Zack Rosenberg, cofounder and CEO of Qortex [Formerly CatapultX]
Qortex is a Montclair-based company that’s pioneering on-stream, scalable in-video experiences matched to content through its proprietary AI technology. By scanning each video frame by frame, it can identify moments in the content such as actions, events, feelings, products and people to improve performance and generate action.
With the release of ChatGPT and AI-based image generation becoming more approachable in social media, AI will become normalized. More companies will be looking at use cases within their businesses, especially in advertising and marketing.
Here are a few key predictions of what the industry can expect in 2023:
1. Brand Safety Becomes a Priority – With AI integrated into companies’ advertising plans, brand safety will become a priority. Companies will take extra care to ensure that their advertisements and content appear next to relevant and appropriate material. This means a more robust auditing process, ensuring that a brand’s message is delivered to a highly targeted audience that won’t be averse to viewing its content.
2. The Continued Rise of CTV – Connected TV (CTV) will continue its meteoric rise as a viable ad format, especially with the integration of AI into the equation. CTV advertising can provide more precise targeting and better results due to AI capabilities such as contextually relevant ads within a streamer’s library or a viewer’s history. This means that companies can get a return on investment faster than ever before.
3. Improved Business Efficiency – AI in advertising will greatly improve business efficiency and effectiveness by optimizing processes like media buying, audience segmentation and creative optimization. With a better understanding of a company’s target customer, AI-based advertising can become a powerful tool for driving customer acquisition and retention.
4. Natural Language Processing – Natural language processing (NLP) will continue to be a focus in AI-based advertising, as it’s a great way to reach a broader audience. NLP can automatically detect the tone of a conversation and understand a user’s intent, allowing companies to craft more relevant and personalized messages within their advertising, narrow down targeting within contextual advertising and utilize NLP to improve automated customer service and help desk functionality.
5. Attention and Recognition – Using AI to determine real, measurable brand recognition, lift and awareness post-advertising campaigns will rise in popularity as a way to ensure that ads are not only seen, but really paid attention to.
6. Video Growth through the Roof – Video is primed to experience the biggest growth in spending year over year, given that a large percentage of internet traffic is directed to videos. Along with video advertising spend growth, additional use cases within AI and video such as video analysis, moment-based marketing and video creation will arise.
7. AI Will Drive Startup Growth – AI will help increase a startup’s scalability, efficiency and effectiveness. For instance, AI-based advertising can drive customer acquisition in ways that startups don’t necessarily have the resources to do on their own.
As we move through 2023, the implications for AI in advertising and marketing will become more and more evident. All signs point to a competitive landscape, with companies vying for a foothold in current and emerging markets that are powered by AI capabilities. As these technologies continue to evolve, so will the ability of companies to leverage them and gain a competitive advantage in their respective industries.
Companies that are willing to invest in AI-based advertising will be sure to gain a competitive edge over those who don’t. The question is no longer if AI-based advertising, marketing and data utilization will be adopted, but when it will be adopted. And the time is now!