Start testing new strategies early
Posted: Sun Dec 15, 2024 8:51 am
The evolution of holiday shopping from a 5-day extravaganza to a multi-seasonal event is reshaping the strategy of retailers around the world. While attracting early traffic is important, capturing quality traffic should be the top priority for brands looking to increase their profits.
But as channels continue to proliferate and blend, this can be a challenge. In response, many industry leaders are increasing their investment in AI-powered campaigns to engage high-spending consumers as they move across touchpoints.
One of them is Leon Wharton Hallen, director of media and advertising at Dutch job seekers database retailer Scotch & Soda. As he explains, “The 2022 holiday season had its challenges on a macro level. We see a shift in consumer sentiment, shoppers are looking for value early in the season, and customer acquisition costs are rising. Because not all traffic is created equal, we had to dig deeper to find the right customers across all channels and cut through the noise. AI helps us identify and reach shoppers who are ready to buy rather than those who are just browsing.”
Michelle Hernandez, Director of Omnichannel Digital Marketing at Deckers Brands, also relied on AI during the holiday season. According to Hernandez, “Awareness, consideration, and purchase are merging. Consumers are demanding that point of need and point of sale come together as part of their daily navigation across digital and physical channels. We doubled down on AI-powered campaigns to engage the biggest spenders no matter where they are.”
Hallen and Hernandez’s success is backed by recent McKinsey research , which confirms that the bottom-line value gained from AI remains strong and largely consistent. To unlock its full potential, however, companies must reimagine their business models and disrupt the way work is done. This can leave retailers at a crossroads: they are being asked to experiment with new and emerging ways to drive business value, while continuing to maintain stable profitability.
Fortunately, this shift doesn’t have to happen all at once. To break it down step by step, Google asked 12 industry leaders to explain how they gradually tested AI-powered campaigns to prepare for a successful holiday season.
These conversations helped identify four distinct phases, as well as gather key tips and strategies for success.
►Step 1: Explore
The best way to get started with AI-powered campaigns is to commit to a starting point. Here are some proven ways to make room for experimentation.
In early 2022, French delivery service Chronopost decided to carefully test AI-powered campaigns just before the holiday season, when its B2B clients ship higher volumes of packages. This forward-thinking mindset paved the way to its success.
But as channels continue to proliferate and blend, this can be a challenge. In response, many industry leaders are increasing their investment in AI-powered campaigns to engage high-spending consumers as they move across touchpoints.
One of them is Leon Wharton Hallen, director of media and advertising at Dutch job seekers database retailer Scotch & Soda. As he explains, “The 2022 holiday season had its challenges on a macro level. We see a shift in consumer sentiment, shoppers are looking for value early in the season, and customer acquisition costs are rising. Because not all traffic is created equal, we had to dig deeper to find the right customers across all channels and cut through the noise. AI helps us identify and reach shoppers who are ready to buy rather than those who are just browsing.”
Michelle Hernandez, Director of Omnichannel Digital Marketing at Deckers Brands, also relied on AI during the holiday season. According to Hernandez, “Awareness, consideration, and purchase are merging. Consumers are demanding that point of need and point of sale come together as part of their daily navigation across digital and physical channels. We doubled down on AI-powered campaigns to engage the biggest spenders no matter where they are.”
Hallen and Hernandez’s success is backed by recent McKinsey research , which confirms that the bottom-line value gained from AI remains strong and largely consistent. To unlock its full potential, however, companies must reimagine their business models and disrupt the way work is done. This can leave retailers at a crossroads: they are being asked to experiment with new and emerging ways to drive business value, while continuing to maintain stable profitability.
Fortunately, this shift doesn’t have to happen all at once. To break it down step by step, Google asked 12 industry leaders to explain how they gradually tested AI-powered campaigns to prepare for a successful holiday season.
These conversations helped identify four distinct phases, as well as gather key tips and strategies for success.
►Step 1: Explore
The best way to get started with AI-powered campaigns is to commit to a starting point. Here are some proven ways to make room for experimentation.
In early 2022, French delivery service Chronopost decided to carefully test AI-powered campaigns just before the holiday season, when its B2B clients ship higher volumes of packages. This forward-thinking mindset paved the way to its success.