand what specifically affects and what does not.
Despite these possibilities, it’s clear that marketers don’t need to get the full extent of their data just yet. Research from Datasine shows that four out of five marketers waste roughly a third of their data, and less than half of all data is valuable marketing data that is actually used.
This is despite the general recognition by marketers that using customer data more effectively would increase ROI for future campaigns by at least 19%. This becomes even more polarizing when we see brands vigorously trying to weather the storm triggered by COVID-19 and struggling to maintain their position in the market by anticipating their customers’ needs.
Increased competition in a digital world
The increasing popularity of platforms like Instagram, Snapchat and TikTok shows the importance of the visual in the digital world and underscores the need for marketers to show innovation through their creativity.
This becomes even more important as brands battle for space in an increasingly saturated marketplace and many consumers suffer from “ad fatigue” from exposure to up to 10,000 ads per day.
In addition to the growing competition in the market, the costs of digital marketing are also increasing. Facebook revenue increased 22% this year, showing the surge in competition.
Cost-per-click (CPCs) and cost-per-acquisition (CPAs) are getting higher and higher, while we are also seeing a decrease in click-through rate (CTRs) caused by competition from brands and for the top Slots fights.
This comes at a time when consumers are urging brands to invest in new approaches to storytelling. This noisy online space means creatives have to work even harder to reach their target market, and the pressure on ROI continues to affect advertisers. As more of us move to the digital way of life, there is no sign of slowing down.
Importance of creative analysis
While many marketers use data analytics to measure campaign performance, they only do so at the surface level. Monitoring the performance of campaigns needs to go beyond placement, copy, or format.
Creative and the effects of it can be converted into data to reveal more information about what works for a brand and in such a visual world and what doesn’t.
Creative can significantly improve the ROI of a campaign. According to Nielsen, Creative accounts for 56% of ROI and 70% of ad performance according to Google. This is why it is critical for brands to understand how and why creative works for their audience in order to be successful.
Data challenges for marketers
There is much to be gained by analyzing previous marketing campaigns and unlocking a goldmine of creative data. When this data is properly analyzed, brands can develop a data-driven campaign strategy. But that’s easier said than done.
According to our study, while marketers can see the value data can have for their ROI, 38% don’t know what to measure and 27% can’t measure what they want. It’s clear that marketers need accessible data to guide them through creative decisions.
Many marketers may also have been slow to grapple with AI because they fear that it will robotize their creative outcomes and lose their campaigns that all-important human touch it takes to resonate with their target market. There seems to be a feeling that AI and data analysis remove the space for experimentation and add too many boundaries to the creative process.
Overwhelmed by the glut of unstructured data and the nervousness of losing the human touch of their subject, many marketers still struggle to see the main benefits data analytics can bring to their campaigns.
AI and creative intelligence data
Marketers usually have a good idea of what works and what doesn’t when it comes to creativity. However, when they invest in tools that enable them to unlock creative intelligence data, they can make creative decisions based on an exact science.
All of this is done before you spend money pre-testing ads on apps like Facebook and waiting for their algorithms to activate. Creative intelligence data tools can be used to rate ads to show marketers which are likely to perform best for the brand.
AI models can extract any element of a campaign in seconds by semantically analyzing image or text to view content as if it were through the human eye. This enables marketers to cut down on tedious and expensive testing methods and avoid the guesswork.
The philosophy of ‘semantic content analysis’ is at the core of how AI and creative intelligence data can be used to analyze content. Marketers can now use computer vision and natural language processing to break down the images and text from any previous campaign into data before using AI to create and select the best subject to make their campaigns more effective.
This process not only provides marketers with analysis and suggestions backed by evidence, but also predictions about the type of subject that is best suited for future advertising campaigns.
To do this, marketers can use a custom AI model based on their own data. This analyzes the performance of the brand’s previous campaigns to evaluate what is working and what is not and to provide reasons for those successes or failures. It also provides in-depth insights into target markets’ preferences so marketers can understand the motive that appeals to them most.
While this type of technology is making waves in marketing, we understand that marketers may be put off by the idea of handing their creatives off to robots.
This should not be viewed as a full digital takeover, and while AI can be used to analyze, analyze, and understand creative content, as well as predict the future success of other content, the human aspect of creativity retains its position in the marketing arena.
Marketers need to see AI as a creative empowerment tool used to collaborate with their human intuition and innovation, giving them the framework and evidence-based support to experiment with new ideas.
With brands continuing to weather the storm caused by COVID-19, this may not be the best time to take creative chances. Hence, marketers need to collect and learn from all of the data available to them in order to make the right decisions about their ads in order to be successful.
With human creativity in the lead, the scientific assurance that marketers can win by investing in creative intelligence data acts as a guiding star in even the most troubled waters.