Intelligent Data Driven Marketing When Physicists Start Thinking About Marketing

Intelligent Data-Driven Marketing: When Physicists Start Thinking about Marketing

Following Einstein’s sentence: “Everything should be made as simple as possible, but not simpler. If you can’t explain it simply, you don’t understand it well enough,” this book puts a spotlight on the complex marketing ecosystem from a physicist’s point of view. Today’s marketing world is overcomplex; CMOs face the challenge to transform their current target operating models towards a 100% customer-centric and data-driven way of working. A journey from good old mad-men toward math-men marketing. This book consists of three parts: The first part strips down the complexity of the marketing universe to the leanest frame of reference and then brings back the complexity, step by step, in single dimensions. Part two and three just follow these thoughts and provide a detailed description of 56 small atoms that can be used in a maturity assessment of your marketing. How to use them in a broader transformation concludes the book. In summary: An end-2-end guideline how to pursue and master the transformation from mad-men towards a math-men marketing operating model.

Intelligent Data-driven Marketing

Algorithmic Marketing and EU Law on Unfair Commercial Practices

Artificial Intelligence (AI) systems are increasingly being deployed by marketing entities in connection with consumers’ interactions. Thanks to machine learning (ML) and cognitive computing technologies, businesses can now analyse vast amounts of data on consumers, generate new knowledge, use it to optimize certain processes, and undertake tasks that were previously impossible. Against this background, this book analyses new algorithmic commercial practices, discusses their challenges for consumers, and measures such developments against the current EU legislative framework on consumer protection. The book adopts an interdisciplinary approach, building on empirical findings from AI applications in marketing and theoretical insights from marketing studies, and combining them with normative analysis of privacy and consumer protection in the EU. The content is divided into three parts. The first part analyses the phenomenon of algorithmic marketing practices and reviews the main AI and AI-related technologies used in marketing, e.g. Big data, ML and NLP. The second part describes new commercial practices, including the massive monitoring and profiling of consumers, the personalization of advertising and offers, the exploitation of psychological and emotional insights, and the use of human-like interfaces to trigger emotional responses. The third part provides a comprehensive analysis of current EU consumer protection laws and policies in the field of commercial practices. It focuses on two main legal concepts, their shortcomings, and potential refinements: vulnerability, understood as the conceptual benchmark for protecting consumers from unfair algorithmic practices; manipulation, the substantive legal measure for drawing the line between fair and unfair practices.