HS Ad: Using AI to Identify Customer Segments Boosted Purchase Conversion by 2.1 Times

[Financial News] HS Ad is seeing results after introducing marketing that analyzes customer data with artificial intelligence (AI).
According to HS Ad on the 25th, the company is using AI to analyze brands' customer relationship management (CRM) data and identify target audiences for advertising. CRM refers to data accumulated by brands, such as purchase history, purchase cycles, and coupon usage.
When HS Ad applied this method to the marketing of a health supplement brand over the past three months, the conversion rate (CVR) was 2.1 times higher than that of general target ads. Based on the company's own purchase data, the average purchase value was 18% higher.
The conversion rate among customers with no purchase history for a certain period was seven times higher.
HS Ad carried out the project in collaboration with MarketTab, an AI-based CRM marketing solutions company.
An HS Ad official said, "This project is an example of how AI can refine which customer groups should be targeted for advertising," adding, "We will continue to strengthen marketing that connects AI and data to increase customer value."
[email protected] Kang Myung-yeon Reporter