Page 113 - Fortune-November 01, 2018
P. 113

ar tifi c i al  intelli gence  +  life  and  lei sure



                                                            CHANGING                  WILL THIS AD
                                                            HOW YOU SHOP              MAKE YOU SMILE?


                                                             BRICK-AND-MORTAR          MARKETERS DON’T ALWAYS
                                                            stores have a new calling:  hit the mark—we’re looking
                                                            They’re perfect A.I. data col-  at you and that Kendall
                                                            lection labs. Home Depot is  Jenner spot, Pepsi—but
                                                            using data from millions of  increasingly, they’re leaning
                                                            transactions to figure out  on artificial intelligence to
                                                            what else you—the DIY-er  make those misfires less
                                                            grappling with, say, a big  likely. Emotion A.I. firm
                                                            kitchen renovation—might  Affectiva says a quarter
                                                            need and provide detailed  of Fortune 500 companies
                                                            home project guides as well  use its tech in their creative
                                                            as hyper-targeted cross-  development processes,
                                                            selling. Sephora has used  testing the reaction to po-
                                                            A.I.-powered facial recogni-  tential ads in A.I.-enhanced
                                                            tion by ModiFace (recently  survey research. Affectiva’s
                                                            bought by L’Oréal) to help  system, which has been
                                                            shoppers select that exact  trained on images of 7 mil-
                                                            right makeup shade: The   lion faces (and 3.8 billion
                                                            software analyzes millions  facial frames) from 87
                                                            of other past users to better  countries, decodes the
                                                            predict what will look good  facial expressions of indi-
         MONEYBALL 2.0                                      on you. And MIT-spinoff    viduals—the tech identifies
                                                                                      20 specific ones as well as
                                                            Celect uses machine learn-
                                                            ing to forecast how shop-  eight emotions, including
                                                            pers behave, determine    “disgust”—moment by mo-
          WHEN NHL SCOUTS looked at Sean Durzi (above) in   what kinds of promotions  ment as they watch ads.
         2017, they decided to pass on the 19-year-old de-  work better in what part of  Media research giant
         fenseman. Just one year later, Durzi went second   the store, and figure out  KantarMillward Brown,
         round to the Toronto Maple Leafs. The difference    where products should be  which has deployed Af-
                                                            placed for optimal results.
                                                                                      fectiva’s product since
         was powerful new A.I. software by Montreal-based     As for that price check  2011 (30,000 ads’ worth)
         startup Sportlogiqthat parsed terabytes of data    in aisle 10? Walmart, for  found Nike’s lauded Colin
         to uncover his powerful playmaking ability—call    one, has tested robots at  Kaepernick ad scored smiles
         it Moneyball 2.0. Sportlogiq is just one of several  50 stores that scan shelves  at key points. “We were really
         companies using A.I. to help teams spot the next   for out-of-stock items,   able to pinpoint the fact that
         star. “It’s all about identifying talent in hidden  products placed back in the  it was Kaepernick’s message
         pockets and finding that diamond in the rough,”     wrong spot by custom-     about sacrifice and dreams
         says Cam Potter, cofounder of BrooklynDynamics,    ers, and incorrect prices  that triggered the positive
         an Australian data-analytics company that has      —all time-consuming       response,” says Graham
                                                            and cumbersome jobs for
                                                                                      Page, the firm’s managing
         worked with several Major League Baseball teams    humans. Though retail-    director. They also found
         and even developed a machine-learning A.I.         ers are tight-lipped about  that viewers responded
         system for the 2017 Tour de France that collected  in-store tech, companies  positively, and with surprise,
         real-time data points and spit out race predictions.  like Navii and Simbe that  to women players featured in
           Brooklyn Dynamics is developing an app           make A.I.-powered robots  World Cup ads.
         that will soon allow time-crunched scouts and      are attracting attention and  Page noted that beyond
         coaches to run machine-learning analytics on       investors, according to CB  helping clients sharpen
         both prospects and current players, creating a     Insights.  —Phil Wahba    their campaigns, Kantar has
         centralized database that can be accessed by                                 gained broad insights that
         college and pro teams around the world. “It’s a                              benefit all clients. Ads that   DURZI: DAV ID K IROUAC —ICON SPOR T SW IRE V IA GE T T Y IM AGES
                                                                                      viewers describe as “pro-
         unique tool to add to the recruiter’s repertoire,”                           gressive,” with protagonists
         Potter says. “Other members of the organization                              featured in modern roles
         can then look at [the stats] and join in on the draft                        (rather than traditional ones)
         discussion to eventually decide who’s going to                               are 25% more effective, ac-
         bring value to the club.” —C.K.                                              cording to the firm. —E.F.





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