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AI In Marketing Strategies: Your questions answered

August 11th, 2023

Wednesdays at 2 pm EDT we hold an AI Guild briefing. Chat with MECLABS AI if you would like to register to attend.

In the session, marketers and entrepreneurs can ask questions in the webinar chat. And we answer a few of them right here…

How do you determine when to use Claude vs MECLABS AI?

Claude is a generative AI chatbot that doesn’t have a specific purpose. Although from my personal use, it is very good with large amounts of text, more so than any other generative AI I’ve tried, lending it especially well to tasks like analyzing webinar chat logs, selecting quotes from transcripts, giving feedback on long articles, and similar tasks.

MECLABS AI (available to MECLABS AI Guild members) does have a specific purpose – headlines, value propositions, and other marketing, which makes it better for marketing specific tasks.

MECLABS is built on ChatGPT, but trained with the MECLABS methodology. Since Claude is a more general AI, it is trained on all marketing-related information, not only successful marketing practices.

I also wanted to mention, that while the questions have lately focused on AI chatbots, there are other types of generative AI, like text-to-image models. Flint McGlaughlin teaches an example in Sales Funnel Design: How to combine an “old school” journal, a web page builder, and DALL·E.

How do you overcome the 2,000-character prompt limit on Bing AI?

Here’s a fun little trick. The 2,000-character prompt limit on Bing AI only applies to the ‘more balanced’ conversation style. If you choose the ‘more creative’ or ‘more precise’ conversation style, your prompt limit doubles to 4,000 characters.

Bing AI

Nice, but maybe still not enough for what you want. There are two options I can see.

One, you could use Claude. Again, Claude can consume some very long prompts.

However, on the downside, Claude is a self-contained chatbot and not connected to the internet like Bing. If you need internet connection, you could always treat Bing like a customer and take a Micro-Yes Sequence approach. Map out your information (like you would a customer journey) and spoon feed it along a path for each response.

Even that is not limitless though. I’ve seen data that show Bing has a limit of anywhere from five to 20 chat turns per session. I’m not sure the exact limit, but from my experience it varies based on the topic and length. And for what it’s worth, at some point Bing just acts like it is ‘just so over’ the string of conversation and wants to start a new one. I’m not sure if it’s a feature or a bug, but it reminds me of my teenage daughter.

When you go to Claude, is that automatically Claude 2?

Yes… and no.

When you go to the Claude website, you are automatically using Claude 2, which was released in July 2023. (And as I’ve mentioned before, the most exciting thing to me about Clause is the amount of information it can process. “Claude 2 has been trained to have a further expanded context window of 200K tokens, corresponding to roughly 150,000 words” according to Model Card and Evaluations for Claude Models).

Why you even have to ask this question, and what is interesting to me as a marketer – when you visit the Claude website, it doesn’t mention a model number. This is very different from ChatGPT, which clearly displays that you are using GPT-3.5 and even shows you the ability for a paid upgrade to GPT-4.

When I ask Claude itself the reason for this, it states, “The choice aligns with Anthropic’s overall philosophy of developing AI responsibly, with a focus on user benefits rather than technology marketing. But these are just my speculations on Anthropic’s possible motivations. The company may have other reasons as well.”

If this is the case, I think it’s a bit of company logic. While ChatGPT’s use of model numbers is a marketing tactic to try to show progress and encourage upsells (just like when I bought a Samsung S23 although I would have been totally fine with the S22), it’s also a little more transparent. And with the amount of hesitancy and outright fear around AI, a little transparency is a good thing.

Can you use custom instructions on the ChatGPT version that’s in Bing?

No. As of right now, custom instruction is only for ChatGPT Plus (the paid version), and not yet available in the UK and EU. You can read more about ChatGPT customer instructions in Choosing Your AI Partner: A critical comparison of ChatGPT and Claude 2 for digital marketing.

What is Priority One if we’re going to move into these methodologies? How do we figure out where to start?

This question refers to the AI prompt methodology Flint McGlaughlin presented in this week’s briefing and LiveClass.

Like any type of conversion optimization (which this still is, even if AI is assisting you), start where you will have the most impact.

Here is an example (from Web Optimization: VacationRoost implements 2 testing methodologies to boost total conversion rates by 12%.):

Upcoming tests are elected based on a prioritization spreadsheet.

While many testing teams may allocate importance to factors such as volume and bounce rates, VacationRoost’s spreadsheet is organized by which level in the funnel the page or test would impact.

“Really what you want [to ask] is, ‘What’s going to have the most dollar impact on the organization?'” Hutchings explained.

He added that the pages leading into the purchase funnel rise to the top of the testing docket because of the likelihood of increasing conversion for the whole site is far greater on those types of pages.

I used the suggested prompts to do the competitor analysis and as my website is new, it kept referring back to the content of a website that had a similar name, even when I provided my URL.  Does anyone have any other suggestions on what I can do in my prompts?

Then you may have to do this a little manually, so to speak. And here is where Claude can come in handy, since it can accept such a long prompt.

Copy and paste key information from your website (like your homepage, maybe other key pages) along with competitors’ sites into individual text files and attach them to your Claude prompt using the paper clip icon, telling Claude what you are including.

In general, answers that we get from ChatGPT, are text rich. Is that something we use as a reference or work to absorb it?

Everyone has a different working preference. But remember, the great thing about generative AI is that you don’t have to settle for the first output. If it is too long for you, tell ChatGPT what length you are looking for. Here’s an example…

I used the Prompt Kit (available to MECLABS AI Guild members) marketing prompt for audience research, and got this output from ChatGPT:

Certainly, as a marketing professional, I recognize the transformative potential of artificial intelligence (AI) in the marketing field. Yet, there are still substantial challenges in implementing AI effectively. Here’s an analysis of three major challenges, their causes, impacts, and potential solutions.

  1. Challenge: Data Privacy and Compliance
  • Why it Exists: AI relies heavily on data for personalization and targeting. The ever-changing regulations surrounding data privacy, such as GDPR and CCPA, create complexity.
  • Impact on My Life: Ensuring compliance with various regulations demands extensive legal oversight and continuous adaptation of AI algorithms, consuming both time and resources.
  • Potential Solutions: Implementing strict data governance policies and utilizing AI models that prioritize data anonymization can help. Collaborating with legal experts specializing in privacy law is also essential.
  1. Challenge: Integrating AI with Existing Systems
  • Why it Exists: Many organizations have legacy systems that aren’t built to support modern AI algorithms, leading to compatibility issues.
  • Impact on My Life: Integrating AI into these systems can be labor-intensive, time-consuming, and may create bottlenecks in marketing processes.
  • Potential Solutions: An incremental approach to integration, supported by a cross-functional team including IT experts, could streamline the process. Adopting flexible AI models that can be adapted to varying systems might also ease the integration.
  1. Challenge: Bias in AI Algorithms
  • Why it Exists: AI models are trained on historical data, and if that data contains biases (gender, racial, etc.), the model may perpetuate those biases.
  • Impact on My Life: Using biased AI models can lead to unethical targeting and representation in marketing, potentially damaging the brand’s reputation.
  • Potential Solutions: Regular audits of AI algorithms, involving diverse teams to understand and minimize biases, and utilizing fairness-aware algorithms can help overcome this issue.

Summary:

The integration of AI in marketing presents valuable opportunities but also notable challenges related to data privacy, system integration, and algorithm biases. By adopting robust legal compliance measures, embracing a cross-functional integration strategy, and rigorously auditing algorithms for bias, these challenges can be mitigated. This thoughtful approach to AI implementation aligns with the ethics and efficiency that today’s marketing professionals strive to uphold.

I then told ChatGPT, “What is the single most important thing I should know from your analysis?” To which it responded…

The single most important insight from the analysis is that while artificial intelligence presents immense opportunities for marketing, its responsible and effective implementation requires careful consideration of legal compliance, integration with existing systems, and the elimination of biases. The underlying theme is that success with AI in marketing demands a strategic approach that balances technological innovation with ethical considerations and compatibility with existing infrastructure.

Should we have already put the custom instructions into ChatGPT when we enter this prompt?

All else being equal, ChatGPT will serve you better with custom instructions because it will understand the context of your business and your customers.

But you can use any of the prompts in the Prompt Kit (available to MECLABS AI Guild members) without using custom instructions.

Again, if you want to learn more about custom instructions, you can read our last Q&A post – Choosing Your AI Partner: A critical comparison of ChatGPT and Claude 2 for digital marketing.

Would it be worth doing a few interviews with some of the people who have and haven’t purchased from our email sequence to understand the person behind the numbers?

Yes, I love that idea. That is a great example of increasing customer intimacy.

If you’re not able to go that far, you could send emails that people can reply to (in other words, not from a ‘no reply’ email address which some companies do) and make it clear in the email that replies are welcome.

Keep in mind, with this approach you will only hearing from the extremes, so take what they say with a grain of salt. But if something is truly outstanding or really horrible, you may hear about it. And you may also get a good understand of the words customer use to discuss your product or service.

For the pre-test success metric, is it important for this KPI to have large amounts of data? So for example if I wanted to use sales as my pre-test success metric but my volumes are not in thousands, is that a problem? Where is the biggest opportunity?

This is a question about A/B testing. To quickly explain a complex topic, if your results aren’t statistically significant, what you might be seeing is just random chance. An extreme example: 2 sales is a 100% increase over 1 sale, but that increase might just be random and not because of what you were testing (we explore this topic deeper in Factors Affecting Marketing Experimentation: Statistical significance in marketing, calculating sample size for marketing tests, and more).

Which begs the question – “so how many samples (sales, clicks, etc.) do I need?”

There is no one specific answer. The answer will vary based on the conversion rate difference between the control and treatment. The pre-test planning tab of the Simplified Test Protocol (available to MECLABS AI Guild members) will help you calculate that number.

So as the questioner rightly points out, it is difficult to make a number deep in your funnel, like sales, the success metric…unless you get a whole lot of sales.

As for the biggest priority, I would refer you to the above question about ‘where to start?’ However, your answer will be constrained by where you have the budget to get a statistically significant result.

We also have a free Test Planning Scenario Tool that helps you determine the optimal testing sequence.

Related Resources

Benefits of AI in Marketing: How do the views about artificial intelligence in marketing differ between leaders and practitioners? [chart]

AI Marketing Tools: How marketers are using artificial intelligence to help their campaigns right now

Artificial Intelligence and Machine Learning in Marketing: What marketers (even those who don’t care about tech) should know about AI and ML

Choosing Your AI Partner: A critical comparison of ChatGPT and Claude 2 for digital marketing

August 4th, 2023

During AI Guild research briefings and LiveClasses, guild members ask questions using the Zoom chat feature. And we answer those questions right here…

Why Claude 2 vs ChatGPT? It’s important to pick a long-term tool to be able to teach it in depth. So looking to understand the pro’s / con’s.

I’ll challenge the idea of the need to pick a long-term tool (although we’ll get into that in the next question in this blog post).

The biggest difference I’ve seen between Claude and ChatGPT is that Claude can process much larger inputs than ChatGPT. You can even attach files when you message Claude.

This is a key differentiator if you want Claude to analyze a chat log, write a summary based on a transcript, or give you feedback on a long article.

ChatGPT gives you the ability to tune all of its responses to some extent using the custom instructions feature, although this is only available in the Plus subscription for $20 per month. The Plus subscription also gives you access to GPT-4.

The site explains the features as “Custom instructions let you share anything you’d like ChatGPT to consider in its response.” It is not available yet in the UK and EU or the free version of ChatGPT, which is currently using GPT-3.5, but there are plans to roll it out to all users soon, according to OpenAI’s website.

If you choose to upgrade to the Plus subscription, you can turn this feature on by clicking the three dots next to your email address in the lower left, going to the “Beta features” section and moving the slider next to “Custom instructions” to green. Then you will have access to two questions:

  • What would you like ChatGPT to know about you to provide better responses?
  • How would you like ChatGPT to respond?

You could, for example, include information about your ideal customer when answering these questions. If you would like ideas for how to get AI to build a customer persona, AI Guild members can go to the Briefing Notes for MEC200 [08-02-23], scroll down to the “Ken Ducey” group coaching and click the drop down carrot, and read the prompt under “Using GPT and the new Custom Instructions.”

Keep in mind both ChatGPT and Claude have a knowledge cutoff in 2021 (ChatGPT specifics September 2021 and Claude is less specific), so if more recent information is key to your prompts, you should consider AI connected to the internet, like Bing.

I also asked both Claude and ChatGPT about their pros and cons. Like any market leader might say about its challengers, ChatGPT ‘never heard of it.’ In fairness, this is probably literally true. As I mentioned, ChatGPT’s knowledge cutoff is currently September 2021, and Claude was first released in April 2022.

Claude said that ChatGPT has broader capabilities since it was trained on more data, but that Claude does a better job of staying on topic and remembering context from previous conversations. That has pretty much been my experience, and I have been using Claude more because of it. While ChatGPT can have some truly outstanding responses, it can also be wildly off base. I see that less with Claude but it does happen as well.

And in fairness, this has been a challenge with all generative AI tools. For example, a guild member mentioned in the chat that he had trouble with Bing giving fake info then getting upset.

If you’d like more insight about different AI tools, AI Guild members can go to Guild [07-26-23], scroll down to the Prompt School section, and read point #6 “Note the best uses for each of your primary AI platforms.”

Whichever tool(s) you use, the AI won’t do everything. The prompts and prompt stacks you input will significantly impact your results. Flint McGlaughlin walks through an example in Sales Funnel and ChatGPT: 6 ways to leverage AI now to develop a powerful value proposition.

Why do you say ‘no’ long-term use of AI tools? Just because of the rate of change?

Don’t build a house on sand.

Vendor lock in is a challenge with any industry, but the mass adoption of artificial intelligence is so new and moving so quickly that what is true today may already be dated in three weeks, let alone three months or three years.

For example, the ChatGPT feature I mention about for “custom instructions” is listed as a beta feature. And OpenAI states, “As a Plus user, enjoy early access to experimental new features, which may change during development” (my emphasis added).

Now there may be some artificial intelligence you have to lock into on some level. For example, MECLABS AI is built on ChatGPT, the best available option at the time we launched. You might train an AI chatbot and add it to your website or use AI for many different things like media buying. These choices will inherently necessitate placing a bet. But do everything you can to stay as fluid as possible and avoid vendor lock in.

However, when it comes to using generative AI chatbots, they are easily switchable (all you need to do is open a different tab in your browser). So keep your options open, stay curious, and keep playing.

Yes, you would need to teach a customer service or sales AI chatbot you put on your website in-depth information about your company. But I’m unaware of how much any generative AI LLM really learns from your interactions with it between sessions (other than the simple feature mentioned above in ChatGPT). So the downsides of brand loyalty may trump the upsides.

I want to mention another element of not thinking “long term” that goes beyond AI tool selection – designing your offer. Keep enough flexibility in your business model that you can bob and weave and pivot as technology changes. I’m not one to make predictions, but here’s a sure bet – things are going to get pretty interesting over the next few months and years.

To remix a Ferris Bueller quote, “AI moves pretty fast. If you don’t stop and look around once in a while, you could miss a really good business opportunity.”

Anyone have any ideas on how to use AI for lead gen? Specifically, analysis and recommendations to get in front of ideal prospects?

This question sets up the importance of AI prompts.

When I asked Bing AI this question for a wedding industry company with a very low-priced product, I got back some pretty rote answers. For example, “Share success secrets from thought leaders.” and “Create helpful videos to solve issues for prospects.” This is the type of basic advice you’d already find in an SEO-ed up blog post about lead gen.

But then I copied a bunch of reviews for this wedding industry company, pasted this into Claude, and gave it the prompt…

Analyze reviews. Who is the ideal customer for this company?

Claude gave me a series of attributes about the customer. Then I asked Claude…

How can I get in front of this ideal customer?

Some of the recommendations were pretty basic, like “Advertise on wedding planning websites and forums like TheKnot, WeddingWire, etc. Brides often turn to these sites when planning their wedding on a budget. You can sponsor content or run ads.”

But it also came up with this response as well, “Target ads in college towns, where many younger budget-conscious brides get married right after graduation.”

I thought that was a pretty good idea for a low-cost wedding service. An idea I hadn’t thought of when reading the question (although, in fairness, an entrepreneur who has worked in this field for several years might have already considered it).

To show how you can use multiple generative AI tools in tandem (in response to the two previous questions), I then pasted the ideal customer description from Claude into GPT-4 (remember, Claude is better at analyzing large amounts of information) along with the same prompt.

Again, most of the suggestions were pretty obvious to anyone with even a modicum of marketing experience. For example, “Optimize your website and blog content with keywords that this audience would likely use when searching for affordable wedding video solutions. Keywords could include phrases like ‘budget-friendly wedding video,’ ‘DIY wedding video,’ ‘guest-shot wedding video,’ and similar terms.”

So I pushed GPT-4 a little harder and said…

All these answers seem obvious to someone with marketing experience. Give me some truly breakthrough and out-of-the-box ideas.

It gave me seven more ideas, and I thought this one was something really unique that I hadn’t thought of: “Video Capsule Partnerships: Collaborate with a tech company that offers ‘time capsule’ services, where users can send messages (including videos) to their future selves. Couples could use the company to capture their wedding and then ‘send’ the video to be viewed on a future anniversary.”

This won’t generate instant leads, but it would give the company a reason to followup with happy customers down the road, at which point they could offer a referral bonus.

So I got two original ideas after only spending a few minutes with some AI tools. Not a bad ROI. If I really engaged deeply for an hour or more, if I was the entrepreneur and it was my business, I probably would have gotten much more from the generative AI tools.

The biggest point is – AI can feel like magic. And it is in a sense, but not the way we normally talk about magic as waving a wand and getting an instant, amazing result.

Magic in the real world is a carefully crafted illusion, powered by hard work and a keen methodology. And AI is no different.

You can’t just ask a general question and get an amazing result, usually. But feeding AI tools info about your ideal customer and the design of your offer will produce better results, especially for something as difficult as finding a new way to get in front of your customer.

Check out Marketing Funnel Optimization: A straight-forward guide to design your offer if you are unfamiliar with offer design. And if you’re an AI Guild member, you can go to the briefing notes for this week’s session at MEC200 [08-02-23] to see how Flint McGlaughlin used artificial intelligence to build customer profiles. Just scroll to the bottom of the page and click on the names of people we conducted group coaching for in this week’s LiveClass.

Related Resources

AI Marketing Prompts: 14 prompt examples marketers and entrepreneurs found most useful

MECLABS AI Guild