The evolution of contextual AI-driven communication reflects a broader shift in human society and business. From a production-focused economy to a customer-focused exchange economy, and now to an information and technology-centric knowledge economy, brands must now ask: does AI-driven contextual communication capture the right audience effectively, or is there still a need for human elements to enhance this engagement?
The way online marketing connects, with customers has changed significantly due to the advancement of AI technology that allows brands to target ads based on user search terms and browsing habits effectively. According to Statista (2024) predictions show that the global AI market is expected to grow by 28.46% reaching a market value of $826.70 billion in 2030. In 2023 global spending on AI based advertising was estimated at $227.38 billion. Is expected to double to about $562.10 billion, by 2030. The swift expansion is encouraging companies and advertisers to utilize AI in boosting their marketing approaches as an instrument, for examining and responding to consumer digital interactions to enhance brand messaging.
Contextual advertising displays advertisements that match the content users are currently viewing in order to attract their focus, with messages. For instance, if a user is reading an article about fashion they may encounter ads showcasing clothing or accessories. This targeted ad strategy aims to connect with users, in subjects. AI enhances this by facilitating the development and presentation of tailored advertisements that shine amidst the realm. In contrast, to broadly targeted advertisements, AI powered targeting leverages data analysis to provide tailored personalized ads that captivate the audience when it matters most. This leads to a customized advertising experience that optimizes effectiveness and interaction (as stated by Forbes in 2024). Moreover, AI driven communication guarantees that ads are displayed in a context that aligns with the brands image and fosters marketers’ efforts to connect with their target audience.
The specific focus points in relation with context creation AI driven brand communications include personalization, automation, and content creation. Marketers create value by using AI tools that make sense of their target audience and provide solutions to help develop brand experiences and Invite clients to participate in creating the brand (Cui et al.,2024).
In this world of contextual AI driven communication the big question hovering over businesses, are these contextual AI driven communication are perfect to capture the right segment or it requires more humanization?
Author-
Dr. Suchita Jha