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The Four Pitfalls of Using AI in Small Business Marketing

hands typing and using ai in small business marketing at a computer

As a small business owner, your in-box may have been flooded with offers from companies that rely on AI or artificial intelligence-based marketing to promote their services. While AI may seem like a cost-effective way to promote your company, it’s important to be cautious when working with companies that rely heavily on this technology. Here are four reasons why:

  1. Lack of Personalization

One of the biggest drawbacks of relying on AI marketing in small business is the lack of personalization. AI marketing uses algorithms to analyze data and make decisions about how to target potential customers. While this approach can be effective for large businesses with vast amounts of data, it doesn’t always work well for small businesses with smaller, more niche target markets like those in the Texas Hill Country.  These companies need a more personalized approach to marketing that considers the unique needs and preferences of their local customers.

  1. Limited Creativity

Since AI marketing is based on algorithms and data analysis, it is limited in terms of creativity. Although AI can analyze data to identify trends and patterns, it may not be able to generate new and innovative ideas for marketing campaigns. Small businesses often need creative, out-of-the-box thinking to stand out in a crowded marketplace.

  1. Lack of Human Touch

AI marketing is highly automated (as in its name “artificial”), which means there is a lack of human touch in the marketing process. Small businesses often need a more personal approach to marketing that involves building relationships with customers. AI marketing sometimes feels impersonal and robotic, which doesn’t always resonate well with small business customers.  Plus, there is no substitute for one-on-one human connections.

  1. Risk of Bias

AI algorithms are only as unbiased as the data on which they rely. This is a problem for small businesses needing a more diverse and representative approach. You cannot trust that AI is accurate or unbiased, which is why expertise matters in the content as well as tone and feel for your specific target audiences.

If you’re considering dipping your toe into the world of artificial intelligence in small business marketing, beware of this “canned spam” and the robotic approach to marketing.  At Marsh and Mihaly Marketing Group, we believe in developing highly strategized campaigns that are customized for our unique clients and the target markets they serve.  Contact us to find out how our team of humans can help you!

Dee Marsh and Dana Mihaly are seasoned marketing experts dedicated to serving local businesses in the beautiful Texas Hill Country.  With over 50 years of combined experience in traditional and digital marketing, they pride themselves on developing strategic campaigns that resonate with customers and drive business growth.