Leveraging GenAI in Digital Markets

8

October

2024

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Businesses in the digital age depend more and more on data to inform their strategy, especially in electronic markets. Key concerns, such as transaction costs and information asymmetry, play a significant role in how organizations evolve. However, the development of Generative AI (GenAI) opens up fresh opportunities for addressing these issues.

Information asymmetry is a common problem in digital marketplaces like eBay, and GenAI can change the way businesses handle it. Outdated issues like moral hazard and adverse selection are caused by sellers and purchasers having insufficient information. For instance, customers may have concerns about the credibility of a seller or the genuineness of a product. Large-scale datasets can be analyzed by GenAI-powered algorithms, which can identify possible dangers and estimate seller reliability more precisely than feedback-based methods. This lowers information risk and increases consumer trust.

Furthermore, GenAI greatly enhances the notion of digital experiments, such as targeted advertising. Businesses can more accurately adapt their marketing campaigns because of GenAI’s ability to combine massive datasets and generate fresh insights. For example, AI may create predictive models that predict user behavior based on interaction patterns, instead of just depending on measurements like click-through rates. By doing this, the emphasis is shifted from reactive analysis to proactive decision-making, which eventually improves ROI and optimizes ad spending.

GenAI proves to be another fresh ally for the “move to the middle” idea. Businesses may use AI-driven insights to create better, data-backed partnerships with suppliers as IT lowers coordination costs. As a result, businesses may handle their supply chains more agilely, reducing the chance of opportunism and guaranteeing better alignment with long-term objectives.

In summary, GenAI provides a strong toolkit to tackle ongoing problems in digital marketplaces. In an increasingly complicated digital ecosystem, businesses can create sustainable growth, foster trust, and unleash new efficiencies by fusing AI capabilities with a strong grasp of information strategy.

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Digital marketing trends 2015: did it come true?

15

September

2015

No ratings yet. Earlier this year, I ran into a blog post on a website. This post was all about online and digital marketing and what the trends for 2015 would be. Of course, a big advantage of digital advertising is the possibility to share on social media platforms, which increases attention. It is thus very important for contemporary companies to follow these trends, so that they are not competed out of the market by competitors who do use these new techniques. I would like to discuss this article and kindly ask you, my readers, did these trends come true this year? Or do you think these trends are going to be more important next year?

Hereby, a selection of the most important advertising trends and some interesting examples.

1. Transparency
Companies have to give their customers a ‘realtime peek’ into their businesses, to give people a relevant experience. A great example of transparency is a ‘’behind the scenes’’ movie, hereby an example of a Vistaprint movie.

2. Realtime marketing becomes local
Because of social media, consumers are more volatile than ever. For companies, it is important to be able to make use of certain events right away, instead of planning marketing actions months before. More and more tools make realtime marketing possible, such as this cool asset sharing tool:

3. Human advertising
Review marketing becomes human advertising, consumers determine the message of a company. Instead of collecting reviews, companies are given the ability to respond directly to customer recommendations. Companies can reach their public any time, based on the newest review posts. See this video of Rivvur:

4. E-mail marketing
A lot of consumers would definitely say that e-mail marketing is not a good way of advertising, because they find this really annoying. Marketers believe otherwise, because the one-on-one contact with consumers is valuable. With the help of new tools and smart customer data, customer behavior can be used to send targeted e-mails.

For me, transparent companies are very interesting. I like to see something from within the company and I’ve seen this a lot in 2015. I’m very interested in your opinions and maybe some additions. I haven’t mentioned all the trends, but I think the upper mentioned trends are the most important.

http://www.marketingfacts.nl/berichten/de-10-trends-voor-online-en-digital-marketing-in-2015

http://www.forbes.com/sites/avidan/2014/11/09/11-marketing-trends-to-%20watch-for-in-2015/

http://www.saydaily.com/2014/11/trends-in-digital-media-2015

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