How AI is Transforming Digital Marketing and What’s Next in the Industry

By Space & Time
31 Oct 2024

AI is just one of many changes and advances of technology that we have had to react and adapt to since the birth of digital. Although very much now a buzzword, ‘AI’, or automated platforms and tech, has existed within digital media advertising for many years now.

While there are concerns that AI may disrupt our current work methods, such as the worry of machines replacing humans, we are of the opinion that AI is most effective when it complements human effort. The emphasis should be on how humans can leverage AI for enhanced and more efficient outcomes, instead of considering it as a replacement.

We are confident that we’ve currently struck the ideal balance between automation (such as automated strategies executed directly from advertising platforms) with our own highly skilled, trained and experienced staff. Nonetheless, we remain vigilant for new advancements and our team are constantly staying up to date with the latest technology in the field.

In the next part of our AI series, we ask our channel leads how we are already using AI and what they predict is next for us at S&T.

What are the top three ways we are already using AI?

Alex Moran | SEO Lead:

The 3 mains ways that we are already using AI are writing code, providing ideation and organising data:

  1. Writing code – It’s certainly not perfect and can make some assumptions that are incorrect. However, the formatting is usually spot on for JSON, which is a relatively easy coding language. So it saves you going back and forth working out if you put the comma in the correct place.
  2. Providing ideation – Every idea needs a spark, and much like the functions many SEO tools have, you can put a simple idea in there and they can provide quick and useful related ideas and topics. As with it all, there needs to be a critical eye. But if you go in with the attitude of just getting the ideas. It’s like asking a room full of people to discuss a topic and writing down their thoughts, you just get it back in seconds and don’t need to worry about wasting others time.
  3. Organising data – Oftentimes I’m looking at a large data set in excel and wondering how to easily distil it into themes without reading each one, giving some thought to it, then revising those thoughts.  Now it’s ask first, see what ideas you get back and maybe just tweaking to say ‘can you please theme more around areas x, y and z’. Though I’m not usually so polite with AI!

Helena Taylor | Paid Social Lead:

Our current focus involves collaborating with our tech team to develop our own AI IP in-house, aiming to streamline our operational procedures, such as reporting. At present, our main use of AI is through the automated features that are integrated within the platforms we use. Notably, LinkedIn’s predictive audiences feature has been a tool of choice for our B2B clients since its introduction in 2023, and as a Meta Business Partner of Meta, we have also started piloting their primary text generation with select clients this year.

Eliette Cremer | Head of Programmatic:

We are actively using machine learning in our campaigns with custom bidding algorithm with our partner Scibids: we plug the solution, that is using patterns of conversions, enabling hundreds of optimisation a day on campaigns, which would not be possible for humans.

AI can be also used to create creative copy at scale which is a big opportunity for us and our clients, for example creating multiple CTAs, text variations or visuals. This is part of our Performance Creative and dynamic creative solutions that we provide for our clients, and believe will deliver huge efficiencies going forward.

Personally, from a time efficiency perspective, AI tools can also be really useful when providing post meetings notes and contact reports.

Ben Ladbrook | PPC Lead:

One of the most powerful advancements in this space is Google’s Smart Bidding. Smart Bidding strategies harness the power of Google’s AI to optimise your bids for conversions or conversion value in each and every auction – a feature known as ‘auction-time bidding’. Whether you aim to meet a specific target CPA (Cost Per Acquisition), achieve a target ROAS (Return on Ad Spend), or simply maximise conversions and conversion value, Smart Bidding offers a strategy tailored to your goals.

Responsive Search ads allow you to create highly adaptable advertisements by entering multiple headlines (15) and descriptions (5). Google’s AI then takes over, automatically testing different combinations and learning which ones resonate best with your audience. The result? More relevant messages that drive better performance and engagement.

Performance Max campaigns give advertisers access to all of Google’s ad inventory through a single campaign. Just upload; creative, budget, audience signals and a preferred bidding strategy and Google’s AI does the rest. The results speak for themselves: on average, advertisers using Performance Max see an impressive 18% increase in conversions, all while maintaining a similar cost per action.

 

When did we start using it?

AM: For roughly a year now – as soon as it became clear that ChatGPT was going to be a relevant tool for the future of the web, and was talked about, we ensured that we were on the forefront of testing it’s capabilities.

EC: Our first collaborative work with the Scibids custom bidding solution was back in Q4 2021. We were early adopters and it has now integrated with DV360becoming part of DoubleVerify. Creative production and reporting would be most recent, probably since 2024 really.

BL: As a Premier Partner of Google, we have access to the latest solutions ahead of other agencies, and therefore have been adopting their AI solutions from as soon as they have been launched. We started testing smart bidding as far back in 2017, followed closely by Responsive Search Ads in 2018, Performance Max in 2022 and most recently testing Automatically created assets (ACA) back in 2023.

 

What is next with how we use AI going forward? 

AM: It is important to be pragmatic in terms of the steps forward.  This would mean continuing to test various options in both expanding the above, and developing new methods, while keeping a close eye on how Google chooses to use AI in their search results.

Google’s launch of SGE and AI answers is yet to be released globally so it shows they are still waiting to perfect their model, with many bad examples of it in practice up to date such as their guidance to eat rocks.

Further to your LLMS, notably ChatGPT and Gemini, AI is integrated into so many of our day-to-day tools such as Ahrefs.  Meaning that the use of ‘AI’ in general will become so integrated in the way all systems work, that the lines between a tools original capabilities and the AI based ones will become a lot more blurred.

HT: Creative testing for our clients on Meta and LinkedIn using built in products

Using AI to analyse large data sets each week so we can make quicker decisions on optimisations, thus improving performance. I also believe there is huge opportunity to aid with account audits that review creative, format etc.

EC: I think training staff and generalising the use of AI is the next step: we know it works, but not all clients are ready for it, and not all roles in the agency have been trained. So far AI has only been adopted by innovative clients, the most “daring” some would say, but it would be beneficial for all sizes and all staff to be trained on the available solutions. The more training there is, the better for the competitiveness of the agency.

Having spoken recently about this on the BIMA council, we had all seen some great success when it comes to automation, however this is still a need to have a better understanding of the data used by / on  AI tools. Some designer teams have put in place design committees to monitor the quality of the content produced by machine, it would be interesting to see how the IAB and different programmatic authorities will norm the use of AI in programmatic.

We also all agreed that currently machine learning approach is not always the answer to any needs, and that it is key for practitioners to adapt their use of AI when working on strategy and answering client briefs.

BL: AI has become the cornerstone of Google Ads. For many years, it has quietly operated behind the scenes, empowering advertisers to maximise their time and return on investment using the above features. AI is integral to numerous Google Ads products developed over the past decade, driving growth for businesses of all sizes. From advanced features like Smart Bidding to fully AI-powered solutions like Performance Max. And they are not stopping there.

New features such as, conversational campaign creation, where businesses can physically tell Google what kind of campaign they want to make, Google AI will generate relevant and effective keywords, headlines, descriptions, images and other assets for your campaign. You can review and easily edit these suggestions before deploying.

Generative AI-powered Performance Max campaigns, just provide your website and Google AI will populate your campaign with text and other relevant assets. They’ll even suggest new images generated just for you, helping you stand out to customers across a wider range of inventory and formats.

Product Studio in Merchant Center. This AI-powered tool helps businesses save time and resources while helping to enhance and create high-quality product images to use across Google Shopping placements. This new tool will help you generate scenes, increase image resolution, and edit backgrounds for your products.

AI capabilities are also being tested within the search engine results page (SERP) Google. These innovative experiences aim to make Search smarter and simpler, enhancing the way users interact with information online. As they explore the impact and use of AI within the SERP, Search will continue to serve as a gateway to the best of the web, including your business.

As these advancements take shape, the future of advertising will evolve in tandem, unlocking new opportunities to grow your business and showcase your brand. The integration of generative AI into Search promises not only to revolutionise user experiences but also to provide advertisers with more sophisticated tools to reach their audiences efficiently and effectively.

How we can help

AI is undoubtedly shaping the future of digital marketing, offering a wealth of opportunities to streamline processes, enhance creativity, and drive performance. At S&T, we believe that the key to success lies in balancing automation with human expertise. Whether you’re looking to leverage AI for SEO, social media, PPC, or programmatic advertising, our team is here to help.

If you’d like to learn more or need guidance on integrating AI into your marketing strategy, feel free to reach out to us at hello@spaceandtime.co.uk.
 

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