Improving holiday marketing campaigns with AI

Brands that use AI-powered tools can often unlock new customer segments that they might not have thought of, says Meta's Anna Germanos

Credit: Freepik

This year is gearing up to be a big one for digital marketers as the first ever AI-powered holiday season.

AI is taking center stage across the advertising industry with more tools available to marketers than ever before.

To help make the most of the first AI-powered holiday, We have shared best practices, resources and tips so that businesses – big and small – can get the most out of their holiday campaigns.

Brands that use AI-powered tools can often unlock new customer segments that they might not have thought to target themselves.

Forrester analyst Jay Pattisal recently shared, “When AI is combined with your brand’s creative process, what emerges is intelligent creativity… Through this approach, marketing becomes smarter, the creative process becomes faster and human imagination is free to focus on creativity when enhanced by the speed, scale and precision that AI and intelligent automation provide.”

This trend has become more and more popular with advertisers that are leaning into Meta’s suite of AI powered tools, like Advantage+ shopping campaigns (ASC), to drive improved results.

AI shopping campaigns helps businesses find new customers by automating the targeting and delivery of ad campaigns.

This allows them to gain insight into what ad creatives perform best, and what campaign components to shift to unlock new audiences.

By Anna Germanos – Group Director FMCG, Luxury, Retail & E-commerce (MENA) at Meta

Now that marketers are finding new customers with AI-powered tools, they are learning that compelling ad creative is a new targeting strategy. And they’re seeing improved campaign performance as a result.

For example, Home Center, a leading home furnishings retailer in the GCC, saw a 82% decrease in cost per purchase and 40% lift in return on ad spend.

Level Shoes, a luxury multi-brand footwear retailer in UAE and KSA, saw a 92% higher return on ad spend (ROAS) in KSA, and Ounass, the MENA online luxury marketplace, saw a 19% lower cost per purchase .

Even in beauty and restaurants, Kiehl’s beauty brand has seen 2.1X higher purchase volume and 53% lower cost per purchase, while Hardee’s saw a 41% lower cost per checkout.

Businesses can also up their creative game by leveraging tools that use AI to help advertisers automatically apply small enhancements like adjusting brightness, aspect ratios and text placement to improve the performance of ad creative.

In a large-scale study measuring incremental effects, we found that ads that AI tool-based enhancements delivered 14 per cent more incremental purchases per dollar spent.

Generative AI is also making a splash this season, helping marketers develop ad creative faster than ever before.

We see generative AI providing the most value to the feedback loop, helping marketers get an idea of what an ad could look like before investing in production.

Finally, to help more businesses make the most of AI-powered tools, we’ve released a new Holiday Hub and Guide featuring best practices and tactical guidance to maximise ad performance.