Artificial Intelligence Serves to Unravel the Reasons Behind Engagement Levels
Artificial Intelligence Serves to Unravel the Reasons Behind Engagement Levels
What are some significant impacts artificial intelligence might have on businesses?
Gather ten different people, and you'll likely receive ten distinct responses. Sometimes, we form concepts about how this transformation may unfold, surfacing from professionals who have witnessed the evolution firsthand for years.
A Chronicle of Creativity
One such individual is Ed Baker. His journey commenced in the late '90s as a student at Harvard, followed by a degree from Stanford. He then ventured into Facebook, subsequent to Uber, and later designed an application named Whoop – a health and fitness app. Baker also founded Friend.ly, Datesite.com, and an app where individuals could rate friends and classmates by generating 'hotness' notifications.
Throughout his journey, he amassed a wealth of knowledge in engagement and conversion rates, alongside a concept he calls the 'viral loop.'
During a recent TED talk, Baker delved into select inventions from his college days, predominantly focusing on dating websites and social media platforms (see details below).
He highlighted particular metrics that could enlighten stakeholders on the impact of their innovations. These include the K-factor and thorough examination of life cycle activity to determine the percentage of users transitioning to secondary engagements.
Experimentation and Cultural Norms
As Baker elaborated on evaluating consumer engagement, he presented two instances where insipid results were rejuvenated through innovative strategies.
The first case manifested in Facebook's Japanese market, where users seldom extended invitations to join the platform. Upon investigation, they discovered that Japanese culture attached stigma to invitations, resulting in Baker suggesting a language adjustment which, in turn, significantly boosted participation.
The second example stemmed from Uber's operations in India, where users seemed reluctant to provide credit card details. A simple modification providing the option for cash transactions significantly improved user engagement.
Synthetic Intelligence Streamlines this Process
So, what does this have to do with AI?
Without human intuition and resulting investment in research and exploration, such accomplishments would not have materialized. An individual needed to identify the factors contributing to suboptimal conversion rates and orchestrate experiments to optimize these issues. Artificial Intelligence, however, can replicate this process without human intervention at all.
Future software programs will perform these adjustments, experimenting with fresh angles and concepts. Furthermore, they'd be able to identify the most profitable approach without the inhibitions humans may possess. For example, Uber's CEO supposedly conveyed this sentiment at the end of an operationally successful venture, "I hate you guys, and I love you guys," – referring to the team's audacity.
Artificial Intelligence will not incur any reservations concerning experimentation. In fact, it has been privately experimenting through A/B testing for years.
Marketers functionally divide two different outcomes and measure the effectiveness, thereby fostering this type of exploration that had been unspoken in the past.
In essence, A/B testing elevates the sophistication of mass marketing campaigns.
Artificial Intelligence will complement this across every sector and business tier, leading to an unprecedented transformation – a game-changer. And this transformation largely boils down to Baker's explanation of engagement, which relies upon intricate human behavioral traits, enabling AI to identify and address these aspects when required.
In the realm of consumer tech and media, Ed Baker's insights from his experience at social media platforms and dating websites demonstrate the significance of understanding and addressing cultural norms for improved user engagement. This process of experimentation and optimization, often referred to as A/B testing, can be streamlined by synthetic intelligence, enabling AI to conduct experiments and identify the most profitable approaches without human inhibitions. Therefore, AI has the potential to catalyze a digital transformation in the media and consumer tech sectors.