You’re watching a YouTube video, and just as your favorite content is about to begin, an ad interrupts. Instead of a routine advertisement that is formulated like every other commercial, this one seems customized to fit your preferences. The product advertised is precisely what you needed, the ad focuses on things that you would care about, and the imagery is captivating enough that you pay attention for the entire duration. This is not something anticipated in the distant future; it is happening currently due to AI personalization in video advertising.
Artificial Intelligence and Video Advertisement
For years, businesses have tried different strategies to effectively capture their audience’s attention. Advertised AI methods have catered to specific digital demographics and ISO tracked browsing cookies, and with the introduction of AI technology, advertisement integration is far easier. AI is being used with advanced advertising strategies. Now businesses can create even more unique hyper-targeted individualized videos through the internet. Responding to previously tracked cookies and data, watching irrelevant ads may soon be in the past.
AI has integrated countless benefits into advertisement tracking, broadening viewer reach. Let’s dive deeper into how AI is overhauling the advertising industry, step by step.
1. Hyper-Personalized Video Content
For marketers and advertisers, the age of creating one video and blasting it to millions as one-size-fits-all content is over. Thanks to AI technology, brands are now able to produce dynamic video ads that change based on each individual viewer.
How It Works
- An individual’s browsing history, past purchases, current location, and even their mood (yes, mood!) can now be used to create a unique personalized video.
- Instead of seeing the same car and showing the same car to everyone, each individual would see pre-selected versions based on their preferences. For instance, people who often search for road trips could have an SUV pre-selected, while someone who follows racing content would have a sleek sports car.
- AI technology now enables tools to change voice-overs, text, and even actors in real time making the content more relevant to the individual viewer.
Real World Example
People tend to contain different Nike ads based on their pre-selection interests. AI powered video personalization has been utilized by Nike to customize ads featuring varying athletes, sports and locations that different users have shown interest in.
Why does this matters
- “Fuels the frenzy” ad engagement rates skyrocketed through personalized ads.
- Viewers feel as though brands actually “get” them.
- It curbs ad fatigue by creating content that is fresh and relevant.
2. AI Ad Script And Voiceover Generation
The functions of AI have advanced beyond choosing appropriate ads to crafting them from scratch. Writing scripts for ads, creating voice overs as well as character animation can now be done with AI ad tools.
How It Works
- AI studies audience reactions and successful ad campaigns, then generates scripts that follow successful resonating patterns.
- Text to speech AI tools generate realistic voice overs, eliminating the need for expensive studio recordings.
- AI animation tools allow interaction with digital avatars which makes the ad more engaging.
Real-World Example
Coca-Cola brands have had a few runs with AI ad generators that dynamically create scripts and visuals based on consumer interaction.
Why This Matters
- There is more efficiency on production costs due to saves in time and money.
- Brands have the ability to vigorously test multiple ad variations during campaigns quickly.
- Businesses with smaller budgets are able to use big brand quality ads.
3. AI-Powered Predictive Analytics – Knowing What You Will Want Before You Want It
AI anticipating customer needs is one of its power features. Have you ever heard of AI-driven analytics? They await a user’s interest based on previous activities, preferences, and trends.
How It Works
- AI models study data from millions of users and look for trends to define distinct drawings.
- You can predict when, where and how best to serve ads, knowing it will be effective with predictive marketing algorithms.
- AI can pinpoint the optimal time to show users an advertisement based on their personal routines.
Real-World Example
Amazon utilizes predictive analytics to display targeted advertisements for products you are about to purchase.
Why This Matters
- Consumers are exposed to advertisements that suit their taste.
- Brands can properly utilize their ad budgets by directing their efforts towards the correct audience at the right moment.
- There is a decrease in wasted impressions on ads to uninterested audiences.
4. AI Interactivity in Video Advertisements
As users directly engage with the advertising content, interactive ads certainly take it a notch higher. The use of artificial intelligence enables brands to create advertisements that actively respond to user inputs.
How It Works
- AI chatbots can be integrated within the ads to provide instant responses to questions.
- Viewers can take part in shaping storylines within an advertisement, thus bringing about a “choose-your-own-adventure” experience.
- Voice recognition enables users to pose questions to the advertisement and receive instant feedback.
Real-World Example
In a bid to boost sales and engagement, BMW created an interactive AI-powered video advertisement which enabled viewers to customize the car’s color and features in real-time.
Why This Matters
- Time spent on interactive ads increases among viewers.
- It lowers the rates of uninterested consumers and raises the numbers of engaged consumers.
- Through online engagement, brands are able to obtain valuable firsthand information.
5. Has advertising as we know it come to an end?
AI is personalizing advertisements to the point where they are interesting and engaging. Rather than skipping them, people are watching with interest. This change signals the passing of irrelevant and outdated, disruptive ads.
What this means for the future:
- Advertisements will be tailored to each person instead of being forced into their lives.
- More reliance will be taken on AI insights in creating ad campaigns.
- The ad experience will be more streamlined and pleasurable for the consumer.
Ending thoughts – New Era of Advertising
AI’s influence is not only changing video ads, but also shifting the entire brand-consumer relationship. Thanks to AI, hyper-personalized, interactive, and engaging ads can be produced that no longer feel like sales pitches but instead integrate into our lives.
The future will not be about people needing to be ‘forced’ to watch ads; brands wanting to stay relevant need to shift to ‘touted’ video content.
Would you like to enhance your video marketing?
At Reset Media, we focus on AI video personalization technologies so that brands can create more relevant and effective advertising. Together let’s change how you advertise.