TL;DR

Google’s Monopoly With The Help Of AI

Analysis: Personalization Will Define Our Generation And AI Will Be The Driver

In the same way that the Industrial Revolution drastically altered physical production, the AI revolution is set to transform digital production. A deep dive into the digital trends that are increasingly impacting Gen Z showcases this shift.

Take TikTok's Bean Soup phenomenon.(Creators share their favorite bean soup recipes). To the average observer, it may seem like a mere meme. Yet, it underscores a broader cultural trend: the "What About Me Effect." The sentiment behind this phenomenon is the growing expectation for experiences to be hyper-personalized. It's a reflection of our times, where content and products must cater to the unique tastes of each individual.

Over the past few decades, American culture has made a noticeable shift from communal values to individualistic ones. The emphasis on individuality is evident everywhere—from literature and media to our very living arrangements. The evolving tech landscape has both influenced and enabled this shift. The rise of direct-to-consumer brands in the 2010s is a prime example, with businesses promising consumers tailored solutions across sectors, from skincare to fashion.

The entertainment domain isn't left untouched either. "Peak TV" is a testament to the hyper-personalization of content. Platforms like YouTube, Instagram, and TikTok curate content tailored to our preferences. Behind the scenes, companies like Klaviyo empower brands to deliver a more customized marketing experience.

But what's driving this personalization wave? At its core, it boils down to making consumer experiences more convenient, affordable, and enjoyable. Technological advancements, especially in AI, are paving the way for even deeper levels of customization.

Several startups are already capitalizing on the personalization trend, offering tailored solutions across industries. From health to fashion and education, AI's capabilities are set to redefine how products and services are conceived and delivered.

Historically, technological shifts have always played a part in shaping consumer behavior. The Industrial Revolution brought about the era of mass production, enabling an array of consumer choices. With the advent of the internet, this choice extended to niche communities and content. And now, AI stands to amplify personalization even further, crafting unique digital experiences tailored for every individual.

In essence, while the 20th Century was characterized by mass consumption, the 21st Century is shaping up to be the age of "bespoke consumption." It's an era where products and services aren't just for the masses but tailored to individual tastes and preferences. Here is an excellent analysis of the hyper-personalization trend.

What does this mean for ecommerce sellers?

The hyper-personalization of everything isn't just a trend—it will be the new normal. The question is how are you, as an ecommerce seller, going to adapt your services, offering, marketing and everything else to deliver on this. AI can be a massive piece of that puzzle.

Meta’s Rolls Out AI For Advertisers

Meta introduced its first generative AI tools for advertisers, enabling the creation of varied ad backgrounds, image expansions, and multiple ad text versions. The tools are aimed at simplifying asset modifications to suit different product displays like Feed or Reels, akin to Meta's consumer tool, Backdrop, but tailored for ad creation. Initial tests with a select advertiser group showed a potential time-saving of five or more hours per week.

These features are accessible through Meta's Advantage+ catalog, promising significant time savings in ad customization. Future AI features are hinted at, including improved ad copy generation and AI-powered customer interaction on WhatsApp and Messenger.

This development follows Meta's broader agenda of AI integration across its platforms, revealed at the Meta Connect event alongside other products like the Quest 3 mixed-reality headset.

What does this mean for ecommerce sellers?

To be fair, it was just a matter of time. Meta has been AI-ing over everything and so given advertising is still its core business it makes sense to roll out AI suite to help advertisers. My bet is that very soon you won’t need a Paid Social agency to manage your campaigns (this is not the case right now but just give it a year of AI.)

The Quick Read:

If You Missed It:

I had a great convo with Norm last Wednesday about AI and how Amazon sellers can leverage it in order to become better operators. If you missed it, you can watch the replay here.

Today’s Content Spotlight:

I’ve put together a neat little guide to help you use ChatGPT to build your own hypothesis-testing framework for Paid Social. To be fair though, you can probably use it for other channels too.

Click here to get the full piece.

The Tools List:

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