Jump ahead to:
AI - Artificial Intelligence
A recent survey by Accenture reveals a growing trend among Chief Marketing Officers towards ramping up investment in artificial intelligence and data analytics for 2024. This increase, particularly in generative AI, could have notable implications for radio revenue.
According to the survey, 80% of CMOs plan to escalate their AI and data spending over the next year, a significant uptick from 57% in 2023. 47% aim to allocate funds for AI in marketing, a realm where radio has historically relied on traditional methods. 64% of respondents plan to invest in generative AI for customer service applications like chatbots.
Accenture also highlighted the growing familiarity with AI among CMOs and their teams. Over 70% of the CMOs said that generative AI is enhancing their workforce skills. About 70% have already provided generative AI training, suggesting a workforce increasingly adept at harnessing AI capabilities.
CMOs are adapting AI algorithms to analyze user behavior and use those insights to offer personalized content, recommendations, or promotions. This is commonly used in predictive marketing analysis to forecast customer behavior, sales trends, and marketing campaign effectiveness. Artificial intelligence can also automate the process of A/B testing, making it faster and more efficient to determine the most effective approach to any marketing problem.
In the radio industry, some of these AI applications could be particularly beneficial. For instance, predictive analytics could forecast listener behavior, while chatbots could handle listener queries during live shows. Personalization algorithms could also tailor advertising content to individual listener preferences, potentially increasing listener engagement and advertising revenue.
While generative AI has made strides in customer service through the deployment of conversational chatbots, its application in marketing remains a bit more challenging. Nonetheless, generative AI offers promising tools for creative material generation, such as ad copy. For radio stations, this could mean more personalized and effective advertising, thereby increasing advertising revenue.
For radio stations looking to adopt new technologies to modernize their operations and generate additional revenue streams, such an expansion could lead to even more breakthroughs in 2024. It remains to be seen how much of radio’s resources will be put into artificial intelligence, alongside the majority of CMOs.