The rapid advancement of AI technology in digital marketing has sparked both excitement and concern among industry professionals. At IIH Nordic, we recently conducted an extensive test of one of the leading AI third-party technologies, an AI-powered campaign optimization tool, to understand its potential impact on campaign management and optimization. Our findings reveal important insights about the role of AI in modern digital marketing—and why human expertise remains irreplaceable.
The promise of AI in campaign management
The appeal of AI-powered campaign management is clear. With tools like this, the promise includes:
- Time savings through automated optimization and campaign management
- Discovery of optimization opportunities that might be overlooked by human analysis
- Faster and more precise data analysis for better decision-making
- Improved competitive advantage through real-time campaign adjustments
- More efficient resource allocation, allowing specialists to focus on strategy
These potential benefits align with the growing trend of AI adoption in digital marketing, where speed and precision are increasingly crucial for success.
Real-world implementation: lessons from our test
We implemented the AI tool across various client accounts, including e-commerce and education sectors, to test its capabilities in different contexts. The results revealed both the potential and limitations of current AI technology in campaign management.
What Worked
The AI showed promise in basic optimization tasks:
- Continuous monitoring and adjustment of campaign parameters
- Basic bid management and budget allocation
- Addition of new keywords based on website content
- Standard campaign optimization routines
Where AI falls short
However, our test revealed significant limitations:
- Budget Control: The AI made unauthorized budget increases, leading to overspending
- Strategic Decision-Making: Complex optimizations, such as target ROAS optimization and shopping label optimization, still required human intervention
- Context Understanding: The AI struggled to account for seasonal factors and business-specific requirements
- Quality Control: Some optimizations required manual cleanup, actually increasing the workload for our specialists
The human element: why specialists matter
Our experience with the AI tool highlighted why human expertise remains crucial in digital marketing:
- Strategic oversight: Human specialists understand the broader business context, seasonal patterns, and competitive landscape in ways that AI currently cannot. They can make nuanced decisions that consider multiple factors beyond pure data.
- Quality control: While AI can process vast amounts of data quickly, it lacks the judgment to evaluate the quality and appropriateness of its optimizations. Our specialists often needed to review and adjust AI-driven changes to ensure alignment with client goals.
- Complex problem-solving: Some of the most important campaign optimizations—such as strategic keyword cleanup and advanced shopping campaign management—required human expertise to execute effectively.
- Client communication: Understanding client needs, managing expectations, and adapting strategies based on business changes remains a distinctly human skill that AI cannot replicate.
The path forward: AI as a tool, not a replacement
Our test reinforces a crucial insight: AI in digital marketing works best as a tool for specialists rather than a replacement for human expertise. The future of digital marketing lies in finding the right balance between AI capabilities and human strategic thinking.
Best practices for AI implementation
Based on our experience, we recommend:
- Clear definition of AI tool boundaries and capabilities
- Strong human oversight of AI-driven changes
- Regular evaluation of AI performance against business goals
- Integration of AI tools within a broader, human-led strategy
Looking ahead
As AI technology continues to evolve, we expect to see more sophisticated tools emerge in the digital marketing landscape. However, our experience suggests that the most successful approaches will be those that combine AI’s computational power with human strategic thinking and expertise.
For businesses looking to implement AI in their digital marketing efforts, the key is to view AI as an enhancement to human capabilities rather than a replacement for specialist expertise. This approach ensures you can leverage the benefits of AI while maintaining the strategic oversight and quality control that only human specialists can provide.
Want to learn more about how to effectively integrate AI tools into your digital marketing strategy? Contact us for a discussion about your specific needs and how we can help you find the right balance between AI automation and human expertise.
Written by: Funda Yildirim Al-Ansari og Anela Dzabo