Recommendation systems increase sales [2019 update]

Any new company needs to first make its marketing funnel work. Acquiring and retaining customers are the lifeblood of any business. Once a business can retain customers, building better monetization options are worth spending time and effort.

First, as we explained on our previous post where we defined dynamic pricing, pricing is a very attractive lever for monetization. Once pricing is as effective as possible, recommendations are easy to implement and can provide significant revenue upside. It is easy to get confused about recommendation systems as they are also called recommender systems, recommendation engines. All of these mean the same thing, a system that predicts what your customers want. Read more

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Dynamic pricing is the strongest profitability lever for a large company

It is difficult to improve financials of a large business.

Decreasing costs are a sure way to improve financials however it is difficult to find and implement cost cutting opportunities. Cost saving opportunities fall in these buckets

  • Long term investments: Finding areas to reduce operational costs with investment is easy. Investment in new systems and tools can reduce labor-intensive processes, improve operations and customer experience. Investment in new facilities can provide scale synergies and help save costs. However, it is difficult to convince top management to invest in the future given short term focus of Wall Street and most businesses. Wall Street’s focus has some merit, long term investments, especially technology investments have been documented to fail to deliver the planned benefits.
  • Short term fixes: Headcount reductions, procurement transformation programs all fall under this bucket. They definitely impact costs but their impact on other parts of the business can be difficult to predict.

Increasing revenue growth is difficult for a large business because growth is the primary motivation for most businesses. All large businesses experienced strong growth to become large. In the quest to sustain growth, every imaginable lever gets implemented by businesses. Therefore, a large business founded several years ago had enough time to create a very effective growth machine given its competition, regulatory landscape and other constraints. Read more

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CMO’s guide to Artificial Intelligence [2019 update]

CMO's guide to Artificial Intelligence

As a marketing professional, it is difficult to escape the words Artificial Intelligence these days. In my recent days as a consultant, I was bombarded by clients asking me how they could use Artificial Intelligence in their business. Back then, I didn’t have the bandwidth to prepare a framework describing how AI fits key marketing activities. Now that’s an essential part of our work at AIMultiple.com where we aim to help enterprise leader understand and use AI in their businesses. Read more

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Leading marketing technology vendors using artificial intelligence

Leading global marketing technology vendors

We have been researching both public data and also talking to leaders in marketing space to understand AI in marketing technology. These are the leading vendors in this space that we identified. If you see any missing leading vendor in this space, please let us know, we would love to feature them.

As expected US vendors top the list. However, potentially due to our focus on Western markets, we are featuring too few Chinese vendors. We will develop our knowledge of the Chinese market for the second version of this map and your suggestions on Chinese vendors would also be appreciated. Read more

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Artificial Intelligence Marketing in 2019: In-depth Guide

Artificial Intelligence use cases in marketing

While launching AIMultiple.com we interviewed corporate leaders and all sizes of AI vendors, searched news articles, patents, venture capital financing and more to identify established and emerging AI use cases. We have identified about a dozen fundamental artificial intelligence use cases in marketing. We focused on core marketing activities such as optimizing pricing and placement, optimizing advertising/marketing, personalizing recommendations, collecting and leveraging customer feedback. We are always improving our structure and would love to hear your any comments and suggestions. Read more

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