Intro to Artificial Intelligence
for Marketing
jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Jim Sterne

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Jim Sterne Intro to Artificial Intelligence
for Marketing

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
IS NOT
for data scientists
How to be a data scientist
Cool algorithms
Statistical tips and tricks
How to build a bot
Latest start-ups
Quantum computing
Intro to AI & Machine Learning
How some methods differ
How to talk to data scientists
Where AI/ML is used in marketing
How to bring AI/ML into your org
How to keep your job
IS
for marketers

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Why Artificial Intelligence Now?
50 years of study
Cheap storage of Big Data
Massively parallel processing (GPUs)
Open Source

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
What is it?
How does it work?
What is it good at?
How is it useful?
Intro to Artificial Intelligence
for Marketing

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
As Seen on TV
AI: Anything computers can’t
SciFi: Anything AI can’t
“General AI” – thinks and acts human
Sentience
“Narrow AI” – task specific
Functional

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Artificial Intelligence
Natural Language Processing
Speech recognition
Speech to text
Text to meaning
Sentiment analysis
"Wreck a nice beach"

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Artificial Intelligence
Computer Vision

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Facial Recognition

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Self-Driving Cars!

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Artificial Intelligence
Robots

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Artificial Intelligence
Natural Language Understanding
Conversation Bots
Computer Vision
Self-Driving Cars & Robots
Machine Learning

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Software Grows Up
Specific Logic Mathematical Model
Do this, then this, then this
If this happens, do that
If confused, report error
Statistical Model Machine Learning
{A:13,BUTTON:0,CHECKBOX:32,COMBOBOX:13,GRIDCELL:13,LINK:13,LISTBOX:13,MENU:0,MENUBAR:0,MENUITEM:0,MENUITEMCHEC
KBOX:0,MENUITEMRADIO:0,OPTION:0,RADIO:32,RADIOGROUP:32,RESET:0,SUBMIT:0,SWITCH:32,TAB:0,TREE:13,TREEITEM:13},G
=function(a){return(a.getAttribute("type")||a.tagName).toUpperCase()in ba},H=function(a){return
(a.getAttribute("type")||a.tagName).toUpperCase()in ca},ba={CHECKBOX:!0,OPTION:!0,RADIO:!0},ca={COLOR:!0,
DATE:!0,DATETIME:!0,"DATETIME-LOCAL":!0,EMAIL:!0,MONTH:!0,NUMBER:!0,PASSWORD:!0,RANGE:!0,SEARCH:!0,TEL:!0,
TEXT:!0,TEXTAREA:!0,TIME:!0,URL:!0,WEEK:!0},da={A:!0,AREA:!0,BUTTON:!0,DIALOG:!0,IMG:!0,INPUT:!0,LINK:!0,MENU:
!0,OPTGROUP:!0,OPTION:!0,PROGRESS:!0,SELECT:!0,TEXTAREA:!0};var I=function(){this.i=this.g=null}

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Software Grows Up
Specific Logic Mathematical Model
Do this, then this, then this
If this happens, do that
If confused, report error
Statistical Model Machine Learning

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Software Grows Up
Specific Logic Mathematical Model
Do this, then this, then this Describe numerical relationships
If this happens, do that Calculate alternatives
If confused, report error Human compares results & iterates
Statistical Model Machine Learning

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Software Grows Up
Specific Logic Mathematical Model
Do this, then this, then this Describe numerical relationships
If this happens, do that Calculate alternatives
If confused, report error Human compares results & iterates
Statistical Model Machine Learning
Calculate probabilities
Project likelihoods
Human compares & iterates

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Software Grows Up
Specific Logic Mathematical Model
Do this, then this, then this Describe numerical relationships
If this happens, do that Calculate alternatives
If confused, report error Human compares results & iterates
Statistical Model Machine Learning
Calculate probabilities Uses examples to figure it out
Project likelihoods and changes it's mind
Human compares & iterates

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
What is it?
How does it work?
What is it good at?
How is it useful?
Intro to Artificial Intelligence
for Marketing

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Machine Learning
Supervised
Unsupervised
Reinforcement

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Machine Learning
Supervised
You know the right answer
needs many examples
of labeled data
Dog: Yes Cat: No Tag a friend?

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Machine Learning
Supervised
cat cat
cat cat
You know the right answer
needs many examples
of labeled data

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Machine Learning
Supervised
You know the right answer
needs many examples
of labeled data

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Machine Learning
Supervised
You know the right answer
needs many examples
of labeled data

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Machine Learning
Supervised
You know the right answer
needs many examples
of labeled data

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Machine Learning
Supervised
You know the right answer
needs many examples
of labeled data

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Machine Learning
Unsupervised
Online buying goes up when the weather is bad
Ice cream causes drowning
Shoes cause headaches
Nicolas Cage is a monster
You don't know the right answer
Machine finds patterns in unlabeled data
may or may not be useful (correlation/causation)

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Machine Learning
Supervised
You know the right answer
needs many examples
of labeled data
Unsupervised
You don't know the right answer
finds patterns in unlabeled data
may or may not be useful (correlation/causation)

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Machine Learning
Reinforcement
There is no absolute right answer
some answers are better
"rewards" based on results
optimizes over time
Photo by Marek Szturc on Unsplash

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
3 Needs for 3 Deeds
of Machine Learning
Data Detect
Goal Decide
Control Revise
Needs Deeds

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
What is it?
How does it work?
What's it good at?
How is it useful?
Intro to Artificial Intelligence
for Marketing

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Learning Machine Learning
High Dimensionality
High Cardinality
What's it good at?

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Dimensionality = Attributes per Object
Cardinality = Options per Attribute

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Dimensionality = Attributes per Object
Cardinality = Options per Attribute
Person
Objects
Attributes
billions of permutations

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
What is it?
How does it work?
What's it good at?
How is it useful?
Intro to Artificial Intelligence
for Marketing

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Robots!

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
In-Store Robots

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Augmented Reality

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Augmented Reality

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Facial Recognition

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Facial Recognition

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Artificial Intelligence
Natural Language
Speech to text
Conversation Bots
Text to meaning

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Automating Response

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Artificial Intelligence
Natural Language
Speech to text
This means that
Repeated correction
Taught over time
Conversation Bots
Text to meaning
Concept & emotion imitation
Repeated correction
Taught over time
Lenovo Unified
Customer Intelligence

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Artificial Intelligence
Natural Language
Speech to text
This means that
Repeated correction
Taught over time
Conversation Bots
Text to meaning
Concept & emotion imitation
Repeated correction
Taught over time
Lenovo Unified
Customer Intelligence

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Artificial Intelligence
Natural Language
Speech to text
This means that
Repeated correction
Taught over time
Conversation Bots
Text to meaning
Concept & emotion imitation
Repeated correction
Taught over time

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Bringing AI Into Your Organization
Look what followed me home!
Can we keep him?

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
AI Onboarding Tips

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
AI Onboarding Tips
Clearly identified goals
Raise Revenue
Lower Costs
Improve Customer Satisfaction
Introduce a New Competency
Raise Awareness
Improve Attitude
Influence Influence
Inspire Interaction
Generate Sales
Drive Endorsements

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
AI Onboarding Tips
Clearly identified goals

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
AI Onboarding Tips
Clearly identified goals
Optimize Customer Retention

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Machine Learning Bump
Humans Machines

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
AI Onboarding Tips
Clearly identified goals
Know Your Data
Would I advise my uncle?
Would I stake my reputation?
Would I risk my own money?
Would I bet my job?

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
AI Onboarding Tips
Clearly identified goals
Know Your Data Clean, Consistent, Reliable

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
AI Onboarding Tips
Clearly identified goals
Know Your Data Clean, Consistent, Reliable
Server Outage
Missing Tag
Broken Tag
Corrupted Data
Broken ETL
Enrichment Error
Integration Error
Ad Blocker
Etc., etc....

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
AI Onboarding Tips
Clearly identified goals
Know Your Data Clean, Consistent, Reliable
Web Analytics, Customer Service, Customer Relationship Management, Sales Force Automation,
Campaign Analysis, Social Media, Email Marketing, Mobile, Wearables, Surveys, Facebook,
Aggregators, App Data, Behavioral Data, Accounting, Video Views, API's, Enrichment, etc., etc....

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
AI Onboarding Tips
Clearly identified goals
Know Your Data
Web Analytics, Customer Service, Customer Relationship Management, Sales Force Automation,
Campaign Analysis, Social Media, Email Marketing, Mobile, Wearables, Surveys, Facebook,
Aggregators, App Data, Behavioral Data, Accounting, Video Views, API's, Enrichment, etc., etc....
Clean, Consistent, Reliable

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
AI Onboarding Tips
Clearly identified goals
Know Your Data Clean, Consistent, Reliable

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
AI Onboarding Tips
Clearly identified goals
Know Your Data
Data Lake
Clean, Consistent, Reliable

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
AI Onboarding Tips
Clearly identified goals
Know Your Data
Data Lake
Clean, Consistent, Reliable

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
AI Onboarding Tips
Clearly identified goals
Know Your Data

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
AI Onboarding Tips
Clearly identified goals
Know Your Data
Start with repetitive, high volume, taxing tasks
Ranking
Sorting
Finding patterns
Finding look-alikes
Anomaly detection

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
AI Onboarding Tips
Clearly identified goals
Know Your Data

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Correlations people with this attribute have that attribute
Segmentation these people form a group
Clustering there are X number of groups
Anomalies these people are unique
Are results interesting? Useful? Worthy of further study?
What Can ML Do Better?

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
AI Onboarding Tips
Clearly identified goals
Know Your Data
Start with repetitive, high volume, taxing tasks
Buy vs. Build

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Business
Stakeholder

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Business
Stakeholder
domain
knowledge
usesIndustry
Market
Company
Products
Customers
Competition
Price of tea in China
Which way the wind is blowing
The airspeed velocity of an unladen African swallow

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
BUSINESS
GOALS
Business
Stakeholder
domain
knowledge
uses
to set

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
uses
to set
BUSINESS
GOALS
domain
knowledge
Business
Stakeholder
BUSINESS
PROBLEMS
to identify

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
uses
to set
BUSINESS
GOALS
domain
knowledge
Business
Stakeholder
BUSINESS
DECISIONS
to make
to identify
BUSINESS
PROBLEMS

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
uses
to set
BUSINESS
GOALS
domain
knowledge
Business
Stakeholder
to identify
BUSINESS
PROBLEMS
BUSINESS
DECISIONS
to make
informed by
Analyst
insight

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
uses
to set
BUSINESS
GOALS
domain
knowledge
Business
Stakeholder
to identify
BUSINESS
PROBLEMS
BUSINESS
DECISIONS
to make
informed by
Analyst
insight
Analyst

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
uses
to set
BUSINESS
GOALS
domain
knowledge
Business
Stakeholder
to identify
BUSINESS
PROBLEMS
BUSINESS
DECISIONS
to make
informed by
Analyst
insight
Analyst
appreciates and considers

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
to craft to test
uses
to set
BUSINESS
GOALS
domain
knowledge
Business
Stakeholder
to identify
BUSINESS
PROBLEMS
BUSINESS
DECISIONS
to make
informed by
Analyst
insight
appreciates and considers
Analyst
HYPOTHESES

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsternejsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Analyst
Business
Stakeholder

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
determines
accounts for
most revealing data
cognitive bias
Analyst
innate bias
to
ensure
SOUND
ADVICE
Business
Stakeholder

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
determines
accounts for
most revealing data
cognitive bias
Analyst
innate bias
to
ensure
uses
to convey
SOUND
ADVICE
visualization
and storytelling
Business
Stakeholder

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
builds
chooses
Analyst
depends on
Data
Scientist
METHODS
MODELS
Data
Engineer
depends on
collects
cleans
integrates
monitors
manages
pipelines
operationalize
s DATA
QUALITY
to improve
give
feedback
Data
Business
StakeholderBusiness
Stakeholder

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
builds
chooses
Analyst
depends on
Data
Scientist
METHODS
MODELS
Data
Engineer
depends on
collects
cleans
integrates
monitors
manages
pipelines
operationalize
s DATA
QUALITY
to improve
give
feedback
Data
to ensure quality of
Business
Stakeholder

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Data
Engineer
Data
Scientist
Analyst
Business
Stakeholder

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Data
Engineer
Data
Scientist
Analyst
Business
Stakeholder
Licorne

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
give
feedback
Data
Engineer
Data
Scientist
Analyst
Outsource
if you can
Business
Stakeholder

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
AI Onboarding Tips
Clearly identified goals
Know Your Data
Start with repetitive, high volume, taxing tasks
Buy vs. Build
Buy!

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
AI Onboarding Tips
Clearly identified goals
Know Your Data
Start with repetitive, high volume, taxing tasks
Buy vs. Build
Determine which data sets are useful

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
AI Onboarding Tips
Clearly identified goals
Know Your Data
Start with repetitive, high volume, taxing tasks
Buy vs. Build
Determine which data sets are useful
Too much = noise
Too little = overfitting
Just right = insight

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
AI Onboarding Tips
Clearly identified goals
Know Your Data
Start with repetitive, high volume, taxing tasks
Buy vs. Build
Determine which data sets are useful
Become proficient at the Smell Test

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
The Smell Test

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
AI Onboarding Tips
Clearly identified goals
Know Your Data
Start with repetitive, high volume, taxing tasks
Buy vs. Build
Determine which data sets are useful
Become proficient at the Smell Test
Be Human

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Amount of data
Speed of correlation
Repetition minus ennui
Accuracy
Cost
Zero attitude
Machine Advantages Your Advantages
Reason
Common sense
Emotion
Empathy
Experience
Integrated cognition
Be Human

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Press Your Advantage
Recognizing the problem
Onboarding new ideas
Relating non-related data
Relating non-related experience
Collaboration & Diversity
Empathy
Imagination

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Man and Machine

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
AI Onboarding Tips
Clearly identified goals
Know Your Data
Start with repetitive, high volume, taxing tasks
Buy vs. Build
Determine which data sets are useful
Become proficient at the Smell Test
Be Human

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Be Prepared:
Marketing is About to Get Weird

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Be Prepared:
Marketing is About to Get Weird

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Harness the Power for Yourself
Take advantage of the tools
Build systems to talk to customers' systems
Build your brand

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
What is your next step??

jsterne@targeting.com – Marketing Evolution Experience.com – @jimsternejsterne@targeting.com – Marketing Evolution Experience.com – @jimsterne
Jim Sterne Intro to Artificial Intelligence
for Marketing