by Fronetics | Nov 19, 2019 | Blog, Logistics, Robotics & Automation, Supply Chain
Artificial intelligence is shaping the future of supply chain companies, helping to improve accuracy, speed, efficiency, and more. Here are 4 practical ways for supply chain companies to incorporate AI.
A recent Forbes article focused on how specific supply chain companies are making advances with artificial intelligence. And, with powerful stats like these, it’s easy to see why more and more companies are investing in AI:
- AI technology can enhance business productivity by up to 40%.
- 84% of global business organizations believe that AI will give them a competitive advantage.
- By 2025, the global AI market is expected to be almost $60 billion; in 2016 it was $1.4 billion.
- AI startups grew 14 times over the last two decades.
But after reading the Forbes article, I was left thinking about practical applications for AI within the industry. Here are four examples of how AI can be beneficial to your supply chain.
4 ways artificial intelligence can benefit your supply chain
1) Autonomous vehicles
We’ve all known for many years that driverless trucks have major potential to affect the supply chain. And though we aren’t there yet, if autonomous trucking can be developed to its potential, the technology would allow for faster, more efficient deliveries without the need for drivers.
“Autonomous vehicles are being fitted with cameras, sensors and communication systems to enable the vehicle to generate massive amounts of data which, when applied with AI, enables the vehicle to see, hear, think and make decisions just like human drivers do,” writes Suhasini Gadam for Medium.
As the cost of producing autonomous vehicles drops, the benefits for the supply chain increases. Aside from efficiency, reduced lead time, and route optimization, PwC’s new report shows the digitization and automation of processes and delivery vehicles will reduce logistics costs for standardized transport by 47% by 2030.
2) Final-mile delivery route efficiency
Route optimization software and AI-powered GPS tools are making their mark. And for good reason. Big-names like Amazon have left smaller businesses clamoring to keep up with their efficiency. In fact, Amazon is predicted to account for 50% of the entire e-commerce retail market in the U.S. by 2021.
AI is helping smaller brands compete with larger corporations by producing cost-effective technologies that end in lower overhead costs and higher quality customer service. AI provides prediction on delivery quantities, locations, and patterns for optimal delivery routes, including road conditions and other factors.
3) Demand forecasting
Machine learning has the ability to quickly identify patterns in supply chain data by relying on algorithms to find the most influential factors. The ability for machines to find data patterns without human intervention has applications across the supply chain.
In an interview with Forbes, Dr. Michael Feindt said:
“To help companies draw the right conclusions from the data they gather, businesses need to apply ML and AI technology designed to grasp the oncoming impacts of what’s happening everywhere in the moment and predict how demand and supply will look in the future. That means having algorithms that can evolve over time.”
AI makes it easier for brands to identify patterns in their supply chain and forecast the needs of their business to make internal processes more efficient, eliminate costs, and reduce loss of goods. The ultimate goal of AI is to forecast demand without excess production.
4) Chatbots for marketing and operational procurement
Chatbots are AI computer programs designed to conduct conversations, simulating how a human would interact. The program communicates with customers inside messaging apps, like Facebook Messenger.
Chatbots are relatively inexpensive, inherently low-maintenance, and surprisingly user-friendly — to both the buyers interacting with them and the vendors setting them up. They help website visitors find the information they need quickly, while gathering user data that is useful in marketing and sales efforts, all without taxing human resources. In fact, Chatbots Life reports that businesses can save up to 30% of costs associated with servicing customer requests by using a chatbot.
How is artificial intelligence impacting your supply chain?
Related posts:
by Fronetics | Oct 24, 2019 | Blog, Marketing, Social Media
Facebook Messenger is the latest trend in chatbots for the supply chain. Here are powerful numbers to prove why your brand needs to be active on the messaging platform.
Patience is a virtue of the past. Today’s buyers want (and expect) marketers to actively engage with them throughout the purchasing journey. And offering them generic information won’t work — they want personalized communications based on who they are, what they have purchased in the past, and what they are interested in buying. Businesses can no longer afford a one-size-fits-all communication strategy.
The focus has shifted from passive marketing to engagement, which has marketers scrambling to be everywhere, at all times, to ensure a positive customer experience. In response, we’ve seen an increase in chatbot usage in the supply chain and logistics industries. Chatbots help improve the customer experience through automated systems that emulate human conversation.
Chatbots rely on the popularity of messaging apps. And, luckily for marketers, messaging app usage is on the rise:
- There were 2.18 billion messaging app users globally in 2019. (Statista)
- At the end of 2018, 78% of the world’s smartphone users were messaging every month. (Facebook)
- By 2021, it’s predicted that the global user base for mobile messaging apps will have risen by a further 23%. (Facebook)
- People share more than 17 billion photos on messaging apps every month. (Mobile Monkey)
And though WhatsApp has the highest percentage of users worldwide, Facebook Messenger has taken over as the most popular messaging app in the U.S. With over 1.3 billion monthly users, this powerful messaging platform holds a lot of potential for marketers.
[bctt tweet=”20 billion messages are sent between people and businesses every month.” username=”Fronetics”]
Even though marketers know that Facebook Messenger is a platform they can no longer ignore, supply chain and logistics brands have been slower to jump on board. But if you’re questioning if you should be using Facebook Messenger to engage with audiences, the answer is yes.
Supply chain businesses can use this platform to deliver content, engage with customers one on one, and offer superior personalized customer service, all of which result in high-quality relationships and leads.
Here are some staggering numbers to back up our point.
(Made with Canva)
Final thoughts
What was once thought of a teen social app, Facebook Messenger is now dominating the business world with increasing popularity and no sign of slowing down. In fact, we as a brand have found huge success using Messenger to engage with new leads. In the first 24 hours of using the platform, we were able to set up a meeting with a new prospect. That was just in the first 24 hours. This prospect turned out to be our next client, and the initial connection was all made through Facebook Messenger.
Related posts:
by Fronetics | Sep 19, 2019 | Blog, Data/Analytics, Marketing, Marketing Automation, Supply Chain
In a highly competitive B2B landscape, AI can be the strategic advantage your brand needs. Here’s everything you need to know about AI for marketing.
Highlights:
- AI enables predictive analysis – the ability to look at a large set of data and predict what steps to take to reach a desired outcome.
- Social listening powered by AI gives marketers key insights into brand perception and audience reaction.
- When considering purchasing an AI technology for marketing, consider if it includes its own Big Data source.
When we think about artificial intelligence (AI), it’s often with a twinge of unease. Whether it’s pop culture telling us that robots will take over at their earliest opportunity, or fears of human labor being replaced with machines, AI is a complex, controversial, and even mysterious topic. But when it comes to the applications of AI for marketing, there’s actually a lot to celebrate.
It’s important for marketers not only to have a thorough understanding of the uses of AI for marketing, but to be aware of industry trends, and how to determine investment to maximize ROI.
What is AI for marketing?
While it’s not necessary for marketers to be artificial intelligence and robotics experts, it’s beneficial to have a functional understanding of the technology that enables AI for marketing. In a general sense, the term “AI” refers to the area of computer science that enables the creation of software and machines that possess what we think of as intelligence. That is, they are able to work, react, and learn without being specifically programmed for each task.
AI is enabled by data science, “the practice of organizing and analyzing massive amounts of data.” When it comes to marketing, AI can be thought of as an extension and development of marketing automation. Essentially, AI for marketing is software that collects, analyzes, and reacts to large amounts of data, with increasing levels of sophistication.
According to content intelligence expert Bart Frischknecht, of Vennli, AI for marketing can be categorized in one of two ways.
- Recommending: This type of marketing software “predicts which action will have the most positive outcome in order to recommend a next step in a series of events.” Frischknecht describes these recommendations as “stepping stones on the way to fully automating a given task.”
- Automating: Software that automates is a furtherance of software that recommends. For a task to be automated, it needs to be “routine and repeatable, the goal needs to be specific, and the steps to achieve that goal must follow an exact set of rules.”
Think of data as the fuel that powers AI for marketing. As we gather more and more data, and devise increasingly sophisticated analytical methods, the possibilities for intelligent automation in marketing will continue to expand.
5 examples of AI for marketing
1) Data filtering and analysis
At Fronetics, we’ve advocated for a data-driven approach to marketing since our founding. For marketers, data is the most powerful strategic weapon in your arsenal, and AI is sharpening it even further. AI software can consolidate large amounts of data, and analyze it to determine patterns and trends.
2) Social listening
Social listening, also known as social monitoring, is the process of observing and examining social media, to identify and access what is being said about your brand. Social listening gives marketers valuable market intelligence, prospect insight, tone awareness, and competitive advantage.
Current AI software lets marketers not only engage in sophisticated social monitoring, but it also enables “sentiment analysis,” automatically generating a report of the overall attitude of your audience and perception of your brand.
3) Predictive analysis
Beyond simply filtering and analyzing data, AI for marketing goes a crucial step further: predictive analysis, the practice of applying the information extracted from data sets to predict a future outcome or trend.
This revolutionary capability of AI can be used to analyze buyer purchase behavior, for example, and determine when and how to distribute certain types of content. Social media scheduling tools, for instance, use predictive analysis to suggest the optimal times to share content.
4) Audience targeting and segmentation
As B2B buyers increasingly come to expect personalization at all stages of the buyer’s journey, it can be a challenge for marketers to deliver. However, AI makes personalization possible at a large scale, drawing on data to segment and categorize audiences.
The limits of the specificity of this segmentation are determined only by the amount of data available. In other words, the more data, the more the AI software can instantly segment a contact list and deliver personalized correspondence.
5) Chatbots
One of the most ubiquitous examples of AI for marketing, chatbots are computer programs that simulate human conversation using auditory or textual methods. Chatbots communicate with buyers within a messaging app, like Facebook messenger.
3 questions to ask when considering an investment in AI for marketing
While the possibilities of AI for marketing are virtually endless, the reality for most companies is that marketing budgets are not. When considering an investment in any technology, including AI, maximizing ROI should be top of mind. Frischknecht suggests that marketers ask the following three questions when considering an investment in AI for marketing:
- Which marketing task will this technology automate, and will doing so alleviate a significant burden for marketing staff?
- Does purchase of the tech include its own Big Data source, or do I need to provide all the data? If the latter, do I have adequate data, and can I connect my data source to the tech?
- What evidence exists of the tech making good recommendations or automating one of my tasks.
AI is revolutionizing marketing. Investing intelligently in these technologies can provide critical market insights, data processing capabilities, and predictive analysis.
Related posts:
by Fronetics | Sep 10, 2019 | Blog, Content Marketing, Current Events, Marketing, Social Media
As social media users increasingly prefer to share content and recommendations via private messaging apps, brands need to be aware of how to take advantage of this trend.
Highlights:
- Nearly two-thirds of social media users now prefer to share content and recommendations through private messaging apps.
- Facebook Messenger is by far the most popular of these platforms.
- Chatbots can help brands engage in conversations on messaging apps and capture leads.
A recent study has confirmed a trend we’ve long predicted: A significant majority (63%) of social media users now express a preference for private messaging apps for sending messages or recommendations to people in their circle, as opposed to posting publicly on social media.
Marketers need to be aware of the implications of this shift toward private messaging apps, or “dark social channels.” Recognizing that three out of five users now prefer to connect via a private channel rather than open social media platforms, brands can tailor content accordingly and create a strategy that capitalizes on this shift.
Private messaging apps by the numbers
GlobalWebIndex and WeAreSocial teamed up to conduct research on content-sharing preferences, looking at more than 3,100 internet users. They asked research subjects how they tend to share information like articles, photos, videos, and recommendations and received the following responses:
- Private messaging apps: 63%
- Social media accounts: 54%
- Word of mouth: 51%
- SMS: 48%
- Email: 37%
Next, researchers broke down the results further, to reveal which messaging platforms users prefer:
- Facebook Messenger: 82%
- WhatsApp: 56%
- Instagram: 34%
- Snapchat: 32%
These are striking numbers. Not only is the preference for messaging apps clear, but brands should take note of the dominance of Facebook Messenger as the preferred platform. It’s likely that this preference is accounted for by the prevalence of social media for content consumption and distribution. Therefore, private messaging apps within social media platforms, with Facebook Messenger chief among them, are an easy and convenient way for users to share information.
What brands need to know about private messaging apps
The trend toward content sharing via messaging apps is mixed news for brands. On the one hand, marketers are likely be dismayed that a significant percentage of website visitors will likely be coming from these untraceable sources. On the other hand, says Olivia Valentine of We Are Social, “it means that there are likely more brand advocates than you might think.”
Valentine is right. When users share content and recommendations on messaging apps, they are engaging in authentic, private conversations, making the recommendations all the more meaningful.
Not only are social messaging apps becoming the preferred content-sharing platform among users, but brands can use these apps directly to engage with their audience. Facebook Messenger now has over 1.3 billion active monthly users globally and offers businesses the opportunity to connect directly and authentically with their audience.
Chatbots
Perhaps you’ve been reading about the rise of private messaging apps for content sharing and despairing over the idea that to keep your business relevant, your marketing staff will now need to be spending every working hour responding to thousands of messages with prospects.
Don’t despair. This is where the latest trend in artificial intelligence for marketers can help. Chatbots are computer programs that simulate, with ever-increasing accuracy, human conversation. This software communicates with your prospects inside a messaging app, carrying on a conversation until a prospect is ready to move down the sales funnel.
When it comes to creating chatbots, we recommend platforms including HubSpot’s Chatflows, Chatfuel, ChatScript, and Facebook’s Bots for Messenger tool.
The takeaway: the shift toward messaging apps is a net positive for marketers
To take full advantage of the growing user preference for private messaging apps, marketers need to ensure that their content is easily shared, engaging, and generative of authentic conversations among their audience. Furthermore, using chatbots can help businesses capture leads and engage in direct conversations on these platforms.
As Valentine points out, while the increased use of private messaging apps does mean that a certain amount of web traffic will be coming from untraceable sources, brands should be celebrating the fact that this trend means that recommendations are far more meaningful and your audience is becoming increasingly empowered to advocate for your brand.
Related links:
by Fronetics | Jul 16, 2019 | Blog, Content Marketing, Current Events, Logistics, Marketing, Supply Chain
With the ubiquity of mobile phones and the ease of SMS messaging, text-based marketing holds plenty of potential for supply chain marketers.
Highlights:
- Many of marketers’ hesitations about text-based marketing are based on misconceptions.
- Research shows that text outperforms email in open and click-through rates.
- Currently, there’s a competition vacuum as business have been slow to adopt this channel.
Text-based marketing presents something of a quandary for supply chain businesses. Many marketers are understandably reluctant to make use of this communication channel, fearing the possibility that it will be perceived as intrusive and cause leads to turn away.
But, in fact, many of the fears about text-based marketing are actually misperceptions. As Ardath Albee, CEO of Marketing Interactions, Inc. puts it, “When done strategically, respectfully, and in a contextually relevant way, the profitable benefits of SMS marketing easily supersede the most common pitfalls of this unique channel.”
Here are some common misconceptions about text-based marketing.
4 popular misconceptions about text-based marketing
1) SMS marketing means sending out unsolicited text messages.
Most of us have gotten them: the text from a random number — perhaps advertising health insurance, warning of a compromised bank account, or congratulating you on winning a gift card. This kind of spam is what many marketers think of when they hear “text-based marketing.” No legitimate business wants to be associated with this sort of tactic.
You may be surprised to learn that legitimate text-based marketing doesn’t work this way at all. According to Justin Mastrangelo, founder of JA.TXT text message marketing software platform, “Not only is sending unauthorized text messages terribly ineffective, it’s illegal and could lead to lawsuits and penalties.” Instead, your contacts will need to opt in to receive text messages, so they will be expecting them.
2) I need my own shortcode.
Many small and mid-sized businesses shy away from text-based marketing based on the hassle and expense of obtaining their own shortcode. While it’s true that for large brands, obtaining their own shortcodes can be worthwhile, most moderately sized businesses don’t actually need a shortcode of their own.
Most SMS marketing providers furnish their clients with their shared shortcodes, meaning that your business would likely not need to spend the time or money to obtain and set up a shortcode.
3) Text-based marketing doesn’t engage leads.
When many of us think of text-based marketing, we imagine it to be a one-way street, with businesses seeking to grow a massive list of numbers and blasting them with texts. Because we all have experience with SMS spam, we naturally assume that texts from businesses will be ignored.
But the reality is that since prospects need to opt in to receive texts from your business, they are quite likely to engage with them, as texts are immediate and easy to react to. Businesses “often overlook the two-way capabilities of SMS,” says Mastrangelo. “Many organizations have captured email addresses, ZIP codes, survey responses, product numbers, and more through text message.”
4) My audience doesn’t want texts from my business.
Because text-based marketing inherently feels more intimate and immediate than other forms of digital marketing, marketers are often leery of taking the leap, believing that prospects will just be annoyed to receive texts.
But, as it turns out, text-based marketing is not unlike other forms of digital marketing: your audience absolutely wants to receive it, on one condition – you need to be providing value.
7 reasons to consider text-based marketing
Now that we’ve cleared up some of the most widespread misperceptions about text-based marketing, here are six reasons why we think you should consider it.
1) Your audience prefers it.
You’ll probably be surprised to learn that recent research shows that 85% of mobile device users prefer a text from businesses over phone calls or emails.
2) Texting is what people do most on their phones.
While email and social media marketing generally capture most of the buzz, users actually spend more time texting than doing anything else on their mobile devices.
3) Get ahead of the competition.
Since B2B businesses have generally been hesitant to integrate text-based marketing, there’s currently a competition vacuum.
4) It works throughout the buyer’s journey.
As with email marketing, text-based marketing can be effective at every stage of the buyer’s journey, and the highly personal nature of the medium fosters better relationships and customer experience.
5) SMS marketing is interactive.
Text-based marketing is actually an excellent way to promote engagement, since users opt in to initiate it, and responding to and interacting with texts is extremely easy.
6) It’s an ideal precursor to chatbots.
We’ve written a lot about chatbots, and how they can be a great tool for the supply chain. Text-based marketing is the perfect testing ground to see how your content will fare with chatbot marketing.
7) Text-based marketing outperforms email.
You read that right. By two of the most important metrics, open and click-through rates, text-based marketing actually outperforms email. While email has an average open rate of 22% and a click-through rate of 6%, texts have a whopping 97% open rate and a 36% click-through rate.
The bottom line: give text-based marketing a try
Digital marketing is a many-headed hydra, with new channels opening up all the time, like text-based marketing. This channel holds tremendous untapped potential for businesses, thanks to the immediacy of the medium, the ubiquity of mobile devices, and the high engagement rate. Savvy marketers will jump on text-based marketing now and get ahead of the competition.
Related posts:
