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Business News/ Brand Stories / The End of One-Size-Fits-All: How AI Transforms Digital Advertising

The End of One-Size-Fits-All: How AI Transforms Digital Advertising

Srinath Goud Vanga, a leading architect of artificial intelligence and machine learning at O9 Solutions, brings over 12 years of expertise to the field.

Srinath Goud VangaPremium
Srinath Goud Vanga

New Delhi (India), February 23: Traditionally, advertising was akin to casting a wide net with billboards and print ads broadcasting generic messages to the masses in hopes of resonating with a select few. However, the advent of digital advertising, bolstered by AI, has transformed this scattergun approach. AI-powered platforms meticulously analyse extensive user data, deciphering online behaviours, interests, and unique traits, providing the foundation for industry giants like Google and Meta to flourish, generating hundreds of billions in revenue. Their success underscores the immense potential and profitability of the digital advertising sector, currently valued at over half a trillion dollars and expected to grow as AI evolves and becomes more sophisticated. Utilising these data-driven insights, companies can now tailor ads with remarkable precision. While current AI applications have mastered the selection of ads to display, the emergence of generative AI is poised to revolutionise not just what ads to show but how to deliver them, heralding an exciting era of personalised ad delivery in a market that's showing no signs of slowing down.

Generative AI, a subset of artificial intelligence, is gaining traction for its ability to create new content from scratch. It taps into deep learning algorithms, enabling it to generate text, images, voices, and music that mimic human-like patterns. This technology holds immense potential for the advertising industry.

Generative AI can be leveraged in digital advertising to create highly personalised ad content. Instead of serving the same ad to everyone, users could receive a unique ad explicitly generated for them. These ads could be based on their browsing history, likes and dislikes, the time of day they're most active online, and even their mood inferred from their recent social media posts.

The capabilities of generative AI extend beyond just crafting tailored ads. Imagine a favourite celebrity of a potential customer virtually appearing on their screen to deliver an ad suited to their tastes. Or consider interacting with a chatbot, which subtly incorporates an advertisement into its responses. These scenarios may sound like science fiction, but with generative AI, they are fast becoming a reality.

Using user feedback or context, generative AI can adjust the ad content in real time. If a user's behaviour or preferences change, the AI can immediately adapt the ad content to match these shifts. Imagine a chatbot that carefully changes its original reply containing a product recommendation by considering the feedback to that message and providing an even more accurate product recommendation. This level of personalisation and responsiveness was unimaginable in the era of traditional advertising.

This level of direct, personalised advertising is both exciting and slightly terrifying. On the one hand, ads will be more relevant and less intrusive, blending seamlessly into our daily digital interactions. On the other hand, it raises questions about privacy and how AI should be allowed to tailor our digital experiences.

While the potential of generative AI in advertising is undoubtedly impressive, it has its potential downsides. For instance, there's a valid concern about how these ads might target vulnerable populations, such as children, in their online spaces. Given the persuasive power of hyper-personalized ads, there's a risk of manipulating young minds with products or ideas that might not be appropriate or beneficial for them.

Moreover, questions arise about data privacy and how much personal information companies should be allowed to use. While tailored ads can enhance user experience, they need an extensive understanding of a user's behaviours, preferences, and habits. Striking a balance between personalisation and privacy is essential. This calls for strict regulations and transparent practices, ensuring companies use data responsibly, and users know what data is being collected and how it's being used.

The fusion of generative AI and digital advertising heralds an era of personalised, engaging ads. However, it's crucial to balance this innovation with data privacy concerns. As this transformative technology is embraced, it's equally important to promote transparency and regulate its usage, ensuring a future of advertising that is profitable, innovative, and respectful of users' privacy rights.

About Srinath Goud Vanga

Srinath Goud Vanga, a leading architect of artificial intelligence and machine learning at O9 Solutions, brings over 12 years of expertise to the field. His deep understanding spans AI, distributed systems, and software engineering, making him a valuable asset in shaping the future of intelligent technologies. Vanga's dedication to innovation is evident in his multiple patents related to AI systems, showcasing his commitment to pushing the boundaries of what's possible. With a proven track record of success, Vanga's insights into the future of advertising, particularly the role of generative AI, are well worth considering.

Disclaimer: This article is a paid publication and does not have journalistic/editorial involvement of Hindustan Times. Hindustan Times does not endorse/subscribe to the content(s) of the article/advertisement and/or view(s) expressed herein. Hindustan Times shall not in any manner, be responsible and/or liable in any manner whatsoever for all that is stated in the article and/or also with regard to the view(s), opinion(s), announcement(s), declaration(s), affirmation(s) etc., stated/featured in the same.


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Published: 23 Feb 2024, 06:56 PM IST
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