Australian manufacturing brand looks to AI to increase marketing ROI

Australian Outdoor Living invests in artificial intelligence-powered sales and marketing optimisation solution

Diminishing ROI on advertising spend has led local company, Australian Outdoor Living, to invest in artificial intelligence (AI) for sales and marketing optimisation for the first time.

Australian Outdoor Living has engaged Complexica to deploy of its What-if Simulator & Optimiser, powered by AI platform, 'Larry, the Digital Analyst'. The software will be used to optimise Australian Outdoor Living's marketing mix and media spend decisions.

While currently in the process of being deployed, Australian Outdoor Living COO, Daryl Chim, said testing of the solution looks very promising.

“Our challenges include identifying the point of diminishing return for advertising spend, identifying the optimal split of marketing budget in the different marketing channels, and improving cost per lead,” he said.

“Previously, we were using historical results/reports, and local knowledge and experience of the team for this. However, we wanted a consistent data analysis method, to improve cost and business efficiency, and to mitigate the risk of ‘brain drain’ and loss of experience through the departure of key staff.

“Complexica’s What-if Simulator and Optimiser will provide us with a platform for improved decision-making across our marketing mix and media spend, leading to enhanced ROI and improved business outcomes.”

The technology solution provides decision support for complex ‘what-if’ questions by using AI to analyse large internal and external datasets to generate probabilistic predictions and optimised outcomes. It is hoped the solution will increase the average lead count per week, reduce the average cost per lead (CPL) per source, provide an optimal split and allocation of the marketing budget, and increase marketing ROI by identifying the point of diminishing returns.

Currently it is in the development stage, with the implementation and rollout due at Australian Outdoor Living in the next three months.

“The whole process has been very smooth and seamless to date,” Chim told CMO. “I believe this can be attributed to the way AOL has managed its data from inception of the business in 2005 and the skills/professionalism of the team at Complexica in dealing with complex projects like this.

“From early test results, I believe it will achieve our project goals."

While this is the company's first foray into AI from an investment and direct implementation into our business practice, Chim added the marketing team have been exposed and been using AI to some degree through digital marketing platforms and media marketing platforms.

Australian Outdoor Living is an Australian brand designing and manufacturing outdoor living and home improvement products and services and was founded in 2005, employs over 200 staff nationally, and is based in Regency Park, South Australia.

“We have greatly enjoyed working with Daryl Chim and the Australian Outdoor Living team in 2018, and are delighted to expand our relationship into the deployment of our What-if Simulator and Optimiser,” said chief scientist of Complexica, Dr. Zbigniew Michalewicz.

“Given the complexity of the media spend allocation problem and the scale of AOL’s operation, we believe there is a substantial improvement that can be realised in this area of their business.”

Other Australian brands investing in the AI platform include DuluxGroup and Detmold Group

Follow CMO on Twitter: @CMOAustralia, take part in the CMO conversation on LinkedIn: CMO ANZ, join us on Facebook: https://www.facebook.com/CMOAustralia, or check us out on Google+:google.com/+CmoAu   

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.
Show Comments
cmo-xs-promo

Latest Videos

More Videos

who wants to date me I am 9 years old and i am a boy

Jeremy Hawkins

Sink a sub gaming experience signals Subway's renewed brand push

Read more

Great read. I agree that it should be a perfect balance between interacting with your customers and knowing your brand. As a business, yo...

Caroline Scott

7 ways CMOs can improve their customer engagement game

Read more

Very true. Team development helps improve collaboration among the team members. I was able to improve my team's collaboration skills by t...

Quent Sinder

Why empowering others can help make you a great leader

Read more

CRM is a very good software that can help you succeed in your business. In my company, this system has allowed me to improve customer rel...

Anna Janicka

Sensis rebrands to Thryv and brings business software to Australian SMBs

Read more

AI Leasing Assistants have finally arrived for the multifamily industry. With so many to choose from it can be hard to figure out which i...

Alice Labs Pte. Ltd.

CMO's top 8 martech stories for the week - 6 May 2021

Read more

Blog Posts

Unboxing 101 - How savvy influencer engagement can build a brand

The humble unboxing video is a powerful tool. Correctly executed, it harnesses consumer fandom, viral authenticity and brand design magic to deliver a high-impact message to a tightly targeted cohort of consumers.

Gali Arnon

Chief marketing officer, Fiverr

​Power to the people

Purpose is the ultimate statement of intent for many organisations. Why are we here? What are we trying to achieve?

Rich Curtis

CEO, FutureBrand A/NZ

The playbook to develop strategic brand moats

Warren Buffet is an unlikely ally for marketers. But his belief businesses need strategic moats that increase their value in the market while acting as barriers to competitors can offer marketers a new playbook for brand building and driving growth.

Fabian Di Marco

Founder and managing director, Tzu & Co

Sign in