In 2024, the industry will overtake itself. This is because the now ubiquitous artificial intelligence is accelerating developments in marketing to such an extent that this article should actually be updated here on a weekly basis. So let's put the brakes on for a moment and take a look at the current booth in retail sports marketing.
One thing first: artificial intelligence will no longer be a trend in 2024, but a basic technology that will revolutionize marketing. The technology will change how brands identify, understand and engage with their customers. Generative AI is experiencing huge leaps in development and, according to a survey by Bitkom, 74% of German companies are planning to invest in artificial intelligence from 2024. So anyone who is still hesitant to engage with AI, its benefits and implementation options can only see the train of satisfied customers on the horizon. We therefore present six topics that will bring completely new benefits for retail sports marketing in a short space of time through the use of AI. And yes, of course AI also had a hand here and there in the creation of this text ...
The most exciting sports marketing trends at a glance:
1. hyperpersonalization
2. social commerce
3. user, customer and employee experience
4. fake out-of-home (FOOH)
5. AI model influencer
6. cookieless targeting
So just dump data into an AI and the customers are happy? It's not quite that easy. There are a number of challenges in terms of data quality and data protection. Algorithmic transparency, overfitting, bias, real-time adjustments and customer acceptance are further challenges. In addition, the measures often have to be integrated into existing systems and then continuously optimized. "When looking at the supposed technical hurdles in digitalization, the lack of networking of systems, unclosed customer data chains or apps that do not have or support e-commerce functions are still the main ones," confirms Prof. Dr. Dirk Mazurkiewicz, Dean of the Business and Social Sciences Department at Koblenz University of Applied Sciences, in the trade magazine Stadionwelt.
Score points with the right data
Effective hyper-personalization therefore primarily requires high-quality data, whereby modern smartphone apps with loyalty programs and mobile payment are helpful, provided they guarantee data protection and transparent communication. For example, sports clubs could use AI-supported fan apps to offer targeted content in order to build a bond with their fans, automatically and based on empirical knowledge. Discount codes for drinks are then based on individual preferences and fan hats are only offered at temperatures below 10 degrees.
Social commerce offers opportunities for retail sports marketing
However, the development of such platform ecosystems is rapid worldwide. TikTok is currently in the process of activating its new store function in more and more countries. The advantages are obvious: people with the TikTok app use the channel around two hours a day. Many influencers already advertise products in their TikTok videos. Thanks to the store, they can now sell directly in the app. The aim is to compete with established shopping giants such as Amazon. For its part, the online retailer recently launched "Amazon Inspire" in the USA. This in-app shopping feed shows users personalized recommendations and inspiration via photos and videos. "Inspire is a place where you can discover and shop for new products," writes Amazon. Customers can also create their own "shoppable posts" and recommend items to other users. Social media and e-commerce will therefore increasingly merge into social commerce by 2024 at the latest.
Augmented reality (AR) will continue to be very popular in the CX sector in 2024. 3.2 billion was already spent on AR campaigns worldwide in 2022. And rightly so, as studies have shown that AR experiences lead to higher engagement, higher recall and higher conversion rates. AR is becoming increasingly popular in the fashion industry in particular, making it possible to try on clothes and shoes virtually. The technology reduces the need for physical samples as well as the return rate and therefore also waste and environmental impact. ISPO Award winner Hezo Cycling is already using the technology to determine the dimensions of 3D-printed cycling shoes from buyers.
The new Apple Vision Pro headset, which has recently been launched on the US market, could become a CX game changer. The "mixed reality headset" combines AR functions with virtual reality applications, creating a completely new interface between the real and digital worlds.
Retail sports marketing in the (semi-) virtual space
Decathlon launched an immersive shopping experience app for Apple Vision Pro in the USA at the beginning of February. In it, people can view a selection of outdoor and cycling products, including viewing them in 3D in their personal environment, learn stories about the products and, of course, buy them. "Customers can enter our tents or test our new bikes in 3D from the comfort of their own home - a revolution in the shopping experience," says Barbara Martin Coppola, Chief Executive Officer of Decathlon.
The acceptance of AI models is increasing and the technology is increasingly blurring the boundaries between fiction and reality. AI-generated video content will also soon be so advanced that it will be almost impossible to tell the difference. Thanks to tools like AiVatar, videos with AI models can now be created in no time at all. Of course, the authenticity of a brand, which is highly valued on all sides, cannot be represented with AI models. Nevertheless, the potential of AI in the influencer business cannot be overlooked.
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