As the holiday season approaches, businesses are searching for ways to stand out and deliver memorable customer experiences. AI is emerging as a game-changing tool in holiday marketing, offering the ability to enhance customer journeys and drive significant business results. In our latest webinar, we explored the latest AI innovations that are transforming holiday campaigns, from boosting sales to optimizing engagement strategies. A panel of retailers also shared their real-world success stories with harnessing the power of AI
What we learned:
- How Gen AI can create holiday magic
- How industry leaders are using AI
- Effective tools for segmentation and product planning
Speakers:
- Tierney Wilson, CMO & CDO, Sakara Life
- Kristi Carlson, VP, Digital Technology, Kendra Scott
- Andrew Tweed CMO, 1800FLOWERS
- Jason Seeba, CMO, Session AI
- Moderated by: Jill Dvorak, Chief Content Officer, CommerceNext
Watch the replay here or read the recap below.
Creating Holiday Magic with Gen AI
Gen AI is gaining traction, particularly in content creation and personalization. A prime example is PopSockets, which uses Gen AI to let customers design customized phone grips instantly. While this is a positive example of enhancing the customer experience, it also raises concerns about AI and authenticity. A recent controversy involved an ad for Google’s Gemini, where AI was used to draft a fan letter, sparking debate over AI’s role in creative processes. As you plan holiday campaigns, it’s essential to balance AI innovation with genuine, human experiences.
How Industry Leaders Are Using AI
The AI journey has been successful for companies like Sakara Life, Kendra Scott, 1800FLOWERS and Session AI which are embracing this technology to drive future growth and innovation.
Kendra Scott is leveraging AI through several pilot programs developed after a 12-week engagement with an AI consultant agency. The company uses machine learning models to analyze purchase data and customer behavior, predicting product preferences and segmenting customers for targeted marketing. They also have expanded virtual try-on features for items like earrings and necklaces, and integrated AI chatbots to improve customer support and service efficiency.
At 1-800-Flowers, the aim of AI is centered around creative content and audience segmentation. The company is utilizing AI to enhance video production, photography and copywriting, as well as to refine audience segmentation.
“The fast-paced evolution of AI means that just as the team feels they have a solid understanding, new advancements push them to revisit and learn more, making it a continuous journey of innovation.” — Andrew Tweed CMO, 1800FLOWERS
At Sakara Life, AI is being leveraged across multiple areas to enhance both customer experience and business operations. In marketing, Sakara Life is utilizing machine learning to analyze consumer behavior data, which helps in creating and developing campaign strategies and messaging. On the creative side, AI assists in the ideation process and is being tested in post-production editing, offering significant time savings. They use AI to synthesize feedback from customer surveys, which provides valuable insights for both product development and ecommerce merchanidising strategies.
Effective Tools for Segmentation and Product Planning
At Kendra Scott, they are emphasizing investing in AI platforms that give them more control over segmentation and data analysis. For instance, they’ve adopted DataRobot, which not only provides robust AI capabilities but also features a user-friendly interface that empowers their business teams to do their own data analysis and build targeted segments.
“This approach allows us to directly feed those segments into our CDP or CRM systems, enhancing our personalization efforts. While we use specific AI tools for areas like our chatbot, we prioritize owning the segmentation process, enabling us to be more precise and hands-on with our merchandise planning and personalization strategies.” — Kristi Carlson, Kendra Scott
Sakara Life is focused on maximizing the potential of its current tools and resources. They are strategically working with vendors to explore and test new AI features that can enhance their operations. Using Segment as its CDP, Sakara Life is taking advantage of its advanced AI capabilities for improved segmentation. Additionally, they are in the early stages of developing custom AI solutions, including training their own language models to support their expanding product lines. This approach allows them to build internal expertise and adapt quickly. They suggest engaging team members who are passionate about AI. Your brand can leverage its interest to accelerate innovation and drive effective results.
Finally, at 1-800-Flowers, the target on segmentation and merchandise planning is closely tied to their mission of creating meaningful connections through gifting. The company leverages data to uncover unique gifting relationships and opportunities, which then inform its marketing strategies. For example, they identified a gap in targeting individuals involved in wedding-related events, such as friends and future in-laws, and responded by developing premium products like a Belgian chocolate bride-and-groom strawberry. This approach reflects their strategy of moving toward higher-margin products while tailoring their offerings to specific segments. The tools they use are designed to be user-friendly and accessible, ensuring that the entire team can effectively manage segmentation and product development without reliance on a single person.
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